CITY COUNCIL
Regular Meeting
Monday, September 16, 2024
Council Chambers & Hybrid
5:30 PM
Amended Agenda
Amended agenda items appear below in RED
Palo Alto City Council meetings will be held as “hybrid” meetings with the option to attend by teleconference or in person. Information on how the public may observe and participate in the meeting is located at the end of the agenda. 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
General Public Comment for items not on the agenda will be accepted in person for up to three minutes or an amount of time determined by the Chair. General public comment will be heard for 30 minutes. Additional public comments, if any, will be heard at the end of the agneda.
Public comments for agendized items will be accepted both in person and via Zoom for up to three minutes or an amount of time determined by the Chair. Requests to speak will be taken until 5 minutes after the staff’s presentation or as determined by the Chair. 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
1. Resolution in Support of Build the Future Santa Clara CountyItem Removed Off Agenda and Deferred to a Date Uncertain
AGENDA CHANGES, ADDITIONS AND DELETIONS
PUBLIC COMMENT (5:35 ‐ 6:05 PM)
Members of the public may speak in‐person ONLY to any item NOT on the agenda. 1‐3 minutes depending on # of speakers.Public Comment is limited to 30 minutes. Additional public comments, if any, will be heard at the end of the agenda.
COUNCIL MEMBER QUESTIONS, COMMENTS, ANNOUNCEMENTS (6:05 ‐ 6:10 PM) Members of the public may not speak to the item(s).
STUDY SESSION (ITEM 2: 6:10 ‐ 6:55 PM, ITEM 3: 6:55 ‐ 8:55 PM)
2. Caltrain Electrification and Local Coordination Updates Presentation
3. Update and Receive Council Input on Airport Long‐Range Plan Project Petition CITY MANAGER COMMENTS (8:55 ‐ 9:10 PM)
BREAK (15 MINUTES)
CLOSED SESSION (9:25 ‐ 11:25 PM)
4. PUBLIC EMPLOYEE PERFORMANCE EVALUATIONS
Authority: Cal. Gov. Code section 54957(b)(1)
Titles: City Manager, City Attorney and City Clerk
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.
5. Sales Tax Digest 2024 Q1 (January to March)
OTHER INFORMATION
Standing Committee Meetings this week
Rail Committee September 17, 2024
Finance Committee September 17, 2024
Retail Committee September 18, 2024
City/Schools Liasion Committee September 19, 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 for agendized items 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 for agendized items 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.
California Government Code §84308
, commonly referred to as the "Levine Act," prohibits an elected official of a local government agency from participating in a proceeding involving a license, permit, or other entitlement for use if the official received a campaign contribution exceeding $250 from a party or participant, including their agents, to the proceeding within the last 12 months. A “license, permit, or other entitlement for use” includes most land use and planning approvals and the approval of contracts that are not subject to lowest responsible bid procedures. A “party” is a person who files an application for, or is the subject of, a proceeding involving a license, permit, or other entitlement for use. A “participant” is a person who actively supports or opposes a particular decision in a proceeding involving a license, permit, or other entitlement for use, and has a financial interest in the decision. The Levine Act incorporates the definition of “financial interest” in the Political Reform Act, which encompasses interests in business entities, real property, sources of income, sources of gifts, and personal finances that may be affected by the Council’s actions. If you qualify as a “party” or “participant” to a proceeding, and you have made a campaign contribution to a Council Member exceeding $250 made within the last 12 months, you must disclose the campaign contribution before making your comments.
1 September 16, 2024
Materials submitted after distribution of the agenda packet are available for public inspection at www.CityofPaloAlto.org/agendas.
CITY COUNCIL
Regular Meeting
Monday, September 16, 2024
Council Chambers & Hybrid
5:30 PM
Amended Agenda
Amended agenda items appear below in RED
Palo Alto City Council meetings will be held as “hybrid” meetings with the option to attend by teleconference or in person. Information on how the public may observe and participate in the meeting is located at the end of the agenda. 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
General Public Comment for items not on the agenda will be accepted in person for up to three minutes or an amount of time determined by the Chair. General public comment will be heard for 30 minutes. Additional public comments, if any, will be heard at the end of the agneda.
Public comments for agendized items will be accepted both in person and via Zoom for up to three minutes or an amount of time determined by the Chair. Requests to speak will be taken until 5 minutes after the staff’s presentation or as determined by the Chair. 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
1. Resolution in Support of Build the Future Santa Clara CountyItem Removed Off Agenda and Deferred to a Date Uncertain
AGENDA CHANGES, ADDITIONS AND DELETIONS
PUBLIC COMMENT (5:35 ‐ 6:05 PM)
Members of the public may speak in‐person ONLY to any item NOT on the agenda. 1‐3 minutes depending on # of speakers.Public Comment is limited to 30 minutes. Additional public comments, if any, will be heard at the end of the agenda.
COUNCIL MEMBER QUESTIONS, COMMENTS, ANNOUNCEMENTS (6:05 ‐ 6:10 PM) Members of the public may not speak to the item(s).
STUDY SESSION (ITEM 2: 6:10 ‐ 6:55 PM, ITEM 3: 6:55 ‐ 8:55 PM)
2. Caltrain Electrification and Local Coordination Updates Presentation
3. Update and Receive Council Input on Airport Long‐Range Plan Project Petition CITY MANAGER COMMENTS (8:55 ‐ 9:10 PM)
BREAK (15 MINUTES)
CLOSED SESSION (9:25 ‐ 11:25 PM)
4. PUBLIC EMPLOYEE PERFORMANCE EVALUATIONS
Authority: Cal. Gov. Code section 54957(b)(1)
Titles: City Manager, City Attorney and City Clerk
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.
5. Sales Tax Digest 2024 Q1 (January to March)
OTHER INFORMATION
Standing Committee Meetings this week
Rail Committee September 17, 2024
Finance Committee September 17, 2024
Retail Committee September 18, 2024
City/Schools Liasion Committee September 19, 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 for agendized items 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 for agendized items 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.
California Government Code §84308 , commonly referred to as the "Levine Act," prohibits an elected official of a local government agency from participating in a proceeding involving a license, permit, or other entitlement for use if the official received a campaign contribution exceeding $250 from a party or participant, including their agents, to the proceeding within the last 12 months. A “license, permit, or other entitlement for use” includes most land use and planning approvals and the approval of contracts that are not subject to lowest responsible bid procedures. A “party” is a person who files an application for, or is the subject of, a proceeding involving a license, permit, or other entitlement for use. A “participant” is a person who actively supports or opposes a particular decision in a proceeding involving a license, permit, or other entitlement for use, and has a financial interest in the decision. The Levine Act incorporates the definition of “financial interest” in the Political Reform Act, which encompasses interests in business entities, real property, sources of income, sources of gifts, and personal finances that may be affected by the Council’s actions. If you qualify as a “party” or “participant” to a proceeding, and you have made a campaign contribution to a Council Member exceeding $250 made within the last 12 months, you must disclose the campaign contribution before making your comments.
2 September 16, 2024
Materials submitted after distribution of the agenda packet are available for public inspection at
www.CityofPaloAlto.org/agendas
.
CITY COUNCIL
Regular Meeting
Monday, September 16, 2024
Council Chambers & Hybrid
5:30 PM
Amended Agenda
Amended agenda items appear below in RED
Palo Alto City Council meetings will be held as “hybrid” meetings with the option to attend by teleconference or in person. Information on how the public may observe and participate in the meeting is located at the end of the agenda. 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
General Public Comment for items not on the agenda will be accepted in person for up to three minutes or an amount of time determined by the Chair. General public comment will be heard for 30 minutes. Additional public comments, if any, will be heard at the end of the agneda.
Public comments for agendized items will be accepted both in person and via Zoom for up to three minutes or an amount of time determined by the Chair. Requests to speak will be taken until 5 minutes after the staff’s presentation or as determined by the Chair. 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
1. Resolution in Support of Build the Future Santa Clara CountyItem Removed Off Agenda and Deferred to a Date Uncertain
AGENDA CHANGES, ADDITIONS AND DELETIONS
PUBLIC COMMENT (5:35 ‐ 6:05 PM)
Members of the public may speak in‐person ONLY to any item NOT on the agenda. 1‐3 minutes depending on # of speakers.Public Comment is limited to 30 minutes. Additional public comments, if any, will be heard at the end of the agenda.
COUNCIL MEMBER QUESTIONS, COMMENTS, ANNOUNCEMENTS (6:05 ‐ 6:10 PM) Members of the public may not speak to the item(s).
STUDY SESSION (ITEM 2: 6:10 ‐ 6:55 PM, ITEM 3: 6:55 ‐ 8:55 PM)
2. Caltrain Electrification and Local Coordination Updates Presentation
3. Update and Receive Council Input on Airport Long‐Range Plan Project Petition CITY MANAGER COMMENTS (8:55 ‐ 9:10 PM)
BREAK (15 MINUTES)
CLOSED SESSION (9:25 ‐ 11:25 PM)
4. PUBLIC EMPLOYEE PERFORMANCE EVALUATIONS
Authority: Cal. Gov. Code section 54957(b)(1)
Titles: City Manager, City Attorney and City Clerk
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.
5. Sales Tax Digest 2024 Q1 (January to March)
OTHER INFORMATION
Standing Committee Meetings this week
Rail Committee September 17, 2024
Finance Committee September 17, 2024
Retail Committee September 18, 2024
City/Schools Liasion Committee September 19, 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 for agendized items 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 for agendized items 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.
California Government Code §84308 , commonly referred to as the "Levine Act," prohibits an elected official of a local government agency from participating in a proceeding involving a license, permit, or other entitlement for use if the official received a campaign contribution exceeding $250 from a party or participant, including their agents, to the proceeding within the last 12 months. A “license, permit, or other entitlement for use” includes most land use and planning approvals and the approval of contracts that are not subject to lowest responsible bid procedures. A “party” is a person who files an application for, or is the subject of, a proceeding involving a license, permit, or other entitlement for use. A “participant” is a person who actively supports or opposes a particular decision in a proceeding involving a license, permit, or other entitlement for use, and has a financial interest in the decision. The Levine Act incorporates the definition of “financial interest” in the Political Reform Act, which encompasses interests in business entities, real property, sources of income, sources of gifts, and personal finances that may be affected by the Council’s actions. If you qualify as a “party” or “participant” to a proceeding, and you have made a campaign contribution to a Council Member exceeding $250 made within the last 12 months, you must disclose the campaign contribution before making your comments.
3 September 16, 2024
Materials submitted after distribution of the agenda packet are available for public inspection at
www.CityofPaloAlto.org/agendas
.
CITY COUNCIL
Regular Meeting
Monday, September 16, 2024
Council Chambers & Hybrid
5:30 PM
Amended Agenda
Amended agenda items appear below in RED
Palo Alto City Council meetings will be held as “hybrid” meetings with the option to attend by teleconference or in person. Information on how the public may observe and participate in the meeting is located at the end of the agenda. 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
General Public Comment for items not on the agenda will be accepted in person for up to three minutes or an amount of time determined by the Chair. General public comment will be heard for 30 minutes. Additional public comments, if any, will be heard at the end of the agneda.
Public comments for agendized items will be accepted both in person and via Zoom for up to three minutes or an amount of time determined by the Chair. Requests to speak will be taken until 5 minutes after the staff’s presentation or as determined by the Chair. 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
1. Resolution in Support of Build the Future Santa Clara CountyItem Removed Off Agenda and Deferred to a Date Uncertain
AGENDA CHANGES, ADDITIONS AND DELETIONS
PUBLIC COMMENT (5:35 ‐ 6:05 PM)
Members of the public may speak in‐person ONLY to any item NOT on the agenda. 1‐3 minutes depending on # of speakers.Public Comment is limited to 30 minutes. Additional public comments, if any, will be heard at the end of the agenda.
COUNCIL MEMBER QUESTIONS, COMMENTS, ANNOUNCEMENTS (6:05 ‐ 6:10 PM) Members of the public may not speak to the item(s).
STUDY SESSION (ITEM 2: 6:10 ‐ 6:55 PM, ITEM 3: 6:55 ‐ 8:55 PM)
2. Caltrain Electrification and Local Coordination Updates Presentation
3. Update and Receive Council Input on Airport Long‐Range Plan Project Petition CITY MANAGER COMMENTS (8:55 ‐ 9:10 PM)
BREAK (15 MINUTES)
CLOSED SESSION (9:25 ‐ 11:25 PM)
4. PUBLIC EMPLOYEE PERFORMANCE EVALUATIONS
Authority: Cal. Gov. Code section 54957(b)(1)
Titles: City Manager, City Attorney and City Clerk
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.
5. Sales Tax Digest 2024 Q1 (January to March)
OTHER INFORMATION
Standing Committee Meetings this week
Rail Committee September 17, 2024
Finance Committee September 17, 2024
Retail Committee September 18, 2024
City/Schools Liasion Committee September 19, 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 for agendized items 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 for agendized items 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.
California Government Code §84308 , commonly referred to as the "Levine Act," prohibits an elected official of a local government agency from participating in a proceeding involving a license, permit, or other entitlement for use if the official received a campaign contribution exceeding $250 from a party or participant, including their agents, to the proceeding within the last 12 months. A “license, permit, or other entitlement for use” includes most land use and planning approvals and the approval of contracts that are not subject to lowest responsible bid procedures. A “party” is a person who files an application for, or is the subject of, a proceeding involving a license, permit, or other entitlement for use. A “participant” is a person who actively supports or opposes a particular decision in a proceeding involving a license, permit, or other entitlement for use, and has a financial interest in the decision. The Levine Act incorporates the definition of “financial interest” in the Political Reform Act, which encompasses interests in business entities, real property, sources of income, sources of gifts, and personal finances that may be affected by the Council’s actions. If you qualify as a “party” or “participant” to a proceeding, and you have made a campaign contribution to a Council Member exceeding $250 made within the last 12 months, you must disclose the campaign contribution before making your comments.
4 September 16, 2024
Materials submitted after distribution of the agenda packet are available for public inspection at
www.CityofPaloAlto.org/agendas
.
CITY COUNCIL
Regular Meeting
Monday, September 16, 2024
Council Chambers & Hybrid
5:30 PM
Amended Agenda
Amended agenda items appear below in RED
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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
1. Resolution in Support of Build the Future Santa Clara CountyItem Removed Off Agenda and Deferred to a Date Uncertain
AGENDA CHANGES, ADDITIONS AND DELETIONS
PUBLIC COMMENT (5:35 ‐ 6:05 PM)
Members of the public may speak in‐person ONLY to any item NOT on the agenda. 1‐3 minutes depending on # of speakers.Public Comment is limited to 30 minutes. Additional public comments, if any, will be heard at the end of the agenda.
COUNCIL MEMBER QUESTIONS, COMMENTS, ANNOUNCEMENTS (6:05 ‐ 6:10 PM) Members of the public may not speak to the item(s).
STUDY SESSION (ITEM 2: 6:10 ‐ 6:55 PM, ITEM 3: 6:55 ‐ 8:55 PM)
2. Caltrain Electrification and Local Coordination Updates Presentation
3. Update and Receive Council Input on Airport Long‐Range Plan Project Petition CITY MANAGER COMMENTS (8:55 ‐ 9:10 PM)
BREAK (15 MINUTES)
CLOSED SESSION (9:25 ‐ 11:25 PM)
4. PUBLIC EMPLOYEE PERFORMANCE EVALUATIONS
Authority: Cal. Gov. Code section 54957(b)(1)
Titles: City Manager, City Attorney and City Clerk
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.
5. Sales Tax Digest 2024 Q1 (January to March)
OTHER INFORMATION
Standing Committee Meetings this week
Rail Committee September 17, 2024
Finance Committee September 17, 2024
Retail Committee September 18, 2024
City/Schools Liasion Committee September 19, 2024
Public Comment Letters
Schedule of Meetings
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5 September 16, 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: September 16, 2024
Report #:2409-3454
TITLE
Resolution in Support of Build the Future Santa Clara County
RECOMMENDATION
On behalf of the Mayor, this resolution supporting the Build the Future Santa Clara County initiative is presented for consideration for a vote of approval.
ATTACHMENTS
Attachment A: Resolution in Support of Build the Future Santa Clara County APPROVED BY:
Mahealani Ah Yun, City Clerk
Item 1
Item 1 Staff Report
Item 1: Staff Report
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Resolution
IN SUPPORT OF BUILD THE FUTURE SANTA CLARA COUNTY
WHEREAS, the Council for a Strong America issued a report in early 2023 which details that the shortage of infant-toddler child care costs the United States $122 billion in lost earnings, productivity, and revenue every year; and
WHEREAS, this shortage translates to a $15 billion economic threat to California and a $3 billion threat to Santa Clara County; and
WHEREAS, a family living in Palo Alto needs to pay an average of $38,400 per child year for infant care, $30,600 per year for one preschooler's childcare; and $10,500 per year for one school age student’s afterschool childcare.
WHEREAS, the two most significant monthly expenses faced by working families are rent and child care; and
WHEREAS, the lack of an affordable child care option leads to underemployment, greater housing instability, less consumer spending, depressed business productivity and the near impossibility of seeking, securing and maintaining employment; and
WHEREAS, investing in affordable childcare provides vital infrastructure to working parents and supports early childhood development, allows families to remain the Bay Area, creates a stronger economy, improves business productivity and consumer spending, decreases poverty, leads to safer communities, and provides additional revenue for cities; and
WHEREAS, cities have a direct interest in building strong local economies, supporting and benefiting from local small businesses, attracting and retaining families and employers; and
WHEREAS, one of the most impactful tools we can deploy to solve our greatest economic and societal challenges is investing in broadly accessible, high quality child care immediately; and
WHEREAS, investments in the child care sector should prioritize supporting our most underserved children and their families, as demonstrated locally with the City’s Child Care Subsidy Program; and
WHEREAS, the City of Palo Alto has actively demonstrated the importance of Early Care and Education since the 1970’s by commissioning and working on goals linked to a series of Child Care Master Plans, in addition to their support for ongoing work of the Palo Alto Early Care and Education Committee (PAACECE), the City’s key arm to work on child care issues; and
WHEREAS, the City of Palo Alto has long recognized the importance of early learning and education as articulated in the Comprehensive Plan 2030 Policy #’s T-2.5 and C-1.15; and
Item 1
Attachment A -
Resolution in Support of
Build the Future Santa
Clara County
Item 1: Staff Report
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WHEREAS, the City of Palo Alto understands that the ability to afford quality childcare is a crucial need for its workforce and has implemented a program which assists regular employees with child care expenses; and
NOW, THEREFORE, BE IT RESOLVED that the City of Palo Alto continue to support efforts to provide universal child care (aka acc ess to high- quality child care) to all children and families in Palo Alto; and be it further
RESOLVED, that the City of Palo Alto will continue to empower City departments to promote the importance of childcare businesses in the city and provide support f or providers who desire to operate within the city; and
RESOLVED, that the City of Palo Alto will continue to empower and promote the importance of child care businesses through the work of the Palo Alto Advisory Committee on Early Care & Education (PAACECE) which advises the City on early care issues under the oversight of the Community Services Department and provides support for providers who desire to operate within this city; and
RESOLVED, that the City of Palo Alto joins with Build the Future Santa Clara County through PAACECE in advocating for solutions to address our child care crisis, including but not limited to working with a diverse array of partners for the purpose of addressing this economic and social crisis.
INTRODUCED AND PASSED: September 16, 2024
ATTEST: APPROVED:
___________________ _________________
City Clerk Mayor
APPROVED AS TO FORM:
___________________ _________________
City Manager City Attorney
Item 1
Attachment A -
Resolution in Support of
Build the Future Santa
Clara County
Item 1: Staff Report
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City Council
Staff Report
Report Type: STUDY SESSION
Lead Department: Transportation
Meeting Date: September 16, 2024
Report #:2409-3456
TITLE
Caltrain Electrification and Local Coordination Updates
ATTACHMENTS
Attachment A: Presentation Caltrain Electrification + City Partnerships APPROVED BY:
Philip Kamhi
Item 2
Item 2 Staff Report
Item 2: Staff Report
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Palo Alto City Council
September 16, 2024
Caltrain
Electrification +
City Partnerships
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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Caltrain Context
• 77 miles of track from end to end
• 31 stations
• Bi-directional commute
• 41 at-grade crossings
• Financial Challenges
• Pre-pandemic 73% farebox recovery (nation
leading)
• Today: 23% farebox recovery (facing upcoming
average $77M annual deficit)
2 Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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Ridership Growth / Cost Containment
• Board Adopted Equity, Growth, and Recovery Policy
• Revised schedule: Standardize, focused on more midday, evening and weekend service (diversify ridership)
• Regional Coordination: Coordinated transfers, better signage Millbrae, GM group, Bay Pass participation, Clipper Start, fare integration • City Partnerships and toolkit: www.caltrain.com/citypartnership • Pass Forward Program: Bringing in new riders by providing free passes for low- income and equity priority community riders
• Customer Experience/Fare Changes: $1 youth pass; 300 new bicycle eLockers, new ticket options, new visual display signs being installed, station work, positive brand recognition
• Cost Containment: Smaller trainsets, scheduling efficiencies, reduced overtime, internal efficiency programs
• Electrification Planned September 21, 2024
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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Transformational Moment
Caltrain is the oldest continuously operating passenger railroad in the West (160 years) Steam 1864 Diesel 1950s Electric 2024
7 First time in a generation any US system fully converted from diesel to electric system Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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INSTRUCT IONSKey Milestones
Complete:
• Foundations (3,000+)
• Poles (2,500+)
• Traction Power Facilities (10)
• Overhead Wire (2.5 million feet)
• Upgraded the Signal System San Francisco
to San Jose (31 at grade crossings)
• 12 trainsets delivered (more coming)
• Over 1,000 First Responders Trained
• Soft Launch (August 2024)
Upcoming:
• Additional trainsets and testing (Throughout 2024)
• Fully Electric Passenger Service: September 21, 2024
5 Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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Public Train Tours – 12,000 People
(San Jose, San Francisco; San Carlos)
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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7 Electrified Service Plan Benefits
Express from SF to SJ
in under an hour
Quicker local service,
77 minutes instead of
100
Save more than 20
minutes on trips from
Southern Santa Clara
County to SF
Ride More, Wait Less First Class for Everyone Clean and Green Improved service for all riders
7 GHG emissions reduced
by 250K MTCO2
annually – equivalent to
taking 55,000 cars off
the road each year
Improves local air quality
Quieter trains, both
onboard and off
Free Wi-Fi
Smoother, quieter
experience
Outlets at every seat
Digital trip information
onboard
Spacious, accessible
bathrooms
20% more train service
26% more train service at
equity priority stations
Half-hourly service during
weekends and off-peak
Get There Faster
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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Electrified Service Plan
Palo Alto
8 Weekday Schedule: www.caltrain.com/media/33909
Weekend Schedule: www.caltrain.com/media/33908
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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City Fact Sheets
www.caltrain.com/servicebenefits
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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Public Outreach Safety Campaign
• Community Meetings
• Residential Mailers
• Onboard Outreach
• School Campaign
• Public Service
Announcements
• Right-of-way outreach
Safety Video at
caltrain.com/safety Right-of-Way Flyer Residential Mailer 10 Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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11 • Main Events:
o Palo Alto Station Sept
21 2pm - 6pm
o Eshoo Train Ride Sept 21
o San Mateo Station Sept 22
2pm - 6pm
• Additional events at every city
along the corridor
• 100% Electric fleet from San
Francisco to San Jose
• Faster, More Frequent
Schedule
• Free Caltrain Rides
September Launch Parties - September 21 & 22
www.caltrain.com/launchparty
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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Connect with Caltrain Electrification
12 • Learn more at caltrain.com/electrification
• Sign-up for Project Updates: caltrain.com/get-involved • Share Caltrain Electrification Benefits and News
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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City Partnership/Toolkit
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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Vital Role of
Caltrain -City
Partnerships
The ability of Caltrain to sustain
and expand service will depend in
large part on cities actively
supporting expansion of ridership
to groups beyond Caltrain’s
traditional core riders.
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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Caltrain -City Partnership Toolkit
In partnership we can increase transit ridership and:
● Reduce traffic and parking demand
● Support downtown recovery (vibrancy and tax revenues) ● Improve employee recruitment and retention
● Incentivize workers to return to the office
● Reduce Greenhouse Gas Emissions
● More Info at: caltrain.com/citypartnership
Creating vibrant, diverse, people-centered communities where people gather, work and connect
15 Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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● City Worker Go Passes
● Transportation Demand Management
● Development Agreements
● Local Ordinances
● Transportation Management
Association
● Station Access
● Parking Management
● Transit Oriented Development
Partnership
Models
16 Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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Request:
Palo Alto
Support
Caltrain -City
Principles
Palo Alto has been a leader on
the corridor
Caltrain staff offer to present to
the Rail Committee to provide
more information and feedback
on Caltrain/City partnership
principles
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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18 Draft Policy
Overview
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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19 Caltrain is a customer-focused rail system. Our mission is to offer safe, reliable, accessible, and sustainable transportation service that enhances quality of life for all.
The Caltrain Station Access Policy supports Caltrain’s vision of being a vital link in the regional and statewide rail network by:
• Improving connectivity to communities and other transit systems. • Contributing to the region’s economic vitality.
• Partnering with local communities to ensure that diverse constituencies receive a world-class travel experience.
Policy Purpose Statement
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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Safe Routes To, From, and Through Stations
Goals
Caltrain Access Policy Update
20 World-Class Customer Access Experience for All Users Ridership Growth through Strategic Access Investments
Equitable Access Aligned with Diverse Community Needs
Healthy and Sustainable Modes of Access
Strategic Partnerships to Advance Station Access
1 RecapGoals and Objectives
2 3
4 5
6 Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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21 The Access Hierarchy is the systemwide
aspirational framework to:
1) Guide station area planning and
investment decisions.
2) Be used as a tool for decision making
and weighing the tradeoffs of access
investments to ensure sustainable
modes are the highest priority.
3) Ensure proposed access improvements
prioritize pedestrians, biking/ shared
micromobility, and transit facilities as the
highest priority.
Access Hierarchy
All Caltrain riders are pedestrians at some point in
their journey. This includes people walking on foot,
using wheelchairs and other mobility devices, and
children in strollers.
All forms of shared micromobility such as bike share
and scooter share, and private bicycles and scooters.
All connecting transit and shuttle services to
Caltrain stations including bus, paratransit, private
shuttles, light-rail, and other heavy-rail operators.
Taxis, all forms of ride-hailing services, and private
drop-off.
Private and shared vehicle parking facilities.
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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22 Implementation Plan
The following eight next steps support the application of the Station Access Policy and are organized in short, medium, and long-term time periods.
Short term (0-2 years)
• Dissemination of the Station Access Policy
• Update the Caltrain Design Guidelines and Criteria
• Develop a Parking and Curbside Management Strategy
• Develop a Station Access Database
Mid-term (2-5 years)
• Document the Process for Access Improvements
• Conduct Station Needs Assessments
• Complete Project Identification, Evaluation, and Prioritization Long-term (5+ years)
• Project Delivery and Policy Review
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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23 The Station Access Toolkit provides examples of actions to inform decision making that users of the Station Access Policy may select from when identifying possible access improvements.
The Access Toolkit is comprised of actions organized into five categories:
1) Customer Experience
2) Active Transportation
3) Transit and Shuttles
4) Private Vehicles and Parking
5) Partnerships
Station Access Toolkit
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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Questions
Item 2
Attachment A - Presentation Caltrain
Electrification City Partnerships
Item 2: Staff Report
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City Council
Staff Report
From: City Manager
Report Type: STUDY SESSION
Lead Department: Public Works
Meeting Date: September 16, 2024
Report #:2408-3410
TITLE
Update and Receive Council Input on Airport Long-Range Plan Project
RECOMMENDATION
Staff recommends that Council receive an update on the Airport Long-Range Planning process and provide input to support development of a preferred alternative.
EXECUTIVE SUMMARY
Since March 2023, staff has been engaged in developing the Long-Range Facilities and Sustainability Plan (Long-Range Plan) for the Palo Alto Airport. This initiative aims to align Federal Aviation Administration (FAA) criteria with other City of Palo Alto planning documents, including the 2030 Comprehensive Plan, Baylands Master Plan, and Sustainability and Climate Action Plan. The project is also intended to prepare the airport for an expected transition to electrified aircraft, taking advantage of opportunities for solar electricity generation and underground infrastructure already installed during the multi-year apron reconstruction project. This project is federally funded by the FAA and adheres to federal guidelines for updating the Airport Layout Plan (ALP) and overall airport planning. The ALP is the guiding document that depicts future projects at the airport, and is an FAA required document.
The project began with a comprehensive assessment of the current airport conditions and facilities. This was followed by forecasting airport operations to project demand over the next 20 years and identifying the critical aircraft for the airport. Based on these forecasts and the critical aircraft, potential facility improvements were developed based on FAA criteria. The potential improvements include extending the runway length from 2,443 feet to 3,500 feet.
Additional FAA criteria highlighted a deficiency in runway width by 5 feet and a shortfall in runway-to-taxiway separation by 100 feet. Although the FAA criteria suggest considering a second runway due to current operational levels, the City of Palo Alto’s 2030 Comprehensive Plan restricts the airport to a single runway, and thus, a second runway was not evaluated in this project.
Item 3
Item 3 Staff Report
Item 3: Staff Report
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Five alternatives were developed with the FAA criteria and potential improvements in mind.
While the City is not obligated to adopt a plan that meets the FAA criteria, the Long-Range Plan process is required to develop and consider alternatives that include them. The alternatives are intended to facilitate conversations, illustrate various impacts, and gather community and Council input.
As part of the alternative development, staff reviewed the possibility of solar and the accommodation of eVTOL (electric vertical takeoff and landing) aircraft to support the transition to alternative fuels and a more sustainable future of aviation. Airport and Utilities Department staff are currently working to evaluate solar and microgrid technology on the airfield.
Staff does not have a preferred alternative at this time. One will be developed after Council input from this Study Session. The preferred alternative will be presented at additional public meetings and presentations to neighboring jurisdictions before coming back to City Council for acceptance. Environmental review will follow.
Community engagement and public information sharing included five public meetings, a dedicated project website, opt in to an email list sharing regular updates, and an online survey.
Input was solicited at the public meetings and through email. A 94-octane unleaded fuel option has been available at the airport since January 2024, but not all aircraft based at the airport can use it. Since that time, staff has been working on a plan to promote that fuel and safely transition to a 100-octane unleaded fuel as soon as possible.
Staff seeks input from the Council on the proposed alternatives, next steps, and other elements before developing a preferred alternative. Specific questions of interest include Councilmembers’ support or lack thereof for extending the runway, implementing runway safety improvements, relocating the terminal building, providing a vertiport location to support future eVTOL operations, and transitioning the airport to a generator of renewable energy to support an electric future.
BACKGROUND
On March 6, 2023, staff conducted a study session1 with the City Council that provided a comprehensive airport update. This update included information on the Long-Range Plan project that was beginning. Council provided feedback on topics including the airport’s voluntary noise abatement program, opportunities with solar and microgrid, potential release of airport land for parkland dedication, and community benefits of the airport.
1 City Council, May 17, 2023; Agenda Item #4; SR#2302-0948, https://www.cityofpaloalto.org/files/assets/public/v/1/public-works/palo-alto-airport/information-study-report- airport-march-2023-1.pdf
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Item 3 Staff Report
Item 3: Staff Report
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To date, the Long-Range Plan project team conducted five public meetings. The Long-Range Plan project web page2 includes summaries and presentations from each of the meetings.
The first public meeting on May 17, 2023 at the Palo Alto Art Center introduced the project goals and steps. The meeting gathered feedback through comment cards and an online form.
Key topics included the need for an Instrument Flight Rule (IFR) holding spot, potential expansion or extension of the runway, and diverse land uses like homes on the hangars.
Attendees also requested better public access for community events, improved noise abatement, and addressing sea level rise. Concerns were raised about maintenance and funding. Suggestions also included integrating conference spaces with the terminal, ensuring availability of alternative fuels, and maintaining airport operations.
The second public meeting was held on August 24, 2023 in East Palo Alto at Bloomhouse. Due to limited participation, the same information was shared at additional meetings in Menlo Park and East Palo Alto on September 21, 2023. The second meeting provided an overview of existing conditions and inventory at the airport, the forecast of future operations, and the selection of the critical aircraft. An interactive exercise was included, asking participants to consider aspirational news headlines for the airport in 10 years. Proposed headlines included “Commercial Service is Brought to PAO”, “Airport Closes and Baylands Expands to Address Climate Change and Sea Level Rise”, “PAO Is a Hub for Innovation Aviation” and “Welcome Community – It’s a Public Airport.” Key topics from the meeting included East Palo Alto’s inclusion in the Long-Range Plan, environmental concerns such as pollution and noise, the relationship between the airport and the Baylands, and proposals for new hangars and extended runways.
On October 18, 2023, the project team hosted the third public meeting at the Baylands Café to outline the FAA criteria and facility needs. Attendees participated in a visioning activity where they picked their top two sustainability priorities for the airport's long-term goals. Key priorities identified included electrification, noise reduction, a new terminal, remodeled hangars, potential runway extension, amenities like a restaurant and observation deck, solar panels, and addressing climate change and sea level rise. Public questions addressed topics such as the future of Reid-Hillview Airport, project funding, runway safety margins, and the role of the City of Palo Alto in the process. Concerns and suggestions from attendees included the need for more vehicle parking, alternative fuel options, wider roads, a new terminal with community amenities, solar implementation, and the potential impact of Long-Range Plan projects on noise and public engagement.
On November 14, 2023, the project team conducted a sustainability charrette with stakeholders of the airport including community members surrounding the airport. The charrette was designed to allow a broad range of airport stakeholders an opportunity to provide input and feedback on airport sustainability objectives and visioning to date, as well as 2 Long-Range Plan web page, https://www.cityofpaloalto.org/Departments/Public-Works/Palo-Alto-Airport/Palo- Alto-Airport-Long-Range-Facilities-Sustainability-Plan-LRFSP Item 3
Item 3 Staff Report
Item 3: Staff Report
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brainstorm new sustainability goals and possible strategies for implementation that are consistent with the airport’s vision and long-term planning. Participants were provided in advance with a briefing document and some key questions for discussion at the event. Key components included a flooding simulation, a brief overview of aviation sustainability, a brainstorming exercise, and a roadmap of next steps. Participants engaged in interactive breakout sessions where they were guided through the four-pronged Economic, Operational, Natural Resources, and Social (EONS) approach to aviation sustainability. Participants were asked to brainstorm sustainability goals for each category of EONS and identify actionable steps to achieve each goal. The workshop outcomes3 were shared with stakeholders and participants in a summary document via email.
The fourth public meeting was held at the Palo Alto Art Center on February 21, 2024. Initial alternatives were introduced with various runway lengths demonstrating how the airport could potentially meet FAA criteria. The meeting also introduced the Vision, Mission, and Goals of the airport and the results of the sustainability charrette. Discussion focused on the benefits of the airport to nearby communities, such as emergency services and economic impacts, and concerns about the critical aircraft definition and its implications for airfield operations. Public meeting comments covered a range of issues including noise control, preferred runway options, environmental documentation, and considerations for helicopter and eVTOL (electric vertical takeoff and landing vehicle) aircraft. Suggestions included banning high-noise private aircraft, expediting the shift to unleaded fuels, and integrating rotorcraft and eVTOL planning.
Participants also proposed improvements like better parking solutions, facilities for technical support, and increased hangar space, alongside a more comprehensive approach to noise mitigation and environmental impact.
On June 20, 2024, the project team conducted the fifth public meeting to share updated alternatives based on comments received at the fourth meeting. Attendees voiced a variety of strong concerns and questions. Key issues included a need for better maps highlighting the airport's proximity to East Palo Alto, and dissatisfaction that local concerns, such as historic sites and pollution from leaded fuel, were not fully addressed. Some residents questioned the rationale behind proposed levee plans and the FAA and National Environmental Protection Act (NEPA) processes, expressing mistrust and confusion. There was a call for clearer explanations, particularly about flight operations, the difference between vertiports and heliports, and alternative plans that avoid major runway changes. Additionally, attendees expressed concerns about increased aircraft operations, noise impacts, and the airport's effects on neighboring communities that do not have jurisdiction over airport decisions. Requests included better communication overall, including through social media, additional meetings in East Palo Alto, and more accessible information about environmental and noise impacts. There were also 3 Sustainability Charrette Summary, https://www.cityofpaloalto.org/files/assets/public/v/1/public-works/palo- alto-airport/lrfsp/pao-sustainability-charrette_whatweheardsummary_nov2023_final_1.pdf Item 3
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specific comments about vertiport placements, potential noise from new aircraft types, and the need for cost transparency and environmental considerations.
ANALYSIS
The Long-Range Plan process for the Palo Alto Airport has the following key objectives:
Assess the airport's issues, opportunities, and constraints. Evaluate the effects of recent national and local aviation trends. Determine the capacity of existing airport infrastructure. Identify the need for new improvements.
Estimate costs and explore potential funding sources.
Develop a timeline for implementing proposed projects. Ensure compliance with federal, state, and local regulations.
When completed, the Long-Range Plan will include a detailed report on current and anticipated conditions, an Airport Layout Plan (ALP), and a schedule for prioritizing improvements and securing funding. The FAA requires the City to keep the ALP up to date at all times, and a current ALP is one of the requirements for grant funding. Any City-approved projects will need to be depicted on the ALP and receive FAA approval from the standpoint of safety, utility, and efficiency of the airport.
An economic impact analysis was conducted to identify the economic impacts of aviation activity on the airport and surrounding community. Activity by aviation and non-aviation employers on the airport creates jobs, payrolls, and revenues. PAO serves as a dynamic hub for a range of valuable services and contributions that extend beyond numerical metrics. These include emergency services, medical transportation, education, and air mobility. Analysis completed demonstrated a total economic benefit of 176 jobs supported, and an annual output of $37.8 million. Direct on-airport economic benefits resulted from the activity of 12 businesses, City of Palo Alto staff, FAA Air Traffic Control Tower staff, and capital improvement projects. Direct on-airport output was determined to be $27.7 million, with support for 129 jobs.
This initial phase of long-range planning for Palo Alto Airport focuses on gathering and organizing information about the current state of the airport and its surrounding community. It includes an overview of existing airport facilities, the surrounding airspace environment, and the airport's role within the broader aviation network. Additionally, it provides a comprehensive inventory of airside, landside, and support facilities, as well as details on airport access, wayfinding, and parking. The information collected during this initial phase serves as the foundation for further analysis and planning.
This initial phase considered other City plans such as the Baylands Master Plan, the 2014 Airport Layout Plan, the City of Palo Alto Comprehensive Plan 2030, the draft Baylands Item 3
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Comprehensive Conservation Plan, the Sustainability and Climate Action Plan, and the 2006 Palo Alto Airport Master Plan developed by the County of Santa Clara.
Key issues and needs were identified through the inventory of existing conditions and discussions with airport staff, users, stakeholders, and the general public, and are summarized below:
Sea level rise and levee obstructions may require a shift in the ultimate runway configuration.
Analyze locations to site permanent helipad/vertiport. Demand for additional hangar space
The possibility of the closure of nearby Reid-Hillview Airport may impact the demand and capacity for airside infrastructure at PAO.
Need for a more permanent and user-friendly airport terminal. Repairs or upgrades to Building 17 to make it more attractive to tenants, possibly incorporated with new terminal facility.
Create dedicated and permanent space for the Civil Air Patrol, Palo Alto Airport Association, and CalDART.
Provide additional parking at the airport, as it is currently near capacity. Use existing airfield electrical infrastructure to support solar panels. Assess opportunities for Electric Vehicle (EV) and eVTOL charging stations. Confirm existing easements in place at the airport.
Enhance airport’s community relations and better establish its role as a community resource/amenity.
Continue the growth and branding of the airport as a hub to EV/tech companies. As per individual contracts, all airport tenants are billed for utilities by the City of Palo Alto, through the airport, which charges each tenant a specific percentage. Meter all facilities so that tenants will be charged for exact usage. A fire rescue boat and electric truck with emergency response capabilities will better enhance the safety of airport fire rescue operations.
Provide more wayfinding signage for the airport; particularly, co-locate airport signage with existing municipal signage for Baylands Golf Links. Incorporate bicycle racks for tenants.
Integrate facilities with the adjacent Baylands Golf Links and Baylands Nature Preserve, both of which are also city-owned.
Aging equipment in the electrical vault may need replacement.
Forecast
The Forecast projects the future aviation demand for the airport through 2042, based on standards set by the FAA. It is an evaluation of historical trends in activity, industry trends, and local socioeconomic trends to understand what the demand on the airport could look like in 20 Item 3
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years. The forecasted activity is not intended to suggest a specific growth target or activity level for the airport, but to serve as a guide for future planning.
The forecast estimates a 1.13% annual increase in the number of based aircraft at the airport over the 20-year planning period. With 330 based aircraft in 2022, this would rise to 413 by 2042, though still below the historical peak of 527 aircraft in 2007.
For airport operations, the forecast predicts a 1.07% annual increase during the first decade (2022-2032) and a 1.5% annual increase during the subsequent decade (2032-2042). This would result in operation levels reaching 181,995 by 2032 and 220,372 by 2042. The ten-year intervals are designed to account for potential future technologies that may utilize the airport, such as eVTOL companies, and to allow the airport flexibility in adjusting its plans for the second decade. The growth rate aligns with national trends at towered airports, and planning for this projection will enable the airport to accommodate the expected growth. Even with this projected growth, the forecasted levels would remain below the historical peak of 232,789 operations in 1992.
As part of the forecast, the critical aircraft of the airport was determined to be the Pilatus PC- 12, which is a single engine turboprop aircraft. The airport’s critical aircraft, or design aircraft, represents the largest or most demanding aircraft currently using the airport facilities regularly for at least 500 operations annually. The Pilatus PC-12 had 842 IFR operations in 2022. There were more flights from the PC-12 under Visual Flight Rules (VFR), but those operations are not currently tracked. The airport has entered into a contract to use flight tracking software that will allow tracking of all flights. The critical aircraft influences key design aspects, including the sizing of runways and taxiways, as well as the placement of aircraft parking areas, hangar facilities, and protected airspace surfaces.
Potential Improvements Based on FAA Criteria
The Potential improvements were developed by analyzing the forecast, critical aircraft, and existing inventory to determine the facility and infrastructure improvements that should be made at the airport. This process involves evaluating the potential improvements across several major components, including airfield, airspace, landside facilities, general aviation, airport support facilities and equipment, utilities and infrastructure, and environmental impacts, shaping the alternatives development process by addressing the anticipated demands for each of these key areas.
The review shows that the airport is currently operating at 71% of capacity and is expected to reach 96% of its capacity by 2042. Normally, the FAA would encourage an additional runway at those levels, but due to geographic constraints and the 2030 Comprehensive Plan the project team did not evaluate alternatives for a second runway.
Based on the criteria applicable to the critical aircraft, it was determined that that runway was 5 feet deficient in width and 1,057 feet deficient in length. Additionally, the runway safety area Item 3
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currently does not meet the 300-foot recommendation at the end of each runway. The runway to taxiway separation is also deficient by 100 feet.
The airport has a demand for additional hangars, vehicle parking spaces, and a larger terminal.
The airport should also work to integrate itself with the City of Palo Alto Bicycle and Pedestrian Transportation Plan4.
Alternatives
Staff developed five alternatives to demonstrate how the airport could incorporate the potential improvements based the FAA criteria for critical aircraft and address future demand as projected by the forecast. Other City plans such as the 2030 Comprehensive Plan and Sustainability and Climate Action Plan were also incorporated, and potential Santa Clara County Water District (Valley Water) and United States Army Corps of Engineers (USACE) projects were considered.
The 2030 Comprehensive Plan states that the airport should be limited to one runway and only minor expansion should be considered to meet Federal and State airport design and safety standards. None of the alternatives evaluated an additional runway, but longer expansions were evaluated to show how the airport could meet FAA safety standards. The Plan also advises relocating the terminal away from the runway clear zone. Alternatives 2 through 4 relocate the terminal away from the runway protection zone. The 2030 Comprehensive Plan and the S/CAP include protection for sea level rise. Alternatives 2, 4, and 5 raise the runway to the new levee height to protect the City from sea level rise. The alternatives also attempt to meet the potential future demand of eVTOL aircraft by identifying potential locations for a vertiport, positioning the airport to transition to alternative fuels when those aircraft become operational.
To support a more sustainable future of aviation, the alternatives review the potential location for solar systems at the airport. Staff is exploring the possibility of a microgrid at the airport with a backup power system to keep essential services available during power outages. The alternatives also explore the potential location of vertiports to support the transition to eVTOL aircraft when available. Staff has met with several companies interested in partnering with the City to introduce eVTOL aircraft at the airport. Other companies have approached the airport in support of eVTOL operations by providing sustainable alternative fuels like charging stations and possibly hydrogen. These companies have identified the Bay Area, and specifically the airport as an ideal location for eVTOL operations in the future.
The alternatives were developed to meet the needs of the airport today and over the next 20 years. The range of alternatives shows various levels of balancing FAA criteria with airport and 4 CoPA Bicycle + Pedestrian Transportation Plan,
https://www.cityofpaloalto.org/files/assets/public/v/1/transportation/projects/bicycle-pedestrian-transportation- plan_adopted-july-2012.pdf
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City goals, environmental constraints, and implementation feasibility. Not every alternative will address all FAA criteria, but some show the 3,500 foot runway length resulting from the criteria.
The alternatives also look to plan for increased operations, whether they be eVTOL or at the runway, a dual taxiway system to increase efficiency at the runway, and to locate a new terminal near the Air Traffic Control Tower to handle transient aircraft in a more efficient manner. The alternatives were developed with FAA criteria in mind. However, those criteria are not requirements. The alternatives are intended to assist with Council decision-making, promote community engagement, and gather input from users and the public, as well as to illustrate various impacts. The airport does not have a preferred alternative at this time.
Alternative 1 (Exhibit A) is also known as the no-action or no-build alternative, which is required for evaluation purposes. This alternative assumes no improvements are made to the airport other than what is required for maintenance and ongoing operations. This alternative would not address any standard or safety issues on the airfield, does not address sea level rise or support sustainable operations, does not provide additional aircraft storage facilities, or provide dedicated facilities for eVTOL activity. There would also be no increase in construction or operational impacts to environmental assets and costs would be limited to maintaining existing facilities.
Alternative 2 (Exhibit B) shifts the runway northeast to allow for the FAA-recommended separation between the runway and parallel taxiway and allows for a second parallel taxiway to decrease congestion. It also increases the runway length from the current 2,443 feet to 2,600 feet by displacing thresholds and uses the follow-on taxiway as additional runway pavement, requiring approximately 3.5 acres of fill (excluding proposed levee alignment from the Army Corps 2021 study) within the lagoon area adjacent to the duck pond to meet FAA grading standards. The runway would be raised to integrate into a new levee system as previously proposed by the Army Corps of Engineers in 2021 (shown in green on the drawing). This alternative does not provide the full runway length resulting from the FAA criteria, but does help to address sea level rise, shifts the runway farther from surrounding neighborhoods, provides an area designated for eVTOL activity, and increases aircraft storage capacity.
Alternative 3 (Exhibit C) includes a 3,500 foot runway with a parallel taxiway on each side that has been shifted southwest to avoid impacts to the lagoon area off the RW 31 end, adjacent to the Duck Pond. However, this alternative requires acquisition of land from the off-airport golf course. While this alternative provides the runway length resulting from the FAA criteria, it would not integrate with the proposed levee system, shifts the runway approaches more over surrounding neighborhoods, divides the tie-down apron increasing taxi times and airfield inefficiencies, and would most likely require additional obstruction mitigation. The alternative does include a proposed area for eVTOL activity, an increase in aircraft storage capacity, and maintaining an adequate number of tie-downs.
Alternative 4 (Exhibit D) includes a 3,500 foot runway with a parallel taxiway on each side, shifted northeast of the existing runway. It would impact the lagoon area adjacent to the Duck Pond and other facilities in that portion of the Baylands. This alternative would require Item 3
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approximately 10.5 acres of fill (excluding proposed levee alignment from the Army Corps 2021 study) in the lagoon area. The runway would be elevated to integrate into the levee system and the shift would provide the recommended separation between the runway and existing parallel taxiway. This alternative has the greatest impact on the lagoon area near the Duck Pond, but shifts the runway farther from surrounding neighborhoods, provides an area designated for eVTOL activity, and increases aircraft storage capacity.
Similar to Alternative 2, Alternative 5 (Exhibit E) shifts the runway northeast to allow for the recommended separation between the runway and parallel taxiway and allows for a second parallel taxilane to decrease congestion. It increases the runway length from 2,443 feet to 3,000 feet. This alternative would require approximately 6.5 acres of fill (excluding proposed levee alignment from the Army Corps 2021 study) in the lagoon area adjacent to the Duck Pond. The runway would be raised to integrate into a new levee system. This alternative helps to address sea level rise, shifts the runway farther from surrounding neighborhoods, provides an area designated for eVTOL activity, and increases aircraft storage capacity.
The airport has received numerous comments expressing concern that FAA criteria used in the development of planning alternatives may require the City to make changes like lengthening the existing runway, and that the runway alternatives include filling in the Duck Pond.
The alternatives were developed with FAA criteria in mind. However, those criteria are not requirements. The alternatives are intended to assist with Council decision-making and community engagement/input and to illustrate various impacts. The airport does not have a preferred alternative. Each alternative has differing conditions to consider.
None of the runway alternatives being evaluated include filling in the Duck Pond. Alternatives 2 – 5 included the levee location considered by Valley Water and the USACE as part of the South San Francisco Bay Shoreline Phase II Investigations. However, in April 2024, the USACE concluded that there was no federal interest5 in the project. No levee alignment option has been advanced by the Council to date. This was included on the airport alternatives exhibits to demonstrate potential impacts considering the various adjacent projects in the vicinity. Some alternatives do include possible impacts to the area adjacent to the duck pond.
During the study session on March 6, 2023, there was a question regarding land identified in the 2006 Santa Clara County PAO Master Plan as being designated for a second runway. There was a question about whether that land could be relinquished because a second runway is no longer being considered. Since 2006, FAA standards have changed and the runway to taxiway separation is currently deficient by 100 feet. The alternatives identify a shift of the runway to the east to meet the current FAA standards. The land east of the runway would most likely be 5 USACE South San Francisco Bay Shoreline Phase II Investigations, https://www.spn.usace.army.mil/Missions/Projects-and-Programs/Current-Projects/SOUTH-SAN-FRANCISCO-BAY-
SHORELINE-PHASE-II/
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needed for the runway safety areas. This will be evaluated further as a preferred alternative is developed.
Online Survey Results & Other Community Input
Staff conducted a survey6 to gather public input on various alternatives for the airport. The survey was open from June 10, 2024 through August 10, 2024, and received 1,523 responses. It asked respondents to rank five alternatives, select a preferred runway configuration, and choose a preferred vertiport location. Additionally, participants were invited to comment on their rankings and selections and rank five focus areas for the Long-Range Plan.
The alternatives listed in priority order:
1. Alternative 1 – No Action
2. Alternative 2 – 2600 foot Runway with displaced thresholds and Northeastern shift
3. Alternative 4 – 3500 foot Runway with Northeastern shift
4. Alternative 5 – 3000 foot Runway with Northeastern shift
5. Alternative 3 – 3500 foot Runway with Southwestern shift However, when looking at respondents first choice of alternatives the alternatives are ranked according to the table below. Of the 1,523 respondents, 1,328 provided answers, while 195 abstained from this question. Among those who ranked the alternatives, 43.3% chose Alternative 1 – No Action as their preferred option, while Alternative 4 – 3,500 FT Runway with Northeastern Shift was the second most preferred with 22.1%.
Table 1. Survey Responses to Answer 1
Title Rank 1 % Key Findings and Comments
Alternative 1: No
Action 660 (1st) 43.3%
Strong preference for preserving the Baylands
and Duck Pond.
Significant opposition to airport expansion
due to environmental and community
concerns.
Calls for minimal changes or alternative
community uses for the airport land.
Concerns about increased noise from more
operations were prevalent.
Alternative 2: 2600
foot Runway 174 (2nd) 11.4% Concerns about the environmental impact of shifting the runway.
6 2024 Long Range Planning Survey Results, https://www.cityofpaloalto.org/files/assets/public/v/1/public- works/palo-alto-airport/lrfsp/palo-alto-airport-survey-results_1.pdf Item 3
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Seen as a compromise that improves safety
while keeping the airport small.
Worries that a longer runway could attract
larger or corporate aircraft.
Increased noise pollution from larger aircraft
was a concern.
Alternative 3: 3500
foot Runway SW
shift
62 (5th) 4.1%
Emphasis on protecting the Baylands and
Duck Pond.
Provides a balance between meeting FAA
safety recommendations and minimizing
environmental impact.
Criticized for complexity and potential
disruption to the apron.
Alternative 4: 3500
foot Runway NE
shift
337 (3rd) 22.1%
Preference for meeting FAA
recommendations and modernizing the
airport.
Support for readiness for future electric
vertical takeoff and landing (eVTOL)
operations.
Alternative 5: 3000
foot Runway NE
shift
95 (4th) 6.2%
Seen as a balance between FAA
recommendations and maintaining the
current aircraft fleet.
Concerns that a 3,500 foot runway might
attract larger jets.
Emphasis on balancing airport needs with
environmental and community concerns.
No Answer 195 12.8%
Strong preference for preserving the Baylands
and Duck Pond.
Strong preference for closing the airport.
Total 1,523
When asked which alternative contained their preferred runway length and location without consideration for the rest of the elements, 51.2% of the responders chose Alternative 1 – No Action as their preferred alternative, and Alternative 4 – 3500 foot runway with northeastern shift was the second preferred alternative with 23.8%.
When asked what other improvements should be considered or shown in the alternatives, the following is a partial list of comments received:
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Eliminate lead fuel
Consider large solar panel installation over apron
Additional noise abatement measures
More room for the vertiport area
Additional aircraft hangars
Aircraft maintenance facilities
Charging infrastructure for vehicles and aircraft
Consider space for hydrogen refueling facility
Identify power requirements for electric vehicles and aircraft Improve security and fencing
Seaplane dock or ferry dock in the Baylands
Additional community/viewing areas associated with the airport Incorporate a fire station
Install an LPV (localizer performance with vertical guidance) approach Better transit connections to the airport
Increase vehicle parking
Of the five sustainability and resilience focus areas presented for consideration, Maintaining Harmony with the Baylands received the most number 1 (or most important) votes at 51.4% with Operational Excellence (31.2%) and Our Communities and Our People (24.9%) getting the second and third most first-place votes, respectively.
Note: Values do not add to 100% due to some respondents providing the same ranking to more than one focus area.
Petition
On July 23, 2024, a petition was started on Change.org to save the Palo Alto Baylands from Airport Expansion. The petition calls for the protection of the Palo Alto Baylands and duck ponds and strongly opposes any runway extension.
Unleaded Fuel
The airport is committed to reducing the use of leaded aviation fuel (avgas) in a safe and efficient manner, while adhering to federal regulations that prohibit restrictions on the sale of leaded fuel. This is governed by both FAA Grant Assurances and the FAA Reauthorization Act of 2024. Despite these constraints, PAO continues to explore alternative strategies to minimize the reliance on leaded fuels.
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On May 16, 2024, the FAA Reauthorization Act7 was signed into law which required the sale of 100LL until December 31, 2030 or until a replacement is widely available. The FAA Reauthorization Act places a $5,000 fine per day on airports that restrict the sale of 100LL.
As part of the EAGLE program, the FAA has outlined a safe transition to unleaded avgas, with a key component ensuring that 100LL is available for aircraft throughout the transition. The FAA has outlined 2 pathways8 for fuels to receive FAA authorization. The first path is through the Supplemental Type Certificate (STC) process. The STC process does not necessarily need industry standards through the American Society for Testing and Materials (ASTM). There can be a significant cost when pilots apply for the STC through the FAA that includes the application cost from the fuel manufacturer which can range from $100 to $600.
The second process is the through FAA Fleet Authorization, established by Congress. This process, initiated through the FAA and participating OEMs, is designed to meet the PAFI requirements for fuel. Any fuel that receives fleet authorization must also have the ASTM standards. Additionally, there would be no application cost as there is with the STC process.
Currently there are two approved unleaded avgas products approved: 94UL and G100UL. Both have received approval through the STC process. Airport staff regularly communicates with the two FBOs on the field, and requests that they bring a 100-octane unleaded fuel when they are able to purchase it.
The airport has been developing a plan to transition away from unleaded fuel. Below is a draft graphic that depicts the airport’s current path to phasing out leaded fuel. An important next step is to evaluate the ability to initiate a Request for Proposals for an FBO that would be required to sell an unleaded fuel option. The current FBO leases expire on June 30, 2024, and a new contract could be entered into with a company to provide an unleaded fuel option as well as the necessary infrastructure for eVTOL aircraft.
7 S. 1939 – FAA Reauthorization Act of 2024, https://www.congress.gov/bill/118th-congress/senate- bill/1939/text/is
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Next Steps
Following the study session, the project team will develop a preferred alternative based on the collected feedback and information received to date. A subsequent public meeting will be scheduled to present this draft preferred alternative and gain community input. An additional survey may be conducted to gather further input on the preferred alternative.
The project team will also prepare informational reports for neighboring City Councils to solicit their review and feedback. Revisions to the preferred alternative will be made in response to community and City Council input before the final proposal is presented to the Palo Alto City Council for acceptance. After the acceptance of the preferred plan, the CEQA and NEPA review will be conducted for the preferred alternative. Once the environmental review has been completed the final plan will be brought to Council for their approval.
In parallel, airport staff have submitted a grant application for the environmental review and design process for a new terminal building, in alignment with the City Comprehensive Plan 2030. This new terminal would be relocated to the east side of the airport to reduce taxiing distance for transient pilots, thereby saving fuel. An FAA grant application has been submitted under the Bipartisan Infrastructure Law to support this project, which is not typically funded by the FAA.
Additionally, airport and Utilities Department are assessing the feasibility, size, and potential funding sources for a solar installation with battery backup and microgrid capabilities. This Item 3
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initiative aims to power the airport, support the Regional Water Quality Control Plant, and provide electric vehicle charging stations.
FISCAL/RESOURCE IMPACT
This is an informational report, and there is no fiscal impact at this time. Investment in the airport will require additional funding though the amount and source are to be determined based on the direction and design.
STAKEHOLDER ENGAGEMENT
Community and stakeholder input has been vital throughout the project. Airport staff have hosted 5 public meetings to gather input from the community. A survey of the alternatives was advertised and open from June 10, 2024, to August 10, 2024 to gather community interest in 5 alternatives for the airport. After this study session, it is anticipated that the project team will host another public meeting to gather input on a preferred alternative. Also, informational reports will be provided to neighboring City Councils for their input and feedback.
ENVIRONMENTAL REVIEW
Environmental review will begin after the City Council has accepted the draft plan and preferred alternative. Acceptance of the draft plan does not represent final approval of the document, and staff will bring the final plan to City Council for their approval after CEQA and NEPA review is completed.
ATTACHMENTS
Exhibit A: Alternative 1
Exhibit B: Alternative 2
Exhibit C: Alternative 3
Exhibit D: Alternative 4
Exhibit E: Alternative 5
APPROVED BY:
Brad Eggleston, Director Public Works/City Engineer
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X
ROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSA Alternative 12,443 FT Runway, No ActionPalo Alto Airport Long-Range Facilities & Sustainability Plan (LRFSP) 400'400'0'200'NORTH DRAFT
LegendExisting Runway, Taxiway, & Apron
Existing Airport Property Line (ALP, 2017)Future Runway Protection Zone (RPZ)Future Runway Safety Area (RSA)RSAFuture Runway Object Free Area (ROFA)ROFA Future Horizontal LeveeExisting Baylands Trail
Challenges·Does not address sea level rise with the integration ofhigher ground or levees·Does not provide infrastructure needed to supportsustainable aviation operations·Does not shift runway approaches away fromneighborhoods·Does not address deficiencies outlined in FAA AdvisoryCircular recommendations··Additional Runway Length +1,057FT··Additional Runway Width +5FT··Additional Runway to Taxiway Separation +100FT·Does not replace infrastructure that is at the end of itslife cycle, increasing operational cost OpportunitiesAlternative DescriptionThis layout maintains the airport in its current configuration.·Low up front cost·No impacts from new construction Existing ATCTExisting Fuel Facility
Existing Terminal
Embarcadero Road
Embarcadero Road
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RSARSARSARSARSARSARSARSARSARSA
ROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSA X
EQP BLDFUEL FARMTERMINAL
ROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFA
RSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSA Alternative 22,600 FT Runway with Displaced Thresholds and Northeastern ShiftPalo Alto Airport Long-Range Facilities & Sustainability Plan (LRFSP)Source: C&S Engineers, Inc. 400'400'0'250'NORTH
DRAFT
Challenges·Addresses sea level rise with the integration of higherground and levees·Provides vertiport needed to support sustainable aviationoperations·Shift runway approaches farther from neighborhoods·Addresses some FAA recommendations··Increases runway length by 157FT (15% of recommendation)··Increases runway width to 75FT··Increases runway separation +100FT·Replace infrastructure that is at the end of its life cycle,lowering operational cost·Provides additional taxilane to increase safetyOpportunitiesAlternative DescriptionThis alternative raises the elevation of the runway to integrate it into a new levee system. Additionally, this alternative shiftsthe existing runway northeast to reach the FAA recommended taxiway separation. Runway length is increased from 2,443feet to 2,600 feet by displacing thresholds and utilizing the follow on taxiway as additional runway pavement. This increase inrunway length results in the addition of 15% of the FAA recommended runway length.·Does not fully address deficiencies outlined in FAAAdvisory Circular recommendations··Only increases runway length by 15% ofrecommendation (+157FT of +1,057FT)Existing Fuel Facility Existing Terminal
Proposed Eqp. StorageExisting ATCTExisting RWY 13-31(To Be Removed) Embarcadero Road
Embarcadero RoadProposed Aircraft Maintenance /OfficeProposed Large Conventional HangarsProposed VTOLConventional HangarsLegendExisting Pavment Existing Airport Property Line (ALP, 2017)Future Runway Protection Zone (RPZ)Future Runway Safety Area (RSA)RSAFuture Runway Object Free Area (ROFA)ROFAFuture Horizontal LeveeExisting Baylands TrailProposed BuildingProposed Photovoltaic Array (Micro-Grid)Proposed Airfield PavementProposed DeconstructionProposed Levee (Army Corps, 2021)Proposed Fill Area Existing Runway LocationProposed Vehicle Pavement
Proposed Small Conventional / T- HangarsProposed TerminalProposed ATCTExisting ATCT Proposed Large Conventional Hangars& Flight Education
Proposed Vertiport (eVTOL)Proposed Parking Structure& Ultimate Vertiport Item 3
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RSARSARSARSARSARSARSARSARSARSA
X
EQP BLD
FUEL FARM
TERMINAL
EQP BLDFUEL FARM
TERMINAL
ROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFA
ROFA
ROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFA
ROFAROFARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSA Alternative 33,500 FT Runway with Southwestern ShiftPalo Alto Airport Long-Range Facilities & Sustainability Plan (LRFSP)Source: C&S Engineers, Inc. 400'400'0'200'NORTH
DRAFT
Proposed Terminal
Proposed Eqp. Storage
Proposed Vertiport (eVTOL)
Proposed Hangars
Existing ATCT
Existing Fuel Facility
Challenges·Provides vertiport needed to support sustainable aviationoperations·Addresses all FAA recommendations··Increases runway length by +1,057FT (100% of recommendation)··Increases runway width to 75FT··Increases runway separation +100FT·Replace infrastructure that is at the end of its life cycle,lowering operational cost·Provides additional taxilane to increase safety OpportunitiesAlternative DescriptionThis alternative does not raise the runway elevation in a way that can be integrated into a new levee system. This alternativeshifts the existing runway southwest away from proposed levees. This shift south allows the runway to reach 100% of theFAA recommended runway length and avoid extending into the dock pond area. Runway length is increased from 2,443 feetto 3,500 feet. Taxiways are constructed on both sides of the runway to decrease airfield congestion and increase safety.·Does not integrate runway within proposed leveesystem·Requires the reconstruction of entire airfield·Requires property acquisition from neighboring golfcourse·Brings runway closer to nearby neighborhoods·Splits airfield increasing taxi times and carbonemissions·Requires additional obstruction mitigation Existing ATCTExisting RWY 13-31(To Be Removed)
Embarcadero Road
Embarcadero Road
Existing Terminal
LegendExisting Pavment
Existing Airport Property Line (ALP, 2017)Future Runway Protection Zone (RPZ)Future Runway Safety Area (RSA)RSA Future Runway Object Free Area (ROFA)ROFA
Future Horizontal Levee
Existing Baylands Trail
Proposed BuildingProposed Vehicle Pavement
Proposed Airfield PavementProposed DeconstructionProposed Levee (Army Corps, 2021)Proposed Fill Area Existing Runway Location
Proposed Vertiport (eVTOL)
Item 3
Exhibit C - Alternative 3
Item 3: Staff Report
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RSARSARSARSARSARSARSARSARSARSA
X
EQP BLDFUEL FARM
TERMINAL
ROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFA
ROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFA ROFA
ROFARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSA Alternative 4Palo Alto Airport Long-Range Facilities & Sustainability Plan (LRFSP)Source: C&S Engineers, Inc. 400'400'0'200'NORTH
DRAFT
Proposed Terminal
Proposed Eqp. StorageProposed Hangars
Existing ATCT
Existing Fuel Facility
Challenges·Provides vertiport needed to support sustainable aviationoperations·Relocates runway farther away from nearbyneighborhoods·Addresses all FAA recommendations··Increases runway length by +1,057FT (100% of recommendation)··Increases runway width to 75FT··Increases runway separation +100FT·Replace infrastructure that is at the end of its life cycle,lowering operational cost·Provides additional taxiway to increase safety OpportunitiesAlternative DescriptionThis alternative raises the elevation of the runway to integrate it into a new levee system. Additionally, this layout shifts theexisting runway northeast to reach the FAA recommended runway to taxiway separation. Runway length is increased from2,443 feet to 3,500 feet, to provide 100% of the FAA recommended runway length. Two parallel taxiways are constructed onboth sides of the runway to decrease airfield congestion and increase safety.·Requires significant fill within duck pond area toimplement (more fill than any other Alternative)·Requires the removal of trees within ROFA.
Proposed Vertiport (eVTOL)
3,500 FT Runway with Northeastern Shift
Existing ATCTExisting RWY 13-31(To Be Removed)
Obstruction toProposed Runway
Embarcadero Road
Embarcadero Road
Existing Terminal
LegendExisting Pavment
Existing Airport Property Line (ALP, 2017)Future Runway Protection Zone (RPZ)Future Runway Safety Area (RSA)RSA Future Runway Object Free Area (ROFA)ROFA
Future Horizontal Levee
Existing Baylands Trail
Proposed BuildingProposed Vehicle Pavement
Proposed Airfield PavementProposed DeconstructionProposed Levee (Army Corps, 2021)Proposed Fill Area Existing Runway Location
Item 3
Exhibit D - Alternative 4
Item 3: Staff Report
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RSARSARSARSARSARSARSARSARSARSA
X
ROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFA
ROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFAROFA
ROFA
ROFARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSARSA
EQP BLDFUEL FARM
TERMINAL
Alternative 53,000 FT Runway with Northeastern ShiftPalo Alto Airport Long-Range Facilities & Sustainability Plan (LRFSP)Source: C&S Engineers, Inc. 400'400'0'200'NORTH
DRAFT
Existing Terminal
Proposed Terminal
Proposed Eqp. StorageProposed Hangars
Existing ATCT
Existing Fuel FacilityProposed Vertiport (eVTOL)Proposed Terminal Proposed Eqp. StorageProposed Hangars
Existing ATCT
Existing Fuel FacilityProposed Vertiport (eVTOL)
Challenges·Fully integrates runway into levee system·Provides vertiport needed to support sustainable aviationoperations·Relocates runway farther away from nearbyneighborhoods·Addresses majority of FAA recommendations··Increases runway length by +557FT (53% of recommendation)··Increases runway width to 75FT··Increases runway separation +100FT·Replace infrastructure that is at the end of its life cycle,lowering operational cost·Provides additional taxilane to increase safety OpportunitiesAlternative DescriptionThis alternative raises the elevation of the runway to integrate it into a new levee system. Additionally, this alternative shiftsthe existing runway northeast to reach the FAA recommended runway to taxiway separation. Runway length is increasedfrom 2,443 feet to 3,000 feet, to provide 53% of the FAA recommended runway length. A taxiway and a taxilane areconstructed on the southwestern side of the runway to decrease airfield congestion and increase safety.·Requires significant fill within duck pond area toimplement·Does not provide full runway length as recommended byFAA (+ 1,057FT) Existing ATCTExisting RWY 13-31(To Be Removed)
Embarcadero Road
Embarcadero RoadLegendExisting Pavment
Existing Airport Property Line (ALP, 2017)Future Runway Protection Zone (RPZ)Future Runway Safety Area (RSA)RSA Future Runway Object Free Area (ROFA)ROFA
Future Horizontal Levee
Existing Baylands Trail
Proposed BuildingProposed Vehicle Pavement
Proposed Airfield PavementProposed DeconstructionProposed Levee (Army Corps, 2021)Proposed Fill Area Existing Runway Location
Item 3
Exhibit E - Alternative 5
Item 3: Staff Report
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City Council
Staff Report
From: City Manager
Report Type: INFORMATION REPORTS
Lead Department: Administrative Services
Meeting Date: September 16, 2024
Report #:2405-2990
TITLE
Sales Tax Digest 2024 Q1 (January to March)
DISCUSSION
This report transmits information regarding the City of Palo Alto’s sales tax receipts for the first quarter (January-March) of 2024. Listed below are highlights from the report; detailed discussion and data can be found in the attached City of Palo Alto Sales Tax Digest and Legislative Update 2024 Q1 (Attachment A).
Regional and statewide sales tax based upon adjusted economic benchmark year (Attachment A, p. 2)
•Palo Alto: increased 7.8%
•San Francisco Bay Area: decreased 3.5%
•California statewide: decreased 3.8%
City’s Most Significant Reasons for increases during this period (Attachment A, p. 2) •New Auto Sales segment increased by 24.9%, comprises 16.0% of total sales tax •Restaurant segment increased by 7.7%, comprises 17.3% of total sales tax County Pool (Attachment A, p. 3)
•The City’s share of the county pool for this quarter is 6.0%, unchanged from Q1 2023 •Sales tax receipts from the County pool totaled $1.5 million ATTACHMENTS:
Attachment A: 2024 Q1 Sales Tax Digest Summary with County Pool and Legislative Update APPROVED BY:
Lauren Lai, Administrative Services Director
Item 5
Item 5 Staff Report
Item 5: Staff Report
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CityꢀofꢀPaloꢀAltoꢀ
SalesꢀTaxꢀDigestꢀSummaryꢀꢀꢀꢀꢀ
CollectionsꢀthroughꢀMayꢀ2024ꢀ
SalesꢀJanuaryꢀthroughꢀMarchꢀ2024ꢀ(2024Q1)ꢀ
ꢀ
California Overview
For the year ending in the first quarter of 2024, cash receipts decreased 1.2% statewide and decreased
3.3% in S.F. Bay Area. However, when adjusted for non‐period related payments, the overall economic sales tax activity for the year ending in first quarter of 2024 decreased by 3.8% statewide and decreased by 3.5% in S.F. Bay Area.
City of Palo Alto
For the benchmark year ending in the first quarter of 2024, sales tax cash receipts for the city increased by 8.9% from the prior year. However, when adjusted for non‐period related payments, the overall economic sales tax activity in Palo Alto for the year ending in first quarter of 2024 increased by 7.8%. The most significant reasons for Palo Alto’s increase during this period were the restaurants and new auto sales segments, respectively. Restaurants increased by 7.7%, which comprises 17.3% of the total sales tax for the city. New auto sales for the same period increased by 24.9%, which comprises 16.0% of the total sales tax.
Same quarter sales tax cash receipts increased by 0.7% in California from Q1 2023 to Q1 2024. The Palo Alto citywide sales tax cash receipts increased by 2.4% over the Q1 2023 to Q1 2024 period. Key reasons for the Palo Alto increase during this period were: 1) restaurants increased by 7.4%, which comprises
16.3% of the total sales tax for the city, and 2) new auto sales increased from Q1 2023 to Q1 2024 by
46.4%, which comprises 16.2% of the total sales tax for the city. According to the California New Car Dealers Association, 2024 Q1 California statewide new auto registrations reported a slight increase (0.7%) in new auto registrations from 428,561 in Q1 2023 to 431,638 in Q1 2024. The overall statewide new auto registrations are predicted to grow slightly (less 3%) in the remainder of the 2024 calendar year.
Regional Overview
The first chart on page two shows adjusted economic benchmark year amounts, which means that it shows the year ended first quarter of 2024 compared to the year ended first quarter of 2023 (benchmark years are rolling annual comparisons through the current quarter). The growth rates are different between the state and Palo Alto because the sales tax from businesses in Palo Alto performed better overall than the statewide average.
ꢀ
www.avenuinsights.com (800) 800-8181 Page 1
Item 5
Attachment A - 2024 Q1
Sales Tax Digest Summary
with County Pool and
Legislative Update
Item 5: Staff Report
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Regional Overview Chart (Economic)
BENCHMARK YEAR 2024Q1 COMPARED TO BENCHMARK YEAR 2023Q1 ECONOMIC CATEGORY ANALYSIS FOR YEAR ENDED 1st Quarter 2024 California
Statewide
Sacramento
Valley% of Total / % Change Palo Alto S.F. Bay Area Central Valley South Coast Inland Empire North Coast General Retail
Food Products
Transportation
Business to Business
Misc/Other
26.0 / 1.9
17.3 / 6.6
19.7 / 17.8
33.5 / 6.1
3.5 / 26.7
100.0 / 7.8
28.9 / ‐1.4
21.2 / ‐0.6
23.3 / ‐7.5
15.8 / ‐6.3
10.8 / ‐3.9
100.0 / ‐3.8
26.0 / ‐4.1
22.4 / ‐0.2
19.4 / ‐4.8
21.2 / ‐2.9
11.0 / ‐7.4
100.0 / ‐3.5
28.2 / ‐2.2
16.8 / ‐1.7
27.0 / ‐4.7
14.2 / ‐7.1
13.7 / ‐4.5
100.0 / ‐3.9
37.8 / 0.4
14.6 / ‐4.1
22.3 / ‐8.2
14.7 / ‐7.3
10.5 / ‐7.7
100.0 / ‐4.3
27.1 / 0.1
23.3 / 1.0
24.2 / ‐6.3
15.4 / ‐6.0
10.0 / ‐0.3
100.0 / ‐2.3
34.7 / ‐5.9
17.9 / ‐9.0
23.6 / ‐19.1
10.6 / ‐16.9
13.2 / ‐9.2
100.0 / ‐11.5
27.3 / 3.2
18.3 / 1.5
28.7 / ‐5.1
10.4 / 0.7
15.3 / ‐1.1
100.0 / ‐0.5Total
ECONOMIC SEGMENT ANALYSIS FOR YEAR ENDED 1st Quarter 2024 California
Statewide
Sacramento
Valley
Auto Sales ‐
New
Palo Alto
Leasing
S.F. Bay Area
Restaurants
Central Valley South Coast
Restaurants
Inland Empire North Coast
RestaurantsMiscellaneous
Retail
Miscellaneous
RetailLargest Segment Restaurants
% of Total / % Change
2nd Largest Segment
% of Total / % Change
3rd Largest Segment
% of Total / % Change
20.9 / 5.3
Auto Sales ‐
New
15.3 / 0.7
Auto Sales ‐
New
11.1 / ‐5.5
Miscellaneous
Retail
16.7 / 0.8
Miscellaneous
Retail
9.7 / ‐1.2
Auto Sales ‐
New
11.6 / ‐0.2 15.9 / 13.5
Department
Stores
17.2 / 2.1
Auto Sales ‐
New
12.3 / ‐5.7
Miscellaneous Auto Sales ‐
17.5 / ‐0.9 11.7 / 2.9
Department
Stores
11.3 / 17.5
Auto Sales ‐
New
Restaurants Restaurants
16.0 / 24.9 11.6 / ‐0.9
Miscellaneous
Retail
10.9 / ‐5.5 11.6 / ‐6.3
Restaurants
15.6 / 7.7
Restaurants Retail
9.0 / 9.4
New
10.9 / ‐11.610.8 / 6.0 9.4 / ‐3.5 11.0 / 1.0 9.8 / ‐2.7 11.1 / ‐1.2 Gross Historical Sales Tax Cash Receipts by Benchmark Year and Quarter (Before Adjustments) $35,000,000
$30,000,000
$25,000,000
$20,000,000
$15,000,000
$10,000,000
$5,000,000
$‐
Quarterly Benchmark Year
www.avenuinsights.com (800) 800-8181 Page 2
Item 5
Attachment A - 2024 Q1
Sales Tax Digest Summary
with County Pool and
Legislative Update
Item 5: Staff Report
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Net Cash Receipts for Benchmark Year first Quarter 2024: $37,042,335 *Benchmark year (BMY) is the sum of the current and 3 previous quarters (2024Q1 BMY is sum of 2024 Q1, 2023 Q4, 2023 Q3, 2023 Q2) Net Pools & Adjustments
21.4%
Leasing
20.9%
Auto Sales ‐ New
16.0%
All Other
34.0%
Restaurants
15.7%
Office Equipment
6.8%Apparel Stores
6.6%County Pool Results
The California sales tax system is referred to as a ‘sales and use tax’ system which covers both sales tax and ‘use tax’. The County Pool revenues largely reflect use tax from qualifying transactions that do not involve a California based point of sale. Businesses report their use tax quarterly based on business activity conducted throughout the county. The County Pool is distributed each quarter based upon a formula where the jurisdiction’s quarterly percentage is based upon its total sales tax receipts for the quarter as a percentage of all sales tax receipts for all jurisdictions within the county. Thus, if local business activity (sales tax receipts) within Palo Alto increases in the quarter relative to the rest of the county, then the Palo Alto County pool percentage also will increase for the quarter compared to the rest of the county.
The total county pool is multiplied by the city’s quarterly percentage to determine the jurisdiction share each quarter.
In the first quarter of 2024, cash receipts for the overall County Pool increased by 1.9% from the same quarter in the prior year. The City’s share of the County Pool was unchanged from 6.0% to 6.0%. The City’s revenues from the County Pool increased from $1,499,631 in 2023Q1 to $1,523,986 in 2024Q1. www.avenuinsights.com (800) 800-8181 Page 3
Item 5
Attachment A - 2024 Q1
Sales Tax Digest Summary
with County Pool and
Legislative Update
Item 5: Staff Report
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CityꢀofꢀPaloꢀAltoꢀ
TOP 25 SALES/USE TAX CONTRIBUTORS
The following list identifies Palo Alto’s Top 25 Sales/Use Tax contributors. The list is in alphabetical order and represents the year ended first quarter of 2024. The Top 25 Sales/Use Tax contributors generate
61.2% of Palo Alto’s total sales and use tax revenue.
Anderson Honda
Apple Stores
Archer Aviation
Arco Am/Pm Mini Marts
Audi Palo Alto
Bloomingdale's
Brilliant Earth
Hermes
Louis Vuitton Shreve & Co.
Stanford Health Care
Tesla
Tesla Lease Trust
Tiffany & Company
Union 76 Service Stations
Varian Medical Systems
Volvo Cars Palo Alto
Macy's Department Store
Magnussen's Toyota
Neiman Marcus
Nordstrom Department Store
Richemont
Rivian Automotive
Shell Service Stations
HP Enterprise Services
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Item 5
Attachment A - 2024 Q1
Sales Tax Digest Summary
with County Pool and
Legislative Update
Item 5: Staff Report
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ꢀ
Sales Tax from Largest Non‐Confidential Sales Tax Segments (Economic) $6,000,000
$5,000,000
$4,000,000
$3,000,000
$2,000,000
$1,000,000
$‐
Benchmark Year 2024Q1 Benchmark Year 2023Q1
ꢀ
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Item 5
Attachment A - 2024 Q1
Sales Tax Digest Summary
with County Pool and
Legislative Update
Item 5: Staff Report
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ꢀ
Historical Analysis by Calendar Quarter
Economic Category %
28.7%
20.9%
21.0%
15.6%
86.2%
13.8%
100.0%
2024Q1
2,373,414
1,727,252
1,739,261
1,288,207
7,128,134
1,143,798
8,271,932
2023Q4
2,262,034
1,951,428
2,315,882
1,348,051
7,877,395
1,867,172
9,744,567
2023Q3
2,619,833
1,870,170
1,834,297
1,277,173
7,601,473
1,986,175
9,587,647
2023Q2
2,439,519
1,546,096
2,017,885
1,349,926
7,353,426
2,084,763
9,438,189
2023Q1
2,350,567
1,302,322
1,640,927
1,195,458
6,489,274
1,586,938
8,076,212
2022Q4
2,571,178
1,517,005
2,305,038
1,260,287
7,653,508
1,935,580
9,589,088
2022Q3
2,194,817
1,597,816
1,802,777
1,230,824
6,826,234
1,862,181
8,688,414
2022Q2
2,095,020
1,724,861
1,920,316
1,227,240
6,967,438
686,044
2022Q1
2,031,199
1,701,538
1,639,417
1,018,577
6,390,731
1,721,924
8,112,655
2021Q4
2,136,501
1,687,189
2,282,253
1,083,309
7,189,252
1,806,328
8,995,580
2021Q3
1,689,561
1,812,731
1,687,461
999,729
Business To Business
Miscellaneous/Other
General Retail
Food Products
Subtotal Economic (Local Business)
Net Pools & Adjustments
Total Cash Receipts
6,189,482
584,508
7,653,481 6,773,990
Economic Segment
Miscellaneous/Other
Restaurants
%
49.7%
14.1%
5.9%
2024Q1
4,114,784
1,162,863
489,040
2023Q4
4,409,850
1,214,598
689,939
2023Q3
4,635,983
1,154,189
480,649
2023Q2
4,197,978
1,214,502
512,077
2023Q1
3,818,384
1,073,621
448,322
2022Q4
4,490,992
1,114,637
545,797
2022Q3
4,087,158
1,102,248
381,616
435,730
423,601
233,387
99,811
2022Q2
4,008,008
1,093,944
479,710
495,508
454,349
250,715
104,253
80,950
2022Q1
3,949,786
902,707
432,956
392,724
367,144
191,755
91,634
2021Q4
3,969,954
947,771
679,381
540,782
525,295
190,610
108,203
227,256
7,189,252
1,806,328
8,995,580
2021Q3
3,752,178
884,911
412,016
406,274
388,703
181,460
90,773
Miscellaneous Retail
Apparel Stores 5.3% 440,402 586,863 478,973 509,894 423,470 538,573 Department Stores
Service Stations
5.0% 411,345 549,893 435,388 492,374 356,626 533,032
2.4% 198,584 214,900 229,911 222,029 192,723 215,640
Food Markets 1.3% 107,031 112,372 103,251 111,465 101,978 116,810 Business Services
Subtotal Economic (Local Business)
Net Pools & Adjustments
Total Cash Receipts
2.5% 204,085 98,980 83,130 93,106 74,150 98,027 62,683 62,025 73,169
86.2%
13.8%
100.0%
7,128,134
1,143,798
8,271,932
7,877,395
1,867,172
9,744,567
7,601,473
1,986,175
9,587,647
7,353,426
2,084,763
9,438,189
6,489,274
1,586,938
8,076,212
7,653,508
1,935,580
9,589,088
6,826,234
1,862,181
8,688,414
6,967,438
686,044
7,653,481
6,390,731
1,721,924
8,112,655
6,189,482
584,508
6,773,990
The chart above shows the categories and segments in quarterly economic basis amounts. The total amount is the net cash receipts, and it was obtained by adding up the categories/segments with the “Net Pools & Adjustments” amount. ꢀ
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Item 5
Attachment A - 2024 Q1 Sales Tax
Digest Summary with County Pool
and Legislative Update
Item 5: Staff Report
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Historical Analysis by Calendar BMY from 2015Q1 to 2024Q1 Economic Category
Business To Business
Miscellaneous/Other
General Retail
%
27.6%
19.2%
21.3%
14.3%
82.4%
17.6%
100.0%
2024Q1
10,222,577
7,095,324
7,897,514
5,290,982
30,506,397
6,535,938
37,042,335
2023Q1
9,631,298
5,953,026
7,658,078
4,965,161
28,207,563
5,799,633
34,007,195
2022Q1
7,896,075
6,558,902
7,381,386
4,063,916
25,900,278
5,452,388
31,352,667
2021Q1
7,611,571
5,918,263
4,346,606
2,409,724
20,286,163
6,194,515
26,480,678
2020Q1
8,308,564
6,876,494
7,343,919
4,766,327
27,295,304
5,517,214
32,812,518
2019Q1
6,943,096
7,953,725
8,114,526
4,866,749
27,878,096
7,279,063
35,157,159
2018Q1
6,184,439
6,545,872
8,396,707
4,739,636
25,866,655
2,976,828
28,843,483
2017Q1
5,317,252
6,320,172
8,408,295
4,604,281
24,650,000
4,680,293
29,330,293
2016Q1
4,919,417
5,805,795
8,036,424
4,550,695
23,312,331
4,040,097
27,352,428
2015Q1
4,159,698
5,357,777
8,083,498
4,267,423
21,868,395
3,795,270
25,663,665
Food Products
Subtotal Economic (Local Business)
Net Pools & Adjustments
Total
Economic Segment
Miscellaneous/Other
Restaurants
%
48.3%
12.9%
5.8%
2024Q1
17,879,880
4,776,166
2,161,598
2,021,082
1,889,000
865,218
2023Q1
16,605,550
4,435,671
1,816,795
1,899,828
1,771,222
899,477
2022Q1
15,180,847
3,583,725
2,049,777
1,737,094
1,665,905
721,214
2021Q1
14,226,962
1,996,161
1,278,010
964,830
2020Q1
16,180,511
4,208,893
1,558,511
1,812,400
1,684,162
687,514
2019Q1
15,895,019
4,284,982
1,658,409
2,018,832
1,932,093
693,763
2018Q1
14,279,387
4,123,571
1,721,414
1,756,806
2,079,948
629,651
2017Q1
12,726,704
4,004,911
2,276,167
1,678,614
2,100,526
573,919
2016Q1
11,702,670
3,958,600
1,673,995
1,629,174
2,298,559
618,471
2015Q1
10,658,693
3,713,187
1,514,666
1,659,577
2,395,177
732,864
Miscellaneous Retail
Apparel Stores 5.5%
Department Stores
Service Stations
5.1% 769,134
2.3% 406,403
Business Services
Food Markets
1.3% 474,673 355,787 581,268 321,146 718,091 940,138 765,322 786,093 925,420 711,989
1.2% 438,779 423,233 380,450 323,518 445,221 454,861 510,556 503,066 505,442 482,242 Subtotal Economic (Local Business)
Net Pools & Adjustments
Total
82.4%
17.6%
100.0%
30,506,397
6,535,938
37,042,335
28,207,563
5,799,633
34,007,195
25,900,278
5,452,388
31,352,667
20,286,163
6,194,515
26,480,678
27,295,304
5,517,214
32,812,518
27,878,096
7,279,063
35,157,159
25,866,655
2,976,828
28,843,483
24,650,000
4,680,293
29,330,293
23,312,331
4,040,097
27,352,428
21,868,395
3,795,270
25,663,665
The chart above shows the categories and segments in benchmark year economic basis amounts. The total amount is the net cash receipts, and it was obtained by adding up the categories/segments with the “Net Pools & Adjustments” amount. Benchmark year (BMY) is the sum of the current and 3 previous quarters (2024Q1 BMY is sum of 2024 Q1, 2023 Q4, 2023 Q3, 2023 Q2). ꢀ
www.avenuinsights.com (800) 800-8181 Page 7
Item 5
Attachment A - 2024 Q1 Sales Tax
Digest Summary with County Pool
and Legislative Update
Item 5: Staff Report
Pg.
8 Packet Pg. 62 of 85
CityꢀofꢀPaloꢀAltoꢀ
Quarterly Analysis by Sales Tax Category: Change from 2023Q1 to 2024Q1 (Economic) Campbell ‐1.4%
6.2%
2.8%
1.3%
‐1.0%
20.5%
5.9%
1.0%
7.9%
1.9%
9.3%
‐3.8%
‐6.9%
15.6%
0.5%
5.2%
1.7%
0.9%
4.0%
‐0.9%
6.1%
3.1%
28.8%
‐5.5%
‐1.7%
‐0.2%
10.5%
‐1.1%
2,538,496
7,255,522
3,826,805
580,319
2,428,298 4.5% I.T. Infrastructure Office Equipment
Restaurants
Light Industry Electronic Equipment
Miscellaneous Retail
Energy Sales
Cupertino 7,535,507 ‐3.7% I.T. Infrastructure Office Equipment Gilroy 3,724,834 2.7% Auto Sales ‐ New Miscellaneous Retail Misc. Vehicle Sales Los Altos 11.6% ‐16.1%
8.6% ‐20.9%
567,661 2.2% Electronic Equipment Recreation Products Business Services Heavy Industry Los Gatos
Milpitas
9.4% ‐18.7% 1,292,731
5,209,433
2,321,127
4,245,771
7,253,317
47,857,257
11,644,552
959,205
1,342,494 ‐3.7% Food Processing Eqp Bldg.Matls‐Retail Miscellaneous Other Auto Sales ‐ New
3.5% ‐2.3% ‐15.8% 3.8%
‐4.3%
5,321,308 ‐2.1% Miscellaneous Retail Electronic Equipment Office Equipment Bldg.Matls‐Whsle Heavy IndustryMorgan Hill
Mountain View
Palo Alto
‐0.9%
3.9%
6.9%
4.6%
‐3.3% ‐18.0% 2,414,476 ‐3.9% Service Stations
4,671,866 ‐9.1% Restaurants
6,481,040 11.9% Auto Sales ‐ New
Miscellaneous Retail Misc. Vehicle Sales
‐3.5% ‐36.4% ‐10.1% Leasing Business Services
Leasing
Office Equipment
Bldg.Matls‐Whsle
Auto Sales ‐ New
Bldg.Matls‐Whsle
Health & Government
Miscellaneous Retail
Heavy Industry
34.2% 5.5% 27.9%
2.2%
Business Services
RestaurantsSan Jose ‐9.2% 38.6% 44,338,639 7.9% Office Equipment Green Energy Santa Clara
County of Santa Clara
Saratoga
7.9% ‐13.3% ‐4.4% ‐30.4% 12,428,833 ‐6.3% Restaurants
1,112,269 ‐13.8% Restaurants
234,760 ‐0.8% Light Industry
6,605,585 11.0% Light Industry
Electronic Equipment Office Equipment
‐3.6%
‐0.3%
7.6%
9.1% ‐41.8% ‐16.6% Food Markets Leasing
1.5% ‐10.1% 22.0% 232,850 Auto Parts/Repair
Auto Sales ‐ New
Business Services
Bldg.Matls‐WhsleSunnyvale 24.9% 16.3% ‐13.7% 7,332,989
Unlike the chart on page one which showed a ‘benchmark year’ through the first quarter of 2024, the chart above shows a comparison of one quarter only – first quarter of 2024 to first quarter of 2023. This chart is for local ‘brick and mortar’ businesses, and it excludes county pools and adjustments. ꢀ
www.avenuinsights.com (800) 800-8181 Page 8
Item 5
Attachment A - 2024 Q1 Sales Tax
Digest Summary with County Pool
and Legislative Update
Item 5: Staff Report
Pg.
9 Packet Pg. 63 of 85
CityꢀofꢀPaloꢀAltoꢀ
City of Palo Alto Geo Areas & Citywide Chart Data: Change from 2023Q1 to 2024Q1 (Economic) California Avenue
FOOD PRODUCTS
GENERAL RETAIL
ALL OTHER
% CHANGE QoQ 2024Q1 QE 2023Q1 QE
90,606
24Q1 % OF TOTAL 23Q1 % OF TOTAL
2.0%
23.1%
‐4.8%
2.7%
92,380
21,954
38,511
60.4%
14.4%
25.2%
100.0%
60.9%
12.0%
27.2%
100.0%
17,827
40,465
148,897TOTAL 152,844
El Camino Real and Midtown
FOOD PRODUCTS
GENERAL RETAIL
ALL OTHER
% CHANGE QoQ 2024Q1 QE 2023Q1 QE 24Q1 % OF TOTAL 23Q1 % OF TOTAL
5.2%
‐4.0%
49.0%
26.7%
156,412 148,644
37,191
195,113
380,948
32.4%
7.4%
39.0%
9.8%35,711
290,716
482,839
60.2%
100.0%
51.2%
100.0%TOTAL
Greater Downtown
FOOD PRODUCTS
GENERAL RETAIL
CONSTRUCTION
BUSINESS TO BUSINESS
MISCELLANEOUS
TRANSPORTATION
TOTAL
% CHANGE QoQ 2024Q1 QE 2023Q1 QE 24Q1 % OF TOTAL 23Q1 % OF TOTAL
7.9%
‐5.6%
470.2%
‐26.3%
‐9.1%
516,354 478,353
247,632
8,003
45,854
7,561
61.5%
27.9%
5.4%
60.3%
31.2%
1.0%
233,851
45,632
33,808
6,872
4.0% 5.8%
0.8% 1.0%
‐42.3%
5.9%
3,092
839,608
5,362
792,765
0.4% 0.7%
100.0% 100.0%
Stanford Shopping Center
GENERAL RETAIL
FOOD PRODUCTS
ALL OTHER
% CHANGE QoQ 2024Q1 QE 2023Q1 QE 24Q1 % OF TOTAL 23Q1 % OF TOTAL
14.5%
‐4.7%
31.1%
14.4%
1,294,515
145,028
214,421
1,130,136
152,251
163,515
78.3%
8.8%
78.2%
10.5%
11.3%
100.0%
13.0%
100.0%TOTAL 1,653,964 1,445,902
ꢀ
www.avenuinsights.com (800) 800-8181 Page 9
Item 5
Attachment A - 2024 Q1 Sales Tax
Digest Summary with County Pool
and Legislative Update
Item 5: Staff Report
Pg.
10 Packet Pg. 64 of 85
CityꢀofꢀPaloꢀAltoꢀ
City of Palo Alto Geo Areas & Citywide Chart Data: Change from 2023Q1 to 2024Q1 (Economic) Cont.
Town And Country Shopping Center
FOOD PRODUCTS
GENERAL RETAIL
ALL OTHER
% CHANGE QoQ 2024Q1 QE 2023Q1 QE
103,872
24Q1 % OF TOTAL 23Q1 % OF TOTAL
8.6%
9.7%
‐33.0%
8.1%
112,845
63,695
2,440
63.0%
35.6%
1.4%
62.7%
35.1%
2.2%
58,041
3,639
165,552TOTAL 178,980 100.0% 100.0%
All Other Geos combined with Balance of Jurisdiction % CHANGE QoQ 2024Q1 QE 2023Q1 QE 24Q1 % OF TOTAL 23Q1 % OF TOTAL
BUSINESS TO BUSINESS
GENERAL RETAIL
TRANSPORTATION
FOOD PRODUCTS
CONSTRUCTION
MISCELLANEOUS
TOTAL
0.0%
10.4%
34.3%
5.4%
152.8%
2.7%
2,248,812
1,708,428
1,418,608
1,107,512
62,911
2,248,217
1,547,799
1,056,270
1,050,429
24,884
34.1%
25.9%
21.5%
16.8%
1.0%
37.7%
25.9%
17.7%
17.6%
0.4%
43,968
6,590,238
42,803
5,970,403
0.7%
100.0%
0.7%
100.0%10.4%
All Geo Areas Total Comparison 24Q1 & 23Q1
Balance of Jurisdiction
Stanford Shopping Center
Greater Downtown
El Camino Real and Midtown
Town And Country Shopping Center
California Avenue
% CHANGE QoQ 2024Q1 QE 2023Q1 QE 24Q1 % OF TOTAL 23Q1 % OF TOTAL
8.1%
5.9%
14.4%
26.7%
8.1%
3,282,003 3,036,339
792,765
1,445,902
380,948
165,552
148,897
49.8%
12.7%
25.1%
7.3%
50.9%
13.3%
24.2%
6.4%
839,608
1,653,964
482,839
178,980 2.7% 2.8%
2.7% 152,844 2.3% 2.5%
TOTAL 10.4% 6,590,238 5,970,403 100.0% 100.0%
Palo Alto citywide QE 24Q1 & 23Q1
BUSINESS TO BUSINESS
GENERAL RETAIL
TRANSPORTATION
FOOD PRODUCTS
MISCELLANEOUS
% CHANGE QoQ 2024Q1 QE 2023Q1 QE 24Q1 % OF TOTAL 23Q1 % OF TOTAL
5.5%
7.9%
34.2%
6.9%
33.0%
12.7%
11.9%
2,489,517 2,359,186
1,611,626
1,060,259
1,204,882
182,882
34.3%
24.0%
19.6%
17.8%
3.4%
36.4%
24.9%
16.4%
18.6%
2.8%
1,739,261
1,422,933
1,288,207
243,266
CONSTRUCTION
TOTAL
70,132 62,205
6,481,040
1.0% 1.0%
7,253,317 100.0% 100.0%
ꢀ
www.avenuinsights.com (800) 800-8181 Page 10
Item 5
Attachment A - 2024 Q1 Sales Tax
Digest Summary with County Pool
and Legislative Update
Item 5: Staff Report
Pg.
11 Packet Pg. 65 of 85
CityꢀofꢀPaloꢀAltoꢀ
City of Palo Alto Geo Area Pie Charts
California Avenue2024Q1 SALES TAX AMOUNTS California Avenue2023Q1 SALES TAX AMOUNTS
ALL OTHER,
‐4.8% CHANGE,$38,511 , ALL OTHER, $40,465 ,
27.2% TOTAL FOOD PRODUCTS,$90,606 ,25.2% TOTAL FOOD PRODUCTS,
2.0% CHANGE, $92,380 ,
60.4% TOTAL
60.9% TOTAL
GENERAL RETAIL,
$17,827 , 12.0% TOTAL
GENERAL RETAIL,
23.1% CHANGE,$21,954 ,
14.4% TOTAL
El Camino Real and Midtown 2024Q1 SALES TAX AMOUNTS El Camino Real and Midtown 2023Q1 SALES TAX AMOUNTS ALL OTHER, $195,113
51.2% TOTALALL OTHER,
49.0% CHANGE,
$290,716 ,
FOOD PRODUCTS,$148,644 ,
39.0% TOTALFOOD PRODUCTS,
5.2% CHANGE, $156,412 ,
32.4% TOTAL60.2% TOTAL
GENERAL RETAIL,
‐4.0% CHANGE,$35,711 ,
7.4% TOTAL GENERAL RETAIL,
$37,191, 9.8% TOTAL
ꢀ
www.avenuinsights.com (800) 800-8181 Page 11
Item 5
Attachment A - 2024 Q1 Sales Tax
Digest Summary with County Pool
and Legislative Update
Item 5: Staff Report
Pg.
12 Packet Pg. 66 of 85
CityꢀofꢀPaloꢀAltoꢀ
City of Palo Alto Geo Areas Pie Charts
Greater Downtown 2024Q1 SALES TAX AMOUNTS Greater Downtown 2023Q1 SALES TAX AMOUNTS
MISCELLANEOUS,
‐9.1% CHANGE, $6,872 ,
0.8% TOTAL
MISCELLANEOUS, $7,561 ,BUSINESS TO BUSINESS,
‐26.3% CHANGE, $33,808 ,
4.0% TOTAL
BUSINESS TO BUSINESS,
$45,854 , 5.8% TOTAL
1.0% TOTALTRANSPORTATION,
‐42.3% CHANGE, $3,092 ,
0.4% TOTAL
TRANSPORTATION, $5,362 ,
0.7% TOTAL
CONSTRUCTION,
470.2% CHANGE, $45,632 ,
5.4% TOTAL
CONSTRUCTION, $8,003 ,
1.0% TOTAL
GENERAL RETAIL,
‐5.6% CHANGE,
$233,851 ,
GENERAL RETAIL,
$247,632 , 31.2% TOTAL
27.9% TOTAL
FOOD PRODUCTS,
7.9% CHANGE, $516,354 ,
61.5% TOTAL FOOD PRODUCTS,
$478,353 , 60.3% TOTAL
StanfordShopping Center 2024Q1 SALESTAX AMOUNTS StanfordShoppingCenter 2023Q1 SALESTAX AMOUNTS ALL OTHER, $163,515 ,
11.3% TOTALALL OTHER, 31.1% CHANGE,
$214,421 , 13.0% TOTAL GENERAL RETAIL,
14.5% CHANGE, $1,294,515 ,
78.3% TOTAL
GENERAL RETAIL
$1,130,136 ,
78.2% TOTALFOOD PRODUCTS,
‐4.7% CHANGE,
$145,028 , FOOD PRODUCTS, $152,251 ,
10.5% TOTAL8.8% TOTAL
ꢀ
www.avenuinsights.com (800) 800-8181 Page 12
Item 5
Attachment A - 2024 Q1 Sales Tax
Digest Summary with County Pool
and Legislative Update
Item 5: Staff Report
Pg.
13 Packet Pg. 67 of 85
CityꢀofꢀPaloꢀAltoꢀ
City of Palo Alto Geo Area Pie Charts
Town And Country Shopping Center 2024Q1 SALES TAX AMOUNTS Town And Country Shopping Center 2023Q1 SALES TAX AMOUNTS ALL OTHER, $3,639 , 2.2% TOTALALL OTHER, ‐33.0% CHANGE,$2,440 , 1.4% TOTAL
GENERAL RETAIL,
9.7% CHANGE, $63,695 ,
35.6% TOTAL
FOOD PRODUCTS,
8.6% CHANGE, $112,845 ,
63.0% TOTAL
GENERAL RETAIL,
$58,041 ,
35.1% TOTAL
FOOD PRODUCTS,
$103,872 ,
62.7% TOTAL
All Other Geos combined with Balance of Jurisdiction 2024Q1 All Other Geos combined with Balance of Jurisdiction 2023Q1
SALES TAX AMOUNTSSALES TAX AMOUNTS
MISCELLANEOUS,
2.7% CHANGE, $43,968 ,
0.7% TOTAL
MISCELLANEOUS,CONSTRUCTION, 152.8% CHANGE,
$62,911 , 1.0% TOTAL
CONSTRUCTION, $42,803 , 0.7% TOTAL$24,884 , 0.4% TOTAL
FOOD PRODUCTS,
5.4% CHANGE, $1,107,512 ,
16.8% TOTAL
BUSINESSTO BUSINESS, FOOD PRODUCTS,
$1,050,429 ,
17.6% TOTAL
0.0% CHANGE,
$2,248,812 ,
34.1% TOTAL
BUSINESSTO BUSINESS,
$2,248,217 ,
37.7% TOTAL
TRANSPORTATION,
34.3% CHANGE,
$1,418,608,
TRANSPORTATION,
$1,056,270 ,
17.7% TOTAL
21.5% TOTAL
GENERAL RETAIL,
10.4% CHANGE,$1,708,428,
25.9% TOTAL
GENERAL RETAIL, $1,547,799,
25.9% TOTAL
ꢀ
www.avenuinsights.com (800) 800-8181 Page 13
Item 5
Attachment A - 2024 Q1 Sales Tax
Digest Summary with County Pool
and Legislative Update
Item 5: Staff Report
Pg.
14 Packet Pg. 68 of 85
CityꢀofꢀPaloꢀAltoꢀ
City of Palo Alto Geo Area & Citywide Pie Charts
All Geo Area Totals 2024Q1 SALES TAX AMOUNTS All Geo Area Totals 2023Q1 SALES TAX AMOUNTS TownAnd CountryShoppingCenter,
8.1% CHANGE, $178,980 , 2.7% TOTAL CaliforniaAvenue,
$148,897 , 2.5% TOTAL
CaliforniaAvenue,2.7% CHANGE,
$152,844 , 2.3% TOTAL TownAnd CountryShoppingCenter,
$165,552 , 2.8% TOTAL
El CaminoReal andMidtown,
26.7% CHANGE, $482,839 ,
7.3% TOTAL
Balance of Jurisdiction,
$3,036,339 , 50.9% TOTAL
El CaminoReal andMidtown,
$380,948 , 6.4% TOTAL
Balance of Jurisdiction,
8.1% CHANGE,
$3,282,003 ,
49.8% TOTAL
GreaterDowntown,
$1,445,902 , 24.2% TOTAL
GreaterDowntown,
14.4% CHANGE,
$1,653,964 ,
25.1% TOTAL
StanfordShoppingCenter,
5.9% CHANGE, $839,608 ,
12.7% TOTAL
StanfordShoppingCenter,
$792,765 , 13.3% TOTAL
Palo Alto citywide 2024Q1 SALES TAX AMOUNTS Palo Alto citywide 2023Q1 SALES TAX AMOUNTS
CONSTRUCTION,
12.7% CHANGE, $70,132 ,
1.0% TOTAL
MISCELLANEOUS, 33.0% CHANGE,
$243,266 , 3.4% TOTAL
MISCELLANEOUS, $182,882 , CONSTRUCTION, $62,205 ,
1.0% TOTAL2.8% TOTAL
FOOD PRODUCTS, $1,204,882 BUSINESSTO BUSINESS,
$2,359,186 , 36.4% TOTALFOOD PRODUCTS,
6.9% CHANGE, $1,288,207 ,
17.8% TOTAL
BUSINESS TO BUSINESS,
5.5% CHANGE, $2,489,517 ,
34.3% TOTAL
18.6% TOTAL
TRANSPORTATION,
$1,060,259 ,
16.4% TOTAL
TRANSPORTATION,
34.2% CHANGE,
$1,422,933 ,
19.6% TOTAL
GENERAL RETAIL,
$1,611,626 ,
24.9% TOTAL
GENERAL RETAIL,
7.9% CHANGE, $1,739,261 ,
24.0% TOTAL
ꢀ
www.avenuinsights.com (800) 800-8181 Page 14
Item 5
Attachment A - 2024 Q1 Sales Tax
Digest Summary with County Pool
and Legislative Update
Item 5: Staff Report
Pg.
15 Packet Pg. 69 of 85
City of Palo Alto
City of Palo Alto Geo Area Pie Charts
Town And Country Shopping Center 2024Q1 SALES TAX AMOUNTS Town And Country Shopping Center 2023Q1 SALES TAX AMOUNTS ALL OTHER, $3,639 , 2.2% TOTALALL OTHER, -33.0% CHANGE, $2,440 , 1.4% TOTAL
GENERAL RETAIL,
9.7% CHANGE, $63,695 ,
35.6% TOTAL
FOOD PRODUCTS,
8.6% CHANGE, $112,845 ,
63.0% TOTAL
GENERAL RETAIL,
$58,041 ,
35.1% TOTAL
FOOD PRODUCTS,
$103,872 ,
62.7% TOTAL
All Other Geos combined with Balance of Jurisdiction 2024Q1 All Other Geos combined with Balance of Jurisdiction 2023Q1
SALES TAX AMOUNTSSALES TAX AMOUNTS
MISCELLANEOUS,
2.7% CHANGE, $43,968 ,
0.7% TOTAL
MISCELLANEOUS,CONSTRUCTION, 152.8% CHANGE,
$62,911 , 1.0% TOTAL
CONSTRUCTION, $42,803 , 0.7% TOTAL$24,884 , 0.4% TOTAL
FOOD PRODUCTS,
5.4% CHANGE, $1,107,512 ,
16.8% TOTAL
BUSINESSTO BUSINESS, FOOD PRODUCTS,
$1,050,429 ,
17.6% TOTAL
0.0% CHANGE,
$2,248,812 ,
34.1% TOTAL
BUSINESSTO BUSINESS,
$2,248,217 ,
37.7% TOTAL
TRANSPORTATION,
34.3% CHANGE,
$1,418,608,
TRANSPORTATION,
$1,056,270 ,
17.7% TOTAL
21.5% TOTAL
GENERAL RETAIL,
10.4% CHANGE, $1,708,428,
25.9% TOTAL
GENERAL RETAIL, $1,547,799,
25.9% TOTAL
www.avenuinsights.com (800) 800-8181 Page 13
Item 5
Attachment A - 2024 Q1 Sales Tax
Digest Summary with County Pool
and Legislative Update
Item 5: Staff Report
Pg.
16 Packet Pg. 70 of 85
City of Palo Alto
City of Palo Alto Geo Area & Citywide Pie Charts
All Geo Area Totals 2024Q1 SALES TAX AMOUNTS All Geo Area Totals 2023Q1 SALES TAX AMOUNTS Town And Country ShoppingCenter,
8.1% CHANGE, $178,980 , 2.7% TOTAL CaliforniaAvenue,
$148,897 , 2.5% TOTAL
CaliforniaAvenue, 2.7% CHANGE,
$152,844 , 2.3% TOTAL Town And Country ShoppingCenter,
$165,552 , 2.8% TOTAL
El Camino Real and Midtown,
26.7% CHANGE, $482,839 ,
7.3% TOTAL
Balance of Jurisdiction,
$3,036,339 , 50.9% TOTAL
El Camino Real and Midtown,
$380,948 , 6.4% TOTAL
Balance of Jurisdiction,
8.1% CHANGE,
$3,282,003 ,
49.8% TOTAL
GreaterDowntown,
$1,445,902 , 24.2% TOTAL
GreaterDowntown,
14.4% CHANGE,
$1,653,964 ,
25.1% TOTAL
Stanford ShoppingCenter,
5.9% CHANGE, $839,608 ,
12.7% TOTAL
Stanford ShoppingCenter,
$792,765 , 13.3% TOTAL
Palo Alto citywide 2024Q1 SALES TAX AMOUNTS Palo Alto citywide 2023Q1 SALES TAX AMOUNTS
CONSTRUCTION,
12.7% CHANGE, $70,132 ,
1.0% TOTAL
MISCELLANEOUS, 33.0% CHANGE,
$243,266 , 3.4% TOTAL
MISCELLANEOUS, $182,882 , CONSTRUCTION, $62,205 ,
1.0% TOTAL2.8% TOTAL
FOOD PRODUCTS, $1,204,882 BUSINESS TO BUSINESS,
$2,359,186 , 36.4% TOTALFOOD PRODUCTS,
6.9% CHANGE, $1,288,207 ,
17.8% TOTAL
BUSINESS TO BUSINESS,
5.5% CHANGE, $2,489,517 ,
34.3% TOTAL
18.6% TOTAL
TRANSPORTATION,
$1,060,259 ,
16.4% TOTAL
TRANSPORTATION,
34.2% CHANGE,
$1,422,933 ,
19.6% TOTAL
GENERAL RETAIL,
$1,611,626 ,
24.9% TOTAL
GENERAL RETAIL,
7.9% CHANGE, $1,739,261 ,
24.0% TOTAL
www.avenuinsights.com (800) 800-8181 Page 14
Item 5
Attachment A - 2024 Q1 Sales Tax
Digest Summary with County Pool
and Legislative Update
Item 5: Staff Report
Pg.
17 Packet Pg. 71 of 85
California Legislative
Update June 4, 2024
May 24 was the house of origin deadline, requiring bills to pass out of their house of origin to remain active for this legislative session, which will end on August 31.
Act of 2024. As amended 7/13/23. Authorizes a bond
measure of $14 billion for the construction and
modernization of Transitional Kindergarten through
community colleges public education facilities on an
unspecified 2024 statewide ballot.
Status: Awaiting dispensation in the Senate Appropriations committee.
2,159 bills have been introduced in the legislature so far this year, 1520 in the Assembly and 639 in the Senate. Of those, 931 Assembly bills have passed off the Assembly
floor, and in the Senate, 479 Senate bills have passed to the second chamber. Four Assembly bills and seven Senate
bills have been signed into law by Governor Gavin
Newsom so far this year. Cal Cities Position: Watch
AB 305 (Villapudua) California Flood Protection
Bond Act of 2024. As amended 4/25/23. Places a $4.5
billion flood protection and dam safety improvement bond before the voters on the November 5, 2024, General
Election ballot.
Status: Referred to the Senate committee on Natural
Resources.
Cal Cities Position: Watch
The house of origin deadline was preceded by the
appropriations suspense process, during which the
Assembly and Senate appropriations committees took up
their suspense files to decide which legislation would
continue its journey through the legislative process this year and which would be held under submission. It
appears that the tenuous state budget situation led to a higher number of bills being held in committee. Of the
1,009 total bills on the suspense files, 689 moved to the floors, while 320 were held (31.7%). Over the past decade, the average percentage of bills held on suspense is 25%.
AB 408 (Wilson) Climate-resilient Farms, Sustainable
Healthy Food Access, and Farmworker Protection
Bond Act of 2024. As amended 8/14/23. Would enact
the Climate-resilient Farms, Sustainable Healthy Food
Access, and Farmworker Protection Bond Act of 2024,
which, if approved by the voters, would authorize the
issuance of bonds in the amount of $3.65 million pursuant to the State General Obligation Bond Law, to finance
programs related to, among other things, agricultural lands, food and fiber infrastructure, climate resilience, agricultural professionals, including farmers, ranchers, and
farmworkers, workforce development and training, air
quality, tribes, disadvantaged communities, nutrition, food aid, meat processing facilities, and fishing facilities.
Status: Awaiting dispensation in the Senate Appropriations committee.
Committee hearings have begun for second house
legislation, and budget committees are wrapping up.
Upcoming deadlines include June 15 for the legislature to pass the budget, June 27 for legislative measures to qualify for the November ballot, and July 3 for policy committees to consider legislation.
A summary of salient legislation is provided in this report.
Of particular note, SB 1494 (Glazer) which would have
prohibited cities from entering a sales tax rebate agreement with a retailer starting next year and voided all existing agreements on January 1, 2030, failed passage on the
Senate floor. The floor fight ended a successful opposition effort that included a broad coalition of cities and local government associations.
Cal Cities Position: Watch
AB 1510 (Jones-Sawyer) Fighting Fentanyl Bond Act
of 2024. As amended 7/13/23. Would enact the Fighting
Fentanyl Bond Act of 2024, which, if adopted, would
authorize the issuance of bonds in an unspecified amount, for purposes of financing, among other things, substance use treatment, harm reduction programs, supportive
services for students, programs targeting drug trafficking, Bonds
AB 247 (Muratsuchi) Education finance: school
facilities: Transitional Kindergarten Through
Community College Public Education Facilities Bond
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substance use treatment programs in prisons and juvenile facilities, and recovery housing and transitional housing for previously incarcerated individuals.
Status: Awaiting hearing in the Senate Appropriations
committee.
Safety Bond Act of 2024. As introduced 12/5/22.
Authorizes a $15 billion bond measure for the
construction and modernization of public preschools, K- 12, California Community College, University of
California, and California State University facilities.
Status: Awaiting dispensation in the Assembly
Appropriations committee.
Cal Cities Position: Watch
AB 1567 (Garcia) Safe Drinking Water, Wildfire
Prevention, Drought Preparation, Flood Protection,
Extreme Heat Mitigation, Clean Energy, and
Workforce Development Bond Act of 2024. As
amended 5/26/23. Would enact the Safe Drinking Water,
Wildfire Prevention, Drought Preparation, Flood
Protection, Extreme Heat Mitigation, Clean Energy, and
Workforce Development Bond Act of 2024, which, if
approved by the voters, would authorize the issuance of bonds in the amount of $16 billion to finance projects for safe drinking water, wildfire prevention, drought
preparation, flood protection, extreme heat mitigation, clean energy, and workforce development programs.
Status: Awaiting hearing in the Senate Natural Resources and Water committee.
Cal Cities Position: None
SB 638 (Eggman) Climate Resiliency and Flood
Protection Bond Act of 2024. As amended 6/28/23.
Would enact the Climate Resiliency and Flood Protection Bond Act of 2024 which, if approved by the voters, would authorize the issuance of bonds in the amount of $6 billion for flood protection and climate resiliency projects.
Status: Awaiting hearing in the Assembly Water, Parks, & Wildlife committee.
Cal Cities Position: Support if amended
SB 867 (Allen) Drought, Flood, and Water Resilience,
Wildfire and Forest Resilience, Coastal Resilience,
Extreme Heat Mitigation, Biodiversity and Nature-
Based Climate Solutions, Climate Smart Agriculture,
Park Creation and Outdoor Access, and Clean Energy
Bond Act of 2024. As amended 6/22/23. Would enact
the Drought, Flood, and Water Resilience, Wildfire and
Forest Resilience, Coastal Resilience, Extreme Heat
Mitigation, Biodiversity and Nature-Based Climate
Solutions, Climate Smart Agriculture, Park Creation and Outdoor Access, and Clean Energy Bond Act of 2024,
which, if approved by the voters, would authorize the
issuance of bonds in the amount of $15.5 billion to finance projects for drought, flood, and water resilience, wildfire and forest resilience, coastal resilience, extreme heat mitigation, biodiversity and nature-based climate solutions, climate smart agriculture, park creation and outdoor
access, and clean energy programs.
Cal Cities Position: Support if amended
AB 1657 (Wicks) The Affordable Housing Bond Act of
2024. As amended 3/4/24. This bill would enact the
Affordable Housing Bond Act of 2024, which, if adopted, would authorize the issuance of bonds in the amount of
$10 billion pursuant to the State General Obligation Bond Law. Proceeds from the sale of these bonds would be used to finance programs to fund affordable rental housing and homeownership programs, including, among others, the
Multifamily Housing Program, the CalHome Program, and
the Joe Serna, Jr. Farmworker Housing Grant Program.
Status: Awaiting dispensation in the Senate Appropriations committee.
Cal Cities Position: Support
Status: Awaiting hearing in the Assembly Natural
Resources committee.
Cal Cities Position: Support if amended
AB 2208 (Zbur) California Ports Development and
Offshore Wind Infrastructure Bond Act of 2024. As
amended 3/21/24. Enacts the California Ports
Development and Offshore Wind Infrastructure Bond Act
of 2024, to authorize $1 billion in general obligation bonds for offshore wind energy. Authorizes the bond act for the November 5, 2024, general election.
Status: Awaiting hearing in the Assembly Natural
Resources committee.
Cal Cities Position: Track
Broadband
AB 1588 (Wilson) Affordable Internet and Net
Equality Act of 2024. As amended 1/22/24. Would,
under the Affordable Internet and Net Equality Act of
2024, require the Department of Technology, in
coordination with the Public Utilities Commission and the Department of General Services, to develop and establish the Net Equality Program. The bill would require the state and state agencies to only enter into a procurement
SB 28 (Glazer) Education finance: school facilities:
Public Preschool, K–12, and College Health and
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contract with an internet service provider offering
affordable home internet service, which costs no more
than $40 per month and meets specified minimum speed
requirements, to households participating in certain public assistance programs, or with an internet service provider participating in the federal Affordable Connectivity
Program, or any other state or federal program that offers broadband affordability assistance for households that
qualify for that program, and that offers to households that qualify for those programs internet service that costs no more than $40 per month and meets specified
minimum speed requirements.
broadband service, and enable Public Housing Account
recipients offering new broadband plans within low-
income communities to provide a free or low-cost
broadband plan to those communities as a condition of
obtaining the grant.
Status: Awaiting assignment to a policy committee in the Assembly.
Cal Cities Position: Track
Corporation Tax
AB 1973 (Lackey) Personal Income Tax Law:
Corporation Tax Law: Bobcat Fire: exclusions. As
amended 4/18/24. Would, for taxable years beginning on
or after January 1, 2024, and before January 1, 2029,
provide an exclusion from gross income for any qualified taxpayer, for amounts received in settlement for costs and losses associated with the 2020 Bobcat Fire in the County of Los Angeles.
Status: Referred to the Senate Governmental Organization and Energy, Utilities, & Communications committees.
Cal Cities Position: Watch
AB 1826 (Holden) Digital Equity in Video
Franchising Act of 2024. As amended 5/16/24. Makes
various changes to the statutes governing state video
franchises, known as the Digital Infrastructure and Video Competition Act of 2006, and recasts those statutes as the Digital Equity in Video Franchising Act of 2023.
Generally, these changes can be classified as broadening the authority of the California Public Utilities Commission over the issuance and renewal of state video franchises and over the quality-of-service franchise holders providing service to unserved households.
Status: Awaiting hearing in the Senate Revenue & Taxation committee.
Cal Cities Position: None
AB 2128 (Ta) Income and corporation taxes: credits:
work opportunity credit. As amended 5/1/24. For
taxable years beginning on or after January 1, 2025, and before January 1, 2030, would allow a tax credit in an
amount equal to 40% of the qualified wages paid or
incurred to a qualified employee employed during the
taxable year. The bill would define a qualified employee as an individual that, among other things, has been convicted of a felony, and has a hiring date not more than one year after the date the individual was convicted or was released from prison.
Status: Awaiting hearing in the Senate Energy, Utilities, & Communications committee.
Cal Cities Position: Track
AB 2708 (Patterson, Jim) Office of Broadband and
Digital Literacy: reports. As introduced 2/14/24. Would require additional information to be included in the annual report from the Office of Broadband and Digital Literacy to the budget committees of the legislature, including the total cost to complete the statewide open-access middle- mile broadband network, the total available funding for the statewide open-access middle-mile broadband network,
and the projected completion date for the statewide open- access middle-mile broadband network.
Status: Dead - held on the Assembly Appropriations
suspense file.
Cal Cities Position: None
AB 2294 (Schiavo) Personal Income Tax Law:
Corporation Tax Law: New Employment Credit. As
introduced 2/12/24. The Personal Income Tax Law and
the Corporation Tax Law allow various credits against the taxes imposed by those laws, including, for taxable years beginning on or after January 1, 2014, and before January 1, 2026, a credit for hiring qualified full-time employees, within a designated census tract or economic development area in an amount equal to 35% of the qualified wages,
defined in part as those wages that exceed 150% of
minimum wage but do not exceed 350% of minimum
wage, paid to those employees multiplied by the applicable percentage for that taxable year. This bill would eliminate Status: Awaiting hearing in the Senate Energy, Utilities, & Communications committee.
Cal Cities Position: Support
SB 1383 (Bradford) California Advanced Services
Fund: Broadband Public Housing Account. As
amended 4/9/24. Would expand eligibility for the
California Advanced Services Fund Broadband Public
Housing Account, authorize the use of Public Housing
Account funds for devices that improve existing
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the requirement that the new employment be located
within a designated census tract or economic development area. The bill would expand the definition of qualified wages to include that amount of wages that exceeds 100% of minimum wage but does not exceed 350% of minimum
wage. The bill would expand the definition of qualified employee to include an employee that is a member of a
targeted group, as defined.
2021, oil spill that occurred off the coast of the County of Orange near the City of Huntington Beach. The bill would repeal the provisions on January 1, 2029.
Status: Dead - held on the Senate Appropriations suspense file.
Cal Cities Position: None
Development FeesStatus: Awaiting hearing in the Assembly Revenue & Taxation committee. AB 1820 (Schiavo) Housing development projects:
applications: fees and exactions. As amended 4/29/24.
Would authorize a development proponent that submits a
preliminary application for a housing development project to request a preliminary fee and exaction estimate and
would require the local agency to provide the estimate
within 30 business days of the submission of the
preliminary application. Specifies that the preliminary fee and exaction estimate is for informational purposes only and does not affect the scope, amount, or time of payment of any fee or exaction.
Cal Cities Position: None
AB 3160 (Gabriel) Insurance, income, and corporation
taxes: credits: low-income housing. As amended
5/20/24. Provides that an allocation of $500 million to the Low-Income Housing Tax Credit is not subject to an
appropriation in the annual Budget Act for the 2025
through 2030 calendar years.
Status: Awaiting assignment to a policy committee in the Senate.
Cal Cities Position: Watch Status: Referred to the Senate Local Government and Housing committees.
Cal Cities Position: Oppose unless amendedSB 370 (McGuire) Personal Income Tax Law:
Corporation Tax Law: wildfires: exclusions. As
amended 3/28/23. Would, for taxable years beginning on
or after January 1, 2020, provide an exclusion from gross income for any qualified taxpayer, as defined, for amounts received in settlements associated with the 2019 Kincade Fire in the County of Sonoma.
Status: Awaiting hearing in the Assembly Revenue &
Taxation committee.
Cal Cities Position: None
AB 2430 (Alvarez) Planning and zoning: density
bonuses: monitoring fees. As amended 4/18/24.
Prohibits a local jurisdiction from charging local
monitoring fees on 100% affordable housing
developments using Density Bonus Law (DBL) to ensure
the continued affordability required under DBL and any
applicable local inclusionary housing ordinance.
Status: Referred to the Senate Housing and Local
Government committees.SB 542 (Dahle) Personal Income Tax Law:
Corporation Tax Law: wildfires: exclusions. As
amended 2/5/24. Would, for taxable years beginning on
or after January 1, 2022, and before January 1, 2029,
provide an exclusion from gross income for any qualified taxpayer, for amounts received in settlement for costs and losses associated with the 2021 Dixie Fire in the counties of Butte, Plumas, Lassen, Shasta, and Tehama, or the 2022 Mill Fire in the County of Siskiyou.
Cal Cities Position: Track
AB 2433 (Quirk-Silva) California Private Permitting
Review and Inspection Act: fees: building permits. As
amended 5/20/24. Requires a local agency to complete
plan check services for a building permit within 30
business days of a request from an applicant or employ a private professional to perform plan checking services.
Status: Referred to the Senate Local Government and
Housing committees.Status: Awaiting hearing in the Assembly Appropriations committee.
Cal Cities Position: None Cal Cities Position: Oppose unless amended AB 2663 (Grayson) Affordable housing fees: reports.
As amended 5/2/24. This bill, commencing on January 1,
2026, would require a local agency that collects
inclusionary housing in-lieu fees to annually post on its website information related to the amount of fees collected in the previous year and whether the affordable housing SB 1102 (Nguyen) Personal Income Tax Law:
Corporation Tax Law: oil spill: exclusions. As
amended 4/11/24. Would provide an exclusion from
gross income for any qualified taxpayer for amounts
received in settlements associated with the October 2,
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fees are intended to be used for a project, if any. Beginning on January 1, 2026, this bill also requires a local agency that collects affordable housing fees to post on its website, every five years, information regarding the amount of fees collected in the past five years and the projects the fees were spent on.
governing the Economic and Workforce Development
Program, provisions on the duties and membership of the program’s advisory committee, the decision criteria for allocating program funds to colleges, and the definitions that apply to the program’s provisions.
Status: 2-year bill, awaiting dispensation on the Senate Appropriations suspense file.
Cal Cities Position: None
Status: Referred to the Senate Housing and Local
Government committees.
Cal Cities Position: Watch
AB 1569 (Garcia) Salton Sea geothermal resource area:
Lithium Valley Office of Development. As amended
5/18/23. This bill would establish the Lithium Valley
Office of Development in the Energy Commission, and
require the office, in consultation with relevant state and local agencies, to coordinate activities related to funding, economic development, construction, manufacturing,
technical development, and reclamation of lithium located in the Salton Sea geothermal resource area.
AB 2729 (Patterson, Joe) Residential fees and charges.
As amended 4/25/24. Prohibits a local agency from
requiring payment of fees or charges on a residential
development before the date of final inspection or the
issuance of a certificate of occupancy, whichever occurs first, except under specified conditions.
Status: Referred to the Senate Local Government and
Housing committees.
Cal Cities Position: Oppose Status: 2-year bill, awaiting dispensation on the Senate Appropriations suspense file.
AB 3177 (Carrillo, Wendy) Mitigation Fee Act: land
dedications: mitigating vehicular traffic impacts. As
amended 4/30/24. Would require a housing development
to be located within 1/2 mile of a transit priority area for purposes of a local agency setting the rate for a mitigating vehicular traffic impacts fee to reflect a lower rate of automobile trip generation.
Status: Referred to the Senate Local Government and
Housing committees.
Cal Cities Position: Track
Cal Cities Position: Watch
AB 1819 (Waldron) Enhanced infrastructure financing
districts: public capital facilities: wildfires. As amended 5/2/24. This bill would authorize an enhanced
infrastructure financing district that is at least partially in high or very high fire hazard severity zones designated by the State Fire Marshal, to finance heavy equipment to be used for vegetation clearance and firebreaks,
undergrounding of local publicly owned electric utilities, as defined, against wildfires, and equipment used for fire watch, prevention, and fighting.SB 937 (Wiener) Development projects: permits and other entitlements: fees and charges. As amended
4/8/24. Extends development entitlements for certain
housing development projects by two years and places
restrictions on the fees and charges a local agency may impose on these projects.
Status: Awaiting assignment to a policy committee in the Assembly.
Cal Cities Position: Oppose unless amended
Status: Awaiting hearing in the Senate Local Government committee.
Cal Cities Position: Pending
AB 2922 (Garcia) Economic development: capital
investment incentive programs. As amended 4/15/24.
Reestablishes, until January 1, 2035, the authorization for the local agency Capital Investment Incentive Program,
which expired January 1, 2024.
Economic Development Status: Awaiting hearing in the Senate Local Government committee.
Cal Cities Position: SupportAB 1370 (Ta) California Community Colleges Economic and Workforce Development Program. As
amended 3/28/2023. Would revise and recast several
provisions of the California Community Colleges
Economic and Workforce Development Program. The bill
would extend the operation of the program indefinitely
and would repeal the Job Development Incentive Training Program. The bill would revise and recast the principles SB 517 (Gonzalez) Economic development:
movement of freight. As amended 3/22/23. Would
authorize the Governor’s Office of Business and
Economic Development (GO-Biz) to serve as the
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the state and to promote and assess the continued
economic vitality, economic competitiveness, and
sustainability of the freight sector. Would also authorize GO-Biz to provide freight and supply chain economic
competitiveness information.
Status: 2-year bill. Awaiting hearing in the Assembly Jobs, Economic Development, & the Economy committee.
Cal Cities Position: Watch
Online Sales
SB 1144 (Skinner) Marketplaces: online marketplaces.
As amended 5/16/24. Expands existing requirements for
online marketplaces to collect certain information from high-volume third-party sellers on those platforms, and permits a district attorney, city attorney, or county counsel to enforce the requirements.
Status: In the Assembly, awaiting assignment to a policy committee.
Cal Cities Position: Support
SB 720 (Stern) Aviation: airports: report: emissions:
GO-Biz. As amended 7/10/23. Would require GO-Biz to
create a stakeholder group to identify and pursue
opportunities to attract and develop sustainable aviation fuel production and infrastructure in the state to help reach the goal of net-zero greenhouse gas emissions in
California.
Status: 2-year bill. Awaiting hearing in the Assembly
Natural Resources committee.
Cal Cities Position: None
Property Tax
AB 1093 (Patterson) Property taxation: manufactured
homes: tax collection. As amended 7/13/23. This bill
would revise the Manufactured Home Property Tax Law
procedures for issuing a tax clearance certificate or a conditional tax clearance certificate and for the collection of unpaid, estimated taxes. With respect to the collection of taxes that are not yet payable, the bill would require those taxes to be computed by a certificate or statement prepared by the tax collector, upon request by an escrow officer, as provided, giving their estimate of those taxes or assessments for the current fiscal year and one succeeding fiscal year.
SB 864 (Smallwood-Cuevas) Workforce development:
workplace rights curriculum. As amended 7/3/23.
Would require the California Workforce Development
Board to assist the governor with partnering with the labor commissioner and other subject matter experts in
developing a workplace rights curriculum to be provided to all individuals receiving individualized career services, supportive services, or training services through the
California workforce system. The measure would require
each local workforce development board to ensure the
provision of workplace rights training consistent with that workplace rights curriculum. The bill would require the comprehensive 4-year local plan to include a description of how the local board plans to comply with this requirement.
Status: 2-year bill. Awaiting dispensation on the Assembly Appropriations suspense file.
Status: 2-year bill. Awaiting dispensation on the Senate Appropriations suspense file.
Cal Cities Position: Watch
AB 1868 (Friedman) Property taxation: assessments:
affordable housing. As amended 4/18/24. Presumes,
rebuttably, that an assessor shall not include the value of the deed of trust that ensures compliance with affordability restrictions on a property developed consistently with the Habitat for Humanity model.
Status: Awaiting a hearing in the Senate Revenue &
Taxation committee.
Cal Cities Position: Watch
Cal Cities Position: Watch
SB 1140 (Caballero) Enhanced infrastructure
financing district. As amended 3/21/24. Would
authorize a city or county official to electronically submit a copy of a city or county’s resolution of intention to
establish an infrastructure financing district to each
affected taxing entity, rather than mailing a physical copy.
Status: In the Assembly, awaiting assignment to a policy committee.
AB 2353 (Ward) Property taxation: welfare exemption:
delinquent payments: interest and penalties. As
amended 4/24/24. Creates a process for a developer
building affordable rental housing that qualifies for the property tax welfare exemption to withhold property taxes, without penalty, while the county tax assessor determines if the development qualifies for the welfare exemption.
Status: Awaiting assignment to a policy committee in the Senate.
Cal Cities Position: Watch
Cal Cities Position: Watch
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Cal Cities Position: Watch
AB 2506 (Lowenthal) Property taxation: local
exemption: possessory interests: publicly owned
housing. As introduced 2/13/24. Authorizes a county
board of supervisors to exempt from property taxation any possessory interest held by a tenant of publicly owned
housing with a value so low that the total taxes and
applicable subventions on the property would amount to
less than the cost of assessing and collecting them.
Status: Awaiting hearing in the Assembly Revenue &
Taxation committee.
AB 3277 (Committee on Local Government) Local
agency formation commission: districts: property tax.
As introduced 2/27/24. Would require a commission to
determine the amount of property tax revenue to be
exchanged by an affected local agency if the proposal
includes the formation of a district and the applicant is seeking a share of the 1% ad valorem property taxes.
Status: Awaiting hearing in the Senate Appropriations
committee.
Cal Cities Position: Watch Cal Cities Position: None
AB 2564 (Boerner) Property tax postponement: Senior
Citizens and Disabled Citizens Property Tax
Postponement Fund. As introduced 2/14/24. Would
require money to be transferred, on June 30, 2025, and on June 30 each year thereafter, from the state General Fund to the Senior Citizens and Disabled Citizens Property Tax Postponement Fund when the balance in the latter fund is less than $15 million.
SB 726 (Archuleta) Property taxation: exemption:
disabled veteran homeowners. As amended 4/13/23.
Increases the disabled veterans’ exemption from property taxation to $863,790, and indexes the increased amount for inflation, for lien dates between January 1, 2024, and
January 1, 2034.
Status: Awaiting hearing in the Assembly Revenue &
Taxation committee.
Cal Cities Position: WatchStatus: Awaiting assignment to a policy committee in the Senate.
Cal Cities Position: Support SB 871 (Archuleta) Property taxation: homeowners’, veterans’, and disabled veterans’ exemptions. As
amended 9/1/23. Amends the homeowners’ exemption
from property tax to allow a property that receives the homeowners’ exemption to also receive the disabled
veterans’ or veterans’ exemptions; and takes effect only if voters approve SCA 6 (Archuleta). SCA 6 is awaiting
referral to a policy committee in the Assembly.
Status: Awaiting hearing in the Assembly Revenue &
Taxation committee.
AB 2897 (Connolly) Property tax: welfare exemption:
community land trusts. As amended 4/1/24. Expands
the definition of a community land trust (CLT) to include a wholly owned subsidiary that is solely directed and
managed by the CLT, and to provide that a CLT may sell a dwelling or unit to a qualified owner if that dwelling or unit is subject to a 99-year affordability restriction.
Status: Referred to the Senate Housing and Revenue &
Taxation policy committees. Cal Cities Position: Pending Cal Cities Position: Watch
SB 1072 (Padilla) Local government: Proposition 218:
remedies. As amended 4/24/24. Would establish the
Property Tax Assistance for Descendants of Enslaved
Persons Program for purposes of making, upon
AB 3134 (Chen) Property taxation: refunds. As
amended 4/24/24. Would require the county auditor, if
the cancellation of property taxes will result in a refund, to either process the refund to the payor of the tax or notify the payor in writing of the requirements for obtaining a refund. The bill would require that a claim for a refund under this provision be deemed timely filed if it is filed within 60 days of the notice. This bill would also authorize an order for refund of taxes or assessments to be paid to the assessee of a property, without a claim for refund filed, if certain conditions are met, including, among other
requirements, that the amount of the refund is less than $10,000.
appropriation by the legislature, moneys available to
persons who meet specified criteria for purposes of
providing financial assistance equal to the total amount of property taxes paid on a residential dwelling, as defined, or $4,000, whichever is less, and as subject to specified
limitations. The bill would, for purposes of determining a person’s eligibility for monies under the program, require the person to provide an affidavit, under penalty of
perjury, containing specified information, if the residential dwelling is owned by the person on property owned by a
nonprofit incorporated association. By expanding the
crime of perjury, the bill would impose a state-mandated Status: Awaiting hearing in the Senate Revenue & Taxation committee.
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local program. The bill would require the Franchise Tax Board to develop and administer the program and to
provide funds to eligible claimants. The bill would set forth procedures for administering the program.
Status: Awaiting assignment to a policy committee in the Assembly.
homeowners’ exemption. Would authorize the legislature
to exempt property eligible for the veterans’ exemption in an amount up to the full value of the property. If the
legislature increases the homeowners’ exemption, the
measure would require that the legislature provide the
same increase in the veterans’ exemption, except as limited by the full value of the property.Cal Cities Position: Watch Status: Awaiting referral to a policy committee in the
Assembly.
Cal Cities Position: Track
SB 1164 (Newman) Property taxation: new
construction exclusion: accessory dwelling units. As
amended 5/16/24. Would enact a property tax new
construction exclusion for the addition or construction of an accessory dwelling unit between January 1, 2025, and January 1, 2030.
Revenue and Taxation
AB 2813 (Aguiar-Curry) Government Investment Act.
As amended 4/29/24. This bill, for purposes of ACA 1,
would define “affordable housing” to include rental
housing, ownership housing, interim housing, and
affordable housing programs such as down payment
assistance, first-time homebuyer programs, and owner-
occupied affordable housing rehabilitation programs. The bill would require a local government to ensure that any project that is funded with ACA 1 bonded indebtedness or ACA 1 special taxes to have an estimated useful life of at least 15 years or 5 years if the funds are for specified public safety buildings, facilities, and equipment.
Status: Awaiting assignment to a policy committee in the Assembly.
Cal Cities Position: Oppose
SB 1327 (Glazer) Income taxation: credits: local news
media: data extraction transactions. As amended
5/16/24. Imposes a Data Extraction Mitigation Fee;
enacts credits against the Personal Income and
Corporation taxes for news media entities that pay wages for current or newly employed journalists or acquire
freelance content; and directs fee revenue to specified purposes, including to reimburse foregone General Fund
revenue resulting from the credits. Status: Ordered to the Assembly Inactive file at the request of the author.
Cal Cities Position: OpposeStatus: Awaiting a vote by the full Senate.
Cal Cities Position: Watch
AB 3005 (Wallis) Motor Vehicle Fuel Tax Law:
adjustment suspension. As introduced 2/16/24. Would
authorize the governor to suspend an adjustment to the
motor vehicle fuel tax, scheduled on or after July 1, 2025, upon determining that increasing the rate would impose an undue burden on low-income and middle-class families.
Would require the governor to notify the legislature of an intent to suspend the rate adjustment on or before January 10 of that year and would require the Department of
Finance to submit to the legislature a proposal by January 10 that would maintain the same level of funding for
transportation purposes as would have been generated had the scheduled adjustment not been suspended.
Status: Awaiting hearing in the Assembly Transportation committee.
SCA 4 (Seyarto) Property taxation: principal residence
and family home transfers. As amended 4/19/23.
Would place a measure before voters that repeals
Proposition 19’s limitation on the parent-child and
grandparent-grandchild exclusion from change in
ownership of a principal residence to apply only if the property continues as the primary residence of the
transferee. SCA 4 also reinstates the parent-child,
grandparent-grandchild exclusion for up to $1 million in aggregate value of all other types of property that is not the principal residence. Under the measure, both changes become effective on January 1, 2025, if approved by
voters.
Status: Failed passage in the Senate Governance & Finance committee.
Cal Cities Position: Watch Cal Cities Position: Oppose
ABX1 2 (Fong, Vince) Motor Vehicle Fuel Tax Law:
suspension of tax. Would suspend the imposition of the
tax on motor vehicle fuels for one year. The bill would require that all savings realized based on the suspension of the motor vehicle fuels tax by a person other than an end SCA 6 (Archuleta) Property taxation: veterans’
exemption. As amended 4/19/23. Would allow a
dwelling that receives the veterans’ exemption or the
disabled veteran’s exemption to also receive the
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consumer, be passed on to the end consumer, and would
make the violation of this requirement an unfair business practice, in violation of unfair competition laws. The bill would require a seller of motor vehicle fuels to provide a receipt to a purchaser that indicates the amount of tax that would have otherwise applied to the transaction.
Status: Awaiting assignment to a policy committee in the Senate.
AB 2061 (Wilson) Sales and Use Tax: exemptions:
zero-emission public transportation ferries. As
amended 5/1/24. This bill, beginning January 1, 2025, and until January 1, 2030, provides a partial sales and use tax exemption for a zero-emission public transportation ferry.
Status: Awaiting hearing in the Senate Revenue & Taxation committee.
Cal Cities Position: Support
Cal Cities Position: None
AB 2274 (Dixon) Taxation: sales and use taxes:
exemption: tax holiday. As amended 3/21/24. Would,
on and after January 1, 2025, exempt from sales and use taxes the gross receipts from the sale of, and the storage, use, or other consumption of, any tangible personal
property purchased during the first weekend in August,
beginning at 12:01 a.m. on Saturday and ending at 11:59 p.m. on Sunday.
Sales and Use Taxes
AB 52 (Grayson) Income tax credit: sales and use
taxes paid: manufacturing equipment: research and
development equipment. As amended 6/15/23. The
Bradley-Burns Uniform Local Sales and Use Tax Law,
authorizes counties and cities to impose local sales and use taxes in conformity with the Sales and Use Tax Law, and current laws authorize districts, as specified, to impose transactions and use taxes in accordance with the
Status: Awaiting hearing in the Assembly Revenue &
Taxation committee.
Cal Cities Position: Oppose
Transactions and Use Tax Law, which generally conforms
to the Sales and Use Tax Law. Exemptions from state sales and use taxes are automatically incorporated into the local tax laws. This bill would allow, for a taxable year beginning on or after January 1, 2024, and before January 1, 2029, a credit against those taxes to a taxpayer in an amount equal to the amount of tax reimbursement paid during the
taxable year for sales tax on gross receipts that would be exempt from taxation under the Sales and Use Tax Law
pursuant to the sales and use tax exemption described
above but for the provision that prohibits that exemption from applying with respect to any tax levied by a county, city, or district pursuant to, or in accordance with, the Bradley-Burns Uniform Local Sales and Use Tax Law or
the Transactions and Use Tax Law, sales and use taxes
imposed pursuant to certain provisions of the Sales and Use Tax Law, and sales and use taxes imposed pursuant to certain provisions of the California Constitution.
AB 2647 (Low) Property taxation: disabled veterans’
exemption: welfare exemption: housing for law
enforcement and firefighters. As amended 4/10/24.
Expands the disabled veterans’ property tax exemption
and would provide an unmarried surviving spouse a
property tax exemption in the same amount that they
would have been entitled to if the veteran was alive and if certain conditions are met.
Status: Awaiting hearing in the Assembly Revenue &
Taxation committee.
Cal Cities Position: Pending
AB 2854 (Irwin) Bradley-Burns Uniform Local Sales
and Use Tax Law. As amended 4/10/24. Requires a
local agency to annually provide specified information to the California Department of Tax and Fee Administration (CDTFA) regarding the rebate of Bradley-Burns Uniform
Local Sales and Use Tax Law revenues. Provides that, in any case where a local agency fails to provide the
information above in a timely manner to the CDTFA or
fails to post the information on its internet website, the department must notify the local agency that it has 30 days from receipt of the notice to provide or publish the
required information. If a local agency fails to provide or publish the information within 30 days after receiving the notice, the department may impose a penalty in an amount equal to the greater of the following:
Status: Held on the Senate Appropriations suspense file.
Cal Cities Position: None
AB 2006 (Mathis) Sales and Use Tax Law: exemption:
over-the-counter medication. As introduced 1/31/24.
This bill would, until January 1, 2030, provide an
exemption for the state portion of the sales and use tax imposed on the sale of, and the storage, use, or other
consumption in this state of, over-the-counter medication.
Status: Held on the Assembly Revenue & Taxation
committee suspense file. ● 20% of any rebated SUT revenues during the applicable fiscal year; or,Cal Cities Position: Watch
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● $1,000 for each day the local agency fails to provide or publish the required information after receipt of the
30-day notice from the CDTFA.
centralized platform, or any other person from advertising, displaying, or offering a room rate that does not include all fees or charges required to stay at the short-term lodging, and requires that they include in the total price to be paid, all taxes and fees imposed by a government on the stay
before the consumer reserves the stay. This bill would
require a place of short-term lodging, an internet website, application, or other similar centralized platform, or any other person to also disclose any additional fees or charges that will be added to the total price to be paid, or other penalty that will be imposed, if the consumer fails to
perform certain cleaning tasks at the end of the stay, and to explicitly describe the cleaning tasks in a written or electronic notice that is affirmatively acknowledged by the consumer before the consumer reserves the stay. The bill would make a violation of its provisions subject to the specified civil penalty and enforcement provisions
described above.
Status: Awaiting assignment to a policy committee in the Senate.
Cal Cities Position: Support if amended
AB 3259 (Wilson) Transactions and use taxes: County
of Solano. As amended 5/7/24. Authorizes Solano
County, or any city within Solano County, to impose a
transaction and use tax for general or specific purposes that exceeds the 2% statutory limitation.
Status: Awaiting assignment to a policy committee in the Senate.
Cal Cities Position: Watch
SB 243 (Seyarto) Sales and Use Tax Law: exemption:
gun safety systems. As introduced 1/25/23. Would, until January 1, 2028, exempt from sales and use taxes the gross receipts from the sale in this state of, and the storage, use, or other consumption in this state of, a gun safety system, as defined. This bill contains other related provisions and other existing laws.
Status: Failed passage in the Senate Governance & Finance committee.
Cal Cities Position: Watch
Status: Awaiting hearing in the Senate Judiciary committee.
Cal Cities Position: Watch
SB 584 (Limón) Laborforce housing: Short-Term
Rental Tax Law. As amended 5/18/23. This bill would
enact the Laborforce Housing Financing Act of 2023, and define “laborforce housing” as housing that, among other things, is owned and managed by specified entities solely for the benefit of residents and households unable to
afford market rent, and whose residents enjoy certain
protections. The bill would establish the Laborforce
Housing Fund in the State Treasury and would make
moneys in the fund available to the department, upon
appropriation by the legislature, for the creation of
laborforce housing and other specified housing projects by public entities, local housing authorities, and mission- driven nonprofit housing providers, as provided.
Status: Awaiting hearing in the Assembly Housing &
Community Development committee.
SB 1086 (Seyarto) Sales and Use Tax Law: motor
vehicle fuel tax: sales price: gross receipts. As
introduced 2/12/24. The Motor Vehicle Fuel Tax Law
imposes a tax upon each gallon of motor vehicle fuel
removed from a refinery or terminal rack in this state, entered into this state, or sold in this state, at a specified rate per gallon. Existing sales and use tax laws provide a partial exemption from the taxes imposed by those laws
for motor vehicle fuel that is subject to the taxes imposed by the Motor Vehicle Fuel Tax Law. This bill, beginning January 1, 2025, would exclude from the terms “gross
receipts” and “sales price” under the Sales and Use Tax Law the amount of any motor vehicle fuel tax imposed
pursuant to the Motor Vehicle Fuel Tax Law.
Status: Failed passage in the Senate Revenue & Taxation committee.
Cal Cities Position: Oppose unless amended
SB 683 (Glazer) Hotels and short-term rentals:
advertised rates: mandatory fees. As amended 9/7/23.
Would, beginning July 1, 2024, require a person or a
website, application, or other similar centralized platform that advertises a hotel room rate or short-term rental rate before the public in this state, or from this state before the public in any state, to include in the advertised hotel room rate or short-term rental rate all mandatory fees, that will be charged in order for the consumer to stay in the hotel room or short-term rental and include in the total price to be paid, before the consumer reserves the stay, all taxes and fees imposed by a government on the stay.
Cal Cities Position: Watch
Short-Term Rentals
AB 2202 (Rendon) Short-term rentals: disclosure:
cleaning tasks. As amended 3/21/24. Current law,
commencing July 1, 2024, prohibits a place of short-term lodging, an internet website, application, or other similar 10 Item 5
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Status: Inactive file.
Cal Cities Position: Watch
(CEQA) exempts from its requirements residential
projects on infill sites and transit priority projects that meet certain requirements, including a requirement that the projects are located within 1/2 mile of a major transit stop. CEQA defines “major transit stop” to include,
among other locations, the intersection of 2 or more major bus routes with a frequency of service interval of 15
minutes or less during the morning and afternoon peak
commute periods. This bill would revise the definition of “major transit stop” to increase the frequency of service interval to 20 minutes.
Transit
AB 1837 (Papan) San Francisco Bay area: public
transit: Regional Network Management Council. As
amended 3/21/24. Establishes in state law the Regional
Network Management Council and directs the
Metropolitan Transportation Commission to facilitate the creation of the council.
Status: Awaiting hearing in the Senate Transportation
committee.
Cal Cities Position: Track
Status: Referred to the Senate Local Government and
Housing committees.
Cal Cities Position: Track
AB 2634 (McCarty) Sacramento Regional Transit
District. As amended 5/30/24. Exempts the Sacramento
Regional Transit (SACRT) District from a requirement
that each transit operator that offers reduced fares to senior citizens must also offer reduced fares to disabled persons at the same rate established for senior citizens until January 1, 2027. This bill mandates that if SacRT offers reduced fares to senior citizens only, under this exemption, the district shall not increase fares for disabled persons or disabled veterans. This bill requires, under this exemption, that if SacRT offers reduced fares to senior citizens only, then SacRT is to submit a report to the
legislature by January 1, 2026.
AB 1853 (Villapudua) San Joaquin Regional Transit
District: meetings: surplus money investments. As
amended 3/11/24. Would authorize the San Joaquin
Regional Transit District board to provide, by ordinance or resolution, that each board member receive $100 for each board meeting and committee meeting attended, not to
exceed $500 in a calendar month.
Status: Awaiting hearing in the Senate Transportation
committee.
Cal Cities Position: Track
AB 1924 (Nguyen, Stephanie) Sacramento Regional
Transit District. As amended 5/13/24. This bill allows
the Sacramento Regional Transit District to expand its
service area to any city within Sacramento County and any other portion of the unincorporated territory within the boundaries of Sacramento County where the county has
declared a need for the district to operate.
Status: Awaiting a full vote of the Senate.
Cal Cities Position: None
SB 904 (Dodd) Sonoma-Marin Area Rail Transit
District. As amended 3/21/24. Current law authorizes the board of the Sonoma-Marin Area Rail Transit District to submit to the voters of the district a measure proposing a retail transaction and use tax ordinance. SB 904 would also authorize special district taxes to be imposed by a qualified voter initiative and require the board of supervisors of the counties of Sonoma and Marin to call a special election on a tax measure proposed by the district’s board of directors or a qualified voter initiative in their respective counties.
Status: Awaiting assignment to a policy committee in the Assembly.
Status: Awaiting a full vote of the Senate.
Cal Cities Position: Track
AB 2325 (Lee) San Francisco Bay Area Rapid Transit
District: officers: designation and appointment. As
amended 5/30/24. Would eliminate the treasurer and
controller as specifically designated officers of the San Francisco Bay Area Rapid Transit District and as positions subject to appointment and removal by the board. The bill would also eliminate specified qualifications applicable to the controller. Cal Cities Position: None
Status: Awaiting hearing in the Senate Transportation
committee.
Cal Cities Position: None
SB 960 (Wiener) Transportation: planning: transit
priority projects: multimodal. As amended 5/17/24.
Directs Caltrans to develop a transit priority policy,
requiring inclusion of bicycle, pedestrian, and transit priority facilities in the Transportation Asset Management Plan, the State Highway System Management Plan, and the AB 2553 (Friedman) Housing development: major
transit stops: vehicular traffic impact fees. As amended 4/15/24. The California Environmental Quality Act
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plain language performance report of the State Highway
Operation and Protection Program (SHOPP). This bill
requires any project in the SHOPP to include bicycle,
pedestrian, and transit priority projects unless a specified exception applies.
Status: Awaiting assignment to a policy committee in the Assembly.
Cal Cities Position: Track
Employment Discrimination
SB 1264 (Grove) Employment discrimination:
cannabis use. As amended 4/29/24. Existing law
prohibits employers from discriminating against
individuals in hiring, termination, or employment
conditions based on their off-the-job cannabis use or the presence of nonpsychoactive cannabis metabolites in drug screenings. Certain exemptions exist, such as for positions requiring federal background checks or security clearances.
SB 1264 extends exemptions to additional applicants and employees within law enforcement agencies, including
those involved in civil enforcement, animal control, or coroner functions.
SB 1031 (Wiener) San Francisco Bay area: local
revenue measure: transportation improvements. As
amended 5/20/24. Authorizes the Metropolitan
Transportation Commission to propose new taxes, allocate new revenue and issue bonds for specified transportation projects, and requires the State Transportation Agency to consider transit agency consolidation within the San
Francisco Bay area.
Status: Awaiting assignment to a policy committee in the Assembly.
Status: Awaiting assignment to a policy committee in the Assembly.
Cal Cities Position: Track
Cal Cities Position: Watch
Enforcement
SB 1417 (Allen) Transit districts: prohibition orders.
As introduced 2/16/24. This bill would provide that the Santa Monica Department of Transportation is also a
transit district for purposes of provisions regarding
prohibition orders.
Status: Awaiting hearing in the Assembly Transportation committee.
AB 491 (Wallis) Local government: fines and
penalties. As amended 9/13/23. Makes several changes
to a local agency’s ability to collect administrative fines or penalties, including changes that apply to all administrative fines and penalties, as well as changes that are specific to violations of cannabis-related ordinances.
Status: Awaiting hearing in the Senate Judiciary committee.
Cal Cities Position: SupportCal Cities Position: None
Cannabis AB 1616 (Lackey) California Cannabis Tax Fund:
Board State and Community Corrections grants. This
bill amends the Board of State and Community
Corrections (BSCC) Prop 64 Public Health and Safety
Grant Program to expand the eligibility criteria so that all of California's 482 cities and 58 counties may apply for grant funding. The bill further directs the BSCC to
prioritize the allocation of BSCC grants to programs
addressing unlawful retail and cultivation activities.
Status: 2-year bill. Awaiting hearing in the Senate Public Safety committee.
Direct to Consumer
AB 1111 (Pellerin) Cannabis: small producer event
sales license. As amended 5/22/23. This bill establishes a small producer event sales license for licensed small-scale cannabis cultivators in California, utilizing the existing state framework for cannabis events established under AB 2020. The bill limits license issuance to cultivators meeting specific cultivation size criteria and designated equity licensees. Licensees are required to sell only their own cultivated cannabis products and transport them to event venues through licensed distributors. Additionally, the bill mandates event organizers to provide a list of small
producer event sales licensees to the Department of
Cannabis Control (DCC) for temporary event applications and grants DCC authority to take disciplinary action for violations. Sponsored by the Origins Council.
Cal Cities Position: Support
SB 820 (Alvarado-Gil) Cannabis: enforcement: seizure
of property. As amended 5/1/23. Sponsored by the Rural
County Representatives of California, this bill empowers the Department of Cannabis Control or local jurisdictions, with an inspection warrant, to seize specified property used in unlicensed commercial cannabis activities, along with vehicles valued over $5,000 used to conceal or
transport cannabis products for those engaging in suchStatus: Held on the Senate Appropriations suspense file.
Cal Cities Position: Watch
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conduct. Specified property includes various equipment, materials, and currency exceeding $40,000. The bill
excludes limited unlicensed commercial cannabis activities involving fewer than 1,000 living cannabis plants and real property. It establishes notice requirements and forfeiture proceedings, with seized property sold at public auction and proceeds split between the local jurisdiction and the Cannabis Control Fund. Proceeds allocated to the state are designated for use exclusively under the California
Cannabis Equity Act, subject to legislative appropriations.
Status: Awaiting hearing in the Assembly Business and
Professions committee.
SB 1109 (Bradford) Cannabis licensure. As amended
5/16/24. Requires the Department of Cannabis Control to collect demographic data about a person applying for a
state license.
Status: Awaiting assignment to a policy committee in the Assembly.
Cal Cities Position: Pending
Onsite Consumption
AB 1775 (Haney) Cannabis: local control: cannabis
consumption. As amended 4/25/24. This bill specifies
that a local jurisdiction may allow a licensed retailer or microbusiness to prepare or sell pre-packaged non-
cannabis-infused, nonalcoholic food or beverage products and to allow, and to sell tickets for, live musical or other performances on the premises by a licensed retailer or
microbusiness in an area where the consumption of
cannabis is allowed.
Cal Cities Position: Support
Industrial Hemp
AB 2223 (Aguiar-Curry) Cannabis: industrial hemp.
As amended 5/16/24. Allows for cannabis licensees to
manufacture, distribute, or sell products that contain
industrial hemp and places additional restrictions on
industrial hemp products containing tetrahydrocannabinol (THC) or comparable cannabinoids.
Status: Awaiting hearing in the Senate Business Professions and Economic Development committee.
Status: Referred to the Senate Business Professions and Economic Development and Health committees.
Cal Cities Position: Pending
Cal Cities Position: Pending
SB 285 (Allen) Cannabis: retail preparation, sale, and
consumption of non-cannabis food and beverage
products. As amended 4/11/23. Permits the preparation
or sale of non-cannabis food or beverage products in
compliance with all applicable provisions of the retail food code by a licensed cannabis retailer or microbusiness in the area where the consumption of cannabis is allowed.
Specifies that the activities above must be authorized by a local jurisdiction, and only if access to the area where cannabis consumption is allowed is restricted to persons 21 years of age or older, if cannabis consumption is not visible from any public place or nonage-restricted area, and if the sale or consumption of alcohol or tobacco is not allowed on the premises. Authorizes a local jurisdiction to allow for the sale of prepackaged, non-cannabis-infused, nonalcoholic food and beverages by a licensed retailer.
Status: Awaiting hearing in the Assembly Governmental
Organization committee.
Licensing Reform/Simplification
SB 508 (Laird) Cannabis: licenses: California
Environmental Quality Act. As amended 8/4/23.
Establishes conditions under which the Department of
Cannabis Control is not required to serve as a responsible agency under the California Environmental Quality Act
(CEQA).
Status: Awaiting dispensation in the Assembly
Appropriations committee.
Cal Cities Position: Support
SB 1064 (Laird) Cannabis. As amended 5/16/24. Co-
sponsored by the Rural County Representatives of
California and the California Cannabis Industry
Association, this bill revises the current licensing
framework for retail, distribution, processing and
manufacturing of cannabis or cannabis products for
commercial cannabis activity by creating a uniform
operator license, a revised premises license, as specified, and transforming a cultivation or laboratory license into a unified license by January 1, 2028.
Cal Cities Position: Watch
Cannabis Taxation
AB 2555 (Quirk-Silva) Sales and use tax: exemption:
medicinal cannabis: donations. As amended 4/8/24.
This bill ensures continued access to medicinal cannabis donations for low-income patients by extending
Status: Awaiting assignment to a policy committee in the Assembly.
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cannabis or medicinal cannabis products that are donated by cannabis licensees, also known as the Dennis Peron and Brownie Mary Act. The current exemption is set to expire at the end of 2024 and this bill would extend the sunset to Jan. 1, 2030.
Status: Awaiting assignment to a policy committee in the Senate.
Cal Cities Position: Watch
SB 1059 (Bradford) Cannabis tax: cannabis retailers.
As amended 4/24/24. Clarifies that the state’s 15% excise tax is calculated based on gross receipts of cannabis
products and does not capture any tax or fee imposed by a local jurisdiction. In some jurisdictions, including the City of Los Angeles, local cannabis taxes or fees are being
calculated after the state excise tax is applied.
Status: Awaiting assignment to a committee in the
Assembly.
Cal Cities Position: Pending
Testing Integrity
AB 1610 (Jones-Sawyer) Cannabis: Department of
Cannabis Control. As amended 7/5/23. This bill aims to
tackle the issue of illegal over-reporting of potency for price markups in the cannabis industry. The bill mandates the Department of Cannabis Control (DCC) to maintain a
record of recall orders on its website, including details like date, location, licensee name, and license number. It also requires the DCC to establish a blind proficiency test
method for testing laboratories to ensure consistent
results, conduct biennial in-person audits of testing labs, set guidelines for audit procedures, and establish quality assurance standards for cannabis products available for retail sale.
Status: Awaiting hearing in the Senate Business,
Professions, and Economic Development Committee.
Cal Cities Position: Watch
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