Palo Alto City Council
March 10, 2025

CITY OF PALO ALTO CONTRACT NO. C25191402

AGREEMENT FOR PROFESSIONAL SERVICES
BETWEEN THE CITY OF PALO ALTO AND RAIMI & ASSOCIATES, INC.

This Agreement for Professional Services (this “Agreement”) is entered into as of the day of March, 2025 (the “Effective Date”), by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and RAIMI & ASSOCIATES, INC. , a California corporation, located at 1900 Addison Street, Suite 200, Berkeley, CA 94704 (“CONSULTANT”).

The following recitals are a substantive portion of this Agreement and are fully incorporated herein by this reference:

RECITALS

A. CITY intends to complete an area plan (the “Project”) and desires to engage a consultant to establish goals, policies, and implementation programs for land use, transportation, critical infrastructure and other improvements that will support the redevelopment of the area surrounding San Antonio Road. in connection with the Project (the “Services”, as detailed more fully in Exhibit A).

B. CONSULTANT represents that it, its employees and subconsultants, if any, possess the necessary professional expertise, qualifications, and capability, and all required licenses and/or certifications to provide the Services.

C. CITY, in reliance on these representations , desires to engage CONSULTANT to provide the Services as more fully described in Exhibit A, entitled “SCOPE OF SERVICES”.

NOW, THEREFORE, in consideration of the recitals, covenants, terms, and conditions, in this Agreement, the parties agree as follows:

SECTION 1. SCOPE OF SERVICES. CONSULTANT shall perform the Services described in Exhibit A in accordance with the terms and conditions contained in this Agreement. The performance of all Services shall be to the reasonable satisfaction of CITY.

SECTION 2. TERM.

The term of this Agreement shall be from the effective date of this agreement through June 30, 2028, unless terminated earlier pursuant to Section 19 (Termination) of this Agreement.

SECTION 3. SCHEDULE OF PERFORMANCE. Time is of the essence in the performance of Services under this Agreement. CONSULTANT shall complete the Services within the term of this Agreement and in accordance with the schedule set forth in Exhibit B, entitled “SCHEDULE OF PERFORMANCE”. Any Services for which times for performance are not specified in this Agreement shall be commenced and completed by CONSULTANT in a reasonably prompt and timely manner based upon the circumstances and direction communicated to the CONSULTANT.

CITY’s agreement to extend the term or the schedule for performance shall not preclude recovery of damages for delay if the extension is required due to the fault of CONSULTANT. However, Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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such damages shall not be available for delays beyond the CONSULTANT’s control.

SECTION 4. NOT TO EXCEED COMPENSATION . The compensation to be paid to CONSULTANT for performance of the Services shall be based on the compensation structure detailed in Exhibit C, entitled “COMPENSATION,” including any reimbursable expenses specified therein, and the maximum total compensation shall not exceed One Million Seven Hundred Ninety Nine Thousand and Nine Hundred and Eleven Dollars ($1,799,911). The hourly schedule of rates , if applicable, is set out in Exhibit C -1, entitled “ SCHEDULE OF RATES.” Any work performed or expenses incurred for which payment would result in a total exceeding the maximum compensation set forth in this Section 4 shall be at no cost to the CITY.

Optional Additional Services Provision (This provision applies only if checked and a not-to-exceed compensation amount for Additional Services is allocated below under this Section 4.)

In addition to the not-to-exceed compensation specified above, CITY has set aside the not- to-exceed compensation amount of One Hundred Seventy Nine Thousand Nine Hundred and Ninety One Dollars ($179,991) for the performance of Additional Services (as defined below). The total compensation for performance of the Services, Additional Services and any reimbursable expenses specified in Exhibit C , shall not exceed One Million Nine Hundred Seventy Nine Thousand Nine Hun dred and Two Dollars ($1,979,902), as detailed in Exhibit C.

“Additional Services” means any work that is determined by CITY to be necessary for the proper completion of the Project, but which is not included within the Scope of Services described at Exhibit A or any work that is at a higher level of effort than the hours identified in Exhibit C. CITY may elect to, but is not required to, authorize Additional Services up to the maximum amount of compensation set forth for Additional Services in this Section

4. CONSULTANT shall provide Additional Services only by advanced, w ritten authorization from CITY as detailed in this Section. Additional Services, if any, shall be authorized by CITY with a Task Order assigned and authorized by CITY’s Project Manager, as identified in Section 13 (Project Management). Each Task Order sh all be in substantially the same form as Exhibit A-1, entitled “PROFESSIONAL SERVICES TASK ORDER”. Each Task Order shall contain a specific scope of services, schedule of performance and maximum compensation amount, in accordance with the provisions of this Agreement. Compensation for Additional Services shall be specified by CITY in the Task Order, based on whichever is lowest: the compensation structure set forth in Exhibit C, the hourly rates set forth in Exhibit C-1, or a negotiated lump sum.

To accept a Task Order, CONSULTANT shall sign the Task Order and return it to CITY’s Project Manager within the time specified by the Project Manager, and upon authorization by CITY (defined as counter-signature by the CITY Project Manager), the fully exec uted Task Order shall become part of this Agreement. The cumulative total compensation to CONSULTANT for all Task Orders authorized under this Agreement shall not exceed the amount of compensation set forth for Additional Services in this Section 4 .

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Additional Services in this Section 4 . Performance of and payment for any Additional Services are subject to all requirements and restrictions in this Agreement.

SECTION 5. INVOICES. In order to request payment, CONSULTANT shall submit monthly invoices to the CITY describing the Services performed and the applicable charges (including , if applicable, an identification of personnel who performed the Services, hours worked, hourly rates, and reimbursable expenses), based upon Exhibit C or, as applicable, CONSULTANT’s schedule of rates set forth in Exhibit C-1. If applicable, the invoice shall also describe the percentage of completion of each task. The information in CONSULTANT’s invoices shall be subject to verification by CITY. CONSULTANT shall send all invoices to CITY’s Project Manager via email address [email protected]. CITY will generally process and pay invoices within thirty (30) days of receipt of an acceptable invoice.

SECTION 6. QUALIFICATIONS/STANDARD OF CARE. All Services shall be performed by CONSULTANT or under CONSULTANT’s supervision. CONSULTANT represents that it , its employees and subcontractors, if any, possess the professional and technical personnel necessary to perform the Services required by this Agreement and that the personnel have sufficient skill and experience to perform the Services assigned to them. CONSULTANT represents that it, its employees and subcontractors, if any, have and shall maintain during the term of this Agreement all licenses, permits, qualifications, insurance and approvals of whatever nature that are legally required to perform the Services. All Services to be furnished by CONSULTANT under this Agreement shall meet the professional standard and quality that prevail among professionals in the same discipline and of similar knowledge and skill engaged in related work throughout California under the same or similar circumstances.

SECTION 7. COMPLIANCE WITH LAWS . CONSULTANT shall keep itself informed of and in compliance with all federal, state and local laws, ordinances, regulations, and orders that may affect in any manner the Project or the performance of the Services or those engaged to perform Services under this Agreement , as amended from time to time . CONSULTAN T shall procure all permits and licenses, pay all charges and fees, and give all notices required by law in the performance of the Services.

SECTION 8. ERRORS/OMISSIONS. CONSULTANT is solely responsible for costs, including, but not limited to, increas es in the cost of Services , arising from or caused by CONSULTANT’s errors and omissions, including, but not limited to, the costs of corrections such errors and omissions, any change order markup costs, or costs arising from delay caused by the errors and omissions or unreasonable delay in correcting the errors and omissions.

SECTION 9. COST ESTIMATES. If this Agreement pertains to the design of a public works project, CONSULTANT shall submit estimates of probable construction costs at each phase of design submittal. If the total estimated construction cost at any submittal exceeds the CITY’s stated construction budget by ten percent (10%) or more , CONSULTANT shall make recommendations to CITY for aligning the P roject design with the budget, incorporate CITY approved recommendations, and revise the design to meet the Project budget, at no additional cost to CITY.

SECTION 10. INDEPENDENT CONTRACTOR. CONSULTANT acknowledges and agrees that CONSULTANT and any agent or employee of CONSULTANT will act as and shall be Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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deemed at all times to be an independent contractor and shall be wholly responsible for the manner in which CONSULTANT performs the Services requested by CITY under this Agreement.

CONSULTANT and any agent or employee of CONSULTANT will not have employee status with CITY, nor be entitled to participate in any plans, arrangements, or distributions by CITY pertaining to or in connection with any retirement, health or other benefits that CITY may offer its employees. CONSULTANT wi ll be responsible for all obligations and pa yments, whether imposed by federal, state or local law, including, but not limited to, FICA, income tax withholdings, workers’ compensation, unemployment compensation, insurance, and other similar responsibilities re lated to CONSULTANT’s performance of the Services, or any agent or employee of CONSULTANT providing same. Nothing in this Agreement shall be construed as creating an employment or agency relationship between CITY and CONSULTANT or any agent or employee of CONSULTANT. Any terms in this Agreemen t referring to direction from CITY shall be construed as providing for direction as to policy and the result of CONSULTANT’s provision of the Services only, and not as to the means by which such a result is obtained.

SECTION 11. ASSIGNMENT . The partie s agree that the expertise and experience of CONSULTANT are material considerations for this Agreement. CONSULTANT shall not assign or transfer any interest in this Agreement nor the performance of any of CONSULTANT’s obligations hereunder without the pri or written approval of the City Manager. Any purported assignment made without the prior written approval of the City Manager will be void and without effect. Subject to the foregoing, the covenants, terms, conditions and provisions of this Agreement will apply to, and will bind, the heirs, succes sors, executors, administrators and assignees of the parties.

SECTION 12. SUBCONTRACTING.

Subcontracts Authorized: Notwithstanding Section 11 (Assignment) above, CITY agrees that any subcontractors may be used to complete the Services only with prior approval, in writing, including scope of services, cost and performance to be complete with term pursuant to Section 4 of the Agreement. The subcontractors identified at Agreement commencement are:

• KITTELSON & ASSOCIATES, INC (CA#1651568) 225 E. ROBINSON STREET SUITE 355 ORLANDO, FL 32801
• STRATEGIC ECONOMICS, INC. (CA#3271083) 2991 SHATTUCK AVE STE 203 BERKELEY, CA 94705
• BKF ENGINEERS (CA#599256) 2100 FRANKLIN STREET SUITE 4C OAKLAND, CA 94612
• DAVID J. POWERS & ASSOCIATES, INC. (CA#1638288) 1871 THE ALAMEDA #200 SAN JOSE, CA 95126
• ILLINGWORTH & RODKIN, INC. (CA#1195836) 429 E COTATI AVE COTATI, CA 94931

CONSULTANT shall be responsible for directing the work of any subcon tractors and for any compensation due to subcon tractors. CITY assumes no responsibility whatsoever concerning compensation of subcontractors. CONSULTANT shall be fully responsible to CITY for all acts and omissions of subcon tractors. CONSULTANT shall change or add subcon tractors only with the prior written approval of the City Manager or designee.

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SECTION 13. PROJECT MANAGEMENT . CONSULTANT will assign Jeanine Cavalli , Telephone: (510) 944-0163, Email: [email protected] as the CONSULTANT’s Project Manager to have supervisory responsibility for the performance, progress, and execution of the Services and represent CONSULTANT during the day-to-day performance of the Services.

If circumstances cause the substitution of the CONSULTANT’s Project Manager or any other of CONSULTANT’s key personnel for any reason, the appointment of a substitute Project Manager and the assignment of any key new or replacement personnel will be subject to the prior written approval of the CITY’s Project Manager. CONSULTANT, at CITY’s request, shall promptly remove CONSULTANT personnel who CITY finds do not perform the Services in an acceptable manner, are uncooperative, or present a threat to the adequate or timely completion of the Services or a threat to the safety of persons or property.

CITY’s Project Manager is Vishnu Krishnan, Planning & Development Services Department, 250 Hamilton Avenue Palo Alto, CA , 94301, Telephone: (650) 329-2425, Email:

[email protected]. CITY’s Project Manager will be CONSULTANT’s point of contact with respect to performance, progress and execution of the Services. CITY may designate an alternate Project Manager from time to time.

SECTION 1 4. OWNERSHIP OF MATERIALS . All work product, including without limitation, all writings, drawings, studies, sketches, photographs, plans, reports, specifications, computations, models, recordings, data, documents, and other materials and copyright interests developed under this Agreement, in any form or media, shall be and remain the exclusive property of CITY without restriction or limitation upon their use. CONSULTANT agrees that all copyrights which arise from creation of the work product pursuant to this Agreement are vested in CITY, and CONSULTANT hereby waives and relinquishes all claims to copyright or other intellectual property rights in favor of CITY. Neither CONSULTANT nor its subcontractors, if any, shall make any of such work product available to any individual or organization without the prior written approval of the City Manager or designee. CONSULTANT makes no representation of the suitability of the work product for use in or application to circumstances not contemplated by the Scope of Services.

SECTION 15. AUDITS. CONSULTANT agrees to permit CITY and its authorized representatives to audit, at any reasonable time during the term of this Agreement and for four (4) years from the date of final payment, CONSULTANT’s records pertaining to matters covered by this Agreement, including without limitation records demonstrating compliance with the requirements of Section 10 (Independent Contractor). CONSULTANT further agrees to maintain and retain accurate books and records in accordance with generally accepted accounting principles for at least four (4) years after the expiration or earlier termination of this Agreement or the completion of any audit hereunder, whichever is later.

SECTION 16. INDEMNITY.

16.1. To the fullest extent permitted by law, CONSULTANT shall indemnify, defend and hold harmless CITY, its Council members, officers, employees and agents (each an “Indemnified Party”) from and against any and all demands, claims, or liability of any nature, including death or injury to any person, property damage or any other loss, including all costs and Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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expenses of whatever nature including reasonable attorney’s fees, experts fees, court costs and disbursements (“Claims”) resulting from, arising out of or in any manner related to errors, omissions, or negligent performance or nonperformance by CONSULTANT, its officers, employees, agents or contractors under this Agreement, regardless of whether or not it is caused in part by an Indemnified Party.

16.2. Notwithstanding the above, nothing in this Section 16 shall be construed to require CONSULTANT to indemnify an Indemnified Party from a Claim arising from the active negligence or willful misconduct of an Indemnified Party that is not contributed to by any act of, or by any omission to p erform a duty imposed by law or agreement by, CONSULTANT, its officers, employees, agents or contractors under this Agreement.

16.3. The acceptance of CONSULTANT’s Services and duties by CITY shall not operate as a waiver of the right of indemnification. The provisions of this Section 16 shall survive the expiration or early termination of this Agreement.

SECTION 17. WAIVERS. No waiver of a condition or nonperformance of an obligation under this Agreement is effective unless it is in wr iting in accordance with Section 2 9.4 of this Agreement. No delay or failure to require performance of any provision of this Agreement shall constitute a waiver of that provision as to that or any other instance. Any waiver granted shall apply solely to the specific instance expressly stated. No single or parti al exercise of any right or remedy will preclude any other or further exercise of any right or remedy.

SECTION 18. INSURANCE.

18.1. CONSULTANT, at its sole cost and expense, shall obtain and maintain, in full force and effect during the term of this Agreement, the insurance coverage described in Exhibit D, entitled “INSURANCE REQUIREMENTS”. CONSULTANT and its contractors, if any, shall obtain a policy endorsement naming CITY as an additional insured under any general liability or automobile policy or policies.

18.2. All insurance coverage required hereunder shall be provided through carriers with AM Best’s Key Rating Guide ratings of A -:VII or higher which are licensed or authorized to transact insurance business in the State of California. Any and all contractors of CONSULTANT retained to perform Services under this Agreement will obtain and maintain, in full force and effect during the term of this Agreement, identical insurance coverage, naming CITY as an additional insured under such policies as required above.

18.3. Certificates evidencing such insurance shall be filed with CITY concurrently with the execution of this Agreement. The certificates will be subject to the approval of CITY’s Risk Manager and will contain an endorsement stating that the insurance is primary coverage and will not be canceled, or materially reduced in coverage or limits, by the insurer except after filing with the Purchasing Manager thirty (30) days ’ prior written notice of the cancellation or modification. If the insurer cancels or modifies the insurance and provides less than thirty (30) days’ notice to CONSULTANT, CONSULTANT shall provide the Purchasing Manager written notice of the cancellation or modification within two (2) business days of the CONSULTANT’s receipt of such notice. CONSULTANT shall be responsible for ensuring that current certificates evidencing the insurance are provided to CITY’s Chief Procurement Officer during the entire term Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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of this Agreement.

18.4. The procuring of such required policy or policies of insurance will not be construed to limit CONSULTANT ’s liability hereunder nor to fulfill the indemnification provisions of this Agreement. Notwithstanding the policy or policies of insurance, CONSULTANT will be obligated for the full and total amount of any damage, injury, or loss caused by or directly arising as a result of the Services performed under this Agreement, including such damage, injury, or loss arising after the Agreement is terminated or the term has expired.

SECTION 19. TERMINATION OR SUSPENSION OF AGREEMENT OR SERVICES.

19.1. The City Manager may suspend the performance of the Services, in whole or in part, or terminate this Agreement, with or without cause, by giving ten (10) days prior written notice thereof to CONSULTANT. If CONSULTANT fails to perform any of its material obligations under this Agreement, in addition to all other remedies provided under this Agreement or at law, the City Manager may terminate this Agreement sooner upon written notice of termination. Upon receipt of any notice of suspension or termination, CONSULTANT will discontinue its performance of the Services on the effective date in the notice of suspension or termination.

19.2. In event of suspension or termination, CONSULTANT will deliver to the City Manager on or before the effective date in the notice of suspension or termination, any and all work product, as detailed in Section 14 (Ownership of Materials), whether or not completed, prepared by CONSULTANT or its contractors, if any, in the performance of this Agreement. Such work product is the property of CITY following payment for said work, as detailed in Section 14 (Ownership of Materials).

19.3. In event of suspension or termination, CONSULTANT will be paid for the Services rendered and work products delivered to CITY in accordance with the Scope of Services up to the effective date in the no tice of suspension or termination; provided, however, if this Agreement is suspended or terminated on account of a default by CONSULTANT, CITY will be obligated to compensate CONSULTANT only for that portion of CONSULTANT’s Services provided in material co nformity with this Agreement as such determination is made by the City Manager acting in the reasonable exercise of his/her discretion . The following Sections will survive any expiration or termination of this Agreement: 14, 15, 16, 17, 19.2, 19.3, 19.4, 20, 25, 27, 28, 29 and 30.

19.4. No payment, partial payment, acceptance, or partial acceptance by CITY will operate as a waiver on the part of CITY of any of its rights under this Agreement, unless made in accordance with Section 17 (Waivers).

SECTION 20. NOTICES.

All notices hereunder will be given in writing and mailed, postage prepaid, by certified mail, addressed as follows:

To CITY: Office of the City Clerk
City of Palo Alto
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Post Office Box 10250
Palo Alto, CA 94303

With a copy to the Purchasing Manager

To CONSULTANT:

Matt Raimi, President and CEO
Raimi + Associates, Inc.
1900 Addison Street, Suite 200
Berkeley, CA 94707

CONSULTANT shall provide written notice to CITY of any change of address.

SECTION 21. CONFLICT OF INTEREST.

21.1. In executing this Agreement, CONSULTANT covenants that it presently has no interest, and will not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of the Services.

21.2. CONSULTANT further covenants that, in the performance of this Agreement, it will not employ subcontractors or other persons or parties having such an interest.

CONSULTANT certifies that no person who has or will have any financial interest under this Agreement is an officer or employee of CITY; this provision will be interpreted in accordance with the applicable provisions of the Palo Alto Municipal Code and the Government Code of the State of California, as amended from time to time . CONSULTANT agrees to notify CITY if any conflict arises.

21.3. If the CONSULTANT meets the definition of a “Consultant” as defined by the Regulations of the Fair Political Practices Commission, CONSULTANT will file the appropriate financial disclosure documents required by the Palo Alto Municipal Code and the Political Reform Act of 1974, as amended from time to time.

SECTION 22. NONDISCRIMINATION; COMPLIANCE WITH ADA.

22.1. As set forth in Palo Alto Municipal Code Section 2.30.510, as amended from time to time, CONSULTANT certifies that in the performance of this Agreement, it shall not discriminate in the employment of any person due to that person’s race, skin color, gender, gender identity, age, religion, disability, national origin, ancestry, sexual orientation, pregnancy, genetic information or condition, housing status, marital status, familial status, weight or height of such person. CONSULTANT acknowledges that it has read and understands the provisions of Section

2.30.510 of the Palo Alto Municipal Code relating to Nondiscrimination Requirements and the penalties for violation thereof, and agrees to meet all requirements of Section 2.30.510 pertaining to nondiscrimination in employment.

22.2. CONSULTANT understands and agrees that pursuant to the Americans Disabilities Act (“ADA”), programs, services and other activities provided by a public entity to the public, whether directly or through a contractor or subcontractor, are required to be accessible to the disabled public. CONSULTANT will provide the Services specified in this Agreement in a Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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manner that complies with the ADA and any other applicable federal, state and local disability rights laws and regulations, as amended from time to time. CONSULTANT will not discriminate against persons with disabilities in the provision of services, benefits or activities provided under this Agreement.

SECTION 23. ENVIRONMENTALLY PREFERRED PURCHASING AND ZERO WASTE REQUIREMENTS. CONSULTANT shall comply with the CITY’s Environmentally Preferred Purchasing policies which are available at CITY’s Purchasing Department , hereby incorporated by reference and as amended from time to time. CONSULTANT shall comply with waste reduction, reuse, recycling and disposal requirements of CITY’s Zero Waste Program. Zero Waste best practices include , first, minimizing and reducing waste; second, reusing waste ; and, third, recycling or composting waste. In particular, C ONSULTANT shall comply with the following Zero Waste requirements:
(a) All printed materials provided by CONSULTANT to C ITY generated from a personal computer and printer including but not limited to, proposals, quotes, invoices, reports, and public education materials, shall be double-sided and printed on a minimum of 30% or greater post-consumer content paper, unless otherwise approved by CITY’s Project Manager. Any submitted materials printed by a professional printing company shall be a minimum of 30% or greater post-consumer material and printed with vegetable-based inks. (b) Goods purchased by C ONSULTANT on behalf of CITY shall be purchased in accordance with CITY’s Environmental Purchasing Policy including but not limited to Extended Producer Responsibility requirements for products and packaging. A copy of this policy is on file at the Purchasing Department’s office.
(c) Reusable/returnable pallets shall be taken back by CONSULTANT, at no additional cost to CITY, for reuse or recycling. CONSULTANT shall provide documentation from the facility accepting the pallets to verify that pallets are not being disposed.

SECTION 24. COMPLIANCE WITH PALO ALTO MINIMUM WAGE ORDINANCE .

CONSULTANT shall comply with all requirements of the Palo Alto Municipal Code Chapter 4.62 (Citywide Minimum Wage), as amended from time to time. In particular, for any employee otherwise entitled to the State minimum wage, who performs at least two (2) hours of work in a calendar week within the geographic boundaries of the Cit y, CONSULTANT shall pay such employees no less than the minimum wage set forth in Palo Alto Municipal Code Section 4.62.030 for each hour worked within the geographic boundaries of the City of Palo Alto. In addition, CONSULTANT shall post notices regardin g the Palo Alto Minimum Wage Ordinance in accordance with Palo Alto Municipal Code Section 4.62.060.

SECTION 25. NON-APPROPRIATION. This Agreement is subject to the fiscal provisions of the Charter of the City of Palo Alto and the Palo Alto Municipal Co de, as amended from time to time. This Agreement will terminate without any penalty (a) at the end of any fiscal year in the event that funds are not appropriated for the following fiscal year, or (b) at any time within a fiscal year in the event that funds are only appropriated for a portion of the fiscal year and funds for this Agreement are no longer available. This Section shall take precedence in the event of a conflict with any other covenant, term, condition, or provision of this Agreement.

SECTION 2 6. PREVAILING WAGES AND DIR REGISTRATION FOR PUBLIC WORKS CONTRACTS.

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26.1. This Project is not subject to prevailing wages and related requirements. CONSULTANT is not required to pay prevailing wages and meet related requirements under the California Labor Code and California Code of Regulations in the performance and implementation of the Project if the contract:
(1) is not a public works contract;
(2) is for a public works construction project of $25,000 or less, per California Labor Code Sections 1782(d)(1), 1725.5(f) and 1773.3(j); or (3) is for a public works alteration, demolition, repair, or maintenance project of $15,000 or less, per California Labor Code Sections 1782(d)(1), 1725.5(f) and 1773.3(j).

SECTION 27. CLAIMS PROCEDURE FOR “9204 PUBLIC WORKS PROJECTS”. For purposes of this Section 27, a “9204 Public Works Project” means the erection, construction, alteration, repair, or improvement of any public structure, building, road, or other public improvement of any kind. (Cal. Pub. Cont. Code § 9204.) Per California Public Contract Code Section 9204, for Public Works Projects , certain claims procedures shall apply , as set forth in Exhibit F, entitled “Claims for Public Contract Code Section 9204 Public Works Projects”.

This Project is not a 9204 Public Works Project.

SECTION 28. CONFIDENTIAL INFORMATION.

28.1. In the performance of this Agreement, CONSULTANT may have access to CITY’s Confidential Information (defined below). CONSULTANT will hold Confidential Information in strict confidence, not disclose it to any third party, and will use it only for the performance of its obligations to CITY under this Agreement and for no other purpose.

CONSULTANT will maintain reasonable and appropriate administrative, technical and physical safeguards to ensure the security, confidentiality and integrity of the Confidential Information.

Notwithstanding the foregoing, CONSULTANT may disclose Confidential Information to its employees, agents and subcontractors, if any, to the extent they have a need to know in order to perform CONSULTANT’s obligations to CITY under this Agreeme nt and for no other purpose, provided that the CONSULTANT informs them of, and requires them to follow, the confidentiality and security obligations of this Agreement.

28.2. “Confidential Information” means all data, information (including without limitation “Personal Information” about a California resident as defined in Civil Code Section 1798 et seq., as amended from time to time) and materials, in any form or media, tangible or intangible, provided or otherwise made available to CONSULTANT by CITY, d irectly or indirectly, pursuant to this Agreement. Confidential Information excludes information that CONSULTANT can show by appropriate documentation: (i) was publicly known at the time it was provided or has subsequently become publicly known other than by a breach of this Agreement; (ii) was rightfully in CONSULTANT’s possession free of any obligation of confidence prior to receipt of Confidential Information; (iii) is rightfully obtained by CONSULTANT from a third party without breach of any confidentia lity obligation; (iv) is independently developed by employees of CONSULTANT without any use of or access to the Confidential Information; or (v) CONSULTANT has written consent to disclose signed by an authorized representative of CITY.

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28.3. Notwithstanding the foregoing, CONSULTANT may disclose Confidential Information to the extent required by order of a court of competent jurisdiction or governmental body, provided that CONSULTANT will notify CITY in writing of such order immediately upon receipt and prior to any such disclosure (unless CONSULTANT is prohibited by law from doing so), to give CITY an opportunity to oppose or otherwise respond to such order.

28.4. CONSULTANT will notify City promptly upon learning of any breach in the security of its systems or unauthorized disclosure of, or access to, Confidential Information in its possession or control, and if such Confidential Information consists of Personal Information, CONSULTANT will provide information to CITY sufficient to meet the notice requ irements of Civil Code Section 1798 et seq., as applicable, as amended from time to time.

28.5. Prior to or upon termination or expiration of this Agreement, CONSULTANT will honor any request from the CITY to return or securely destroy all copies of Confidential Information. All Confidential Information is and will remain the property of the CITY and nothing contained in this Agreement grants or confers any rights to such Confidential Information on CONSULTANT.

28.6. If selected in Section 30 (Exhibits), this Agreement is also subject to the terms and conditions of the Information Privacy Policy and Cybersecurity Terms and Conditions.

SECTION 29. MISCELLANEOUS PROVISIONS.

29.1. This Agreement will be governed by California law, without regard to its conflict of law provisions.

29.2. In the event that an action is brought, the parties agree that trial of such action will be vested exclusively in the state courts of California in the County of Santa Clara, State of California.

29.3. The prevailing party in any action brought to enforce the provisions of this Agreement may recover its reasonable costs and attorneys’ fees expended in connection with that action. The prevailing party shall be entitled to recover an amount equal to the fair market value of legal services provided by attorneys employed by it as well as any attorneys’ fees paid to t hird parties.

29.4. This Agreement, including all exhibits, constitutes the entire and integrated agreement between the parties with respect to the subject matter of this Agreement, and supersedes all prior agreements, negotiations, representations, statements and undertakings, either oral or written. This Agreement may be amended only by a written instrument, which is signed by the authorized representatives of the parties and approved as required under Palo Alto Municipal Code, as amended from time to time.

29.5. If a court of competent jurisdiction finds or rules that any provision of this Agreement is void or unenforceable, the unaffected provisions of this Agreement will remain in full force and effect.

29.6. In the event of a conflict between the terms of this Agreement and the Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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exhibits hereto (per Section 30) or CONSULTANT’s proposal (if any), the Agreement shall control. In the event of a conflict between the exhibits hereto and CONSULTANT’s proposal (if any), the exhibits shall control.

29.7. The provisions of all checked boxes in this Agreement shall apply to this Agreement; the provisions of any unchecked boxes shall not apply to this Agreement.

29.8. All section headings contained in this Agreement are for convenience and reference only and are not intended to define or limit the scope of any provision of this Agreement.

29.9. This Agreement may be signed in multiple counterparts, which, when executed by the authorized representatives of the parties, shall together constitute a single binding agreement.

SECTION 30. EXHIBITS. Each of the following exhibits, if the check box for such exhibit is selected below, is hereby attached and incorporated into thi s Agreement by reference as though fully set forth herein:

EXHIBIT A: SCOPE OF SERVICES
EXHIBIT A-1 PROFESSIONAL SERVICES TASK ORDER
EXHIBIT B: SCHEDULE OF PERFORMANCE
EXHIBIT C: COMPENSATION
EXHIBIT C-1: SCHEDULE OF RATES
EXHIBIT D: INSURANCE REQUIREMENTS

THIS AGREEMENT IS NOT COMPLETE UNLESS ALL SELECTED EXHIBITS ARE ATTACHED.

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CONTRACT No. C25191402

SIGNATURE PAGE

IN WITNESS WHEREOF, the parties hereto have by their duly authorized representatives executed this Agreement as of the date first above written.

CITY OF PALO ALTO

____________________________
City Manager

APPROVED AS TO FORM:

__________________________
City Attorney or designee

CONSULTANT
RAIMI & ASSOCIATES, INC.

Officer 1

By: ________________________________

Name: Matt Raimi
Title: President & CEO
[email protected]

Officer 2 (Required for Corp. or LLC)

By: ________________________________

Name: Simran Malhotra
Title: Vice President & Principal
[email protected]

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EXHIBIT A

SCOPE OF SERVICES

CONSULTANT shall provide the Services detailed in this Exh ibit A, entitled “SCOPE OF SERVICES”. Notwithstanding any provision herein to the contrary, CONSULTANT’s duties and services described in this Scope of Services shall not include preparing or assisting CITY with any portion of CITY’s preparation of a request for proposals, request for qualifications, or any other solicitation regarding a subsequent or additional contract with CITY. CITY shall at all times retain responsibility for public contracting, including with respect to any subsequent phase of this project.

CONSULTANT’s participation in the planning, discussions, or d rawing of project plans or specifications shall be limited to conceptual, preliminary, or initial plans or specifications.

CONSULTANT shall cooperate with CITY to ensure that all bidders for a subsequent contract on any subsequent phase of this project have access to the same information, including all conceptual, preliminary, or initial plans or specifications prepared by CONSULTANT pursuant to this Scope of Services.

CONSULTANT will complete an area plan by establishing goals, policies, and implementation programs for land use, transportation, critical infrastructure, and other improvements that will support the redevelopment of the area surrounding San Antonio Road.

Task 1: Project Initiation

1.1 Project Kick-off & Site Tour
CONSULTANT will prepare for and attend an in -person kick -off meeting and site tour. The following items will be discussed at the kick-off meeting:
• Project goals, objectives, and assumptions.
• Scope of work, deliverables, expected outcomes, schedule, and responsibilities. • Identify and prioritize major issues to be addressed. • Review data needs and confirm what additional information is available. • Confirm the project management and communication tools, protocols, and forums, project team attendance at meetings, method of invoices, and project progress reports.

Additionally, CONSULTANT will submit a comprehensive data request to gather and review relevant information to draft the Area Plan. This may include relevant policy documents, plans, regulations, and GIS data layers.

1.1 Deliverables:
• Kick-off meeting (in person)
• Agenda, project area tour, and summary notes (in person and electronic) • Information needs memo (electronic)
• Memo summarizing management and communication tools, protocols and forums

1.2 Review Data and Create Geospatial Database
This task aims to establish a detailed and accurate baseline of existing conditions by collecting and analyzing quantitative and qualitative data from various reliable sources. It will also include a literature review of the following relevant documents, i ncluding, but not limited to, the Housing Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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Element, Comprehensive Plan, and the work completed by Cal Poly Students.

CONSULTANT will create a geospatial database with data provided by the CITY, including but not limited to existing land use, existing Comprehensive Plan land use designation, existing zoning district regulations, County assessor information, number of units per parcel, non -residential square footage per parcel, historic sites, street centerlines, parks, public facilities, transit routes, pipeline development projects, infrastructure trunk lines and other existing built environment information that may be necessary during the planning process.

CONSULTANT will work with the team in creating a base map and other geodatabase by sharing and editing the maps generated as a part of the Bicycle and Pedestrian Transportation Plan update.

Additional data layers will be identified during Project Initiation. CONSULTANT will maintain this database to store, analyze, and map all relevant data about the project. Upon completion of the project, CONSULTANT will transfer all map layers, graphics, and associated databases to the CITY for its continued use.

CONSULTANT will compile and review qualitative and quantitative data they gathered for the Bicycle and P edestrian Transportation Plan Update, including multimodal intersection turning movement, speed, and volume counts collected in June 2024 and existing and proposed bicycle and pedestrian infrastructure.

1.2 Deliverables:
• Geospatial database (electronic)
• Base Map (electronic)

Task 2: Community Outreach and Engagement

CONSULTANT is committed to creating plans with meaningful input and feedback from residents and other stakeholders. The following outreach and engagement methods are included in our scope:
• Project Fact Sheet
• Document template for meeting flyers and presentations • Stakeholder Interviews (up to 24 stakeholder meetings) • Citizen Advisory Group (CAG) Meeting (up to 6)
• Technical Advisory Group (TAG) Meetings (up to 6)
• Walk Audit (2)
• Community Workshops/Open Houses (3)
• Online Surveys (2)
• Engagement Toolkit/Pop-Ups (1)
• Study Sessions and Public Meetings with Commissions/Committees/Council (18) • Adoption Hearings with the Planning and Transportation Commission (PTC) and the City Council (CC) are additional and included and budgeted in Task 8.2

The following are CITY responsibilities for Task 2: Community Outreach and Engagement • Form and handle the logistics of establishing the CAG and the TAG. • Coordinate, schedule, and organize CAG and TAG meetings.

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• Identify an initial list of stakeholders for stakeholder interviews. • Review agendas, meeting materials, reports, outreach materials, and other project -related documents as appropriate and provide timely feedback.
• Host the survey, and webpage, and update any public-facing document as required. • Coordinate with CITY Departments as required.
• Secure location/venue for community workshops and pop-ups. • Organize and facilitate additional pop-up events as required. • Assist CONSULTANT at community outreach events.

The following are CONSULTANT responsibilities for Task 2: Community Outreach and Engagement
• Schedule, handle logistics, and conduct stakeholder interviews. • Staff Community Workshops, Pop Up events, and other outreach events as appropriate. • Provide translation services at the Community Workshops, Pop Ups, and other outreach events as required.
• Prepare, manage, and facilitate community surveys.
• Facilitate CAG and TAG meetings.
• Engage with decision -making bodies. Prepare presentations and be present to answer questions, if any, as defined in the scope of work.
• Provide Spanish translation and interpretation at the 3 Workshops

The following are the proposed engagement tasks for the San Antonio Road Area Plan.

2.1 San Antonio Area Plan Webpage
CONSULTANT will coordinate with CITY staff on creating and maintaining the project webpage.

CONSULTANT will be responsible for creating content for the webpage throughout the project.

The initial content for a dedicated project page on the CITY’s website w ill include project information, a schedule with key milestones, and deliverables. Subsequent updates to the webpage will include announcements, upcoming meetings, and online engagement activities. The project website may allow for comments and conversations with the community.

In addition, CONSULTANT will prepare document templates for meeting flyers and presentations to be used throughout the project. All project documents and outreach materials will incorporate any branding or logos prepared by the CITY. The CITY will host, upload, and maintain the project webpage.

2.1 Deliverables:
• Webpage content
o Create initial content for project webpage with ongoing updates. o Provide up -to-date information and materials on meetings, events, and relevant public documents, flyers, presentations, and/ or any ongoing edits and updates.

2.2 Community Outreach and Engagement Strategy
In conjunction with CITY staff, CONSULTANT will prepare an outreach and engagement strategy incorporating tasks outlined in this Task. These will be further refined at the outset of the project to align with the methods and approaches that work best for th e CITY. The engagement strategy Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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will be designed to outline meeting types, desired outcomes, schedules, activities, materials, and roles and responsibilities.

This task assumes a virtual meeting with CITY staff to discuss and refine the engagement plan at the outset of the project, and again after the first community meeting to evaluate and make refinements to the engagement strategy to ensure its effectiveness.

CONSULTANT will prepare, organize, manage, and facilitate an engagement strategy that will enable the CITY and CONSULTANT to engage closely with key stakeholders in the study area and the broader community. Outreach methods will invite a diversity of co mmunity members— property owners, residents, community organizations, businesses, developers, visitors, and CITY officials - to come together to guide the Plan. The identified strategies to engage community members include stakeholder meetings, community wo rkshops, pop -ups, online surveys, other digital engagement including web maps, and meetings with advisory groups, commissions, and decision-makers.

Our engagement efforts center around key values:
• Establish a firm understanding of community concerns and desires; • Demonstrate transparency throughout the process;
• Create consistent messaging;
• Establish clear objectives and desired outcomes for each engagement opportunity; • Offer various methods of community participation;
• Ensure engagement materials are visually attractive and easy -to-understand for diverse, multilingual residents; and
• Promote a culture of open dialogue with stakeholders.

As part of this task, CONSULTANT will create a 2 -page fact sheet at the outset of the project to inform community members about the project and how to get involved.

2.2 Deliverables:
• Draft and Final Outreach and Engagement Strategy (electronic) • Project Fact Sheet

2.3 Community Advisory Group (CAG) Meetings (up to 6 meetings) CONSULTANT will prepare for, attend, and facilitate up to six Community Advisory Group meetings. The CAG will advise, review, and provide feedback on key project deliverables.

CONSULTANT anticipates the meetings to align with the project phases as described above. The CAG is anticipated to be between 12 - 15 members. The topics, meeting agenda, and materials of these CAG meetings will be finalized in collaboration with the CITY staff.

2.3 Deliverables:
• Meeting agendas, reports, memos, and associated materials relevant to the meeting • Presentation slides, present information, and facilitate discussion • Meeting summary briefs (electronic)

2.4 Technical Advisory Group (TAG) Meetings (up to 6 meetings) CONSULTANT will prepare for, attend, and facilitate up to six meetings with members of the Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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Technical Advisory Group with approximately 15 individuals. The TAG will provide detailed technical input/feedback on key project deliverables and help ensure alignment between the Area Plan efforts and other local and regional planning efforts. Several of the meetings will be with the full TAG while others will be with individual departments to discuss specific topics. Staff anticipates that the full meeting of the group will occur in three phases of the project:
• Project kick-off
• The preferred land use concept to discuss any potential cross-cutting issues • During the policy development phase

Between these meetings, CONSULTANT will meet with various CITY department s and outside agencies to discuss topic-specific questions and issues. The “serial meeting” approach is expected to be more effective at delving into the issues and more efficient for CITY and agency staff. The topics of these TAG meetings will be finalized in collaboration with the CITY staff.

2.4 Deliverables:
• Meeting agendas, reports, memos, and associated materials relevant to the meeting • Presentation slides, present information, and facilitate discussion • Meeting summary briefs (electronic)

2.5 Stakeholder Meetings and Stakeholder Surveys (up to 24 stakeholder meetings) CONSULTANT will conduct up to 24 stakeholder meetings during the project initiation phase to get insight into issues, concerns, and opportunities (as described above). The meetings will be over the phone/Zoom. CONSULTANT will gather and review background materials that pertain directly to the project and the specific interests of key stakeholders ahead of the interviews. It is CONSULTANT’s responsibility to schedule and conduct these interviews.

The initial list of stakeholders will be identified by staff and may include City Council members, Commissioners, property owners, advocacy organizations, business owners, developers, community leaders, and other technical stakeholders and subject matter experts. CONSULTANT will prepare a summary of the results of the stakeholder interviews which will be shared with the TAG and CAG.

2.5 Deliverables:
• Interview invitation letter
• Survey/interview questionnaire
• Facilitate stakeholder interviews/surveys
• Stakeholder Interview/Survey Summary Report (electronic)

2.6 Pop-Ups
CONSULTANT will plan and facilitate a pop-up event as an opportunity to get the word out about the project and project website, provide a schedule of upcoming engagement opportunities, and solicit input on broad issues and needs for the Plan Area. A toolkit will be prepared by CONSULTANT and provided to the CITY to be reused as required.

The pop-up material toolkit will include a printable project flyer with information on the project and a QR code to the project website, up to two exhibit boards, easy -to-implement interactive materials, and background information on the project.

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2.6 Deliverables:
• Pop-up toolkit
• Attend and facilitate one pop-up event
• Pop-up summary notes (electronic)

2.7 Community Workshops/Open Houses
CONSULTANT will plan and facilitate up to three interactive and collaborative community workshops/open houses. Each three -hour w orkshop will include interactive exercises and may include a presentation. CITY staff shall secure locations and help with outreach. a) The first workshop will be held during the Project Initiation phase to provide an overview of the project and existing conditions and how the community input will be used; and will solicit input on vision, issues, and needs.
b) A second workshop will be held during the Alternatives phase to present the Land Use/Mobility Alternatives for feedback.
c) A third workshop will be held to review the Policy Recommendations and Standards.

As part of this effort, CONSULTANT will develop an electronic meeting flyer that can be distributed citywide and updated for each meeting.

CONSULTANT will provide simultaneous interpretation into Spanish at the three Workshops and will translate PPTs and boards into Spanish. Translation of longer products are not included.

2.7 Deliverables:
• Community workshop agendas, presentation materials, information handouts and/or boards, and engagement tools (Dependent on the format of outreach events) • Attend and facilitate up to three community workshops • Meeting/event summary notes (electronic)
• Meeting flyer (electronic)
• Translation services to be provided by CONSULTANT for in-person meetings

2.8 Online Surveys
CONSULTANT will develop two online surveys to reach a broader audience in the CITY during the existing conditions phase and the Land Use/ Mobility Alternatives phase. The surveys will be an “opt-in” survey and not statistically valid.

The first survey will occur near the beginning of the project and ask questions that are similar to the stakeholder interview. Topics may include vision, issues, and opportunities. The second survey will be focused on land use and mobility alternatives. This survey will include maps and graphics that represent different development and transportation directions for the San Antonio Road area.

A web map comp onent as required will be developed by CONSULTANT and hosted on the CITY’s webpage as a part of the survey. For each survey, CONSULTANT will summarize the top-line results in a memo.

2.8 Deliverables:
• For each survey, CONSULTANT will prepare:
• Admin Draft survey content
• Screencheck draft survey content
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• Final survey tool (with a software to be determined)
• Summary report (as a technical memo or PowerPoint) that focuses on the top -line results presentation (Admin and Final versions)

2.9 Walk Audit
CONSULTANT will conduct two walk audits of San Antonio Road and adjacent streets in the Plan Area with Staff, CAG, TAG, and other key stakeholders. Each tour can accommodate up to 20 participants, including staff. The tour will facilitate an informal disc ussion with the group to identify concerns relating to access, safety, and comfort concerns, and discuss issues, opportunities, and standard practices as part of the Existing Conditions assessment.

CONSULTANT will draw from experience working with communit y partners in Palo Alto to develop walking routes and discussion prompts to gather information.

2.9 Deliverables:
• Walk audit map and questionnaire/feedback form
• Walk audit assessment summary report

2.10 Council/Commission/Committee Study Sessions and Updates CONSULTANT will hold four rounds of study sessions with the PTC and CC to provide regular updates and receive direction on the project. The first round of meetings will provide an update on the project, review existing conditions and stakeholder and community input, and seek input on the Vision. The second round of meetings will be to present the Land Use and Mobility Alternatives. The third round of meetings will be to review the Preferred Land Use a nd Mobility Plan. The fourth round will be to present and receive feedback on the Policy Recommendations.

One presentation for each round will be developed.

Additionally, the team will hold three meetings with the Architectural Review Board to align with the first, second and fourth rounds referenced above. CONSULTANT will also hold two meetings each with the Pedestrian and Bicycle Advisory Committee (PABAC) and the Parks and Recreation Commission (PRC) to receive input on issues and opportunities and f eedback on land use and mobility. Finally, CONSULTANT is expected to engage/ meet (up to 3 meetings) with other Committees and/ or Boards not already listed as required. The presentation materials from the TAG, CAG, or other Committee study sessions may be used at these additional meetings and only minor modifications to these materials will be made.

The following is a summary of the number of meetings included in this task:
a) CITY Council (4)
b) Planning and Transportation Commission (4)
c) Architectural Review Board (3)
d) Pedestrian and Bicycle Advisory Committee (2 virtual meetings) e) Parks and Recreation Commission (2)
f) Additional meetings with Committees/ Commissions not listed (3)

Note that CITY staff will be responsible for staff reports for all of the meetings listed above.

2.10 Deliverables:
• 4 PPT presentations (1 per round) corresponding to the rounds presented above • Attend, present information, and facilitate discussion Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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• Meeting summary briefs (electronic)

Task 3: Existing Conditions Assessment

The existing conditions analysis will include multiple technical memos that analyze and summarize existing conditions and outline opportunities and constraints for each topic. A draft and final version of each memo (tasks 3.1 – 3.9) will be prepared, with a concise executive summary of key findings at the start of each memo. SUBCONTRACTORS are responsi ble for the content and quality of their topic-specific technical memo. The executive summary from each memo will then be consolidated and translated into a concise overall Executive Summary Report with the memos as appendices and an accompanying presentation that highlights the takeaways from each memo and can be used to communicate the information clearly (task 3.10). The insights garnered from these studies will serve as the foundation for developing plan alternatives and the Area Plan.

The topics for the existing conditions analysis are described below.

3.1 Land Use and Zoning
CONSULTANT will conduct a land use and urban design analysis of the study area that will include maps and descriptions of the existing physical context. This will include inform ation on the existing physical conditions and regulatory framework which may include existing land use, development standards, zoning, Comprehensive Plan policy and land use designations, property ownership, prototypical site conditions along the corridor (e.g., typical parcel size, lot frontage, depth, block size, etc.), neighborhood adjacency conditions, opportunity sites, and other physical characteristics (urban form and character). In addition to sites identified in the Housing Element, CONSULTANT will analyze the plan area to identify other sites that may transition to residential or mixed-use development.

This report will also look at access (i.e., walksheds) to a range of uses within and near the study area including grocery stores, parks, schools, high-frequency transit, retail, and services.

Task 3.1 Deliverables:
• Admin Draft Memo
• Final Memo

3.2 Housing, Growth, and Displacement Risk
SUBCONTRACTOR (Strategic Economics) will prepare a profile of existing market rates and affordable housing within the Plan Area. This profile will be based on U.S. Census data regarding housing unit counts, characteristics, household tenure, income levels, etc., and on CITY of Palo Alto data tracking deed -restricted affordable housing by income level. CoStar data will also be used to identify properties with characteristics suggesting they provide relatively affordable market-rate housing.

A residential displacement risk analysis will accompany the housing profile to inform plan policies regarding the need for the production and preservation of affordable housing and the protection of tenants. The risk analysis will incorporate relevant findings from Palo Alto’s Housing Element, the UC Berkeley Urban Displacement Project, and population and household indicators relevant to disadvantaged groups. This work will build off SUBCONTRACTOR (Strategic Economics’) ongoing displacement, equity, and affordable housing analyses for the Palo Alto Downtown Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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Housing Plan.

Task 3.2 Deliverables:
• Admin Draft Memo
• Final Memo

3.3 Transportation and Mobility
SUBCONTRACTOR (Kittelson) will prepare maps, analyses, and narratives to describe the physical context, sociodemographic context, and transportation and circulation context within the study area. Topics to be addressed and performance measures to be evalua ted in this assessment will be selected in coordination with CITY staff. They may include comfort (e.g., bicycle facility presence/type, sidewalk presence/width, presence of street trees/landscaping, bicyclist level of traffic stress), safety (e.g., collision history, vehicle volume, vehicle speed, intersection queuing), accessibility (e.g., signal timing, presence of curb ramps, median islands, crossing features) and sustainability (e.g., mode share, walk/bike/transit supportive amenities, landscaping, vehicle miles traveled), among others.

CONSULTANT will build on the data review and mapping completed in Task 1 and conduct a field visit, interviews, and desktop reviews to verify conditions within the study area. These reviews will consider things like bi cycle facility width, pavement condition, sidewalk presence, ADA treatments, driveway presence, curb radii, and other elements that may affect the experience of people walking and biking throughout the area and inform development of concepts.

CONSULTANT will collect the following counts to understand hourly and daily vehicle volumes on the corridor:
• 72-hour vehicle volume, vehicle classification, and speed counts at two locations along the corridor
• Weekday AM and PM peak period multimodal (vehi cle, bicycle, and pedestrian) turning movement counts at the following four signalized intersections along the corridor: E Charleston Rd, Leghorn St, Middlefield Rd, and Nita Ave. As part of the Local Transportation Impact Analysis described in Task 7, tu rning movement counts are proposed for up to 10 additional locations, for a total for 15 intersections.

Task 3.3 Deliverables:
• Admin Draft Memo
• Final Memo

3.4 Market and Economic Analysis
SUBCONTRACTOR (Strategic Economics) will prepare a market assessment to identify opportunities and constraints for the development of housing and retail uses that provide resident services, amenities, and “third places.” The market assessment will estimate the strength of demand for different housing product types and retail land uses based on regional and local employment and household growth, the performance of existing supply (vacancy, rents/prices, recent construction), pipeline projects, input by local retail brokers, and consideration of the competitiveness of the San Antonio Road area relative to other locations. CONSULTANT will identify the strongest locations within the Plan Area for housing and retail uses, based on market conditions, broad development feasibility considerations, and retail locations that most effectively Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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serve residents.

CONSULTANT will also analyze the mix of existing businesses and jobs in and near the Plan Area. This analysis will identify the area’s existing role within the economy, examine the potential role of local jobs in creating demand for housing within the Plan Area, and describe types of businesses that could potentially be lost due to the redevelopment of commercial and light industrial uses. The analysis will be com pleted using a combination of U.S. Census Longitudinal Employer-Household Dynamics employment data and CoStar tenant data for businesses located within the Plan Area.

Task 3.4 Deliverables:
• Admin Draft Memo
• Final Memo

3.5 Hazards, Public Safety, and Historic Resources
SUBCONTRACTOR (David J Powers & Associates) will provide data on the existing conditions of the plan area regarding hazards that could impact the plan area such as flooding and sea -level rise, wildfires, seismic -related risk, and soil a nd groundwater contamination. This data will be based on existing documentation and supplemented by new analysis as required.

CONSULTANT will identify potential historic resources in the plan area and determine which buildings, if any, may be susceptibl e to seismic hazards. This data will be based on existing documentation and supplemented by new analysis as required.

CONSULTANT will identify any current issues related to police and fire capacity to provide the necessary data for analysis of future pub lic service needs to support the CITY’s planned growth, based on available data.

Task 3.5 Deliverables:
• Admin Draft Memo
• Final Memo

3.6 Parks, Open Space, and Public Facilities
SUBCONTRACTOR (David J Powers & Associates) will identify any current issues related to public facilities' capacity, including parks and open space and school districts, to provide the necessary data for analysis of future public facility needs to support the CITY’s planned growth, based on available data.

Task 3.6 Deliverables:
• Admin Draft Memo
• Final Memo

3.7 Noise and Air Quality
SUBCONTRACTOR (Illingworth & Rodkin) will describe current health risk issues using Bay Area Air Quality Management District stationary permit data, traffic, and review of existing uses.

Air quality impacts resulting from both construction and operation of the project will be addressed qualitatively and strategies will be identified to minimize impacts.

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CONSULTANT will conduct a detailed noise monitoring survey of substantial noise sources and potential development sites. Existing noise levels, particularly in areas where new residential or sensitive developments are planned, will be documented to establish a baseline for noise impacts.

This study will be used to create design standards to mitigate noise and air quality issues.

Task 3.7 Deliverables:
• Admin Draft Memo
• Final Memo

3.8 Infrastructure
SUBCONTRACTOR (BKF) will review available documents and maps to assess the current infrastructure conditions, including stormwater, water supply, sewer, and dry utilities within the plan area. This task will focus on identifying the existing capacity and any major deficiencies that could impact future development.

Task 3.8 Deliverables:
• Admin Draft Memo
• Final Memo

3.9 Climate and Resilience
CONSULTANT will prepare a report on the potential impacts of climate change in the Specific Plan area. It will document and characterize the existing and future climate hazards specific to the San Antonio corridor, including sea level rise, shallow groundwater rise, storm flooding, drought, and urban heat. It will also describe potential vulnerabilities and impacts within the area using recent analysis, such as the CITY’s Sustainability and Climate Action Plan, 2022 Sea Level Rise Vulnerability Assessment and South San Francisco Bay Shoreline Phase II Feasibility Study.

The report will also document baseline conditions for canopy cover and open space as opportunities to mitigate and adapt to climate change through carbon sequestration, heat island reduction, air pollution reduction, and stormwater retention. The findings of the report, as well as data and maps, will inform Specific Plan policy development by highlighting local issues and potential climate impacts to consider in the Task 5 policy recommendations.

Task 3.9 Deliverables:
• Admin Draft Memo
• Final Memo

3.10 Existing Conditions Executive Summary and Presentation The executive summary from each memo will then be consolidated and translated into a concise Executive Summary with the memos attached as appendices. The Executive Summary will synthesize and summarize key findings and/or themes across the various technical memos included in Tasks 3.1 through 3.9. In addition, an accompanying presentation that highlights the key findings from these analyses will be prepared and used to communicate the information clear ly and concisely. The presentation may include maps, diagrams, tables, and text summarizing the information from the memos.

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Task 3.10 Deliverables:
• Executive Summary with brief overview of the key findings and/or themes across the topic- specific technical memos (Admin Draft and Final). Note that the Final will include the final technical memos from Tasks 3.1 to 3.9 as appendices.
• Existing Conditions Summary Presentation (Draft and Final)

Task 4: Land Use and Mobility Alternatives

During this task, CONSULTANT will prepare two or three land use/mobility alternatives for San Antonio Road that will be presented to the community and decision-makers. The process will begin with developing very high-level land use/mobility concepts for CITY feedback. The team will then study development and financial feasibility in detail to inform the development of implementable alternatives. The team will use this analysis to inform the land use/mobility alternatives that will be presented to the commun ity for feedback and to obtain direction on a preferred plan. After receiving direction from the City Council, the team will summarize the preferred plan for City Council endorsement before writing the policy recommendations for the plan.

4.1 Preliminary Land Use/Mobility Concepts and Vision
Based on the input received to date, CONSULTANT will prepare a draft vision statement to set the framework for this task. CONSULTANT will also review and incorporate the community input at the visioning workshops conducted as part of the Cal Poly San Antonio Road Corridor Concept Plan effort.

CONSULTANT will develop preliminary land use/mobility concept diagrams. The conceptual alternatives will include ideas and options for land use mix, development intensity, mobility, and interconnectivity. CONSULTANT will first confirm with CITY staff whether there is a flexibility to create new land use designations or overlay districts, or whether existing land use designations should be used. The result will be two to three “bubble” diagrams and conceptual illustrations describing the concepts. The conceptual alternatives will be shared with CITY staff for feedback.

4.1 Deliverables:
• Draft Vision Statement
• Preliminary Land Use/Mobility Concepts presentation

4.2 Opportunity Sites and Development Prototype Design Analysis CONSULTANT will develop massing diagrams/test fits for up to six example sites and/or development prototypes for development feasibility analysis and development/design standard analysis. The tes t fits will include 3D massing of the building and development statistics. The analysis will include how different development standards and land use strategies may impact development prototypes and feasibility. The project team will evaluate different dev elopment standards to ensure the standards enable the intended development. Following feedback from CITY staff, CONSULTANT will make one round of revisions to the site tests. The site tests will become the basis of diagrams for objective development standards.

4.2 Deliverables:
• Opportunity Site Analysis Memo that includes massing diagrams and site test fits.

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SUBCONTRACTOR (Strategic Economics) will prepare and iteratively revise a financial feasibility analysis designed to inform land use and other policy and funding decisions in the Area Plan. Based on the market analysis and land use analyses, SUBCONTRACTOR (Strategic Economics) will identify up to six development prototypes that represent common site conditions and development product types. Three of the six could potentially reflect “bonus” versions of the other two prototypes based on the use of State Density Bonus laws. The parameters of the prototypes themselves will be estimated by the CONSULTANT. These prototypes will likely consist of residential uses, but other uses could be substituted if necessary for determining a density bonus and community benefits program for nonresidential development.

SUBCONTRACTOR (Strategic Economics) will build a pro forma model that tests the financial feasibility of the six development prototypes. Assumptions will be informed by interviews with developers and general contractors, as well as market and construction cost data sources and verification of applicable fees by the CITY. The results of the analysis will examine the feasibility of the prototypes under today’s conditions, identify regulatory constraints, test sensitivity to changes in development conditions, and assess the potential capacity of d evelopment to support impact fees or other infrastructure contributions.

The study could potentially examine the potential to support an optional density bonus program in exchange for community benefits contributions; however, this approach is less relevant for housing prototypes given State laws enabling density bonuses and ac companying concessions/incentives and waivers from local requirements. Alternatively, the study can inform consideration of other types of mandated contributions such as inclusionary housing units.

The pro forma analysis will be iteratively modified up t o four times to reflect tests for different policy and regulatory decisions—such as the need for land dedications—and minor modifications to the development prototypes and pro forma assumptions.

4.3 Deliverables:
• Financial Feasibility Analysis and Policy Recommendations

4.4 Land Use/Mobility Alternatives
Based on the CITY's comments on the Preliminary Land Use/Mobility concepts, Land Use/Mobility Alternatives will be prepared to present to advisory groups and decision -making bodies for feedback. These land use alternatives will be informed by the Opportunity Sites and Development Prototype design analysis and the financial feasibility analysis. The alternatives will include alternative strategies for the public realm design including the creation of new open spaces and improvements to mobility infrastructure and streetscape character.

SUBCONTRACTOR (Kittelson) will analyze up to three alternatives against the set of evaluation criteria established based on the project goals and priorities. The evaluati on will address multimodal impacts on the area and subareas in both current and future conditions and an assessment of trip patterns, quality, and relative safety of travel by all modes. The criteria will be a mix of quantitative and qualitative measuremen ts or assessments depending on the criterion under focus and the availability of information to support the evaluation. Example criteria include the number and proportion of residents within a 10-minute walk of retail or other use or the number and proportion of residents within a 10-minute low-stress bike ride of retail or other use.

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SUBCONTRACTOR (Kittelson) will prepare up to five graphics per alternative. The scope and budget assume that SUBCONTRACTOR (Kittelson) will prepare a series of graphics to illustrate the land use/mobility alternatives and results of the analyses, which may include any combination of the following: land use regulatory map; street section; area/building cross section; tables and graphs with summary statistics; building prototype images; map of key mobility and streetscape improvements (e.g., cross-section, plan views, renderings, maps).

4.4 Deliverables:
• Land Use/Mobility Alternatives and Memo, including graphics

4.5 Preferred Land Use/Mobility Plan
CONSULTANT will consolidate feedback on the alternatives from the community engagement efforts and work with the team to develop the preferred land use/mobility plan. The Preferred Land Use/Mobility Plan memo will include a land use and mobility diagram, a summary of opportunity sites, and a description of the key land use and mobility features. In addition, an outline of building types with example images will be used to illustrate the land use recommendations.

CONSULTANT will refine the graphics from Task 4.2 to prepare up to four final graphics to illustrate the mobility features of the Preferred Plan. This will be supplemented by additional graphics to illustrate various concepts of the preferred land use and mobility concepts. The specific graphics will be discussed with staff during the project but may include renderings, additional street sections, photosimulations, and animations. SUBCONTRACTOR (Kittelson) will develop planning-level cost estimates for the transportation infrastructure that considers key factors, such as right-of-way acquisition. SUBCONTRACTOR (Kittelson) will also provide a plan for funding and implementation.

This task will include a staff work session across departments to confirm the preferred plan before a meeting with the CITY Council to endorse it as the foundation for drafting the Area Plan.

4.5 Deliverables:
• Preferred Land Use/Mobility Plan and Memo

Task 5: Analysis and Policy Recommendations

Following the identification of a preferred plan, CONSULTANT will prepare a series of analyses that will inform different elements of the Area Plan. Each task below will result in a draft and final memo providing policy recommendations for a given plan topic. These tasks will outline draft policies and standards that will form the basis of the Admin Draft Area Plan in Task 6.

5.1 Land Use Policy Recommendations
CONSULTANT will prepare policy recommendations that are informed by the preferred plan and the opportunity and feasibility analysis in the previous task. CONSULTANT will provide detailed recommendations for land use, urban design, placemaking, priority development projects, and development buildout potential. The policy recommendations will include priority development projects, establishing land use needs such as new or improved parkland and open spaces, access to community amenities and commercial services, and mobility access to services. The Land Use Policy Recommendations Memo will include:

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• Draft Land Use Map and Summary Statistics
• Place Type and Building Type Summary with Example Images • Public Open Space Strategy
• Analysis and Massing Design Studies of Key Locations (up to 3 locations) • Public and Private Realm Sense of Place and Urban Design Recommendations

5.1 Deliverables:
• Draft and Final Land Use Policy Recommendations

5.2 Draft Development and Design Standards
CONSULTANT will develop draft and final development standards for mix ed-use and multifamily development. Through meetings with the ARB, CONSULTANT will collaborate to ensure the development standards meet the goals and objectives of the CITY. The development standards may build on Chapter 18.24 Contextual Design Criteria and Objective Design Standards in places and may deviate from those standards to create a unique sense of place and identity for the San Antonio Road area.

The standards will include building design standards (densities, height, setbacks, FAR), private realm standards, and public realm standards (tree canopy standards, public gathering places, streetscapes/landscape). The standards may include developing specific development standards for particularly large parcels or an assemblage of many parcels held under common ownership or other key properties critical to support infrastructure improvements or other public benefits.

5.2 Deliverables:
• Draft and Final Development and Design Standards

5.3 Transportation, Mobility, and TDM
SUBCONTRACTOR (Kittelson) will coordinate with CITY staff to develop recommendations related to transportation access and circulation, including site access requirements and transportation demand management measures t o support safety and access for people walking, biking, and rolling. These recommendations will act as a roadmap for CITY staff and include policies and projects to implement, as well as provide guidance on advancing these policies and projects through to funding and implementation. CONSULTANT will also draw from work on the Palo Alto Bicycle and Pedestrian Transportation Plan Update to inform the policy framework section, including programs and policies from the Sustainability and Climate Action Plan and regional transportation plans.

5.3 Deliverables:
• Transportation, Mobility, and TDM Policy Recommendations Memo

5.4 Resilience and Climate Adaptation Analysis
Based on the findings and assessment from Task 4.1, CONSULTANT will develop a series of policy options to address the potential impacts of climate change on the San Antonio area. These will focus primarily on sea level rise, flooding, groundwater, drought, and urban heat. For sea level rise and flooding, options will be dependent on the implementation of the SAFER Bay or Shoreline Phase II projects and green infrastructure, with groundwater rise considered. Ideas for the open space network, tree canopy, street design standards, and landscaping and site design standards will Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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be developed to address urban heat, drought, and air quality issues.

5.4 Deliverables:
• Resilience and Climate Adaptation Policy Recommendations Memo

5.5 Affordable Housing and Equity Strategy
Building off the findings of the Housing Profile and Displacement Risk Analysis, CONSULTANT will examine existing affordable housing opportunities and resources to develop an affordable housing and equity assessment and strategy for the Area Plan. CONSULTA NT will interview CITY staff and local affordable housing developers and will review relevant documents such as the Palo Alto Housing Element, new State legislation, and findings from the Palo Alto Downtown Housing Plan equity and housing analyses to under stand the existing conditions for affordable housing development and preservation in the Plan Area. CONSULTANT will also evaluate existing affordable housing policies, requirements, and funding tools at the local, county, and state levels. CONSULTANT will summarize the key opportunities, constraints, and policy opportunities to enhance tenant protections and affordable housing production and preservation in the Plan Area and to address identified equity needs.

5.5 Deliverables:
• Affordable Housing and Equity Assessment and Policy Recommendations Memo

5.6 Infrastructure Improvements and Costs
Building on the existing conditions analysis, SUBCONTRACTOR (BKF) will evaluate the infrastructure needs for future development within the plan area. This includes d etermining potential upgrades or expansions required for stormwater, water supply, sewer, and dry utilities to support the proposed build -out. CONSULTANT will also prepare probable construction cost estimates for the required improvements to ensure adequate service levels, including costs related to public street improvements.

5.6 Deliverables:
• Infrastructure Recommendations Memo

5.7 Financing Cost Estimates and Funding Options
SUBCONTRACTOR (Strategic Economics) will prepare a funding strategy for infrastructure costs, with a focus on near - to mid-term strategies for moving projects or opportunities forward within the Plan Area. Based on the infrastructure items and costs identi fied by other SUBCONTRACTORS, CONSULTANT will recommend funding and financing sources and strategies for constructing infrastructure necessary to support land uses and for delivering other improvements identified in the Area Plan. CONSULTANT will include c onsideration of district- based funding and financing tools, how to combine funding sources, the timing of funding available from different funding tools, and where to target early public investments.

5.7 Deliverables:
• Financing and Funding Recommendations Memo

5.8 Environmental Mitigation: Development Standards for Air & Noise SUBCONTRACTOR (Illingworth & Rodkin) will evaluate potential air quality and health -risk Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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impacts on new developments near sources of air pollution, considering both construction and operational phases. Specific mitigation measures will be proposed, including best practices for dust control during construction and strategies to reduce long -term emissions. Additionally, identify development standards for private projects that ensure buildings are designed to mitigate air quality concerns, such as incorporating pollution-reducing technologies and materials.

CONSULTANT will assess the impact of transportation noise on new developments and propose mitigation measures to reduce noise l evels in outdoor activity areas and within buildings. This includes identifying development standards for private projects, such as enhanced building insulation, strategic site planning, and noise barriers, to ensure new developments meet CITY noise standards and protect residents from freeway noise. CONSULTANT will evaluate the impact potential for noise impacts associated with the project, such as construction noise impacts on existing residences or the potential for increased traffic noise levels along t he common streets serving the Plan Area.

5.8 Deliverables:
• Environmental Mitigation Recommendations Memo

Task 6: Area Plan Development

6.1 Area Plan Outline and Format
CONSULTANT will prepare an outline of the Area Plan contents and a formatted template for the document for review by CITY staff. CONSULTANT will make modifications based on staff feedback.

6.1 Deliverables:
• Area Plan outline (draft and final)
• Area Plan document format template (draft and final)

6.2 Administrative Draft Area Plan
CONSULTANT will prepare the Administrative Draft Area Plan, which will include the components listed below. This task will involve transferring over the standards and policies from the final policy recommendation memos in Task 5 into formatted Plan chapters. • Vision + Goals
• Land Use
• Housing
• Resilience and Climate Adaptation
• Equity
• Development and Design Standards
• Transportation and Mobility
• Infrastructure
• Implementation

6.2 Deliverables:
• Administrative Draft Area Plan (Word Doc without Graphics)

6.3 Screen check Draft Area Plan
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screen check draft plan as it will include all graphics, maps, illustrations, and photos in the final layout. This version of the plan will be prepared in InDesign.

6.3 Deliverables:
• Screen check Draft Area Plan (InDesign and PDF w/ Graphics)

6.4 Public Hearing Draft Area Plan
CITY shall provide a single set of non-conflicting comments on the Screen Check Draft Area Plan to CONSULTANT. Minor formatting, clarificatio ns, and typographic edits are expected at this stage. CONSULTANT will integrate comments from the Screen Check Draft Precise Plan to prepare the Public Hearing Draft Area Plan.

6.4 Deliverables:
• Public Hearing Draft Area Plan (InDesign and PDF w/ Graphics)

Task 7: Area Plan Environmental Documents

CONSULTANT will prepare an appropriate environmental analysis for the Area Plan, concurrent with prior tasks, per the California Environmental Quality Act (CEQA), including meeting timelines and filing requirements and responding to public comments. The environmental analysis shall be comprehensive to eliminate the need for additional project -level analysis following plan adoption.

Note: This Plan will follow the “Community Plans” process for environmental review referenced under CEQA Chapter 2.6. General [21083.3(e)]. To the extent feasible, CONSULTANT shall rely on the CITY’s certified Comprehensive Plan EIR or subsequent documents.

The tasks for the preparation of a full EIR are provided below.

7.1 Environmental Impact Report (EIR) - Administrative Draft SUBCONTRACTOR (David J Powers & Associates), with support from SUBCONTRACTOR (Kittelson) and SUBCONTRACTOR (Illingworth & Rodkin), will conduct an impact analysis and prepare a comprehen sive Administrative Draft Environmental Impact Report that addresses all CEQA requirements.

Included in Task 7.1 is preparation of the Project Description, Notice of Preparation (NOP), participation in a scoping meeting (virtual or in person) and assistance to CITY staff in preparing for the scoping meeting, preparation of the first draft of the EIR, up to three virtual project meetings with CITY staff and the project team to address issues that arise during preparation of the EIR, and preparation of the Mitigation, Monitoring and Reporting Program (MMRP). Revisions to the MMRP would be in concert with revisions to the EIR. All administrative/screen check drafts of the EIR and NOP will be submitted electronically in Word to allow the CITY to insert comments, along with a PDF format that includes all graphics.

As part of this task, SUBCONTRACTOR (Kittelson) will prepare an Administrative Draft 1 Transportation and Circulation EIR Section that presents the analysis of transportation-related impacts of one proposed project and up to three project alternatives. SUBCONTRACTOR (Kittelson) will present preliminary results for review by the CITY, via a teleconference or in - Docusign Envelope ID: 28E763A2-CB81-42C4-8276-97FC601221B9 Item 5
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person meeting, at least two weeks prior to submittal of the Administrative Draft 1 EIR Section.

The goal of this preliminary review would be to assess results and impact determinations and determine if refinements or additional information is necessary. Furthermore, if required, the review will help identif y feasible mitigation measures to reduce project impacts and the methodology for evaluating the effectiveness of those mitigation measures.

As part of the EIR, SUBCONTRACTOR (Kittelson) will prepare a Local Transportation Impact Analysis (LTA) report for the proposed project. The LTA will incorporate analysis elements and assumptions from the EIR to the maximum extent feasible, with additional analysis elements per the CITY’s LTA policy.

Key assumptions for the LTA are as follows:
• The LTA will address the proposed project but will not include the three project alternatives.
• The LTA will include existing and cumulative conditions with and without the project (four scenarios total). Given the long-term nature of the proposed project, the background/near- term analyses are not proposed.
• For budgeting purposes, up to 15 analysis intersections are assumed. Intersections within the Santa Clara VTA Congestion Management Program (CMP) will be prioritized.

Assumptions for the optional LTA analyses are as follows:
• Traffic Infusion on Residential Environments (TIRE) analysis – This analysis is assumed for up to ten (10) roadway segments.
• Queuing Analysis – This analysis is not included given that the specific plan land uses will be programmatic in nature.
• Transit Analysis – The LTA transit analysis will reflect the analysis, evaluation, and recommendations from the specific plan and EIR. No additional LTA -specific analysis is assumed.
• Bicycle and Pedestrian Circulation Study – This study will reflect the analysis, evaluation, and recommendations from the specific plan and EIR. No additional LTA-specific analysis is assumed.
• Parking Analysis - This study will reflect the analysis, evaluation, and recommendations from the specific plan and EIR. No additional LTA-specific analysis is assumed.

All background information used in the analysis will be submitted to the CITY as part of the technical appendices to deliverables and will be provided to the environmental CONSULTANT for use in the Administrative Record.

SUBCONTRACTOR (Kittelson) will prepare an Administrative Draft 2 EIR Section, followed by a Screencheck EIR section and Final Draft EIR Section for CITY’s approval. The Final Draft EIR Section will be included in the Draft EIR document. SUBCONTRACTOR (Kitte lson) will incorporate one consolidated set of comments for each administrative draft EIR Section.

7.1 Deliverables:
• Project Description
• Notice of Preparation
• Scoping Meeting
• Draft Tribal Notification Letter
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• 1st Administrative Draft EIR
• 2nd Administrative Draft EIR
• Screen check Administrative Draft EIR

7.2 EIR - Public Review Draft
SUBCONTRACTOR (David J Powers & Associates) will prepare a Public Review Draft EIR based on the comments received from CITY staff on the EIR - Administrative Draft.

Task 7.2 includes finalizing the Public Draft EIR for circulation and preparation of all necessary notices including the Notice of Availability (NOA) and Notice of Completion (NOC).

SUBCONTRACTOR (David J Powers & Associates) are designated submitters for Palo Alto and will submit the EIR and notices to the State Clearinghouse through CEQANet. The Public Draft EIR will be submitted to the CITY in PDF format with a linked Table of Contents and formatted for easy viewing on the CITY’s website.

7.2 Deliverables:
• Notice of Availability
• Notice of Completion
• Public Review Draft EIR

7.3 EIR – Final
CONSULTANT will respond to environment -related comments received from the public during the public review and comment period in the Final EIR.

Included in Task 7.3 is preparation of written responses to all comments received during the public comment period for the EIR, and documentation of text edits to the EIR, if required. (Note that SUBCONTRACTOR (Kittelson) will prepare written responses to transportation and circulation- related comments and final MMRP for transportation and circulation.) This task includes up to two virtual project team meetings to coordinate on responses and, if necessary, additional analysis.

This scope assumes one administrative draft Final EIR and one screen check Final EIR. The final draft of the MMRP will also be complet ed once all text edits are confirmed. The administrative and screen check drafts of the Final EIR will be submitted electronically in word. If graphics are revised, those will be submitted as a separate file. The word file will be provided to allow the CITY to insert comments. The Final EIR will be submitted to the CITY in PDF format with a linked Table of Contents and formatted for easy viewing on the CITY’s website.

After completion of the public hearings, SUBCONTRACTOR (DJP&A) will prepare and submit the Notice of Determination to the CITY in PDF format for filing. SUBCONTRACTOR (David J Powers & Associates) will submit the Final EIR and NOD to the State Clearinghouse through CEQANet.

7.3 Deliverables:
• Responses to Comments
• Mitigation and Monitoring Reporting Program
• Administrative Draft Final EIR
• Screen check Final EIR
• Final EIR
• Notice of Determination
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Task 8: Area Plan Adoption and Implementation

This task covers plan review by the public, the adoption hearings, a nd steps needed to transfer knowledge to CITY staff to implement the Plan.

8.1 Digital Public Comment Matrix
To obtain feedback on the Public Draft Area Plan, CONSULTANT will prepare an online feedback form using JotForm or SurveyMonkey. The feedback form will allow interested parties to provide comments on the document by chapter and/or section. Using this tool will allow CONSULTANT and CITY staff to organize public comments. CONSULTANT will provide the results to CITY staff. CONSULTANT and CITY staff w ill review the comments and determine the changes that should be made to the Plan.

8.1 Deliverables:
• Digital Public Comment Matrix

8.2 Adoption Hearings
CONSULTANT will prepare a single, brief (20 -30 slide) PowerPoint presentation summarizing the Area Plan content and proposed changes to the Plan based on public comments for use during the adoption hearings. CONSULTANT will attend up to three hearings each with the PTC and the City Council (budgeted for a total of six meetings). The environmental CONSULTANT will also provide staff support as necessary at up to four total public hearings during the preparation of the environmental analysis, including giving presentations to each body on the status of the environmental analysis and responding to questions.

8.2 Deliverables:
• Presentation and attendance for hearings

8.3 Final San Antonio Road Area Plan
Based on CITY Council action and final text changes provided by CITY staff, CONSULTANT will prepare the Final Area Plan document. The document will be provided in PDF format.

CONSULTANT will prepare a graphics file package including In -design files, maps, and diagrams.

8.3 Deliverables:
• Final Area Plan and graphics file package

Task 9: Project Management and Coordination

9.1 City Meetings and Coordination
At the beginning of the project, CONSULTANT will prepare project management tools for communication and data exchange. This may include services such as SharePoint, Google Drive or similar software. The purchase of subscriptions to specific project management software and the time to learn and set up said software is not included in the budget.

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CONSULTANT will prepare for and attend regular meetings with CITY staff and the project team to ensure clear project communication and ongoing coordination. CONSULTANT will be available for two (2) conference calls every month on average with the CIT Y’s Project Manager and other identified staff to discuss project coordination and Plan Area topics, approximately one (1) hour each. CONSULTANT’s project manager or a designated representative will be on each call. CONSULTANT will maintain an online docum ent outlining agendas and meeting notes.

Other team subject matter experts will attend as needed.

CONSULTANT will prepare a status report to be delivered with each monthly invoice for the duration of the project. The report will identify project status i ncluding percentage completed by task, completed deliverables and meetings, scope tasks in progress, next steps, and any issues to be addressed.

9.2 Team Coordination and Management
This task includes regular coordination meetings and email communication with SUBCONTRACTOR. It also involves managing all tasks, providing necessary resources, setting task expectations, scheduling team meetings, and performing QA/QC on deliverables.

NOT A TASK: CITY Staff Support
While CONSULTANT will do the bulk of the work on the project, CITY staff will serve as partners in the project every step of the way. The following is a preliminary list of the primary responsibilities of CITY staff:

1. The CITY will be responsible for forming and handling all logistics for the Citizen Advisory Group and Technical Advisory Group.

2. The CITY will provide correct and up-to-date data; CONSULTANT is not responsible for out-of-date or inaccurate information. Any changes in data that occur during the process will require a scope and budget amendment.

3. CITY review time for workshop materials and meeting materials will be approximately one week. CITY review of major products will be between two and four weeks, depending on the product and other responsibilities of CITY staff. All comments will be provided as a single consolidated set of non-conflicting and actionable comments.

4. CITY comments on the 2nd Administrative Draft Area Plan and EIR will be focused on typographical errors, minor clarifications, and formatting issues only. They will be provided in one consolidated set of comments.

5. CITY staff will serve as partners to CONSULTANT in the update process and will be responsible for, at minimum, the following activities:
• Logistics and scheduling of all meetings.
• Timely response to CONSULTANT questions.
• Timely review of documents and materials prepared by CONSULTANT. • Costs of meeting facilities and supplemental costs of meetings and workshops such as refreshments
• Identification of well-equipped and suitable locations for the hosting of large, in-person meetings.
• Printing copies of documents (the team will provide electronic versions and CITY staff will be responsible for printing).

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• Printing and mailing costs associated with the project that are not specifically identified in the scope of work.
• Assisting with outreach to inform the community about planned events.

CONSULTANT will rely on CITY staff for outreach methods including social media, e-mail blasts to interested parties, public notices, notices in newspapers, distributing meeting notices in public buildings, mailings, etc. • Coordinating with CITY staff in other departments throughout the project, including setting internal meetings.
• Assisting with the facilitation of small group activities at workshops. • Staffing the pop-up workshops.
• Other tasks as identified during the process.

6. CITY staff will be responsible for local noticing and distribution of public documents for the EIR. CONSULTANT will transmit the NOP to the State Clearinghouse on behalf of the CITY. This scope of work assumes the CITY will handle all local posting of the NOP (i.e., mailings, newspaper ads, and filing at the County Clerk).

7. Staff reports for all workshops, meetings, and hearings with the City Council, Planning and Transportation Commission and other CITY boards and commissions.

Additional notes:
• Exhibit A does not include a Water Supply Assessment (WSA); however, CONSULTANT can work with the water purveyor to provide data necessary for the WSA.
• Translation and interpretation are only being provided in Spanish for the Workshops. • Any report, study or deliverable not specifically identified in this scope of work shall be completed with the additional services budget of the Agreement.

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EXHIBIT A-1

PROFESSIONAL SERVICES TASK ORDER

CONSULTANT shall perform the Services detailed below in accordance with all the terms and conditions of the Agreement referenced in Item 1A below. All exhibits referenced in Item 8 are incorporated into this Task Order by this reference. CONSULTANT shall furnish the necessary facilities, professional, technical and supporting personnel required by this Task Order as described below.

CONTRACT NO.

OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE)

1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE):
1B. TASK ORDER NO.:

2. CONSULTANT NAME:

3. PERIOD OF PERFORMANCE: START: COMPLETION:
4 TOTAL TASK ORDER PRICE: $__________________
BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT $_______________

5. BUDGET CODE_______________
COST CENTER________________
COST ELEMENT______________
WBS/CIP__________
PHASE__________

6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:_____________________________________

7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A)
MUST INCLUDE:
▪ SERVICES AND DELIVERABLES TO BE PROVIDED
▪ SCHEDULE OF PERFORMANCE
▪ MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable) ▪ REIMBURSABLE EXPENSES, if any (with “not to exceed” amount)

8. ATTACHMENTS: A: Task Order Scope of Services B (if any): _____________________________

I hereby authorize the performance of the
work described in this Task Order.

APPROVED:

CITY OF PALO ALTO

BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________

I hereby acknowledge receipt and acceptance of
this Task Order and warrant that I have
authority to sign on behalf of Consultant.

APPROVED:

COMPANY NAME: ______________________

BY:____________________________________
Name __________________________________
Title___________________________________
Date ___________________________________

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EXHIBIT B

SCHEDULE OF PERFORMANCE

CONSULTANT shall perform the Services so as to complete each milestone within the number of days/weeks specified below. The time to complete each milestone may be increased or decreased by mutual written agreement of the Project Managers for CONSULTANT and CITY so long as all work is completed within the term of the Agreement.

Milestones
Completion
Number of Days/Weeks (as specified below)
from NTP

1. Task 1: Project Initiation Projected 23 months, or to be determined by CONSULTANT and CITY’s Project Managers
within terms of Agreement.

2. Task 2: Community Outreach and
Engagement
Projected 34 months or to be determined by
CONSULTANT and CITY’s Project Managers
within terms of Agreement.

3. Task 3: Existing Conditions Assessment Projected 6 months, or to be determined by CONSULTANT and CITY’s Project Managers
within terms of Agreement.

4. Task 4: Land Use and Mobility
Alternatives
Projected 15 months, or to be determined by
CONSULTANT and CITY’s Project Managers
within terms of Agreement.

5. Task 5: Analysis and Policy
Recommendations
Projected 19 months, or to be determined by
CONSULTANT and CITY’s Project Managers
within terms of Agreement.

6. Task 6: Area Plan Development Projected 24 months, or to be determined by CONSULTANT and CITY’s Project Managers
within terms of Agreement.

7. Task 7: Area Plan Environmental
Documents
Projected 34 months, or to be determined by
CONSULTANT and CITY’s Project Managers
within terms of Agreement.

8. Task 8: Area Plan Adoption and
Implementation
Projected 23 months, or to be determined by
CONSULTANT and CITY’s Project Managers
within terms of Agreement.

9. Task 9: Project Management and
Coordination
Projected 34 months, or to be determined by
CONSULTANT and CITY’s Project Managers
within terms of Agreement.

Optional Schedule of Performance Provision for On-Call or Additional Services Agreements. (This provision only applies if checked and only applies to on-call agreements per Section 1 o r agreements with Additional Services per Section 4.)

The schedule of performance shall be as provided in the approved Task Order, as detailed in Section 1 (Scope of Services) in the case of on-call Services, or as detailed in Section 4 in the case of Additional Services, provided in all cases that the schedule of performance shall fall within the term as provided in Section 2 (Term) of this Agreement.

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EXHIBIT C

COMPENSATION

CITY agrees to compensate CONSULTANT for Services performed in accordance with the terms and conditions of this Agreement, and as set forth in the budget schedule below. Compensation shall be calculated based on the rate schedule attached as Exhibit C -1 up to the not to exceed budget amount for each task set forth below.

CITY’s Project Manager may approve in writing the transfer of budget amounts between any of the tasks or categories listed below , provided that the total compensation for the Services, including any specified reimbursable expenses, and the total compensation for Additional Services (if any, per Section 4 of the Agreement) do not exceed the amounts set forth in Section 4 of this Agreement.

CONSULTANT agrees to complete all Services , any specified reimbursable expenses, and Additional Services (if any, per Section 4), within this/these amount(s). CITY and CONSULTANT mutually agree that the level of effort for e ach task by firm is generally identified in the project budget. Any level of effort that exceeds the hours identified by task in the project budget shall be considered Additional Services.

BUDGET SCHEDULE

TASK NOT TO EXCEED AMOUNT
Task 1
(Project Initiation)
$50,143
Task 2
(Community Outreach and Engagement)
$427,952
Task 3
(Existing Conditions Assessment)
$202,548
Task 4
(Land Use and Mobility Alternatives)
$164,967
Task 5
(Analysis and Policy Recommendations)
$158,651
Task 6
(Area Plan Development)
$132,196
Task 7
(Area Plan Environmental Documents)
$206,461
Task 8
(Area Plan Adoption and Implementation)
$109,140
Task 9
(Project Management and Coordination)
$228,414
Sub-total for Services $1,680,472
Reimbursable Expenses (if any) $119,439
Total for Services and Reimbursable Expenses $1,799,911 Additional Services (if any, per Section 4) $179,991
Maximum Total Compensation $1,979,902

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REIMBURSABLE EXPENSES

CONSULTANT’S ordinary business expenses , such as administrative, overhead, administrative support time/overtime, information systems, software and hardware, telecommunications (telephone, internet), insurance and other ordinary business expenses , are included within the scope of payment for Services and are not reimbursable expe nses hereunder.

Reimbursable expenses, if any are specified as reimbursable under this section , will be reimbursed at actual cost. The expenses (by type, e.g. travel) for which CONSULTANT will be reimbursed are: Translation and Interpretation ($4,000), Traffic Counts and Transportation Data ($15,000 ), 7% Project/Subcontractor Management ($65,883), Travel- Printing-Supplies ($6,320), 3% Office Expenses ($28,236) up to the not-to-exceed amount of: $119,439.

A. Travel outside the San Francisco Bay Area, including transportation and meals , if specified as reimbursable, will be reimbursed at actual cost subject to the City of Palo Alto’s policy for reimbursement of travel and meal expenses.

B. Long distance telephone service charges, cellular phone service charges, facsimile transmission and postage charges, if specified as reimbursable, will be reimbursed at actual cost.

All requests for reimbursement of expenses, if any are specified as reimbursable under this section, shall be accompanied by appropriate backup documentation and information.

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EXHIBIT C-1

SCHEDULE OF RATES

CITY and CONSULTANT agree the rates listed below are valid through 2025. CONSULANT & SUBCONTRACTORS have the option to increase rates in 2026 and 2027 so long as changes do not increase the not to exceed amount as noted in pursuant to Section 4 of the Agreement. CITY and CONSULTANT may at any time mutually agree to add new position titles, rates, and adjust listed rates so long as changes do not increase the not to exceed amount as noted in pursuant to Section 4 of the Agreement. CONSULTANT and SUBCONTRACTOR schedule of rat es is as follows:

Raimi & Associates, Inc. Hourly Rate
Principal-in-Charge $285
Project Manager/ Community Engagement Lead (Associate Principal) $250 Lead Urban Designer $250
Senior Planner, Senior GIS $190
Inter. Planner/ Community Engagement Coordinator $160
Planner/ Urban Designer $160
Graphics $125
Strategic Economics, Inc.

Principal $243
Senior Assoc. $206
Assoc. $155
Research Analyst $119
Kittelson & Associates, Inc.

Assoc. Planner $255
Senior Planner $225
Planner/Engineer $195
Analyst $175
GIS/ Graphics $165
BKF Engineers
Principal $302
Assoc. Principal $273
Project Manager $260
Project Engineer $195
David J. Powers & Associates, Inc.

Principal $313
Senior Project Manager $244
Graphic Artist $128
Illingworth & Rodkin, Inc.

Principal $240
Senior Consultant $215
Consultant $195

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EXHIBIT D

INSURANCE REQUIREMENTS

CONSULTANTS TO THE CITY OF PALO ALTO (CITY), AT THEIR SOLE EXPENSE, SHALL FOR THE TERM OF THE

CONTRACT OBTAIN AND MAINTAIN INSURANCE IN THE AMOUNTS FOR THE COVERAGE SPECIFIED BELOW, AFFORDED BY COMPANIES WITH AM BEST’S KEY RATING OF A -:VII, OR HIGHER, LICENSED OR AUTHORIZED TO TRANSACT INSURANCE BUSINESS IN THE STATE OF CALIFORNIA.

AWARD IS CONTINGENT ON COMPLIANCE WITH CITY’S INSURANCE REQUIREMENTS AS SPECIFIED HEREIN.

REQUIRED TYPE OF COVERAGE REQUIREMENT

MINIMUM LIMITS
EACH

OCCURRENCE AGGREGATE
YES
YES
WORKER’S COMPENSATION
EMPLOYER’S LIABILITY

STATUTORY

STATUTORY STATUTORY STATUTORY
YES

GENERAL LIABILITY, INCLUDING

PERSONAL INJURY, BROAD FORM

PROPERTY DAMAGE BLANKET

CONTRACTUAL, AND FIRE LEGAL

LIABILITY

BODILY INJURY

PROPERTY DAMAGE

BODILY INJURY & PROPERTY
DAMAGE COMBINED.
$1,000,000

$1,000,000

$1,000,000

$1,000,000

$1,000,000

$1,000,000

YES

AUTOMOBILE LIABILITY,
INCLUDING ALL OWNED (if any),

HIRED, NON-OWNED

BODILY INJURY
- EACH PERSON
- EACH OCCURRENCE

PROPERTY DAMAGE

BODILY INJURY AND PROPERTY

DAMAGE, COMBINED
$1,000,000
$1,000,000
$1,000,000

$1,000,000

$1,000,000

$1,000,000
$1,000,000
$1,000,000

$1,000,000

$1,000,000

YES

PROFESSIONAL LIABILITY,

INCLUDING, ERRORS AND

OMISSIONS, MALPRACTICE (WHEN

APPLICABLE), AND NEGLIGENT

PERFORMANCE
ALL DAMAGES $1,000,000
YES

THE CITY OF PALO ALTO IS TO BE NAMED AS AN ADDITIONAL INSURED: CONSULTANT, AT ITS SOLE COST

AND EXPENSE, SHALL OBTAIN AND MAINTAIN, IN FULL FORCE AND EFFECT THROUGHOUT THE ENTIRE TERM

OF ANY RESULTANT AGREEMENT, THE INSURANCE COVERAGE HEREIN DESCRIBED, INSURING NOT ONLY CONSULTANT AND ITS SUBCONSULTANTS, IF ANY, BUT ALSO, WITH THE EXCEPTION OF WORKERS’ COMPENSATION, EMPLOYER’S LIABILITY AND PROFESSIONAL INSURANCE, NAMING AS ADDITIONAL INSUREDS CITY, ITS COUNCIL MEMBERS, OFFICERS, AGENTS, AND EMPLOYEES.

I. INSURANCE COVERAGE MUST INCLUDE:

A. CONSULTANT’S COMMERICAL GENERAL LIABILITY POLICY SHALL INCLUDE A

CONTRACTUAL LIABILITY ENDORSEMENT PROVIDING INSURANCE COVERAGE FOR CONSULTANT’S AGREEMENT TO INDEMNIFY CITY AS DEFINED AS AN INSURED AGREEMENT UNDER SAID POLICY.

II. THE CONSULTANT MUST SUBMIT CERTIFICATES(S) OF INSURANCE EVIDENCING REQUIRED COVERAGE AT THE FOLLOWING EMAIL: [email protected]

III. ENDORSEMENT PROVISIONS WITH RESPECT TO THE INSURANCE AFFORDED TO ADDITIONAL INSUREDS:

A. PRIMARY COVERAGE

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WITH RESPECT TO CLAIMS ARISING OUT OF THE OPERATIONS OF THE NAMED INSURED,

INSURANCE AS AFFORDED BY THIS POLICY IS PRIMARY AND IS NOT ADDITIONAL TO OR

CONTRIBUTING WITH ANY OTHER INSURANCE CARRIED BY OR F OR THE BENEFIT OF THE ADDITIONAL INSUREDS.

B. CROSS LIABILITY

THE NAMING OF MORE THAN ONE PERSON, FIRM, OR CORPORATION AS INSUREDS UNDER

THE POLICY SHALL NOT, FOR THAT REASON ALONE, EXTINGUISH ANY RIGHTS OF THE

INSURED AGAINST ANOTHER, BUT THIS ENDORSEMENT, AND THE NAMING OF MULTIPLE

INSUREDS, SHALL NOT INCREASE THE TOTAL LIABILITY OF THE COMPANY UNDER THIS POLICY.

C. NOTICE OF CANCELLATION

1. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR ANY REASON

OTHER THAN THE NON-PAYMENT OF PREMIUM, THE CONSULTANT SHALL PROVIDE CITY AT LEAST A THIRTY (30) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION.

2. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR THE NON-PAYMENT OF PREMIUM, THE CONSULTANT SHALL PROVIDE CITY AT LEAST A TEN (10) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION.

EVIDENCE OF INSURANCE AND OTHER RELATED NOTICES ARE REQUIRED TO BE FILED WITH THE CITY OF PALO ALTO SENT TO THE FOLLOWING EMAIL:

[email protected]

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City Council
Staff Report
From: City Manager
Report Type: ACTION ITEMS
Lead Department: Planning and Development Services
Meeting Date: March 10, 2025
Report #:2502-4145
TITLE
Adoption of an Interim Urgency Ordinance Amending Palo Alto Municipal Code (PAMC) Section

18.40.160 to Allow for Early Demolition or Deconstruction on Contaminated Sites. CEQA status – exempt under CEQA Guidelines Section 15061(b)(3).

RECOMMENDATION
Staff recommends that Council take the following action:

1. Adopt, by a four-fifths majority, the attached Interim Urgency Ordinance amending PAMC Section 18.40.160 to Allow for Early Demolition or Deconstruction on Contaminated Sites.

BACKGROUND
City Council originally adopted PAMC Section 18.40.160 in early 2017 as part of a larger zoning code update. The intent at the time was to codify the City’s long-standing practice of requiring a replacement project be approved prior to demolition of an existing building.1 The code section has since been amended in minor ways in 2021,2 2022,3 and 2023,4 such as to add deconstruction (in addition to demolition) through an interim urgency ordinance and in a permanent ordinance as well as to update code references. Council recently approved an additional amendment on February 10, 2024, to address required modifications to further enforce the City’s no net loss of housing requirements, as required in accordance with Housing 1 The Staff report for the February 27, 2017 Council hearing is available online at:
https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes-reports/reports/city-manager-reports- cmrs/year-archive/2017/id-7373.pdf
2 Ordinance 5538 is available online at: https://portal.laserfiche.com/Portal/DocView.aspx?id=24478&repo=r- 704298fc
3 Ordinance 5542 is available online at: https://portal.laserfiche.com/Portal/DocView.aspx?id=24458&repo=r- 704298fc
4 Ordinance 5587 is available online at: https://portal.laserfiche.com/Portal/DocView.aspx?id=66271&repo=r- 704298fc
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Element Policy 4.1, which requires replacement housing when existing housing is demolished.

The text shown as existing in Attachment A reflects this modification.

The proposed interim urgency ordinance would further amend PAMC Section 18.40.160, allowing deconstruction of existing buildings in limited circumstances so that remediation of these sites can occur as soon as possible. As an urgency ordinance pursuant to PAMC Section

2.04.270(d), it would become effective immediately upon adoption by a four-fifths majority of the Council. It would be in effect for one year following its adoption, unless extended by the Council or superseded by replacement legislation.

ANALYSIS
Currently, building permits for a replacement project must be approved prior to issuance of a demolition or deconstruction permit for that property. However, where sites may have contamination from past uses, remediation for their safe use for housing can take years to complete, depending on the nature and extent of that contamination. This interim urgency ordinance would allow for sites to begin this cleanup action immediately, without approval of final entitlement and building permits. The change will eliminate delays in the preparation of contaminated sites to host new housing units while also allowing for faster cleanup of contamination for the protection of the environment.

The proposed code amendment contains the following key criteria that sites must meet and comply with in order to utilize this code provision:
•Must be on a property that is eligible for inclusion on any list of hazardous materials release sites maintained pursuant to California Government Code Section 65962.5 (as maintained by the Environmental Protection Agency);
•Must remediate to residential environmental screening levels as set forth by the Regional Water Quality Control Board;
•Cannot be a site that is listed or eligible for listing in the California Register (note that any site listed on the National Register is also eligible for the California Register); •May not require demolition of an existing residential use on a portion of the property in order to complete remediation; and
•If on a Housing Inventory Site, must record a covenant that ensures that any site invoking this provision may only be developed as a Housing Inventory Site for as long as the site remains on the Housing Element Sites Inventory.

This ordinance would not itself authorize any deconstruction, demolition, or environmental cleanup work, nor would it alter the State or local permitting processes that currently apply to demolition or other work on contaminated sites. The ordinance would change only the timing of when a property owner may apply for a demolition or deconstruction permit, so that remediation of hazardous conditions on a site may proceed even if a replacement project has not yet been approved. Cleanup work would continue to occur in accordance with site cleanup regulations overseen by relevant oversight agencies (including Department of Toxic Substances Item 6
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Control, Regional Water Quality Control Board, or County of Santa Clara Department of Environmental Health). These agencies require preparation and approval of cleanup plans and site management plans to ensure that the remediation is completed safely for the benefit of workers, future uses, surrounding properties, disposal purposes, etc.

There are approximately 180 sites across the City that could utilize this code provision; however, the vast majority of these sites are identified as sites with former leaking underground storage tank contamination on the Geotracker database, which would not necessarily require demolition of an existing building to complete cleanup. Moreover, about half of these cases are considered closed. Closed cases may still require further cleanup to occur for the purposes of a proposed residential use if remediation only occurred to the extent necessary for a planned commercial use. But these cases similarly are less likely to require removal of existing structures in order to complete remediation work.

FISCAL/RESOURCE IMPACT
There are no fiscal or resource impacts associated with the action.

STAKEHOLDER ENGAGEMENT
Notice of a public hearing for this project was published online and in the Daily Post on February 28, which is 10 days in advance of the meeting.

ENVIRONMENTAL REVIEW
Adoption of this ordinance is exempt from CEQA review under CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. The Ordinance does not itself authorize any work that could impact the environment or alter the state or local permitting process that currently applies to demolition or other work on contaminated sites. By removing a local procedural requirement, the ordinance changes only the timing of when a property owner may apply for a demolition permit.

ATTACHMENTS
Attachment A: Interim Urgency Ordinance
APPROVED BY:

Jonathan Lait, Planning and Development Services Director Item 6
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1 0290166_KB2_20250218_MS29
Ordinance No.___

Interim Urgency Ordinance of the Council of the City of Palo Alto Amending Chapter 18.40.160 (Replacement Project or Discretionary Review Required) of Title 18 (Zoning) of the Palo Alto Municipal Code to Allow for Early Demolition or Deconstruction on Contaminated Sites

The Council of the City of Palo Alto ORDAINS as follows:

SECTION 1. Findings and Declarations. The City Council finds and declares as follows:

A. Pursuant to Section 65962.5 of the California Government Code, the California Environmental Protection Agency maintains a list of hazardous materials release sites.

Remediation of the hazardous conditions on these sites to a level that is compatible with residential use can take years.

B. Usually, the existing improvements on the site must be demolished before remediation of the contamination can occur. Before demolishing existing improvements, property owners must secure a demolition or deconstruction permit from the City.

C. Chapter 18.40.160 of the Palo Alto Municipal Code currently provides that the permits for building permits for a replacement project must be approved before a demolition or deconstruction permit is issued. The process of securing planning entitlements and building permits for a replacement project can take years.

D. The Council now intends to amend the municipal code to allow a demolition or deconstruction permit to be issued, so that remediation of hazardous conditions may proceed, prior to issuance of a planning entitlement or building permit for a proposed replacement project, subject to certain conditions enumerated in the Ordinance. If the subject property is designated as a housing inventory site in the City’s operative Housing Element, the replacement project must be a Housing Development Project, as defined in state law. All property owners will be required to remediate the hazardous conditions to a level that is compatible with residential use.

E. Allowing these permitting and cleanup processes to proceed simultaneously will eliminate significant delays in the remediation of hazardous conditions and the preparation of contaminated sites for new development.

F. The City Council declares that this emergency ordinance is necessary as an emergency measure to preserve the public, peace, health, or safety by allowing property owners to proceed with remediation of hazardous or contaminated conditions on a site without waiting until the proposed replacement project has completed the planning entitlement and building permit process. This will help alleviate Palo Alto’s housing shortage by eliminating delays in the preparation of contaminated sites to host new housing units.

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Attachment A - Interim
Urgency Ordinance

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G. Because of Palo Alto’s urgent need for more housing, this amendment to Title 18 is necessary for the public health, safety, or welfare, and there is insufficient time for consideration by the Planning and Transportation Commission (PTC) prior to Council action.

The Council therefore declares that an interim ordinance pursuant to Palo Alto Municipal Code Section 18.80.090 is an appropriate measure, pending consideration of a permanent ordinance by the PTC.

SECTION 2. Section 18.40.160 (Replacement Project or Discretionary Review Required) of Chapter 18.40 (General Standards and Exceptions) of Title 18 (Zoning) of the Palo Alto Municipal Code is hereby amended as follows (additions underlined):

18.40.160 Replacement Project or Discretionary Review Required (a) Except where necessary for health and safety purposes (as determined by the City’s Building Official), no permit required under Title 2 (Administrative Code), Title 12 (Public Works and Utilities), or Title 16 (Building Regulations) shall be issued:
(1) for demolition or deconstruction of a single family residence or duplex in the Low- Density Residential District (Chapter 18.10) or Single Family Residential District (Chapter

18.12), unless building permit plans for a replacement project have been approved. This subsection shall also apply to demolition of a single family residence or duplex in the Multiple Family Residential District (Chapter 18.13) when the replacement project does not require discretionary review.
(2) For any project requiring discretionary review under Title 18 or Title 21, unless the application for discretionary review has been approved. (3) For demolition of deconstruction of a residential unit, unless a replacement project has been approved that contains at least as many residential dwelling units as will be demolished.
(A) if the proposed development project is not a housing development project, the replacement housing units may be located on a site other than the project site but shall be located within Palo Alto and shall be developed prior to or concurrently with the proposed development.
(B) If the existing residential unit(s) is a nonconforming use, it shall be replaced in a manner consistent with the current zone district regulations. (C) Replacement of Protected Units, as those terms are defined in California Government Code Section 66300.5, shall be subject to the additional requirements of California Government Code Section 66300.6
(b) Notwithstanding subdivision (a) of this section, a permit for demolition or deconstruction may be issued before the approval of planning entitlements or building permits for a replacement project in order to allow for the remediation of hazardous conditions on the site.

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Attachment A - Interim
Urgency Ordinance

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(1) This subdivision (b) applies only to properties that are eligible for inclusion on any list of hazardous materials release sites maintained pursuant to California Government Code Section 65962.5 and are subject to a remediation plan or similar that has been approved by the applicable oversight agency, such as the California Department of Toxic Substances Control, California Water Resources Control Board, or County of Santa Clara Department of Environmental Health, and that requires demolition or deconstruction of the existing site improvements for decontamination to proceed.
(2) Sites granted an early demolition or deconstruction permit pursuant to this subdivision (c) must remediate the hazardous site conditions to the environmental screening levels compatible with residential use, according to the California State Water Resources Control Board.
(3) If the subject property is designated as a Housing Inventory Site in the City’s operative Housing Element, the site may be used only for a Housing Development Project as defined in California Government Code Section 65589.5. The property owner shall sign and record a covenant against the property, in a form acceptable to the city attorney, which requires that the property be used only as the site of a Housing Development Project for as long as the subject property is listed as a housing inventory site in the operative Housing Element.

The covenant shall be binding upon all successors in interest to the property. (4) This subdivision (b) does not apply if the subject property is listed in, or is determined to be eligible for listing in, the California Register of Historical Resources. (5) This subdivision (b) does not apply if it would require demolition of an existing residential use on a portion of the property in order to complete remediation. (6) This subdivision (b) shall be effective only through March 10, 2026, unless extended by the City Council or superseded by replacement ordinance.

SECTION 3. If any section, subsection, clause or phrase of this Ordinance is for any reason held to be invalid, such decision shall not affect the validity of the remaining portion or sections of the Ordinance. The Council hereby declares that it would have adopted the Ordinance and each section, subsection, sentence, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid.

SECTION 4. The Council finds that the Ordinance is exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no possibility that it will have a significant effect on the environment. The Ordinance does not itself authorize any work that could impact the environment or alter the state or local permitting process that currently applies to demolition or other work on contaminated sites. By removing a local procedural requirement, the Ordinance changes only the timing of when a property owner may apply for a demolition permit.

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*NOT YET APPROVED*
4 0290166_KB2_20250218_MS29
SECTION 5. This ordinance shall be effective immediately upon adoption by a four-fifths vote of the City Council and shall expire on March 10th, 2026, unless extended by the City Council or superseded by replacement legislation.

INTRODUCED:

PASSED:

AYES:

NOES:

ABSENT:

ABSTENTIONS:

ATTEST:

City Clerk Mayor

APPROVED AS TO FORM: APPROVED AS TO CONTENT:

City Attorney or Designee City Manager

Director of Planning and
Development Services
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City Council
Staff Report
From: City Manager
Report Type: ACTION ITEMS
Lead Department: City Manager
Meeting Date: March 10, 2025
Report #:2502-4180
TITLE
Adoption of Resolutions Amending the Comprehensive Plan to Re-Classify Portions of Ramona Street and California Avenue as Car-Free Streets and Closing those Streets to Vehicular Traffic; and Adoption of an Ordinance Allowing the City Manager to Create Regulations for these Streets, Setting Speed Limits for Bicycles on California Ave., and Implementing Ramona St. as Pedestrian Only (First Read); CEQA Status - An Addendum to the Comprehensive Plan Environmental Impact Report (EIR) (SCH#2014052101) Has Been Prepared.

RECOMMENDATION
Staff recommends the City Council:

1. Consider the Addendum to the previously adopted Comprehensive Plan 2030 Environmental Impact Report (SCH# 2014052101);

2. Adopt the Resolution amending the Comprehensive Plan Transportation Element and Glossary;

3. Adopt the Resolution approving the closure of designated sections of Ramona St. And California Avenue to vehicular traffic; and

4. FIRST READ: Adopt an ordinance creating new Chapter 10.66 in Title 10 (Vehicles and Traffic) to allow the City Manager to create regulations to control vehicular access to these streets, set speed limits for bicycles at 15 mph on California Ave, and implement Ramona St. as pedestrian only by prohibiting bicycle and skateboard riding.

EXECUTIVE SUMMARY
On November 6, 2023, the City Council provided direction to maintain the closed off portions of Ramona Street and California Avenue as car-free streets, with current areas of street closure to be made permanent.

In order to facilitate car-free areas of the City, an Amendment to the Comprehensive Plan is proposed (Attachment A) to re-classify the proposed portions of Ramona Street and California Avenue as a “Pedestrian Only Street” and “Community Street,” respectively, on Map T-5 of the Transportation Element, and to add definitions of these terms to the Glossary. These streets are currently identified as Residential/Collector Streets. The proposed Resolution in Attachment B would approve the street designations and set forth the rules for the use of these streets. The proposed Ordinance in Attachment D implements the Pedestrian Only designation of Ramona St., Item 7
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sets speed limits for bicycles on California Avenue, and allows the City Manager to create regulations to control vehicle access for both streets. The environmental impacts associated with the Comprehensive Plan Amendment and the permanent closure of these segments of Ramona Street and California Avenue to through- vehicular traffic have been analyzed in an addendum to the Comprehensive Plan Environmental Impact Report included in Attachment C. The findings of the addendum show that the project will not result in any new or more severe impacts as compared to impacts previously identified for the planned buildout under the Comprehensive Plan through 2030.

On February 12, 2024, the Planning and Transportation Commission (PTC) reviewed the proposed changes to the Comprehensive Plan. The PTC unanimously recommended approval and provided additional feedback. The feedback has been considered and incorporated into the proposed resolutions for Council consideration as discussed below.

BACKGROUND
In March 2020, restrictions on indoor dining and social distance requirements associated with the COVID-19 pandemic had a negative economic effect on many local businesses in the City of Palo Alto. In June 2020, the City closed off portions of Ramona Street (between Hamilton Avenue and University Avenue) and California Avenue (between El Camino Real and Birch Street) to vehicular traffic, to facilitate pedestrian access and outdoor dining, and enhance the retail experience.

Since June 2020, the City Council has taken action multiple times to continue the temporary closures, and these street segments are still closed to vehicular traffic. Following is a summary of key actions taken by Council to temporarily close these street segments to vehicular traffic to facilitate pedestrian access and outdoor dining and enhance the retail experience:
•On June 23, 2020, the City Council adopted Resolution No. 9909, temporarily closing portions of California Avenue and University Avenue and certain downtown streets intersecting University Avenue (including Ramona Street), pursuant to California Vehicle Code 21101.
•On August 10, 2020, December 14, 2020, and May 10, 2021, the Council adopted successive resolutions extending the temporary street closures until to December 31, 2020, May 31, 2021, October 31, 2021, respectively.
•On September 13, 2021, the City Council directed the re-opening of University Avenue on October 15, 2021, and adopted Resolutions No. 9987 and 9988 to continue with temporary closure of portions of Ramona Street and California Avenue respectively, through June 2022.
•On May 16, 2022, the City Council adopted Resolutions No. 10039 and 10040, extending the temporary closures until December 31, 2023.

Due to the success of these temporary measures, on November 6, 2023, the City Council directed staff to return with necessary actions to maintain the closed off portions of Ramona Street and California Avenue as car-free streets in a permanent manner. Council has approved subsequent resolutions extending the temporary closures through December 2025 to provide time for implementation of the permanent closures.

In order to permanently close these portions of Ramona Street and California Avenue to vehicular traffic, the City’s Comprehensive Plan will need to be amended.

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Planning and Transportation Commission
On February 12, 2025, the PTC unanimously moved staff recommendations for the proposed project and provided additional suggestions on possible modifications to the resolutions, as warranted by staff. This included a recommendation to consider the following three items:
consultation with Caltrain, no net loss of accessible parking spaces, and improvements to the alleyways off California Avenue. Staff has updated the resolutions to reflect PTC feedback and consulted with Caltrain, as discussed further below. Any additional improvements on California Avenue will be considered in a future phase of streetscape improvements.

Project Description
The proposed project includes a resolution to amend the Comprehensive Plan 2030 to re- classify the proposed portions of Ramona Street and California Avenue as a “Pedestrian Only Street” and Community Street,” respectively, on Map T-5 (page 67) of the Transportation Element and adding definitions of the new street classifications to the Glossary. The project also includes a resolution implementing the street closures and setting forth the provisions for allowed uses within these street classifications. The proposed new classifications are:
•Pedestrian Only Streets – Streets that are restricted to pedestrians. Emergency vehicles, and utility and maintenance vehicles operated by or on behalf of the City are allowed; private utility vehicles may be allowed through an exception process. Outdoor dining and retail displays are encouraged on pedestrian only streets. •Community Streets – Streets that are restricted to pedestrians and bicycles or similar modes of transportation, subject to a maximum speed limit. Emergency vehicles and utility and maintenance vehicles operated by or on behalf of the City are allowed; private utility and commercial vehicles may be allowed in limited capacities through an exception process. Outdoor dining, retail displays, and community events are encouraged on community streets.

Car-Free Ramona Street
The Ramona Street segment will be pedestrian access only (including full American with Disabilities [ADA] access) with emergency vehicles and utility and maintenance vehicles operated by or on behalf of the City granted access when needed. Private utility and maintenance vehicles will be granted access through an exception process. Access by other vehicular traffic and mounted bicycles will be precluded to better support a safe pedestrian zone.

Conceptual design for near-term improvements, which will support a car-free street, is currently underway and will be brought forward for Council consideration in late Spring 2025. Potential improvements include re-configuring the existing left turn lane from Hamilton Avenue to Ramona Street, installing signage indicating no right or left turns from Hamilton Avenue onto Ramona Street, and installing removable bollards, planters, and signage at both ends of the car- free portion of Ramona Street to indicate a car-free street. Signage would also be installed at University Avenue and Ramona Street to indicate that there is no outlet via Ramona Street, but that there is access to the existing Ramona/University Parking Garage, located across from 530 Ramona Street, approximately midblock between University Avenue and Hamilton Avenue.

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The removable bollards will provide access for emergency, public utility, and maintenance vehicles on Ramona Street from Hamilton Avenue via a 40-foot-long and 20-foot-wide fire lane that will narrow to 16 feet wide through the remainder of the car-free portion of the street (approximately 160 feet). The fire lane will run through the center of the street, allowing eight feet between the fire lane and the edge of the sidewalk for the first 40 feet and 10 feet on each side, for the remaining approximately 160 feet. The space within the public right-of-way between the fire lane and edge of sidewalk curbs could be available for outdoor dining and retail.

Car-Free California Avenue
As proposed, California Avenue between El Camino Real and Birch Street will be restricted to pedestrians and bicycles or other similar modes of transit, subject to a speed limit of 15 miles per hour. Limited access will be allowed for emergency, utility and maintenance vehicles operated by and on behalf of the City. Private utility and commercial vehicles would only be allowed access through an exception process.

Council took action on December 16, 2024, to facilitate the replacement of temporary barriers with near-term improvements at the car-free portion of California Avenue at the El Camino Real, Ash Street and Birch Street intersections.1 Improvements are comprised of street resurfacing, stamped clay colored asphalt, bollards, bike lanes, planters, and signage. At the El Camino Real and Birch Street intersections bicycle lane markings will indicate the path of travel in the car-free area. Retractable and removable bollards will control vehicle access to the car free area. Large fiberglass planters will be located to prohibit vehicle access. Signage at each intersection will indicate the road is closed to vehicles and open to bicycles and pedestrians.

Additionally, two ADA parking pick up and drop off areas will be located at the Ash Street intersection. At the February 12, 2025 meeting 2, the PTC asked staff to consider adding one more ADA parking space, which would ensure no net loss of spaces; this will be taken into consideration during the next phase of streetscape improvements. Construction of the near- term improvements is anticipated to begin in March-April 2025.

The permanent closure of this section of California Avenue will require permanent relocation of the Santa Clara Valley Transit Route (SCVT) 89 which will operate using an alternative bus route as it has since 2020 when the temporary closures were initiated.

ANALYSIS
Staff has analyzed the proposed street closures and associated Comprehensive Plan Amendment and found these actions to be consistent with the relevant plans, policies, and regulations adopted by the City as detailed herein.
1 California Ave Street Improvements:
https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=426739a9-5371-4252-bf28-38b87dee1191 2 February 12th PTC Staff Report: https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=803f19f6- edf7-4aac-bd3e-7f7e15a9681b
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Consistency with the Comprehensive Plan, Area Plans, and Guidelines3 The Comprehensive Plan includes Goals, Policies, and Programs that guide the physical form of the City. The Comprehensive Plan provides the basis for the City’s development regulations and is used by City staff to regulate building and development and make recommendations on projects.

The proposed resolutions further several goals and policies in the Comprehensive Plan Land Use Element, Natural Element, and Transportation Element to encourage walking and biking, prioritize alternative modes of transportation over single-occupancy vehicle use, and reduce emissions, as detailed in the Resolutions in Attachments A and B.

The project would conflict with Map T-5 of the Transportation Element of the Comprehensive Plan, which identifies Ramona Street and California Avenue as residential/collector streets. The proposed amendment modifies this map to show the proposed segments of Ramona Street and California Avenue as Pedestrian Only Street and Community Street, respectively. With approval of the proposed resolution, the proposed street configurations would be consistent with the Comprehensive Plan. This Comprehensive Plan Amendment to permanently close portions of Ramona Street and California Avenue to vehicular traffic supports their transformation to be vibrant walkable destinations, prioritizing outdoor dining, pedestrian safety, and public gathering spaces to enhance community life and economic vibrancy.

There are no area plans that apply to these proposed street segments. Ramona Avenue is located within the boundaries of the Downtown Design Guidelines. The proposed actions that facilitate and implement a car-free street for a portion of Ramona Avenue encourages pedestrian activity, consistent with these guidelines.

Zoning Compliance4
The proposed work is located within public right-of-way and is therefore not subject to a specific land use designation. Nevertheless, the proposed actions do not include physical modifications to the proposed street segments, with the exception of the placement of removable bollards at the ends of each street segments, the addition of planters, and the addition of wayfinding markings and signage. These improvements would not conflict with any regulations set forth in the zoning ordinance or other municipal code sections.

Adjacent properties along the proposed car-free segment of Ramona Avenue are zoned Commercial-Downtown Community (C-DC) with Ground Floor (GF) and Pedestrian (P) combining districts. Adjacent properties along the proposed car-free segment of California Avenue are zoned Community Commercial (CC2) with Retail (R) and P combining districts. Both commercial zone districts accommodate a range of commercial uses and these ground floor, retail, and pedestrian combining districts generally encourage active ground floor uses, particularly retail and retail-like uses, and include urban design requirements that encourage pedestrian activity. The proposed actions are consistent with the intent of these base zoning districts and combining districts and 3 The Palo Alto Comprehensive Plan: https://www.cityofpaloalto.org/Departments/Planning-Development- Services/Housing-Policies-Projects/2030-Comprehensive-Plan 4 Palo Alto Zoning Code: https://codelibrary.amlegal.com/codes/paloalto/latest/overview Item 7
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add to the economic vitality of these areas.

Bicycle Access
To support a safe pedestrian zone with outdoor dining, retail, and events, mounted bicycles will not be allowed in the pedestrian street. The car-free portion of Ramona Street is approximately 200 feet long and is not being considered as an essential bike route in the proposed Bicycle and Pedestrian Master Plan update. Bicyclists may use alternate parallel streets between Hamilton Avenue and University Avenue or choose to walk their bicycles in the 200-foot car-free segment of Ramona Street.

A bicycle route through the car-free portion of California Avenue is a core element of cross-town bike circulation. California Avenue’s bike lanes connect the east and west sides of Palo Alto to the California Avenue Caltrain Station, with a connection under the Caltrain tracks, linking residential neighborhoods, regional transit, and employment at Stanford Research Park.

Currently, Class II bike lanes extend from Hannover Street to Louis Road, including a bike tunnel under the Caltrain right-of-way, with California Avenue as a planned enhanced bikeway between the Caltrain right-of-way and El Camino Real. A Community Street designation will eliminate car traffic and prioritize pedestrians and bicycles and other similar modes of transportation, subject to a maximum speed limit of 15 miles per hour, designating the route as part of the City’s bike network.

Allowed and Prohibited Vehicles
The reclassification of a portion of Ramona Street prioritizes pedestrian use and the re- classification of a portion of California Avenue as a Community Street prioritizes pedestrian use, bicycle use, and other similar modes of transportation, subject to a maximum speed limit of 15 miles per hour for bicycles. Both reclassifications restrict vehicle access to maintain safety and pedestrian usability. “Car- free” means no through vehicular traffic, with limited exceptions as follows:

Allowed Vehicles
•Emergency vehicles are permitted access at any time during emergencies or for non- emergency situations that ensure public health and safety, including special events. •Utility and maintenance vehicles, operated by or on behalf of the City or utilities, will be granted access if no alternative method exists to reach the service location. •Utility and maintenance vehicles operated by businesses or private entities may also receive access per this criteria, and through an exception process, •For special events, such as Farmers’ Markets, and other special circumstances, the City Manager or designee may authorize access on a limited basis, to the closed streets.

Prohibited Vehicles
•Commercial vehicles making routine (i.e. regularly scheduled) deliveries to businesses and individuals are prohibited.

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The attached ordinance will allow the City Manager to promulgate or amend these exceptions as appropriate through City Manager-level regulations.

Options for Bollard Access
The operation of retractable and removable bollards on Ramona Street and California Avenue will be managed through a key access system. Police, Fire Department, and City utilities and maintenance will have access keys. Staff will develop protocols for access by other stakeholders such as public utilities and vendors at the Farmers’ Market and 3rd Thursdays.

Parking and Circulation
The primary concern raised by merchants and community members regarding the temporary closure of California Avenue is vehicle circulation rather than parking. Since the closure began in 2020, travel behavior has adjusted to mitigate some of these concerns, but some issues still need to be addressed.

Parking
The closure of the car-free section of California Avenue has resulted in the loss of 53 on-street parking spaces, which includes three ADA spaces between Ash Street and Birch Street. The impact of the lost on-street parking is lessened due to an increase in parking supply with the new Sherman Avenue garage, a decrease in the demand for parking due to remote work, and the growth of on-line shopping. Additionally, changes in office occupancy trends, with employees concentrating in-office time midweek, has reduced informal weekday lunches, further reducing parking demand. The loss of ADA parking spaces, which affects access for disabled and senior customers, will be addressed by near-term improvements for two new ADA parking spaces on Ash Street, ensuring that merchants will have ADA accessible parking in close proximity to their businesses. As stated earlier, staff will explore future opportunities for an additional ADA parking space, in response to feedback from PTC.

Circulation
Key circulation issues on California Avenue include wayfinding challenges, the need to improve alleyways and pedestrian pathways, resolving bicycle and pedestrian conflicts, and ensuring safety by addressing unauthorized pick-up and drop-off locations. Street design concepts under development by the consultant, Urban Field Studio, will address these issues.

FISCAL/RESOURCE IMPACT
Approval of the recommended action will not result in any immediate fiscal impact. The Project may result in increased revenue due to increased economic activity in downtown and on California Avenue. Overall, the near-term improvements for California Avenue are funded as is the design work for Ramona Street; however, additional funding will be needed for near term Item 7
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improvements on Ramona St. (e.g. bollards and planters) and further improvements on California Avenue (e.g. implementation of a signage plan).

Improvements for the car-free portion of Ramona Street will be discussed with the City Council in late spring 2025; funding needed to implement approved improvements will be considered as a proposal in the FY 2026 Proposed Budget. Costs associated with improvements (bollards, planters, signage, edge treatments) for Ramona Street are under development.

As discussed with the City Council on February 3, 2025,5 the cost for near-term improvements for California Avenue, including bollard installation, planters, stamped concrete, grinding/repaving of pavement and work at the California Ave & El Camino Real intersection is approximately $825,000. This California Avenue work is funded through Council approved projects in the FY 2025 Capital Improvement program including California Avenue Streetscape, (PL-23000), Transportation and Parking Improvements (PL-12000) and Street Maintenance Project (PE-86070).

Costs for additional project-specific investments, such as implementation of a California Ave signage plan, will be further refined and discussed with the City Council as the project elements continue to take shape. These significant investments will be discussed as part of the FY 2026 budget process as well to the extent financial resource needs are anticipated.

STAKEHOLDER ENGAGEMENT
The Palo Alto Municipal Code requires notice of this public hearing be published in a local paper at least ten days in advance. Notice of a public hearing for this project, accordingly, was published in the Daily Post on February 28, 2025, which is 10 days in advance of the meeting.

Stakeholder and Community Engagement
City staff and consultants conducted extensive outreach to engage merchants, business owners, and the broader community regarding the future of Ramona Street and California Avenue from October 2022 to April 2023, with a second round of outreach for California Avenue from February 2024 to November 2024. Key efforts included monthly workshops, interviews, focus group meetings and outreach to several stakeholder groups such as Stanford Research Park, Chamber of Commerce, Farmer’s Market, business and property owners, property managers and developers. Staff also held several online and in-person community meetings, conducted a survey, and engaged City Committees. A detailed Community & Stakeholder engagement report is available online and provides further detail 5 Council Study Session: https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=ea05cf69-abb5- 47f4-80f1-973371604f2f
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of the stakeholder engagement work conducted for this project6. Additionally, City Council report for the February 3, 2025, hearing provides a more recent update on stakeholder engagement on California Avenue.

The two City surveys conducted for these car-free streets showed support for a pedestrian oriented main street. 79% of the survey respondents supported keeping California Avenue car-free and 70% of the survey respondents supported keeping a portion of Ramona Street car-free.

While some property owners and retailers on California Avenue have expressed concern about reduced visibility and access for cars with the street closure, these challenges can be addressed through enhanced wayfinding, zoning reform to attract new business, and thoughtful urban design. The wide 90-foot right-of-way presents an opportunity to balance retail, restaurant, and community needs without vehicular traffic, which would compromise the pedestrian atmosphere. Making the closure permanent provides certainty for local business and property owners, encouraging investment in outdoor dining and other improvements.

Based on feedback from the PTC on February 12, 2025, the project was also sent to Caltrain on February 13, 2025, for their review and feedback. A response from Caltrain on February 18, 2025, indicated they had no comments or concerns about the project.

ENVIRONMENTAL REVIEW
The City, acting as the lead agency, has analyzed the project in accordance with the authority and criteria contained in the California Environmental Quality Act (CEQA), the State CEQA Guidelines, and the environmental regulations of the City. Specifically, the City prepared an addendum to the Comprehensive Plan EIR (SCH#2014052101) to evaluate the proposed comprehensive plan amendment and associated street closures. The addendum concludes that the Project will not have new, or substantially more severe significant effects compared to those identified in the Comprehensive Plan EIR. Furthermore, there are no new mitigation measures beyond those previously analyzed that would reduce one or more significant effects. During all Project construction activities, it is recommended applicable BMPs shown in Table 5.3 of the CEQA Analysis report be implemented in compliance with Mitigation Measure AIR-2a.

On November 22, 2024, Santa Clara Valley Transportation Authority provided feedback on the potential impacts to Bus Route 89 which are incorporated into the transportation analysis of 6 Community & Stakeholder Engagement Report:
https://www.cityofpaloalto.org/files/assets/public/v/1/transportation/projects/car-free-streets/cfs_fall-2022- spring-2023-community-and-stakeholder-engagement-report_final-for-web.pdf Item 7
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the Addendum. Although not required, the Administrative Draft Addendum to the EIR for this project was sent to other Public Agencies that may have an interest in this proposed project, including Caltrans and California State Historic Preservation Office.

Tribal Coordination
SB 18 (GC Section 65352.3) requires lead agencies to contact and consult with California Native American tribes prior to amending or adopting any general plan, specific plan, or designating land as open space. In accordance with SB 18, notification of the proposed Project was mailed to the following tribes on December 5, 2024:
•Amah Mutsun Tribal Band of Mission San Juan Bautista
•Costanoan Rumsen Carmel Tribe
•Indian Canyon Mutsun Band of Coastanoan
•Ohlone Indian Tribe
•Muwekma Ohlone Tribe of the SF Bay Area
•Wuksachi Indian Tribe/Eshom Valley Band
•Tamien Nation
Two tribes requested consultation. Staff met with Muwekma Ohlone Tribe of the San Francisco Bay Area on January 23, 2025. A meeting was also scheduled with Tamien Nation on January 22, 2025, but they were unable to attend. On February 5, 2025 the Muwekma Ohlone Tribe of the San Francisco Bay area confirmed that with implementation of the City’s standard measures to protect resources, which include worker environmental awareness training, and a stop work in the event of an unanticipated discovery in order to evaluate and properly treat the resource if uncovered, the tribe considered consultation to be complete. Tamien Nation has not responded to multiple e-mails and phone calls to discuss the project.

ATTACHMENTS
Attachment A: Resolution Amending the Comprehensive Plan Transportation Element Attachment B: Resolution Approving the Street Closures and Setting forth Provisions of the Closures
Attachment C: Environmental Analysis
Attachment D: Ordinance Allowing the City Manager to Create Regulations for the Car-Free Streets, Setting Bicycle Speed Limits at 15 mph on California Ave., and Implementing the Pedestrian Only designation to Ramona St.

APPROVED BY:

Ed Shikada, City Manager
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Resolution No. ____
Resolution of the Council of the City of Palo Alto Amending the Comprehensive Plan Circulation Element Text to Add Two New Street Classifications to Map T-5 to add Pedestrian Only Streets and Community Streets and to Apply Those Designations to a Segment of Ramona Street and California Avenue, Respectively

R E C I T A L S
A. California Government Code Section 65300 et seq. requires every city and county in California to adopt a General Plan, known in Palo Alto as its Comprehensive Plan, for its long-range development, and further, to periodically update that plan to reflect current issues and conditions.

B. On November 13, 2017, the City Council for the City of Palo Alto (City) certified a Final Environmental Impact Report (EIR) for the City of Palo Alto 2030 Comprehensive Plan through Resolution No. 9720, made findings in relation to the Final EIR, adopted a mitigation monitoring and report plan (MMRP), and adopted a statement of overriding considerations through Resolution No. 9721 and adopted the City of Palo Alto 2030 Comprehensive Plan through Resolution No. 9722.

C. Map T-5 on Page 67 of the City of Palo Alto 2030 Comprehensive Plan Transportation Element identifies California Avenue and Ramona Street as residential/collector streets.

D. On June 23, 2020, the Council adopted Resolution No. 9909 approving the temporary closure of portions of California Avenue and certain other Downtown streets through Labor Day 2020 to allow for outdoor dining and retail on those streets, consistent with the Santa Clara County Public Health Order in effect. The street closures were part of a Summer Streets Program initiated by the City to accommodate outdoor uses at a time when indoor dining remained prohibited in the County and the growing scientific evidence showed a lower risk of COVID-19 transmission outdoors compared to indoors. At that time, the City anticipated that indoor dining would be allowed to resume in the County, as had been allowed in neighboring counties, and sought to address the immediate needs of the community including residents, workers and businesses that had been severely impacted by loss of business activity and revenue.

E. Through subsequent resolutions, including Resolutions 9909, 9911, 9933, 9954, 9962, 9987, 9988, 10039, 10040, 10129, 10130, 10207, and 10208, Council temporarily extended the street closures.

F. On November 6, 2023 Council directed staff to return with the necessary actions to maintain California Avenue and Ramona Street as a car-free street with current areas of street closure to be made permanent.

G. To align Map T-5 of the transportation Element to reflect the partial closure of segments of Ramona Street and California Avenue, two new street classifications will be added to the map legend and reflected on the map. The new classifications of “Pedestrian Only Streets” and “Community Streets”, will be reflected on the map for the car-free segments of Ramona Street and California Avenue, Item 7
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Resolution to Amend the
Comprehensive Plan
Transportation Element
for Car Free Streets

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respectively. These classifications and associated provisions are implemented in Resolution _____, which also approves the closure of these street segments to vehicular traffic.

H. The Planning and Transportation Commission, after a duly noticed public hearing on February 12, 2025, recommended that the City Council amend Map T-5 of the City of Palo Alto Comprehensive Plan and add definitions of the new street classifications to the Glossary as set forth below.

I. The City Council considered said recommendation after a duly noticed public hearing held on March 10, 2025 and now desires to amend Map T-5 of the Circulation Element as set forth below.

NOW, THEREFORE, the Council of the City of Palo Alto RESOLVES as follows:

SECTION 1. The City Council finds that the public interest, health, safety and welfare of Palo Alto and the surrounding region would be furthered by an amendment of the Circulation Element.

SECTION 2. T he Text Amendment to Map T-5 of the Circulation Element of the Comprehensive Plan is consistent with the Comprehensive Plan as a whole; in particular, it facilitates these partial streets closures, which furthers the following goals and policies of the Comprehensive Plan:

Table 1: Comprehensive Plan Policy Consistency
Natural Element
Goal N-5: Clean, healthful air for Palo Alto and
the San Francisco Bay Area.

The proposed comprehensive plan amendment
facilitates the closure of two street segments to
motor vehicles, prioritizing alternative modes of
transportation, consistent with these policies that
encourage reduction in emissions from automobiles.

Policy N -5.2: Support behavior changes to
reduce emissions of particulates from
automobiles.

Transportation Element
Goal T-1: Create a sustainable transportation
system, complemented by a mix of land uses,
that emphasizes walking, bicycling, use of
public transportation and other methods to
reduce GHG emissions and the use of single -
occupancy motor vehicles.

The proposed comprehensive plan amendment
facilitates the closure of two street segments to
motor vehicles, which encourages a transportation
system that emphasizes alternative modes of
transportation to single-occupancy motor vehicles
and supports bicycling and walking.

Policy T -1.3: Reduce GHG and pollutant
emissions associated with transportation by
reducing VMT and per-mile emissions through
increasing transit options, supporting biking
and walking, and the use of zero -emission
vehicle technologies to meet City and State
goals for GHG reductions by 2030.

Policy T-1.19: Provide facilities that
encourage and support bicycling and walking.

Item 7
Attachment A -
Resolution to Amend the
Comprehensive Plan
Transportation Element
for Car Free Streets

Item 7: Staff Report
Pg.
12 Packet Pg. 189 of 247

*NOT YET APPROVED*

3 128_20250226_TS24

Policy L-4.1. Encourage the upgrading and
revitalization of selected Centers in a manner
that is compatible with the character of
surrounding neighborhoods, without loss of
retail and existing small, local businesses.

The project encourages a community center in retail
areas that are intended to support the vibrant retail
environment surrounding these areas.

Policy L -4.4. Ensure all Regional Centers and
Multi-Neighborhood Centers provide centrally
located gathering spaces that create a sense
of identity and
encourage economic
revitalization. Encourage public amenities
such as benches, street trees, kiosks,
restrooms and public art.

The proposed comprehensive plan amendment
facilitates the closure of two street segments in order to make these spaces central gathering places that
create a sense of identity and encourage walkability
and a vibrant retail area on both California Avenue
and Ramona Street.

Policy L -8.4: Create facilities for civic and
intellectual life, such as better urban public
spaces for civic programs and speakers,
cultural, musical and artistic events.

Policy L -4.7 Maintain and enhance the
University Avenue/Downtown area as a major
commercial center of the City, with a mix of
commercial, civic, cultural, recreational and
residential uses. Promote quality design that
recognizes the regional and historical
importance of the area and reinforces its
pedestrian character.

Policy L -7.5 To reinforce the scale and
character of University Avenue/Downtown,
promote the preservation of significant
historic buildings.

The City conducted consultation with tribes that are
geographically and culturally affiliated with the area
in accordance with Senate Bill 18 regulations and
incorporate the tribe’s recommendations as part of
the proposed project to ensure the protection of
tribal cultural resources, if uncovered. The project
does not include any proposed street modifications
that would have the potential to impact adjacent
historic buildings, which would be preserved as part
of the proposed project. The project adds vitality to
the areas around these historic buildings, enhancing
pedestrian access to these areas.

Policy L-7.16 Continue to consult with tribes
as required by California Government Code
Section 65352.3. In doing so, use app ropriate
procedures to accommodate tribal concerns
when a tribe has a religious prohibition against
revealing precise information about the
location or previous practice at a particular
sacred site.

Policy L -7.17 Assess the need for
archaeological survey s and mitigation plans
on a project -by-project basis, consistent with
the California Environmental Quality Act and
the National Historic Preservation Act.

Policy L -7.18 Require project proponents to
meet State codes and regulations regarding
Item 7
Attachment A -
Resolution to Amend the
Comprehensive Plan
Transportation Element
for Car Free Streets

Item 7: Staff Report
Pg.
13 Packet Pg. 190 of 247

*NOT YET APPROVED*

4 128_20250226_TS24

the identification and protection of
archaeological and paleontological deposits,
and unique geologic features.

SECTION 3. The City Council hereby amends the Comprehensive Plan Circulation Element as follows:

Map T-5 on Page 67 of the Transportation Element as shown in Attachment A is hereby amended to identify two new street classifications, Community Streets and Pedestrian Only Streets, and to apply those classifications to a portion of California Avenue from El Camino Real to Birch Street and a portion of Ramona Street between Hamilton Avenue and University Avenue, respectively, as shown in Attachment B.

The Glossary is hereby amended to add the following terms and definitions:

Community Street
Streets that are restricted to pedestrians and bicycles or similar modes of transportation, subject to a maximum speed limit. Emergency vehicles and utility and maintenance vehicles operated by or on behalf of the City are allowed; private utility and commercial vehicles may be allowed in limited capacities through an exception process. Outdoor dining, retail displays, and community events are encouraged on community streets.

Pedestrian Only Street
Streets that are restricted to pedestrians. Emergency vehicles, and utility and maintenance vehicles operated by or on behalf of the City are allowed; private utility vehicles may be allowed through an exception process. Outdoor dining and retail displays are encouraged on pedestrian only streets.

These street classifications and additional rules for these street segments are implemented in Resolution ________, which approves the closure of these street segments to vehicular traffic.

SECTION 4. In conformance with the California Environmental Quality Act (CEQA), the environmental impacts of this Resolution were evaluated in an Environmental Impact Report Addendum entitled “City of Palo Alto Car Free Ramona Street and California Avenue Addendum to the Comprehensive Plan EIR” dated February 2025. This addendum supplements the analysis in the Environmental Impact Report (EIR) for the 2030 Comprehensive Plan (SCH #2014052101), which the Council considered and adopted, together with the related Mitigation Monitoring and Reporting Plan (MMRP) on November 13, 2017 in accordance with City Council Resolution 9721 and 9722. The addendum did not disclose any new significant impacts that were not previous evaluated and mitigated in the Comp plan EIR, for which a statement of overriding considerations was previously adopted. //

//
Item 7
Attachment A -
Resolution to Amend the
Comprehensive Plan
Transportation Element
for Car Free Streets

Item 7: Staff Report
Pg.
14 Packet Pg. 191 of 247

*NOT YET APPROVED*

5 128_20250226_TS24

SECTION 5. This resolution shall be effective upon adoption.

INTRODUCED:

PASSED:

AYES:

NOES:

ABSENT:

ABSTENTIONS:

ATTEST:

__________________________ _____________________________ City Clerk Mayor

APPROVED AS TO FORM: APPROVED:

__________________________ __________________________ Assistant City Attorney City Manager

APPROVED:

__________________________
Chief Transportation Official

Exhibit A: Existing Map T-5 of the Transportation Element Exhibit B: Proposed Map T-5 of the Transportation Element Item 7
Attachment A -
Resolution to Amend the
Comprehensive Plan
Transportation Element
for Car Free Streets

Item 7: Staff Report
Pg.
15 Packet Pg. 192 of 247

"X
"X
§¨¦280
|ÿ82
£¤101
Mountain View
East Palo Alto
Stanford
Los Altos Hills
Menlo Park
SAN

FRANCISCO
BAY
Los Altos
El Camino Real
Foothill Expressway
Oregon Expressway
Embarcadero Road
University Avenue
East Charleston Road
San Antonio Road
Alma Street
Middlefield RoadCalifornia Ave Station
Palo Alto Station
Source: City of Palo Alto, 2013; PlaceWorks, 2014.

MAP T -5
R••O••A••D••W••A••YN ••E••T••W••O••R••K

PALO ALTO COMPREHENSIVE PLAN

TRANSPORTATION ELEMENT
0 0.25 0.5 Miles
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"
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5Item 7
Attachment A -
Resolution to Amend the
Comprehensive Plan
Transportation Element
for Car Free Streets

Item 7: Staff Report Pg. 16 Packet Pg. 193 of 247
"X
"X
§¨¦280
|ÿ82
£¤101
Mountain View
East Palo Alto
Stanford
Los Altos Hills
Menlo Park
SAN

FRANCISCO
BAY
Los Altos
El Camino Real
Foothill Expressway
Oregon Expressway
Embarcadero Road
University Avenue
East Charleston Road
San Antonio Road
Alma Street
Middlefield RoadCalifornia Ave Station
Palo Alto Station
Source: City of Palo Alto, 2025.

MAP T-5

ROADWAY NETWORK

PALO ALTO COMPREHENSIVE PLAN

TRANSPORTATION ELEMENT
0 0.25 0.5 Miles
Pedestrian Only Street Community Street Local/Collector Residential Arterial Arterial Expressway Freeway Railroads "X Caltrain Stations Parks Public Conservation Land Sphere of Influence City Boundary ([KLELW%
3URSRVHG0DS7Item 7
Attachment A -
Resolution to Amend the
Comprehensive Plan
Transportation Element
for Car Free Streets

Item 7: Staff Report Pg. 17 Packet Pg. 194 of 247
([KLELW%
3URSRVHG0DS7

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%ORFNOHYHOPDSRIWKH3HGHVWULDQ2QO\6WUHHWVHFWLRQRI5DPRQD6WPDUNHGLQ \HOORZDERYH
Item 7
Attachment A -
Resolution to Amend the
Comprehensive Plan
Transportation Element
for Car Free Streets

Item 7: Staff Report Pg. 18 Packet Pg. 195 of 247
*NOT YET APPROVED*

1 126_20250226_TS24

Resolution No. ____
Resolution of the Council of the City of Palo Alto Closing a Portion of Ramona Street between Hamilton Avenue and University Avenue and California Avenue between El Camino Real and Birch Street to Vehicular Traffic Pursuant to the Amended Circulation Element of the Comprehensive Plan and Adopting Certain Rules for those Streets

R E C I T A L S
A. On June 23, 2020, the Council adopted Resolution No. 9909 approving the temporary closure of portions of California Avenue, University Avenue and certain other Downtown streets through Labor Day 2020 to allow for outdoor dining and retail on those streets, consistent with the Santa Clara County Public Health Order in effect. The street closures were part of a Summer Streets Program initiated by the City to accommodate outdoor uses at a time when indoor dining remained prohibited in the County and the growing scientific evidence showed a lower risk of COVID-19 transmission outdoors compared to indoors. At that time, the City anticipated that indoor dining would be allowed to resume in the County, as had been allowed in neighboring counties, and sought to address the immediate needs of the community including residents, workers and businesses that had been severely impacted by loss of business activity and revenue.

B. Through Resolution No. 9909 the Council also approved a temporary pilot parklet program to allow parklets to be installed in on-street parking spaces on an expedited and temporary basis to provide more space for outdoor dining.

C. On December 14, 2020, the Council adopted Resolution 9933, which amended Resolution 9099, to extend until May 31, 2021 the temporary closure of portions of California Avenue and University Avenue and certain intersecting streets to allow for continued use of these areas in the heart of the City’s commercial districts to allow for outdoor dining and potentially other activities as may be allowed by State and County Public Health Orders.

D. On March 3, 2021, the State moved Santa Clara County one step down from the purple/widespread tier to the red/substantial tier. As of March 16, 2021, the County reported a cumulative total of 112,909 COVID cases and 1,867 deaths.

E. On May 10, 2021, the Council adopted Resolution 9954, which further extended until October 31, 2021 the temporary closure of portions of California Avenue and University Avenue and certain intersecting streets to allow for continued use of these areas in the heart of the City’s commercial districts to allow for outdoor dining and potentially other activities as may be allowed by State and County Public Health Orders.

F. On June 7, 2021, the Council adopted Resolution 9962. Resolution 9962 amended and restated Section 4 of Resolution 9909 regarding the pilot parklet program on a nonemergency basis.

G. In the midst of the continued COVID-19 pandemic, the City of Palo Alto continued to take measured steps to allow businesses to resume activities in outdoor settings. As a key part of those efforts, the Uplift Local Program (formerly known as the Summer Streets Program) created an attractive pedestrian environment on the closed streets resulting in increased foot traffic. A number of Item 7
Attachment B -
Resolution Amending
California Ave and
Ramona to permanently
close the streets

Item 7: Staff Report Pg. 19 Packet Pg. 196 of 247
*NOT YET APPROVED*

2 126_20250226_TS24

restaurants took advantage of the program and created outdoor seating in the streets, on sidewalks, and on parklets. Residents and visitors who have come to University Avenue and California Avenue have expressed delight and reported having a highly enjoyable experience.

H. On September 13, 2021 the Council voted to extend the street closures of portions of California Avenue and Ramona Street through June 30, 2022 to allow for the continued use of these streets for outdoor dining and other activities as may be allowed. The Council voted on each street separately and Resolution 9988 extended the closure of Ramona Street only; a separate resolution (no. 9987) extended the closure of California Avenue.

I. On May 16, 2022 the Council voted to extend the street closures of California Avenue and Ramona Street through December 31, 2023 to allow for the continued use of these streets for outdoor dining and other activities as may be allowed and adopted Resolutions 10039 and 10040.

J. On November 6, 2023 Council directed staff to return with the necessary actions to maintain California Avenue and Ramona Street as a car-free street with current areas of street closure to be made permanent and adopted Resolutions 10129 and 10130 allowing for the continued temporary closure of California Avenue and Ramona Street through December 2024.

K. On December 16, 2024, the Council adopted Resolutions 10207 and 10208 to extend the street closures of California Avenue and Ramona Street through December 31, 2025.

L. California Vehicle Code section 21101(g) allows the City to adopt a resolution to prohibit entry and exit to any street to implement the circulation element of a general plan.

M. The Planning and Transportation Commission, after a duly noticed public hearing on February 12, 2025, recommended that the City Council amend Map T-5 of the City of Palo Alto Comprehensive Plan and the glossary.

N. The City Council considered said recommendation after a duly noticed public hearing held on March 10, 2025 and Amended Map T-5 of the Transportation Element and glossary, through Resolution ______________and now desires to close a portion of Ramona Street between Hamilton Avenue and University Avenue as well as a portion of California Avenue from University Avenue to Birch Street to vehicular traffic, as set forth below.

NOW, THEREFORE, the Council of the City of Palo Alto RESOLVES as follows:

SECTION 1. The City Council finds that the public interest, health, safety and welfare of Palo Alto and the surrounding region would be furthered by the street closures. With adoption of Resolution _______, which amends Map T-5 of the Comprehensive Plan to amend the classification of these two street segments from residential/collector to Pedestrian Only Streets and Community Streets for Ramona Street and California Avenue, respectively, the closures are consistent with the Comprehensive Plan as a whole. In particular, it furthers the following goals and policies of the Comprehensive Plan:

Table 1: Comprehensive Plan Policy Consistency
Natural Element

Item 7
Attachment B -
Resolution Amending
California Ave and
Ramona to permanently
close the streets

Item 7: Staff Report Pg. 20 Packet Pg. 197 of 247
*NOT YET APPROVED*

3 126_20250226_TS24

Goal N-5: Clean, healthful air for Palo Alto and
the San Francisco Bay Area.

The proposed closure of two street segments to
motor vehicles prioritizes alternative modes of
transportation, consistent with these policies that
encourage reduction in emissions from automobiles.

Policy N-5.2: Support behavior changes to
reduce emissions of particulates from
automobiles.

Transportation Element
GOAL T-1: Create a sustainable transportation
system, complemented by a mix of land uses,
that emphasizes walking, bicycling, use of public
transportation and other methods to reduce
GHG emissions and the use of single-occupancy
motor vehicles.

The proposed closure of these two street segments
to motor vehicles encourages a transportation
system that emphasizes alternative modes of
transportation to single-occupancy motor vehicles
and supports bicycling and walking.

Policy T-1.3: Reduce GHG and pollutant
emissions associated with transportation by
reducing VMT and per-mile emissions through
increasing transit options, supporting biking
and walking, and the use of zero-emission
vehicle tec hnologies to meet City and State
goals for GHG reductions by 2030.

Policy T-1.19: Provide facilities that
encourage and support bicycling and walking.

Policy L-4.1. Encourage the upgrading and
revitalization of selected Centers in a manner
that is compatible with the character of
surrounding neighborhoods, without loss of
retail and existing small, local businesses.

The project facilitates the creation of a community
center in two retail areas that are intended to
support the vibrant retail environment surrounding
these areas.

Policy L-4.4. Ensure all Regional Centers and
Multi-Neighborhood Centers provide centrally
located gathering spaces that create a sense of
identity and encourage economic
revitalization. Encourage public amenities such
as benches, street trees, kiosks, restrooms and
public art.

The proposed closure of two street segments provide
an opportunity to make these spaces central
gathering places that create a sense of identity and
encourage walkability and a vibrant retail area on
both California Avenue and Ramona Street.

Policy L-8.4: Create facilities for civic and
intellectual life, such as better urban public
spaces for civic programs and speakers,
cultural, musical and artistic events.

Policy L-4.7 Maintain and enhance the
University Avenue/Downtown area as a major
commercial center of the City, with a mix of
commercial, civic, cultural, recreational and
residential uses. Promote quality design that
recognizes the regional and historical
importance of the area and reinforces its
pedestrian character.

Item 7
Attachment B -
Resolution Amending
California Ave and
Ramona to permanently
close the streets

Item 7: Staff Report Pg. 21 Packet Pg. 198 of 247
*NOT YET APPROVED*

4 126_20250226_TS24

Policy L-7.5 To reinforce the scale and
character of University Avenue/Downtown,
promote the preservation of significant historic
buildings.

The City conducted consultation with tribes that are
geographically and culturally affiliated with the area
in accordance with Senate Bill 18 regulations and
incorporate the tribe’s recommendations as part of
the proposed project to ensure the protection of
tribal cultural resources, if uncovered. The project
does not include any proposed street modifications
that would have the potential to impact adjacent
historic buildings, which would be preserved as part
of the proposed project. The project adds vitality to
the areas around these historic buildings, enhancing
pedestrian access to these areas.

Policy L-7.16 Continue to consult with tribes
as required by California Government Code
Section 65352.3. In doing so, use appropriate
procedures to accommodate tribal concerns
when a tribe has a religious prohibition against
revealing precise information about the
location or previous practice at a particular
sacred site.

Policy L-7.17 Assess the need for
archaeological surveys and mitigation plans on
a project-by-project basis, consistent with the
California Environmental Quality Act and the
National Historic Preservation Act.

Policy L-7.18 Require project proponents to
meet State codes and regulations regarding
the identification and protection of
archaeological and paleontological deposits,
and unique geologic features.

SECTION 2. Street Closures. Pursuant to Resolution _______, which amended the Comprehensive Plan transportation Element to re-classify the streets from residential/collector to “Pedestrian Only Streets” and “Community Streets”, the City Council hereby closes the following segments of Ramona Street and California Avenue to vehicular traffic, subject to the following provisions:

The portion of Ramona Street starting at Hamilton Avenue and continuing approximately 200 feet to end at the entrance to the 533 Ramona St. parking garage entrance (as it exists at on the date of adoption of this Resolution) is hereby reclassified as a Pedestrian Only Street, which is defined as:

Streets that are restricted to pedestrians. Emergency vehicles, and utility and maintenance vehicles operated by or on behalf of the City are allowed; private utility vehicles may be allowed through an exception process. Outdoor dining and retail displays are encouraged on pedestrian only streets.

California Avenue between El Camino Real and Birch Street is hereby reclassified as a Community Street, which is defined as:

Streets that are restricted to pedestrians and bicycles or similar modes of transportation, subject to a maximum speed limit. Emergency vehicles and utility and maintenance vehicles operated by Item 7
Attachment B -
Resolution Amending
California Ave and
Ramona to permanently
close the streets

Item 7: Staff Report Pg. 22 Packet Pg. 199 of 247
*NOT YET APPROVED*

5 126_20250226_TS24

or on behalf of the City are allowed; private utility and commercial vehicles may be allowed in limited capacities through an exception process. Outdoor dining, retail displays, and community events are encouraged on community streets.

SECTION 3. Additional Rules.

3.1 This Section 3 shall apply to those streets designated as Pedestrian Only Streets and Community Streets and shall automatically sunset upon the City Manager’s adoption of replacement regulations as authorized by PAMC Chapter 10.66.

3.2. Emergency vehicles shall be permitted access only during an emergency or if needed during a non-emergency to provide for public health and/or safety. This includes the staging of emergency vehicles during special events or other times when deployment is necessary to ensure public health and/or safety.

3.3 Utility and Maintenance vehicles that are operated by the City and publicly or privately owned utilities, or contractors operating on behalf of the City or such utilities, may be allowed access if there is no other practicable method to access the location needing service. As determined by the City Manager or designee, utility and maintenance vehicles operating on behalf of other parties, including businesses, building owners, and tenants, may be granted access by the City if there is no other practicable method to access the location needing service. Utility and maintenance vehicles do not include vehicles making routine deliveries to companies or persons.

3.4. Special Events. The City Manager or designee may authorize vehicles to access the closed street for special events.

3.5 The City Manager or designee may promulgate regulations to ensure the orderly and safe functioning of these rules. This includes time, place, and manner restrictions, as well as limiting the number of vehicles on these streets at any given time.

SECTION 4. Supersedes Resolutions 10207 and 10208. This Resolution shall supersede Resolutions 10207 and 10208, which are rescinded as of the effective date of this Resolution.

SECTION 5. CEQA. In conformance with the California Environmental Quality Act (CEQA), the environmental impacts of this Resolution were evaluated in an Environmental Impact Report Addendum entitled “City of Palo Alto Car Free Ramona Street and California Avenue Addendum to the Comprehensive Plan EIR” dated February 2025. This addendum supplements the analysis in the Environmental Impact Report (EIR) for the 2030 Comprehensive Plan (SCH #2014052101), which the Council considered and adopted, together with the related Mitigation Monitoring and Reporting Plan (MMRP) on November 13, 2017, in accordance with City Council Resolution 9721 and 9722. The addendum did not disclose any new significant impacts that were not previous evaluated and mitigated in the Comp plan EIR, for which a statement of overriding considerations was previously adopted.

Item 7
Attachment B -
Resolution Amending
California Ave and
Ramona to permanently
close the streets

Item 7: Staff Report Pg. 23 Packet Pg. 200 of 247
*NOT YET APPROVED*

6 126_20250226_TS24

SECTION 6. This resolution shall be effective upon adoption.

INTRODUCED AND PASSED:

AYES:

NOES:

ABSENT:

ABSTENTIONS:

ATTEST:

__________________________ __________________________ C i t y C l e r k M a y o r

APPROVED AS TO FORM: APPROVED:

__________________________ __________________________ Assistant City Attorney City Manager

A P P R O V E D :

__________________________
Chief Transportation Official
Item 7
Attachment B -
Resolution Amending
California Ave and
Ramona to permanently
close the streets

Item 7: Staff Report Pg. 24 Packet Pg. 201 of 247
Attachment C
Meeting Date: March 10, 2025
Staff Report # 2502 -4180

Environmental Analysis
The Car Free CA and Ramon EIR Addendum 02-2025 can be viewed online at:
https://www.cityofpaloalto.org/files/assets/public/v/1/city-manager/car-free-streets/car-free-ca-and- ramona-eir-addendum-02-2025.pdf
The Appendix A Traffic Impact Analysis can be viewed online at:
https://www.cityofpaloalto.org/files/assets/public/v/1/city-manager/car-free-streets/appendix-a-traffic- impact-analysis.pdf
The Appendix B CalEEMod Output can be viewed online at:
https://www.cityofpaloalto.org/files/assets/public/v/1/city-manager/car-free-streets/appendix-b- caleemod-output.pdf
The Appendix C MMRP Matrix can be viewed online at:
https://www.cityofpaloalto.org/files/assets/public/v/1/city-manager/car-free-streets/appendix-c-mmrp- matrix.pdf

Item 7
Attachment C -
Environmental Analysis

Item 7: Staff Report
Pg.
25 Packet Pg. 202 of 247

*NOT YET APPROVED*
127_20250226_ts24 1

Ordinance No. _____
Ordinance of the Council of the City of Palo Alto Creating New Chapter 10.66 (Pedestrian Only Streets and Community Streets) in Title 10 (Vehicles and Traffic)

The Council of the City of Palo Alto ORDAINS as follows:

SECTION 1. Findings and Declarations. The City Council finds and declares as follows:

A. In conjunction with this ordinance, the City is amending its Comprehensive Plan to create two new street types called “Pedestrian Only Streets” and “Community Streets. ” A portion of Ramona Street will be a Pedestrian Only Street, and a portion of California Avenue will be a Community Street.

B. The City Council desires to delegate the regulation of such streets to the City Manager. In addition, the Ci ty Council desires to regulate the speed of bicycles and similar vehicles under existing PAMC section 10.64.220 (Speed limits on shared- use paths) and prohibit bicycles and similar vehicles on Pedestrian Only Streets.

SECTION 2. New Chapter 10.66 (Pedestrian Only Streets and Community Streets) is hereby added to Title 10 (Vehicles and Traffic) to read as follows:

Chapter 10.66 Pedestrian Only Streets and Community Streets

10.66.010 Definitions
For the purpose of this Chapter, “Pedestrian Only Streets” and “Community Streets” shall have the same meaning as found in the City’s Comprehensive Plan, as may be amended.

10.66.020 City Manager Authority to Create and Enforce Regulations The City Manager or designee may promulgate regulations to control vehicle access and usage of any street designated as a Pedestrian Only Street and Community Street . Such regulations shall be consistent with applicable laws and the allowable uses of these streets as defined in the Comprehensive Plan. Regulations shall be publicly available by posting them on the City’s website. Any person who violates such regulations shall be liable for a violation of this Section.

10.66.030 Bicycle Speed Limits on Community Streets
Any area or path for use by bicycles on a street designated as a Community Street shall be considered “shared use paths” for the purpose of enforcing the speed limits in PAMC 10.64.220, as may be amended.

Item 7
Attachment D - ORD -
New PAMC Ch. 10.66
(Pedestrian Only Streets
and Community Streets)

Item 7: Staff Report
Pg.
26 Packet Pg. 203 of 247

*NOT YET APPROVED*
127_20250226_ts24 2

10.66.040 No Bicycles or Skateboards on Pedestrian Only Streets No person shall ride or operate any bicycle, skateboard, or any other transportation vehicle or device on any street designated as a Pedestrian Only Street.

SECTION 3. Severability.

If any section, subsection, sentence, clause, or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council hereby declares that it would have passed this Ordinance and each and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional without regard to whether any portion of the Ordinance would be subsequently declared invalid or unconstitutional.

SECTION 4. Environmental Review
In conformance with the California Environmental Quality Act (CEQA), the environmental impacts of this project were evaluated in an Environmental Impact Report Addendum entitled “City of Palo Alto Car Free Ramona Street and California Avenue Addendum to th e Comprehensive Plan EIR” dated February 2025. This addendum supplements the analysis in the Environmental Impact Report (EIR) for the 2030 Comprehensive Plan (SCH #2014052101), which the Council considered and adopted, together with the related Mitigation Monitoring and Reporting Plan (MMRP) on November 13, 2017. in accordance with City Council Resolution 9721 and 9722. The addendum did not disclose any new significant impacts that were not previous evaluated and mitigated in the Comp plan EIR, for which a statement of overriding considerations was previously adopted.

//

//

//

//

//

//

//

Item 7
Attachment D - ORD -
New PAMC Ch. 10.66
(Pedestrian Only Streets
and Community Streets)

Item 7: Staff Report
Pg.
27 Packet Pg. 204 of 247

*NOT YET APPROVED*
127_20250226_ts24 3

SECTION 5. Effective Date

This Ordinance shall be effective 31 days after adoption.

INTRODUCED:

PASSED:

AYES:

NOES:

ABSENT:

ABSTENTIONS:

NOT PARTICIPATING:

ATTEST:

____________________________ ____________________________ City Clerk Mayor

APPROVED AS TO FORM: APPROVED:

____________________________ ____________________________ Assistant City Attorney City Manager

____________________________
Director of Transportation

____________________________
Director of Planning & Development
Services
Item 7
Attachment D - ORD -
New PAMC Ch. 10.66
(Pedestrian Only Streets
and Community Streets)

Item 7: Staff Report
Pg.
28 Packet Pg. 205 of 247

6 6
1 3
City Council
Staff Report
Report Type: ACTION ITEMS
Lead Department: City Manager
Meeting Date: March 10, 2025
Report #:2502-4211
TITLE
Approval of the 2025 City Council Priority Objectives, as well as Committee Objectives and Workplans. CEQA Status -- Not a Project. (Item Continued from February 24, 2025 City Council Meeting)
This item is a continuation of Agenda Item # 10 on the City Council February 24, 2025 agenda. The original report and materials may be found here:
https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=15969

RECOMMENDATION
Staff recommends the City Council approve: (a) 2025 City Council Priority Objectives, and (b) Committee Objectives and Workplans

BACKGROUND
On January 25, 2025, the City Council held its annual retreat to discuss and establish the 2025 Council Priorities. The City Council Protocols and Procedures Handbook defines a priority as a topic that will receive significant attention during the year. The City Council established the following Priorities for 2025:
•Economic Development & Retail Vibrancy
•Climate Action and Adaptation & the Natural Environment Protection •Implementing Housing Strategies for Social and Economic Balance •Public Safety, Wellness & Belonging
As has been the City’s practice for the past few years, staff has followed the City Council approval of its priorities by developing and recommending for City Council approval a set of objectives to advance each priority throughout the calendar year.

These objectives reflect “SMARTIE” principles - Specific, Measurable, Attainable, Relevant, Time-bound, Inclusive, and Equitable. These Objectives primarily consist of City Council actions and engagement and where significant staff resources are required throughout the calendar year to further the Priorities. City Council engagement may include a variety of forms, such as Item 8
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City Council approval, committee/council ad hoc review and recommendations, legislative advocacy, regional board/committee representation, and budgetary actions. Using the 2024 City Council Priorities and Objectives as a baseline, along with department proposed and City Council suggested objectives during its Annual Retreat, staff has evaluated and included a proposed list for City Council consideration in 2025.

In addition to City Council Priorities and Objectives, the City Council evaluates progress on topics and issues of interest through the approval of Committee objectives, both for standing and ad hoc committees. These are also included for consideration and approval.

ANALYSIS
The proposed 2025 City Council Priority Objectives lists a total of 68 objectives, compared to last year’s 78. Attachment A includes the summary table with the following elements to help guide the City Council in its decision making:

Carryforward/Revised/New- Objectives annotated by (C) are objectives that are carried over from the 2024 list. (R) are objectives from the 2024 list that may have a second phase to the project and have been revised to reflect 2025 goals. The number designation from the 2024 workplan is shown in parentheses. New Objectives (N) reflect a project that is new in 2025.

Objective Description- Summarizes the activity to be accomplished in calendar year 2025, and if needed, a brief sentence describing the project. Once approved, a more thorough description of the project and milestones will return to City Council at a later meeting.

Estimated Completion- Reflects the 2025 calendar quarter in which the Objective is expected to be completed, subject to change. Q1 is January-March, Q2 is April-June, Q3 is July- September, and Q4 is October-December.

City Council Priority Crossover- Identifies objectives that advance more than one City Council Priority.

Funding Needed- Reflects a project that requires additional resources (staffing, capital investment, or professional services) to achieve and complete the activity beyond current budgeted levels. $ - up to 50K, $$ - 51-400K, $$$ - 500K+. Additional resources will be considered for inclusion in the 2025-26 annual budget.

Staff Not Recommended- For a variety of reasons, any objectives that may have been carried over from last year or suggested during the Annual Retreat that staff is not recommending be considered in 2025 are identified in Attachment B.

Committee Objectives
The City Council retreat provided an opportunity to engage in a “big picture” discussion of what the City Council would like to achieve over the year, and how the City’s decision-making Item 8
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structure should be used to this end. The City Council selected its ad hoc committees for 2025, with the understanding that these committees will adhere to Brown Act requirements:
•Retail Ad Hoc Committee
•Rail Ad Hoc Committee
•Cubberley Ad Hoc Committee
•Climate Action & Sustainability Ad Hoc Committee
Based on the City Council action, staff has drafted Objectives for each of these committees and are provided in Attachment C. In drafting these recommended Objectives, staff used the principles presented at the City Council retreat:
•Ad hocs facilitate efficient Council meetings by vetting complex topics in advance •Priorities and assignments, including ad hoc missions (objectives), will be made by the full Council to ensure transparent management of resources •Ad hoc recommendations proceed directly to the full Council, not heard by more than one committee
•Recommendations from ad hocs will be developed in public Objectives for the perennial Council Appointed Officers Committee and City/Schools Liaison Committee are also included in Attachment C.

Recommended workplans for the standing Policy & Services Committee and Finance Committee are provided in Attachments D and E.

As work proceeds over the year, it is likely that changes to committee objectives may be desired. Staff or committees may recommend such changes for City Council approval at any point during the year.

FISCAL/RESOURCE IMPACT
City Council approval of Priority Objectives does not have an immediate fiscal impact; however, resources will need to be allocated to implement Council Priorities. Opportunities to allocate resources to projects include the FY 2026 annual budget process, with adoption scheduled for June 2025. In addition, the City Council may amend the budget throughout the year.

STAKEHOLDER ENGAGEMENT
City Council, community and stakeholder engagement is a key area of focus that is woven into the workplans to implement the proposed City Council objectives contained in this report.

The City uses the International Association for Public Participation (IAP2) as a guide to structure community participation and align that participation with the type of input or feedback needed based on the project/issue. Workplan engagement typically fit within these general focus areas- Item 8
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Inform: Fact sheets, webpages, blog posts, information sessions, open houses, frequently asked questions, community briefings, and website feedback forms Consult & Involve: Surveys, focus groups, questions and answer sessions, office hours, public meetings like community meetings, town halls, panel discussions, workshops, and polling Collaborate & Empower: Working groups, ad hoc groups, feedback groups, boards, commissions and committee meetings, community advisory panels, advisory groups, digital engagement platforms, and voter ballot measures

ENVIRONMENTAL REVIEW
City Council action on this item is not a project as defined by CEQA because the City Council discussion on 2025 Priority and Committee Objectives are a continuing administrative or maintenance activity. CEQA Guidelines section 15378 (b)(2).

ATTACHMENTS
Attachment A: Proposed 2025 City Council Priority Objectives Attachment B: 2025 Staff Not Recommended Objectives
Attachment C: Committee Objectives
Attachment D: 2025 Policy & Services Committee Workplan Attachment E: 2025 Finance Committee Workplan
APPROVED BY:

Ed Shikada, City Manager
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ATTACHMENT A
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3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22

A B C D E F G H I J O
ED
CA
IHS
PS
X R Council approval of outdoor activation guidelines for California Avenue. Council approval of outdoor activity guidelines informed by continued engagement with stakeholders on a refined priorities and recommendations and Initiate implementation. (2) X
X R Resume work on new parking structure in downtown core (Lot D). Staff will present parking garage design options to City Council for selection. (8) X X R Complete build-out of fiber-to-the-premises (FTTP) pilot Phase 1 with grid modernization. Complete building out of a reliable and high-speed municipal fiber service in a pilot area and work to establish internet service provider operations including necessary business tools such rate setting, billing and operations software to roll out services in the initial build. (9) X
X R Council consideration of an ordinance that expands retail opportunities and promotes retail resiliency. Consider further refinement to retail and retail-like definition and explore changes to retail preservation ordinance. (12) X
X N Council consideration of an ordinance restoring subjective wireless communication facility regulations. Hold a public hearing on a draft ordinance implementing the City Council's direction from late 2024 to eliminate objective standards for the placement of wireless antennas within the public right of way on street light or utility poles.

X
X R Enhance partnerships with private-sector stakeholders. Meet regularly with businesses, brokers, property owners, and other private-sector partners to shape, inform, and enhance economic development efforts . (10) X N Council approval of funding to continue Downtown cleanliness enhancements and other medium-term investments. Include necessary proposals and budget appropriations as part of the development of the FY 2026 Operating Budget to continue enhanced Downtown Cleanliness enhancements.

X $$
X R Council approval of Ramona Street design and funding appropriations. Engage stakeholders to develop design proposals for Car-Free Ramona Street and present to Council for necessary funding appropriations to implement initial phase(s). (4) X $$
X R Council approval of a final signage plan for California Avenue and funding appropriations. Review the signage plan for California Avenue with the Architectural Review Board (ARB), incorporate feedback, and seek Council approval to implement the plan. (2) X $$$
X R Council approval of a design option for California Ave. Engage stakeholders to refine alternative street designs for California Avenue and present them to Council for discussion and action, including funding appropriations to pursue a street design. (3) X $$$
X N Begin feasibility analysis of Assessment District for University Avenue Streetscape. Conduct analysis to determine practicality of an assessment district or similarly funding strategy as a funding mechanism for capital enhancements to University Avenue Streetscape.

X $$
X N Propose and implement outdoor activation guidelines for Car-Free Ramona Street. Initiate implementation of Council approved outdoor activity guidelines informed by continued engagement with stakeholders on a refined priorities and recommendations.

X $$
X N Refine destination marketing efforts and enhance Palo Alto’s reputation. Meet with hospitality partners to assess willingness to partner with the City on destination marketing efforts and propose next steps, including necessary appropriation actions, to City Council.

X $$
X R Council Adoption of the Safe Streets for All (SS4A) Safety Action Plan. Informed by feedback from the Policy & Services Committee, bring forward a Safety Action Plan providing a roadmap for eliminating traffic deaths and severe injuries through the reduction of vehicle miles traveled enabling staff to seek grant funding for implementation. (14)
X
X X R Begin construction of the Newell Road Bridge Replacement project. Award of a construction contract for the replacement of Newell Road Bridge in time to begin construction taking advantage of the 2025 in-channel construction season. (32) X
X C Complete construction of initial pilot area of electric grid modernization. Project will increase electrical capacity and reliability in initial pilot area bounded by Louis, Amarillo, 101, & Embarcadero about 1,200 homes; once completed, staff will continue the grid upgrades to the "Phase 1" area which impacts approx 6,000

X
X X R Begin construction of Hamilton Avenue storm drain system capacity upgrades project. Prioritization of the Hamilton Avenue project from the list of 2017 ballot measure priority projects will increase the ability of the storm drain system to convey water in the event of a San Francisquito Creek overflow. (31) X
N/R/C
2025 CITY COUNCIL PRIORITIES AND OBJECTIVES
Climate Action and Adaptation, & Natural Environment Protection (CA) Ongoing
Council Priority
Economic Development & Retail Vibrancy (ED)
Q1
Q2
Q3
Q4
$ Needs

OBJECTIVES
(68 in total)

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ATTACHMENT A
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N/R/C
2025 CITY COUNCIL PRIORITIES AND OBJECTIVES
Council Priority
Q1
Q2
Q3
Q4
$ Needs

OBJECTIVES
(68 in total)
23 24
25 26
27 28
29 30
31 32
33 34
35 36
37 38
39 40
41 42
X C Council consideration of an ordinance implementing updated Stream/Creek Corridor Setback requirements. (34) X X C Council consideration of an ordinance implementing Bird Safe Glass & Wildlife Light Pollution Protections standards. (35) X X R Council Adoption of the 2025 Bicycle and Pedestrian Transportation Plan (BPTP). Consideration of the BPTP effort informed by stakeholder engagement and review and feedback from the PTC for City Council adoption. (15) X
X R Develop and begin implementing a City Facility Electrification Plan. Building on the citywide Facilities Assessment, create a multi-year plan to begin replacing fossil fuel use in City buildings in alignment with S/CAP goals, and begin implementing through the Capital Improvement Program. (19) X
X N Develop an updated Regional Water Quality Control Plant Biosolids Facility Plan. Complete initial work to develop plan, including consideration of PFAS pollutants and the Measure E site, and review with a Council committee in advance of Council acceptance of the plan in late 2025 or early 2026.

X
X N Develop and obtain Council approval for strategies and a 2026/2027 work plan for the next phase of S/CAP implementation of climate and sustainability goals, including engaging with Palo Alto Student Climate Coalition on its Heat Mapping project for possible inclusion.

X
X X R Refine Grade Separation Design Alternatives per Council Direction and Conduct Outreach to Support Rail Committee Review of Locally Preferred Alternatives.

Review advanced alternatives to minimize right of way impacts and improve traffic circulation, conduct outreach, and develop conceptual plans (15% design) for

X
X X C Advocate for the San Francisquito Creek Flood Protection capital project (Reach 2) through Council’s JPA representation and any Council approvals involved. (31)
X
X X R Begin development of a Regional Shoreline Adaptation Plan meeting new standards approved by BCDC. Engage with neighboring cities for potential partnership and review status with the City Council. (33)
X
X N Initiate Preliminary Engineering and Environmental Clearance Work for Quarry Road Extension in Partnership with Stanford University, Caltrans, & VTA. X X C Complete deployment of 65,000 residential Advanced Metering Infrastructure (AMI) meters by end of FY 2025 and begin deployment of commercial AMI meters. (13)
X
X R Complete E-Mobility Strategic Plan for Council acceptance. Develop, approve and implement the Plan which reflects feedback on strategies reviewed by the Council Ad Hoc Climate Protection Committee and its Working Group. (21) X $
X R Share preliminary analysis of strategies for a physical and financial transition of the gas utility to relevant policymakers and stakeholders. Utilize initial subject matter expert work that developed a minimum future gas grid need for system retirement to analyze alternatives for scaling down the gas distribution system. (17) X $$
X N Present an ordinance to Council enacting the 2026 California Building Standards Code update, including the California Green Building Standards Code; submit to the California Building Standards Commission for approval.

X $$
X R Council approval for Phase 2 (full service program) of the Advanced Whole Home Electrification Pilot Program and begin implementation. (19) X $$$ X R Develop an Advanced Commercial Rooftop HVAC Pilot Program proposal and review with the Climate Action and Sustainability Ad Hoc Committee for recommendation to Council. (20)
X $$$
X N Propose an updated multifamily EV charger program (EV 2.0) for Council approval. X $$$ X R Prepare an ordinance for Council review expanding the housing focus area. Increase housing development potential along El Camino Real and consideration of an exemption from payment of development impact fees for inclusionary units under certain circumstances, consistent with Housing Element Program 3.4 E. (41) X
X C Present to Council an ordinance updating the City’s housing incentive program. Increase housing development potential and expand provisions to multi-family zoning and other commercial districts in accordance with Housing Element Program 3.4 D. (46) X
Implementing Housing Strategies for Social & Economic Balance (IHS)

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ATTACHMENT A
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IHS
PS
N/R/C
2025 CITY COUNCIL PRIORITIES AND OBJECTIVES
Council Priority
Q1
Q2
Q3
Q4
$ Needs

OBJECTIVES
(68 in total)
43 44
45 46
47 48
49 50
51 52
53 54
55 56
57 58
59 X N Prepare an update to the City's accessory dwelling unit ordinance. Update local implementation regulations to respond to changes in State Law, consistency with the State Housing and Community Department's 2025 ADU Handbook and address applicable deficiencies identified in HCD's comment letter.

X
X C Partner with Santa Clara County Housing Authority to achieve construction timeline milestones for the Palo Alto Homekey project (which will provide transitional housing and services for unhoused residents). (51) X
X R Present a renter protection fair chance ordinance to Council. Present findings of an analysis and policy recommendations in the form of a draft ordinance to reduce barriers to housing by individuals with criminal records, consistent with Housing Element Program 6.6 I. (54) X
X R Report out on initial data from the rental registry program and project implementation; receive feedback and recommendations for next steps. (57) X X R Present to Council an analysis related to anti-rent gouging. Consistent with prior Council direction, examine implications of a possible ordinance from a legal, policy and anticipated resource demand perspectives; receive direction on next steps. (55) X
X R Extend for one year or codify R1/SB 9 interim ordinance. Establish objective development standards and increases the maximum floor area for SB 9 units from 800 to 1200 square feet consistent with Housing Element Program 6.3A; consider implications of similar objective standards for R1 and SB 9 projects relative to the City’s Individual Review Program. (45)
X
X N Initiate evaluation of South of Forest Area Coordinated Area Plan (SOFA) development standards. Review and explore options to amend the coordinated area plan with the intent to replace subjective development standards with objective standards consistent with Housing Element Program 3.7.

X
X N Identify different housing typology options for the one-acre site near Matadero Creek. Use grant funded technical analysis to consider housing options for a future affordable housing development on land to be dedicated to the City from the 2023 Sobrato/City Development Agreement; present findings and receive direction from Council.

X
X N Prepare the Community Development Block Grant (CDBG) 5-Year Consolidated Plan and Annual Action Plan. The Quinquennial update helps jurisdictions to assess affordable housing and community development needs and market conditions to make data-driven, place-based investment decisions when distributing federal CDBG grant funds.

X
X R Present to Council the Downtown Housing Plan Community Assessment report and receive Council direction on draft housing plan scenarios. Continue advancing the plan development and public engagement strategy to prepare draft housing plan and environmental review. (36) X X X X R Initiate the San Antonio Road Area Plan. Begin data gathering, document review, implementing a community outreach and engagement strategy, check-in meetings with appointed and elected officials, and review by the City Council of a community assessment report and receive updated project direction, consistent with Housing Element Program 6.6 C. (40)
X R Advance affordable housing project on Downtown surface parking lot (Lot T). Enter into an exclusive negotiating agreement with Alta Housing; receive an updated project concept design & prescreening application for Council review; receive formal planning entitlement application, consistent with Housing Element Program 1.4 A. (8)
X R Present an ordinance to Council that supports innovative housing structures. Creates zoning incentives or update development standards to support various housing typologies, including micro-units, intergenerational housing, aging adults, students and lower-income units, consistent with Housing Element Program 6.5. (48)
X $$
X R Present findings to Council on a study that explores code amendments reducing commercial floor area and possible extension of Downtown in-lieu parking program to residential development: Evaluate opportunities that make multi-family housing an attractive alternative to commercial office development, consistent with Housing Element Program 3.9. (50)
X $$
X C Work with the Santa Clara County Housing Authority to determine next steps to maintain affordability and improve conditions at Buena Vista Mobile Park. (56) $ X X X X N Update development impact fees for public safety, government facilities, housing, transportation, parks, and community services. Conduct a feasibility study to ensure housing remains viable. Consider waiving fees for low-income units with 20% deed restrictions. (Housing Element Programs 2.1B; 3.1 B&C) $$
Public Safety, Wellness & Belonging (PS)
Ongoing
Ongoing
Ongoing
Ongoing
Ongoing

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ATTACHMENT A
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PS
N/R/C
2025 CITY COUNCIL PRIORITIES AND OBJECTIVES
Council Priority
Q1
Q2
Q3
Q4
$ Needs

OBJECTIVES
(68 in total)
60 61
62 63
64 65
66 67
68 69
70 71
72 73
74 75
76 77
X C Open the new Public Safety Building for daily Police, OES, and Fire services. Complete construction, move-in of departments, and a ribbon-cutting event to commemorate the official availability of public safety services from the facility for all. (72) X
X C Council to adopt the updated Foothills Fire Management Plan and Community Wildfire Protection Plan. Plan to reflect alignment with Santa Clara County and other agencies and entities to address early warning technology, planning and procedural elements and risk mitigation. (71) X
X C Council approval of construction contract for Fire Station No. 4 Replacement project and initiation of construction. (73) X X N Activate a fire engine at Fire Station 4. Augment staffing at Fire Station 4 to deploy either ambulance or fire engine response. X X R Develop Master Plan for Cubberley site. Complete a master plan by December 2025 for 15 acres anticipated to be purchased from PAUSD pending a successful bond measure in November 2026 and begin community polling to inform the development of a ballot measure for voter consideration. (61) X
X N Implement the 2024-2025 Equity Action Plan. Complete the 28 action items in the action plan in collaboration with partners. X X R Implement New Expanded CSD Recreation Special Events Workplan. Approve and implement the Workplan which expands Community Special Events that foster togetherness, belonging and celebrate the rich diversity of our community (60) X R Support visible police presence by maintaining full police officer staffing through continuous recruiting and retention efforts. Identify and plan for anticipated vacancies and retirements, hold monthly testing and interview sessions and timely background checks to maintain a vacancy of less than 5%. (67) X C Continue engagement with San Francisco Airport on SFO's Ground Based Augmentation System (GBAS) project and other potential opportunities to decrease SFO noise impacts on Palo Alto. (79)
X R Open 445 Bryant Street Community Center. Complete construction and any necessary partnership agreements to begin La Comida Senior Lunch Program at the facility by end of July, 2025; plan further work for general community center operations concurrently. (64) X $$
X C Council Approval of Quiet Zone Concept Plans at Churchill Ave, Meadow Drive, and Charleston Rd Rail Crossings. (76) X $$ X N Enhance and Expand Inclusive Programs and Services. Enhance services to support individuals with disabilities seeking accommodation support, expand community partnerships that serve the disability community, and implement new therapeutic recreation programs $
X R Support Community Mental Health. Provide support for all ages through community partnerships, programs, and initiatives. (65) $ X X N Enhance safety and improve quality of life in commercial areas by reducing criminal activity through business engagement and the deployment of officers and technology. Establish a Business Watch program to enhance collaboration with businesses and assign two officers at a minimum to patrol high traffic commercial areas.
$$
X R Initiate an update to the City’s seismic hazards ordinance. Conduct an assessment of previous study, update potentially eligible buildings, and begin work on seismic hazard identify and mitigation ordinance. (75) $$
X C Implement plan for phaseout of leaded fuel at Palo Alto Airport. With unleaded fuel now available at the airport, implement plan to conduct lead monitoring, encourage and track use of the fuel, explore potentially subsidizing the cost of unleaded fuel, and develop updated lease requirements to promote unleaded fuel . (77)
$$
Ongoing
Ongoing
Ongoing
Ongoing
Ongoing
$ - up to 50K; $$ - 51-400K, $$$ - 500K+
(C) are objectives that are carried over from the 2024 list, (R) are objectives from the 2024 list that may have a second phase to the project and have been revised to reflect 2025 goals, (N) reflect a project that is new in 2025 Ongoing
Ongoing
Ongoing

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ATTACHMENT B
Staff Not Recommended Objectives
For various reasons—including staff capacity to advance, feasibility challenges, or that work is already underway —some objectives from the 2024 Priority Objectives list, previous Council suggestions, or the Annual Retreat suggestions are not recommended to become priority objectives for 2025. Objectives that were part of the 2024 list will have their corresponding number in parentheses at the end of the sentence. These objectives are listed below. Staff will be prepared to respond to any Councilmember’s questions.

Economic Development and Retail Vibrancy
a)Develop and present preliminary options for activating vacant storefronts: Explore regulatory strategy and low friction/barrier permitting for temporary popup stores. (11) b)Facilitate the establishment of sustainable business organization in the Cal Ave, DT, and Midtown districts. (1)
c)Council Consideration and Adoption of Parking Permit Policies and Program Updates: Improve Customer Experience, Align with Environmental and Transportation Goals, and Recover Costs. (26) d)Comprehensively Update the City's Zoning Code including policies that support Economic Development Strategies. Reformat for improved readability, update definitions, use categories, development standards and permitting processes. (12)
Climate Action and Adaptation & Natural Environment Protection (CA) e)Evaluate the integration of biogas into the gas utility business model and share results with Council and other policymakers.

Implementing Housing Strategies for Social & Economic Balance f)Initiate study that identifies options and feasibility of regulations to limit short-term rentals Citywide consistent with Housing Element Programs 4.2D&E. g)Enforcement policy recommendations related to Ghost Houses: Survey existing enforcement mechanisms and Ghost House (extended vacancy) data collection in other jurisdictions and return to Council by end of 2024, consistent with Council direction from November 27, 2023. h)Amend the zoning code to ensure residential uses in commercially zoned areas receive the same protections as those in exclusively residential zones. The City Council on November 13, 2023 supported this request from the Palo Alto Redwoods Homeowners Association. i)Amend the City’s Comprehensive Plan Safety Element to align with State law. j)Evaluate and make policy recommendation to Council regarding a partnership with the California Community Housing Agency (CalCHA). CalCHA issues governmental bonds for the purpose of financing projects that provide, preserve and support affordable local housing for low-income, moderate-income and middle-income families and individuals. k)Present options to Council for increasing housing in the California Avenue corridor. Consistent with Council direction from August 14, 2023.

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Not Recommended
Objectives

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ATTACHMENT B
l)Prepare a Coordinated Area Plan or similar for California Avenue. m)Prepare a Coordinated Area Plan or similar for El Camino Real. n)Present options to the City Council that identify and evaluate sources and methods to raise significant funding to support new affordable housing production and preservation. (42) Public Safety, Wellness & Belonging
o)Complete next steps for Palo Alto Airport Long Range Planning work. Develop new alternatives considering Council's September 2024 Study Session input, conduct community engagement, and return to Council for review and action.
p)Support Caltrain’s Corridor Safety and Security Initiatives. (74) Item 8
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Not Recommended
Objectives

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ATTACHMENT C
2025 Committee Objectives
And Tentative meeting schedules
Rail Ad Hoc Committee
To meet every other month
The Rail Committee reviews the projects and provides recommendations to the City Council based on the Rail Guiding principles adopted by the City Council (August 8, 2022). The projects include: the grade separations and safety improvements at existing crossings, additional east-west bicycle and pedestrian crossings, and quiet zone improvements. Rail committee will review and advance projects for Council approval.

With the exception of bicycle and pedestrian railway crossings, all matters related to cycling and pedestrians such as the Bicycle Pedestrian Transportation Plan (BPTP) will be reviewed by the Policy & Services Committee for recommendations to the full City Council.

Cubberley Ad Hoc Committee
To meet monthly, possibly immediately before the Finance Committee given the membership of both are the same
The Cubberley Ad Hoc will ensure the City Council’s vision is reflected through the master plan process and serve as the Council ambassador for engagement with the community and building community support for development for a new community center at the Cubberley site. This includes making recommendations to the Council on the future operating model (e.g. services available, approach to fees & charges, space allocation) and master plan that will successfully receive voter support in 2026.

Coordination with PAUSD on Cubberley will occur through this committee rather than CSLC. Operations, funding, and ballot measure work (including polling) may be heard by the Finance Committee rather than the Cubberley Ad Hoc for recommendations to the full City Council.

Retail Ad Hoc Committee
To meet every other month
The retail committee will provide a regular forum for business and community stakeholders to engage with Council members on implementation of the City’s economic development strategy. The retail committee will make recommendations to the City Council on economic development and retail vibrancy efforts, such as additional business support, proposed University and California Avenue improvements, and citywide retail zoning code changes.

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ATTACHMENT C
Climate Action & Sustainability Ad Hoc Committee
To meet monthly
The Climate Action & Sustainability Committee will support implementation of the Climate Action workplan items of the Three-Year Sustainability and Climate Action Plan (S/CAP) Workplan and the 2025 Council Priority Objectives for the Climate Action & Adaptation, and Natural Environment Council priority. The Committee will also discuss and provide input on S/CAP implementation strategy leading to Council approval and the development of the Climate Action sections of the upcoming 2026-2027 S/CAP Workplan, including consideration of appropriate actions toward the 2030 Carbon Neutrality goal.

Implementation of the Reliability and Resiliency Strategic Plan will continue to be reviewed primarily by the Utilities Advisory Commission (UAC), and recommendations for funding S/CAP programs through the budget process will be made by the UAC and Finance Committee based on priorities established by the Climate Action & Sustainability Committee.

Council Appointed Officers Committee
Meets as needed
The CAO Committee meets on an as-needed schedule to address issues that Council has referred to the Committee related to Council's four direct appointees: the City Manager, City Attorney, City Clerk and City Auditor. For example, the committee may be tasked with duties related to performance evaluations, compensation, and the filling of vacancies. The CAO Committee is to make recommendations to the Council annually regarding the process for CAO evaluations and the selection of the consultant to serve as the facilitator for the CAO evaluations for the year. The CAO Committee is also to schedule the CAO performance evaluations in partnership with staff.

City/Schools Liaison Committee
Typically meets monthly
The City-Schools Liaison Committee is composed of two Councilmembers and two members of the Board of Education of the Palo Alto Unified School District. The committee’s purpose is to share information, collaborate, and coordinate on issues related to Palo Alto’s school-aged children and youth.

Policy & Services Committee: See Attachment D
Finance Committee: See Attachment E
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Committee Objectives

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City of Palo Alto I 250 Hamilton Avenue, Palo Alto, CA. I www.cityofpaloalto.org – February 2025

ATTACHMENT D

POLICY & SERVICES WORKPLAN
CALENDAR 2025
As of February 2025
The Municipal Code states that the role of the Council Policy & Services Committee is to consider and make recommendations on matters referred to it by the Council relating to parliamentary and administrative procedures and policy matters pertaining to intergovernmental relations, personnel policies, planning and zoning, traffic and parking, public work, and community and human services. (§2.04.220)
The end of the document contains information on the completed 2024 referrals as well as the pending referral with no set date.

January
•Mayor appoints Committee and designates Chair; no Policy & Services Committee meeting February
•Auditor Report: Grant Management Audit
•Auditor Report: Utility Billing Audit
•Nonprofit Partnerships Workplan
•Follow Up from City Council Retreat re Umbrella Operating Strategies March
•Auditor Report: Dispatch Assessment
•Recommendations for Nonprofit Partnerships Workplan Phase 1 •Auditor Quarterly Report (tentative)
•Auditor Task Order Report (if needed)
April
•Update on Recent Race and Equity Work
•Legislative Update (State and Federal)
•Referral: Board and Commission Member Onboarding Support •Auditor Report: TBD
•Auditor Report: TBD
May
•Recommended Approval of Safe Streets for All Action Plan •Referral (2024): Establish a frequency for joint City Council meetings or Policy & Services meeting with Boards and Commissions, Youth Council, and meetings with Boards and Commissions Chairs; Item 8
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City of Palo Alto I 250 Hamilton Avenue, Palo Alto, CA. I www.cityofpaloalto.org – February 2025 •Referral Follow Up: Discussion and Recommendation to Council Regarding Potential New Procedure for Councilmembers to Make Referrals to Staff •Auditor Report: TBD
June
•Referral (2024): Review of an annual schedule of repeat items that occur annually on agendas for Policy & Services, Finance Committee, and City Council along with the approximate month they occur
•Referral (2024): Policy & Services to review and make recommendations for any initiatives to support and strengthen neighborhood programs (linked to discussions in 2021) •Audit task orders
•Tentative: Bicycle Pedestrian Transportation Plan (BPTP) July
No meeting; Council break
August
•Auditor Report: TBD
•Auditor Report: TBD
•Race and Equity Update Report
•Legislative Update (State and Federal)
September
•Auditor Report: TBD
October
•Quarterly Audit Status Report
November
•Auditor Report: TBD
•Legislative Agenda and Guidelines (can also go in December) •Quarterly Update on Recent Race and Equity Work
December
•Auditor Report: TBD
•Procedures & Protocols Handbook Discussion (Annual Discussion) •2026 City Council Priorities Discussion (focused on process, the retreat and submitted ideas) •Informational: Report out on Status of Committee Referrals Completed Referrals (status and date of referral):

1. Public Arts Program Discussion

2. Council Discretionary Funds Policy

3. Discussion of the Creation of the Advisory Committee regarding Council Compensation Item 8
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City of Palo Alto I 250 Hamilton Avenue, Palo Alto, CA. I www.cityofpaloalto.org – February 2025

4. Initial Discussion Regarding Potential New Procedure for Councilmembers Referrals to Staff Pending Referrals:

1. Continued follow up of: Seismic Ordinance Update
Previous Council Suggestions:

1. Lead inclusive engagement and outreach to co-create an implementation plan to address homelessness in Palo Alto

2.Explore options to expand RV safe parking, in particular near Geng Road. Present findings to Council

3.Pursue options for ensuring sanitary and safe conditions related to unhoused populations.

Relates to efforts to address health and safety impacts of homelessness.

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City of Palo Alto I 250 Hamilton Avenue, Palo Alto, CA. I www.cityofpaloalto.org

ATTACHMENT E

FINANCE COMMITTEE WORKPLAN
CALENDAR 2025
As of February 13, 2025

The Municipal Code states that the role of the Council Finance Committee is to consider and make recommendations on matters referred to it by the Council relating to finance, budget, financial audits, capital planning and debt. (§2.04.210).

See the end of the document for information on the completed 2024 referrals as well as the outstanding and on hold referrals to date.

January
Mayor appoints Committee and designates Chair; usually no FC meeting

February
No Meeting, City Council meeting scheduled for Cubberley visioning

March (4th & 18th)
•Planning and Development Services Municipal Fee Update •Real Property Transaction Review
•Storm Water Management Fee

April (1st & 15th)
•Utilities Advisory Commission Rate Forecasts and Five-Year Financial Plans: Gas, Electric, Water, Wastewater Collection
•Review Human Services Resource Allocation Program recommended grants after Human Resources Commission Review in March [tentative]
May (6th, 7th, & 20th)
•Annual Budget Review: Operating and Five-year Capital Improvement Plan oAlternative meeting times (9:00am – 5:00pm) 5/6 and 5/7 •City-wide Municipal Fee Study
June (3rd & 17th)
•Review Cubberley [tentative]
•Third Quarter Fiscal Year 2025 Financial Report
•Adoption of Fiscal Year 2025 Investment Policy (to be done by June 30 per code)

July
No meeting; Council Break
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Finance Committee Tentative Topics, Calendar 2025
As of February 13, 2025

August
•Grid Modernization Capital Improvement review issuance of debt for project financing September
•Accept California Public Employees’ Retirement System (CalPERS) Pension Annual Valuation.

Reports as of June 30, 2024
oEvery 3-4-year review/decision on pension funding policy assumptions next review scheduled for FY 2026.

October

November
•Informational: Report out on Status of Committee Referrals •Discussion and Recommendation to the City Council to Accept the Macias Gini & O'Connell's Audit of the City of Palo Alto's Financial Statements as of June 30, 2025 and Management Letter
•Discussion and Recommendation to Approve the Fiscal Year (FY) 2025 Annual Comprehensive Financial Report (ACFR) and Approve Budget Amendments in Various Funds December
•Review and Forward the FY 2027 - FY 2036 Long Range Financial Forecast •First Quarter Fiscal Year 2026 Financial Report
•Preliminary Utility Rate Forecast Review

Referred Topics:

A full report on the status of Finance Committee referrals and the status can be found here1, Item 2 on the November 19, 2024 agenda.

Completed/Scheduled Referrals
1) JMZ ticket pricing analysis to understand interactions between changes to $18 ticket, attendance, and cost recovery.
2) Planning and Development Services Fee Study [scheduled March 2025] 3) Parking Permits Pricing and Parking Permit Funds Financial Status. [scheduled for FY 2026 budget process]
4) Ability Path financial support [addressed in FY 2025 Mid-Year Report] 5) Analyze Fire Emergency Medical Response Fee. [scheduled for FY 2026 Municipal Fee Schedule]
In Progress/Pending Referrals:
6) Fire Emergency Medical Response; Supplemental Resources. [Initial review completed November 2024, additional resources addressed in FY 2025 Mid-Year Report] 7) Review Parks Restroom Prioritization; Specifically, Pardee Park. 8) Active Recruitment Digital Marketing Services (Contract Services) Item 8
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Finance Committee Tentative Topics, Calendar 2025
As of February 13, 2025
9) Establish Organizational Development & Safety Division 10) Explore financial, outreach, and policy processes for adding East Palo Alto to resident rates for the golf course
11)Increasing Revenue- Generating CSD Programming to Meet Demand Item 8
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Item No. 10. Page 1 of 3
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City Council
Supplemental Report
From: Ed Shikada, City Manager
Meeting Date: February 24, 2025
Item Number: 10
Report #:2502-4185
TITLE
Approval of the 2025 City Council Priority Objectives, as well as Committee Objectives and Workplans - Supplemental Information on Attachment B ‘Objectives Not Recommended’

REPORT UPDATE
Attachment B: Objectives Not Recommended provides a list of objectives that been suggested in various venues, but for a variety of reasons, were not included in the proposed 2025 City Council Priority Objectives. Below is the list of objectives not recommended (as outlined in Attachment B), with an added brief bullet point explanation for the reason the objective is not recommended.

Economic Development and Retail Vibrancy

a) Develop and present preliminary options for activating vacant storefronts: Explore regulatory strategy and low friction/barrier permitting for temporary popup stores. (11) This work is already underway for pop-up businesses that fall into the same use category.

Popups requiring a change of use raise significant building code and potential safety concerns that require additional staff resources to address.

b) Facilitate the establishment of sustainable business organization in the Cal Ave, DT, and Midtown districts. (1)
Staff will continue to meet with businesses to engage on key projects and investments, however at this time there is not support from the business community to engage in establishing new or more robust organizations.

c) Council Consideration and Adoption of Parking Permit Policies and Program Updates: Improve Customer Experience, Align with Environmental and Transportation Goals, and Recover Costs. (26) This item is an open referral with the Finance Committee and included in the Committee workplan and is already underway. The next schedule discussion will be part of the FY 2026 Item 8
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budget process. Proposed parking program amendments and relevant changes to Title 10 will be presented to PTC on March 26, 2025.

d) Comprehensively Update the City's Zoning Code including policies that support Economic Development Strategies. Reformat for improved readability, update definitions, use categories, development standards and permitting processes. (12)
Staff capacity to advance this with the other priority objectives is not feasible given prioritization of Housing Element programs. In addition, significant investment in consultant services would be required.

Climate Action and Adaptation & Natural Environment Protection (CA)

e) Evaluate the integration of biogas into the gas utility business model and share results with Council and other policymakers.
While not a component of the Sustainability & Climate Action Plan, biogas could support the City’s climate goals; however, rising utility rates raise questions about its feasibility. Staff could explore this strategy but would need direction on its desirability at this time.

Implementing Housing Strategies for Social & Economic Balance

f) Initiate study that identifies options and feasibility of regulations to limit short-term rentals Citywide consistent with Housing Element Programs 4.2D&E. An Ordinance Adoption is not required by Housing Element until July 1, 2027. This objective is not recommended for approval in 2025 due to limited staff capacity to manage the effort required. Instead, this will be a recommended priority in 2026.

g) Enforcement policy recommendations related to Ghost Houses: Survey existing enforcement mechanisms and Ghost House (extended vacancy) data collection in other jurisdictions and return to Council by end of 2024, consistent with Council direction from November 27, 2023. This objective is not recommended for approval due to limited staff capacity to manage the effort required given prioritization of Housing Element programs.

h) Amend the zoning code to ensure residential uses in commercially zoned areas receive the same protections as those in exclusively residential zones. The City Council on November 13, 2023 supported this request from the Palo Alto Redwoods Homeowners Association. This objective is not recommended for approval due to limited staff capacity to manage the effort required given prioritization of Housing Element programs.

i) Amend the City’s Comprehensive Plan Safety Element to align with State law. Update will include modifications related to hazards, public safety, emergency response, and climate action to reflect State requirements that have come into effect since 2018.
This project is currently underway and will be reflected in the Planning and Transportation Commission (PTC) workplan for 2025.

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j) Evaluate and make policy recommendation to Council regarding a partnership with the California Community Housing Agency (CalCHA). CalCHA issues governmental bonds for the purpose of financing projects that provide, preserve and support affordable local housing for low-income, moderate-income and middle-income families and individuals.
This objective is not recommended for approval due to limited staff capacity to manage the effort required given prioritization of Housing Element programs.

k) Present options to Council for increasing housing in the California Avenue corridor. Consistent with Council direction from August 14, 2023.
This objective is not recommended for approval due to limited staff capacity to manage the effort required given prioritization of Housing Element programs.

l) Prepare a Coordinated Area Plan or similar for California Avenue. This objective is not recommended for approval due to limited staff capacity to manage the effort required given prioritization of Housing Element programs.

m) Prepare a Coordinated Area Plan or similar for El Camino Real. This objective is not recommended for approval due to limited staff capacity to manage the effort required given prioritization of Housing Element programs.

n) Present options to the City Council that identify and evaluate sources and methods to raise significant funding to support new affordable housing production and preservation. (42) This objective is not recommended for approval due to limited staff capacity to manage the effort required given prioritization of Housing Element programs.

Public Safety, Wellness & Belonging

o) Complete next steps for Palo Alto Airport Long Range Planning work. Develop new alternatives considering Council's September 2024 Study Session input, conduct community engagement, and return to Council for review and action.
Based on Council feedback at the Airport study session and to meet constraints to not expand its footprint, staff are reconsidering planning alternatives while also working to make near- term progress on leaded fuel and noise issues. The Airport long range plan will therefore pause while this work proceeds.

p) Support Caltrain’s Corridor Safety and Security Initiatives. (74) Caltrain has begun installing safety fencing along the rail corridor. City staff will support these efforts but are not positioned to lead these investments, and no City Council action is required.

APPROVED BY:

Ed Shikada, City Manager
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City Council
Staff Report
From: City Manager
Report Type: INFORMATION REPORTS
Lead Department: Public Works
Meeting Date: March 10, 2025
Report #:2412-3930
TITLE
Quarterly Information Report on Sustainability and Climate Action Plan (S/CAP) Implementation; CEQA Status - Not a Project

RECOMMENDATION
No Council action is required. This is an update on Sustainability and Climate Action Plan (S/CAP) Implementation Progress through the fourth quarter of calendar year 2024. It is provided to give the City Council and public an overview of S/CAP workplan items status since adopted by Council in June of 2023.

EXECUTIVE SUMMARY
The City is implementing the Sustainability and Climate Action Plan (S/CAP) to help the City meet its sustainability goals, including its goals of reducing greenhouse gas (GHG) emissions 80% below 1990 levels by 2030 (the “80 x 30” goal) and achieving carbon neutrality by 2030.

Since the S/CAP was adopted in June 2023, staff has provided implementation updates covering progress in Q3 2023, Q4 2023, Q1 2024, Q2 2024 and Q3 2024. This update covers progress through the fourth quarter of 2024. Highlights of Q4 2024 progress include:

Climate Action
•As of December 19, 2024, 498 residents had either completed installations or signed contracts to get a new heat pump water heater (HPWH) through the full-service HPWH program or rebate program, with 84 projects applying for on-bill financing. •As of December 31, 2024, 17 multi-family properties representing 814 housing units (about 7.4% of all multifamily units in Palo Alto) installed a total of 263 EV charging ports facilitated through the City's EV programs, with another 14 multi-family projects in progress representing an additional 779 residential units (7.1% of multifamily units) and 211 charging ports. Notable in Q4 2024 was the installation of 6 Level 2 chargers at Alta Housing’s 65-unit Arastradero Park Apartments, which is the first dedicated affordable housing property in Palo Alto to install chargers through the EV Rebate Program.
•Ten customers participated in the City’s Residential Energy Assistance Program (REAP) to receive energy and water efficiency improvements at no cost.

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•As of December 31, 2024, the Commercial and Industrial Energy Efficiency Program (CIEEP) completed 15 major energy efficiency projects with projected energy savings of 2,454,865 kWh. Twelve projects are currently being installed, with a projected savings of 2,706,636 kWh.
•The final draft of the Palo Alto Safety Action Plan, a comprehensive roadway safety plan focused on improving safety for vulnerable road users which will reduce vehicle miles traveled and encourage walking and cycling, is complete and will be presented to Council for review in early 2025.
•On December 16, 2024, the City Council approved the grant agreement with the Federal Highway Administration for the South Palo Alto Bikeways Demonstration Project to improve bikeways and crossings on East Meadow Drive and Fabian Way. •The City received delivery of two electric vehicles - a Tesla Model 3 and a Rivian R1S - for the Palo Alto Police Department. There are now 35 EVs in the City fleet, or about 15% of the passenger vehicles and light duty trucks and vans. •There are currently 111 City-owned EV chargers, with a total of 146 charging ports, an increase of 6 EV chargers and 15 charging ports from last quarter. Twenty-five of those chargers are dedicated to City vehicles, while the rest are primarily for public use. •The Climate Protection Ad Hoc Committee held four Working Group meetings to discuss the Whole Home Electrification Program Proposal, Funding Study Policy, EV Charger Needs Assessment Study, and S/CAP Funding Study preliminary Results. •The inaugural Youth Climate Advisory Board (YCAB), comprised of 11 high school students attending schools in Palo Alto, met monthly and appointed three leadership positions.

Sustainability
•As of December 19, 2024, the percentage of customers who accessed the WaterSmart portal, an online water management tool, increased to 29%. Last quarter 24% of customers accessed the portal.
•On October 18, 2024, the City provided feedback on the Bay Conservation Development Commission’s Draft Regional Shoreline Adaptation Plan. The Regional Shoreline Adaptation Plan (RSAP) guidance for Bay Area was approved at the December 5, 2024 Bay Area Conservation and Development Commission. The City will coordinate the development of its Sea Level Rise Adaptation Plan to align with this and other regional planning efforts.
•On October 7, 2024, City Council adopted a resolution approving the Palo Alto Local Hazard Mitigation Plan (LHMP), including Volume I of the 2023 County of Santa Clara Multi-Jurisdictional Hazard Mitigation Plan and Volume II of the Palo Alto Jurisdictional Annex.
•The City developed a new innovative outreach tool for businesses offering waste reduction resources. This initiative is the first of its kind and provides tips and best practices for waste prevention in daily operations and procurements. •As part of the new Zero Waste Living outreach campaign, the City published fourteen Zero Waste Minute weekly e-newsletters in Q4 2024, providing the community with Item 9
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reduce, reuse, and repair tips, and essential tools to tackle the complex waste challenges our community is dedicated to solving.

BACKGROUND
In April 2016, the City Council adopted the goal of reducing GHG emissions 80% below 1990 levels by 2030 (the “80 x 30” goal),1 and in October 2022 the City Council adopted the ambitious goal of achieving carbon neutrality by 2030.2 Staff, with community and City Council input, referred to the 2016 Sustainability and Climate Action Plan (S/CAP) Framework and 2018-2020 Sustainability Implementation Plan to create a comprehensive S/CAP and Three- Year S/CAP Workplan.

In June 2023, Council adopted the 2022 Sustainability and Climate Action Plan,3 certified the Comprehensive Plan Environmental Impact Report Addendum: Update to the Sustainability and Climate Action Plan,4 and accepted the 2023-2025 S/CAP Workplan.5 The S/CAP is an ambitious plan to reduce the City and community’s GHG emissions, while also guiding how Palo Alto uses land and natural resources in ways that ensure quality of life for future generations. The S/CAP aligns with several goals of the 2030 Comprehensive Plan Implementation Plan.

All previous S/CAP Implementation updates can be found in the Sustainability and Climate Action Plan (S/CAP) Program Reports section of the Sustainability Actions and Accomplishments page of the City website6.

The 2022 S/CAP and 2023-2025 S/CAP Work Plan align with one of the four Council Priorities for CY 2024: “Climate Change & Natural Environment: Protection and Adaptation”. In addition, there are several overlapping Council Priority Objectives, the status of which can be found in the 2024 Council Priority Objectives Q4 Report.7 This report references the Council Priority Objectives in parentheses where applicable.

1 City Council, April 18, 2016; Agenda Item #10; SR #6754, https://www.cityofpaloalto.org/files/assets/public/agendas-minutes-reports/reports/city-manager-reports- cmrs/year-archive/2016/id-6754.pdf
2 City Council, October 3, 2022; Agenda Item #9; SR #14720, https://www.cityofpaloalto.org/files/assets/public/agendas-minutes-reports/agendas-minutes/city- council- agendas-minutes/2022/20221003/20221003accsm-amended-presentations.pdf#page=131 3 2022 Sustainability and Climate Action Plan;
https://www.cityofpaloalto.org/files/assets/public/v/1/sustainability/reports/2022-scap-report_final.pdf 4 Comprehensive Plan Environmental Impact Report Addendum: Update to the Sustainability and Climate Action Plan, 2023; https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes-reports/agendas- minutes/city-council-agendas-minutes/2023/2023comprehensive-plan-environmental-impact-report-addendum- update-to-the-scap.pdf
5 2023-2025 S/CAP Workplan, 2023;
https://www.cityofpaloalto.org/files/assets/public/v/1/sustainability/reports/2023-2025-scap-work-plan_final.pdf 6 Sustainability and Climate Action Plan (S/CAP) Progress Reports, https://www.cityofpaloalto.org/City- Hall/Sustainability/Goals-and-Progress/Sustainability-Actions-and-Accomplishments 7 City Council, January 21, 2025: Agenda Item #13; SR #2501-3968, https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=1d9f9f98-3d09-44e0-84d3-3ffb71def84c Item 9
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ANALYSIS
The City is committed to a sustainable future. The City owns, operates, and maintains a full- service utilities portfolio that provides electric, natural gas, fiber, water, refuse, and wastewater services to residents and businesses in Palo Alto. Palo Alto’s continued leadership in advancing sustainability commitments has succeeded mainly because of the continued collaboration of community stakeholders, City departments, and the leadership of the City Council.

The S/CAP Goals and Key Actions are divided into eight areas, four of which are climate-focused and include actions to achieve the City’s 80 x 30 and carbon neutrality by 2030 goals (Climate Action, Energy, Electric Vehicles, and Mobility) and four of which are focused on actions that create a sustainable natural environment and adapting to a warming climate (Water, Climate Adaptation and Sea Level Rise, Natural Environment, and Zero Waste). The Work Plan is similarly divided between climate-focused and sustainability-focused priorities.

There are 23 Council Priority Objectives in the 2024 Council Priority Area Climate Change and The Natural Environment: Protection & Adaptation (CC&NE). This report addresses 18 of those Council Priority Objectives, as well as 2 in Council Priority Area Community Health, Safety, Wellness, and Belonging (CHSW&B), as shown in Table 1.

Table 1: 2024 Council Priority Objectives Addressed in the S/CAP Quarterly Report Number Council Priority Objective
Climate Change and the Natural Environment: Protection & Adaptation (CC&NE) Climate Change Protection
CC&NE 14 Conduct community engagement and data collection and analysis to develop a Safe Streets for All (SS4A) Safety Action Plan for Council approval in 2024 CC&NE 15
Continue community engagement efforts to inform the update and receive Council feedback on the 2025 Bicycle and Pedestrian Transportation Plan (BPTP) characteristics in preparation for next steps including environmental review and adoption in 2025
CC&NE 16 Complete initial pilot area of electric grid modernization CC&NE 18 Continue to improve the Advanced Heat Pump Water Heater Pilot Program in preparation for a full-scale program
CC&NE 19 Adopt a residential whole home electrification pilot program CC&NE 20
Refine existing HVAC pilot program to encourage participation as a next step toward a 2025 Council approved commercial rooftop HVAC electrification advanced pilot program
CC&NE 21 Develop and approve an Electric Vehicle Strategic Plan CC&NE 22 Develop an EV Replacement Program for the City Fleet CC&NE 23 Develop and initiate implementation of a Reliability and Resiliency Strategic Plan Item 9
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CC&NE 24 Develop draft S/CAP funding study with Council input CC&NE 25 Evaluate and report out Palo Alto Link pilot performance and consider continuation and/or expansion of future services
CC&NE 26
Begin community engagement to consider parking policy updates that enhance customer satisfaction, improve program sustainability, and aligns with S/CAP mobility goals
CC&NE 27 Amend local building regulations to establish a "One Margin" energy efficiency standard, to allow installation of natural gas plumbing while imposing more stringent energy efficiency and all-electric readiness requirements to all new buildings
CC&NE 28 Initiate the 2026 California Building Standards Code update, including the California Green Building Standards Code
CC&NE 29
Complete community engagement for the Airport’s Long-Range Facilities & Sustainability Plan in accordance with Federal requirements and hold a study session with Council on the draft plan
Climate Change Adaptation: Flood Protection
CC&NE 31 Advocate for the San Francisquito Creek Flood Protection capital project (Reach 2) through Council’s JPA representation and any Council approvals involved CC&NE 32
Complete design and right-of-way acquisition, obtain regulatory permits, finalize project funding needs including potential Council advocacy with State legislators, and approve construction contract for the Newell Road Bridge Replacement project
CC&NE 33 Coordinate with Federal and regional partners on a path forward exploring the development of a Sea Level Rise Adaptation Plan
Community Health, Safety, Wellness, and Belonging (CHSW&B) Invest in Reliable Safety Infrastructure and Systems
CHSW&B 70 Approve updated Local Hazard Mitigation Plan and Community Wildfire Protection Plan
CHSW&B 71 Update Foothills Fire Management Plan
Climate Action
Covering the S/CAP Areas of Climate Action, Energy, Electric Vehicles, and Mobility, this section reports on progress based on the Work Plan Climate Action Priority areas. This includes five priorities with various work items under each priority. This report notes where these work items have been designated as Council priority objectives.

P1. Grid Modernization
P2. Launch Programs
P2.1 Residential Emissions Reduction
P2.2 Non-Residential Emissions Reduction
P2.3 Citywide Mobility
P2.4 Municipal Electrification
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P2.5 EV Strategic Plan
P3. Build Awareness and Confidence
P4. Additional Emissions Reductions
P5. Funding Needs and Sources
Separately from the work plan updates, there are two 2024 S/CAP-related Council priority objectives that did not appear in the Work Plan. The first (CC&NE 27) was to adopt local amendments to the State’s Energy Code to replace all-electric new construction requirements which had been placed under an enforcement moratorium in February 2024.8 Council adopted replacement local amendments that became effective October 4, 2024.

The second (CC&NE 28) is to begin planning for the next building code cycle, 2026-2028. The City has already started the planning process, forming a staff team and completing an RFP for professional services to assist with the process.

P1. Grid Modernization
Electric grid reliability and resilience will be important to inspiring confidence in electrified homes and vehicles. The focus of Priority 1 is to preserve and enhance reliability, modernize the electric grid and replace aging infrastructure, increase electric grid capacity to accommodate electrification, and explore ways to enhance resiliency.

Grid Modernization (Work Plan Item 1A, Council Priority Objective CC&NE 16): As of November 2024, the engineering design work was completed, and project construction began. The City continues to work with vendors and distributors of poles, transformers, and secondary wire to ensure a continuous supply of materials, and to ensure the Pilot Project is completed in a timely manner and on budget. To date, 55 out of 75 poles (73%) have been replaced, 36 new transformers have been hung, and a significant portion of the planned tree trimming work has been completed. Additionally, 428 (47%) out of 908 residences in the Pilot Area now have sufficient electrical capacity for electrification. The Pilot Area remains on track for completion by the end of March 2025.

Reliability and Resiliency Strategic Plan (Work Plan Items 1B, 1C, Council Priority Objective CC&NE 23): In April 2024, the City Council accepted the Reliability and Resiliency Strategic Plan (RRSP).9 A status report on implementation was included in a report to the Utilities Advisory Commission on September 4, 2024.10 This status update summarized various City efforts to improve reliability and resiliency, including utility workforce planning, tree trimming, undergrounding in the Foothills, and grid modernization. In addition, three studies are currently in progress to help understand the costs and benefits of flexible energy technologies, efficient electrification, and microgrids on City electric supply and distribution costs and on community 8 City Council, February 26, 2024; Agenda Item #14; SR #2402-2644, https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=8ac11983-10ba-4a79-a823-3693203c22d7 9 City Council, April 15, 2024; Agenda Item #4; SR #2401-2496, https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=ada33d0c-c1a6-490c-8978-4107b43e6ab5 10 Utilities Advisory Commission, September 4, 2024, Agenda Item 4, Attachment B, https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=13500 Item 9
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member resiliency (RRSP Strategy 4). Potential reliability and resiliency programs are being developed for staff, UAC, and Council consideration.

Utility Rates and Fees (Work Plan Item 1D): The City is on track to complete the advanced metering infrastructure (AMI) project by March of 2025, with time of use rates planned to follow with a limited pilot program. The City is pursuing a study to modify its transformer upgrade fees to avoid situations where the resident who triggers a transformer upgrade pays the entire cost of that upgrade. The study is partially completed but has been delayed due to staff turnover.

P2. Launch Programs
The focus of Priority 2 is to launch effective programs for emissions reductions with the highest impact and lowest cost such as single-family electrification, strategic promotion of EVs, commercial rooftop HVAC, and expanded transportation alternatives.

P2.1. Residential Emissions Reduction
The goals for residential emissions reduction embodied in the Work Plan include encouraging EV adoption for all residents, helping multi-family residents access EV charging, and facilitating building electrification of single-family homes and multi-family affordable housing.

Advanced Heat Pump Water Heater Pilot (Work Plan Items 2.1D, 2.1E, Council Priority Objective CC&NE 18): The City launched the Advanced Heat Pump Water Heater (HPWH) Pilot Program in March 2023. The pilot’s goal is 1,000 heat pump water heater installations. It includes both a full-service option (where residents can use the City’s prescreened contractor to complete the install at a discount) and a rebate option (where residents can hire their own contractor and receive a rebate), with a new emergency replacement option launched in September 2024. As of December 19, 2024, 498 residents had either completed installations or signed contracts to get a heat pump water heater installed through the City’s programs, with 84 of these projects applying for on-bill financing. With the current pace of new HPWH program signups, the City is on a pace to complete around 250 water heater conversions per year through the Advanced HPWH Pilot Program, equivalent to about 20 percent of the water heaters estimated to be replaced each year. In addition, the City and State Energy Reach Codes encourage new construction and major renovations to be built all-electric, which adds to this total.

The City is working on various efforts to increase signups for the Advanced HPWH Pilot Program. In 2024 the City worked to improve the program and increase signups through:
• Innovative outreach: targeted online and social media advertisements, community canvassing, in-person events, and mailers in addition to traditional outreach. Mailers were the most effective.
• Customer outreach: a customer feedback outreach effort to improve customer satisfaction was completed in early 2024, and several program improvements were Item 9
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implemented based on the feedback received. On average, customer satisfaction surveys consistently show 8.1/10 rating on "likeliness to recommend the program" • Keeping pricing low: used Council-approved budget (April 2024) after State incentive expired
• Expanded outreach: increased outreach to income-qualified residents • Additional programs: launched emergency replacement program (September 2024) • More technical expertise: established an electrification expert program to help with complex installations.

The installation rate has stayed at about five installations per week (about 250 per year), about 150-200 per year through the full-service program and 50-100 through the rebate program. This is about 20% of the estimated annual turnover of HPWH in Palo Alto and 5-10 times the rate of installation at other top HPWH programs in the State, adjusted for population. If the emergency replacement program were to add another 100 installations per year, that could increase the percentage of estimated annual turnover to about 30%.

Counting new construction and major remodels, which represent 100-200 new heat pump water heaters per year, the City may be reaching as much as 35% or more of the estimated annual water heater turnover.

Whole Home Electrification (Work Plan Items 2.1G, 2.1H, Council Priority Objective CC&NE 19): The City is launching its whole home electrification program in two phases. In the first phase, launching in January 2025, the City is establishing a program to help people hire their own contractor to do home electrification projects. The first phase includes new rebates, an online home electrification assessment tool, a free phone consultation with an electrification expert, a contractor directory, and financing.

In a second phase, scheduled for summer of 2025, the City will look to add a full service, turnkey program to help people with home electrification upgrades using a City-prescreened contractor. Rebates will continue to be available for customers who choose to work with their own contractor. An initial Whole Home Pilot for 100 homes could have various incentives for electrifying at least one major appliance. Spending authority for Phase 1 is included in the Adopted FY 2025 Budget, but additional Council approvals will be needed for Phase 2.

Electric Vehicles and Charging (Work Plan Items 2.1A, 2.1C, 2.1J): The City’s promotion of electric vehicle (EV) adoption and expansion of multi-family EV infrastructure continued. In Q4 2024, the City offered four in-person EV showcases, four EV webinars, and three EV discount campaigns (one for new EVs, one for used EVs, and one for e-bikes). Three of the four EV showcase events in Q4 took place at multifamily properties with recent EV charging installations at 101 Alma (market rate condos), Arastradero Park Apartments (income- qualified apartments), and University Terrace (Stanford staff and faculty housing). An additional “Frunk-or-Treat” EV showcase took place at Mitchell Park during Halloween with approximately 250 attendees and included e-bike test rides. In 2025, the City plans to support at least five EV and e-bike discount campaigns and workshops, three large community-facing EV showcases, and up to 18 resident-focused mini EV showcases at or near multifamily Item 9
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properties.

As of December 31, 2024, 17 multi-family properties representing 814 housing units (about

7.4% of all multifamily units in Palo Alto) installed a total of 263 EV charging ports (including make-ready spaces) facilitated through the City's EV programs, with another 14 multi-family projects in progress representing an additional 779 residential units (7.1% of multifamily units) and 211 charging ports. Notable in Q4 2024 was the installation of 6 Level 2 chargers at Alta Housing’s 65-unit Arastradero Park Apartments, which is the first dedicated affordable housing property in Palo Alto to install chargers through the EV Rebate Program.

The City is evaluating designs for an expanded version of the City’s multi-family EV program, and is also considering adding incentives for the purchase of e-bikes and new or used EVs specifically for income-qualified households.

Affordable Housing Electrification (Work Plan Item 2.1I): The City continues to engage with multi-family affordable housing providers in Palo Alto on building electrification and vehicle charging. To-date, the City has collaborated with multiple affordable housing providers on potential EV charging projects and is engaging in conversations and site assessments regarding facility energy upgrade needs and electrification opportunities. In addition to Alta Housing’s Arastradero Park Apartments that completed an EV charging installation in Q4 2024, there are two additional affordable housing projects that have been permitted and five more that are in either the scoping or bidding phase that are expected in install projects in 2025, which will result in 74 new EV chargers and 24 EV ready parking spaces serving 522 affordable multifamily residential units.

The City’s Residential Energy Assistance Program (REAP) for income-qualified customers continues to reach the City’s most vulnerable population, offering energy and water efficiency improvements at no cost to the customer. In Q4 2024, 10 customers participated in the REAP program. Four received a HPWH at no cost, and two additional REAP customer received a site assessment for a heat pump water heater and is awaiting installation. Three received energy and water efficiency upgrades. Some customers received both efficiency upgrades and a HPWH.

P2.2. Non-Residential Emissions Reduction
The goals for non-residential emissions reduction embodied in the Work Plan include encouraging electrification of rooftop packaged HVAC units in commercial buildings, developing custom partnerships with major employers, and developing strategies to promote lower emissions commuting.

Rooftop Packaged HVAC (Work Plan Items 2.2A, 2.2B, Council Priority Objective CC&NE 20): In September 2024 the City launched an update to the rooftop packaged HVAC pilot with the goal of collecting additional data to inform the design of an advanced pilot program. To achieve this, the City is offering enhanced incentives to a limited group of 10 customers. In return, these customers are required to gather and provide detailed cost and project information to the City.

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Businesses that prefer not to collect this data can still participate in the program at the original incentive level.

Outreach efforts are ongoing through various channels to encourage participation. So far, seven building owners have applied to join the program, with two permits issued and one project successfully completed.11
Major Employer Partnerships (Work Plan Item 2.2C): This work plan item involves developing customer partnerships for emissions reduction with major employers, including assistance for City facility projects and the Palo Alto Unified School District (PAUSD). Staffing changes slowed progress on this item. The City has been in talks with multiple major employers and completed a project to install EV charging in partnership with Stanford Health Care. The City coordinated with PAUSD on its HVAC improvements to various schools and the City is exploring potential City facility electrification projects.

As of December 31, 2024, the Commercial and Industrial Energy Efficiency Program (CIEEP) achieved 2,454,865 kWh in actualized savings from fifteen completed projects. An additional twelve projects currently being installed are expected to generate 2,706,636 kWh in savings, bringing the total projected and actualized savings to 5,161,501 kwh. Thirteen projects are currently undergoing onsite assessments which will result in an “Initial Investigation” report.

This report will identify and quantify potential energy-efficiency measures with the goal of converting them into actual installations.

Commuter / Visitor Emissions Reduction (Work Plan Items 2.2D, 2.2E): These work plan items have been lower priority pending completion of the Electric Vehicle Strategic Plan (renamed “E-Mobility Strategic Plan” - see Priority 2.5, below).

P2.3. Citywide Mobility
The goals for citywide mobility embodied in the Work Plan include both transportation- focused and land-use focused actions.

Transportation and Land Use Policies and Programs (Work Plan Item 2.3A): The Safe Routes to School (SRTS) program continues to grow, with the anticipated addition of a youth- focused coordinator for programs at the middle and high schools. This year is the 30th anniversary of the SRTS program, and a celebration is being planned for Bike Month in May 2025.

The Downtown Housing Plan began in March 2024 with the goal of increasing housing production while ensuring that the downtown area continues to be an attractive local and regional destination. The Plan will help implement programs of the Housing Element by establishing policies and development standards, and plan for the public infrastructure necessary to support increased housing. The project is in the needs assessment phase 11 Program rebate amounts and guidelines; http://www.cityofpaloalto.org/commercialhvac Item 9
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which includes stakeholder engagement. A Community Advisory Group was formed in December 2024.

The San Antonio Road Area Plan envisions creating cohesive mixed-use neighborhoods with improved mobility and interconnectivity through an integrated transportation network that reduces greenhouse gas emissions and the use of single-occupancy motor vehicles. The Plan will implement a program in the Housing Element to redevelop a portion of the Bayshore Alma San Antonio Priority Development Area (BASA PDA). An RFP was issued in June 2024 for a consultant to develop the Plan and staff is working on finalizing the contract for the Council to review in early 2025.

Housing Element Adoption and Implementation (Work Plan Items 2.3B, 2.3C): In a joint session on April 15, 2024, the Planning & Transportation Commission and the City Council readopted the sixth cycle 2023-2031 Housing Element. On August 20, 2024, the City accomplished the milestone of receiving Department of Housing and Community Development (HCD) certification of the Housing Element.12 Following adoption and HCD certification, the City has made considerable progress in implementing the 110 program objectives in the 2023-2031 Housing Element.

Last Mile Solutions (Work Plan Items 2.3D, 2.3E and Council Priority Objective CC&NE 25):

During the budget adoption process, the City Council reduced its General Fund allocation to the Palo Alto Link on-demand transit service pilot program and directed staff to make fare and coverage changes to the service. These changes went to Council for adoption in October 2024.

On October 30, 2024, the Office of Transportation presented issues for consideration regarding micromobility to the Planning and Transportation Commission.13 The Commission provided feedback and suggested the development of a feasibility study to understand local demand for micromobility and to identify if a micromobility program would be financially sustainable for the City. The City began conducting research and will work with an on-call transportation planning firm to do data analysis. The feasibility study is scheduled to be completed in the late spring of 2025.

Bicycling Improvements (Work Plan Items 2.3F, 2.3G and Council Priority Objectives CC&NE 14 and CC&NE 15):

The City worked with transportation planning firm Fehr & Peers to develop a final draft of the Palo Alto Safety Action Plan. This comprehensive roadway safety plan is critical to reaching S/CAP goals because improving safety for vulnerable road users will reduce vehicle miles traveled and encourage walking and cycling. The final draft was reviewed by an internal staff 12 City of Palo Alto, 6th Cycle 2023-2030 Housing Element, Adopted April 15, 2024, Certified August 20, 2024, https://paloaltohousingelement.com/wp-content/uploads/2024/08/Palo-Alto-Housing-Element.pdf. 13 Planning and Transportation Commission, October 30, 2024; Agenda Item #3; SR #2410-3586, https://cityofpaloalto.primegov.com/portal/viewer?id=5662&type=0 Item 9
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working group and revised accordingly. The City issued a Public Review Draft in December which is available to the Palo Alto community for comment. City staff are presenting the draft plan for review at standing committees and Council in early 2025, with final plan adoption by City Council in Spring 2025.

For the Bicycle and Pedestrian Transportation Plan Update, the project team developed a strategy for public engagement to present and get feedback on system development and network priorities. This includes the project's draft recommendations for the updated bicycle network and draft list of projects, as well as the draft project prioritization framework and performance measures. Public engagement activities will occur in winter 2025 and extend into spring 2025 and include meetings with the City's Pedestrian and Bicycle Advisory Committee, Planning and Transportation Commission, Parks and Recreation Commission, Rail Committee, the City Council, focus groups, a community meeting, and online engagement.

The feedback received will help shape the draft and final plan. The draft plan is anticipated to be released in fall 2025.

On December 16, 2024, the City Council approved the grant agreement with the Federal Highway Administration for the South Palo Alto Bikeways Demonstration Project.14 The $888,000 federal funds and $222,000 matching City funds will use quick-build infrastructure to improve bikeways and crossings on East Meadow Drive and Fabian Way. The City will begin procurement for a transportation planning firm to finalize the street design in January 2025 and is aiming for construction at the end of summer 2025.

Transportation Demand Management (Work Plan Item 2.3H): The Palo Alto Transportation Management Association (PATMA) is conducting essential outreach to businesses on El Camino Real regarding available transit, bike, and parking programs in advance of the parking changes to the corridor as part of the Caltrans repaving project, as funded by a $25,000 VTA Transit Oriented Communities Grant. Work on the City’s Transportation Demand Management (TDM) Ordinance is on hold until staff capacity is available. The PATMA administered a commute survey for 2024 and received 885 completed responses. The PATMA distributed 46 free transit passes to workers at businesses along El Camino Real in Q4, encouraging sustainable commutes.

Parking (Work Plan Items 2.3I, 2.3J, Council Priority Objective CC&NE 26): The City initiated a survey that closed in August to gauge customer satisfaction and support for future updates to parking policies. The City is planning to continue community engagement efforts for proposed enhancements to our parking policies and programs. The City will select a parking permit vendor by January 2025 and work with the selected vendor to present improvement options.

Public Works contractors began work on installing Automated Parking Guidance Systems in four Downtown garages. The systems, similar to the one installed at the 350 Sherman Avenue garage in the California Avenue district, will display parking availability by level, enabling better 14 City Council, December 16, 2024; Agenda Item #9; SR #2411-3763, https://cityofpaloalto.primegov.com/portal/viewer?id=5890&type=0 Item 9
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efficiency of parking resources. Improvements will seek to limit the time that drivers spend circulating to find parking and will offer opportunities to better align parking policies with TDM efforts and more efficient usage of parking resources.

On October 15, 202415, Office of Transportation staff presented the Finance Committee with several potential parking management strategies, such as eliminating the Color Zone system and charging an hourly rate where parking demand is high, such as on-street parking. These strategies would alleviate traffic congestion at high-demand locations and would encourage travel modes alternative to driving.

Traffic Signals (Work Plan Item 2.3K):

The City continually monitors, maintains, and optimizes traffic signal operations, and addresses concerns from the community daily. As funding and staffing allow, the City also works on a variety of capital improvement program projects to update and upgrade the current traffic signal network and keep up with changing standards, modernization, and intelligent transportation systems (ITS) technologies. These improvements are a key component to optimizing operations to reduce delays and GHG emissions.

In Q4 of 2024, the City completed upgrades to three intersections along Charleston Road. The City also kicked-off a new capital project to upgrade systems at four intersections along Quarry Road. The City is continuing to make progress on several projects including at the intersection of Alma Road/Churchill Avenue. The City also began a significant update for its centralized traffic signal management systems.

Included with the traffic signal program, the City programmed and plans to add or upgrade several pedestrian-activated beacon crossings and will be installing the newest crossing at University Avenue and East Crescent Drive in early 2025. These pedestrian crossing improvements are essential in encouraging walking and alternative modes of transportation.

P2.4. Municipal Electrification (CC&NE 22)
The City’s municipal electrification efforts include both facility and fleet electrification and are intended to show the community that the City will participate in the same electrification efforts it is encouraging the community to undertake.

Facility Electrification (Work Plan Items 2.4A, 2.4B, 2.4C): In 2023, the City worked on a Facility Electrification Assessment Plan. The City is evaluating the feasibility of electrifying equipment at City Facilities each time aging equipment requires replacement. Completion of an Electrification Plan for City Facilities has been delayed while a vacant staff position dedicated to this effort is filled.
15 Finance Committee, October 15, 2024; Agenda Item #AA1; SR #2409-3537, https://cityofpaloalto.primegov.com/portal/viewer?id=5580&type=0 Item 9
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Fleet Electrification (Work Plan Items 2.4D, 2.4E and Council Priority Objective CC&NE 22): In Q4 2024, the City received delivery of two electric vehicles - a Tesla Model 3 and a Rivian R1S, both for the Palo Alto Police Department - which replaced internal combustion engine fleet vehicles. There are 35 EVs in the City fleet, or about 15% of the passenger vehicles and light duty trucks and vans. Six new EV chargers dedicated to the City fleet vehicles were placed in service at City Hall in Q4 2024, for a total of 25.

As part of the Capital Budget, the City Council approved an all-electric FY 2025 vehicle replacement program, except for Police pursuit vehicles. The City ordered the above- mentioned Rivian R1S as a pilot EV Police pursuit vehicle.

Publicly Owned Charger Planning (Work Plan Item 2.4F): There are currently 111 City-owned EV chargers, with a total of 146 charging ports, an increase of 6 EV chargers and 15 charging ports from last quarter. Twenty-five of those chargers are dedicated to City vehicles, while the rest are primarily for public use. Development of a plan for additional publicly owned charging is awaiting completion of the E-Mobility Strategic Plan (P2.5, below) P2.5. E-Mobility Strategic Plan (Council Priority Objective CC&NE 21) In September 2024, staff presented a preliminary outline for the EV Strategic Plan—now titled the E-Mobility Strategic Plan—to the Climate Protection Ad Hoc Committee. In early November, staff also shared preliminary results of the EV Charger Needs Assessment, a key component for finalizing the Strategic Plan. A review of electric grid impacts, EV charging benefits, mitigation strategies, and opportunities has been incorporated into a consultant contract approved by Council in September to support implementation of the Reliability and Resiliency Strategic Plan (approved in April). Using insights from these studies and feedback from the Ad Hoc Committee, staff aims to finalize the E-Mobility Strategic Plan for policymaker and stakeholder review, with Council approval targeted for the first half of 2025.

P3. Build Awareness and Confidence
The focus of Priority 3 is to build community awareness and confidence in electrification through engagement, addressing concerns, and program results.

Building Awareness of the Need for and Benefits of Climate Action (Work Plan Item 3.1A): The City continues to publish a monthly Climate Action Blog and a Quarterly Sustainability Newsletter. In Q4 2024, the City published an October16 and November17 Climate Blog. The City did not publish a Sustainability Newsletter in Q4. Historically, the Sustainability Newsletters have an average 52% open rate, which is the percentage of readers that open the e-mail you send them. The average open rate for electronic newsletters is 21.5%. 16 Climate Blog, October 2024: https://medium.com/paloaltoconnect/the-ultimate-palo-alto-halloween- community-guide-37d958e9ac09
17 Climate Blog, November 2024: https://medium.com/paloaltoconnect/sustainability-for-a-greener-holiday- season-c2409d03cf60
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In Q4 2024, the City held one Bike Palo Alto event, three electric vehicle webinars, one E-bike webinar, one EV & E-bike Show: Frunk or Treat!, two gardening webinars, one SunShares Webinar, one Pollinator Plants Walk and Talk, one rain garden workshop, one composting workshop, and one Heating Solutions for Commercial Buildings webinar.

The City participated in the California Avenue Third Thursday “Sustainability Fun Fair” on October 17, 2024.

The City co-sponsored Acterra’s 2024 Electric Home Tour18 on October 19, 2024, which engaged Bay Area residents in a unique opportunity to explore sustainable home electrification. There was a total of 403 participants, with 118 participants visiting homes in Palo Alto.

In Q4 2024, the Climate Protection Ad Hoc Committee19 held four Working Group meetings to discuss the Whole Home Electrification Program Proposal, Funding Study Policy, EV Charger Needs Assessment Study, and S/CAP Funding Study preliminary Results.

In Q4, 2024, the inaugural Youth Climate Advisory Board (YCAB), comprised of 11 high school students attending schools in Palo Alto, met monthly and appointed three leadership positions: Chair, Elsa Lagerblad, Junior, Palo Alto High School; Vice Chair, Caitlin Hopkins, Junior, Castilleja School; and Vice Chair, Aiden Miao, Sophomore, Palo Alto High School.

YCAB formed issue-specific subcommittees and met with City staff to learn more about City initiatives, programs, and policies, and discuss how YCAB can work with the City on various policy issues.

Drive Community Actions to Achieve S/CAP Goals (Work Plan Item 3.1B): The City continued to implement the Electrification Marketing Plan and the Heat Pump Water Heater Marketing Plan. The City provided information on sustainability and climate action programs and initiatives for residents and businesses at the Third Thursday Sustainability Fun Fair and at the Electric Home Tour. The City published a November Blog20 on Heat Pump HVAC Systems.

S/CAP Reporting and Surveys (Work Plan Items 3.1C, 3.1D): The City continues to calculate an annual GHG emissions inventory. In October, the City reported on the 2022 Citywide GHG inventory to the CDP,21 an international non-profit that helps companies, cities, states, regions, and public authorities disclose their environmental impact.

Build Confidence in City’s Electric Infrastructure (Work Plan Item 3.1E): The City continues to provide updates and engagement around its electric infrastructure. 18 Acterra Electric Home Tour, October 2024; https://acterra.org/electrification/greenhome/electric-home-tour/ 19 Climate Protection Ad Hoc Committee; https://www.cityofpaloalto.org/Departments/City-Clerk/City- Council- Committees/Climate-Protection-Ad-Hoc-Committee 20 November Blog, https://medium.com/paloaltoconnect/save-big-for-a-limited-time-save-the-planet-install-a- heat-pump-hvac-system-733aa93bfcd7
21 CDP, https://data.cdp.net/
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P4. Additional Emissions Reductions
The focus of Priority 4 is to identify an additional nine percent in emissions reduction opportunities to achieve 80 x 30, primarily through a focus on studying multi-family and commercial building equipment. The City is proceeding with studies of the multi-family and commercial sectors in conjunction with the S/CAP Funding Study. These studies include review of publicly available data sources and on-site surveys of building equipment at multi- family and commercial buildings. The City’s consultant completed its review of publicly available data and a number of on-site surveys of commercial and multi-family buildings and is working to complete a summary report.

P5. Funding Needs and Sources (Council Priority Objective CC&NE 24) The focus of Priority 5 is to identify, by 2024, funding needed and potential funding sources for full scale implementation of the highest impact emissions reductions. Council approved a contract with E3/Willdan in January 2024 to complete a study of funding needs and sources.

This S/CAP Funding Study continues. Completion of the Funding Study depends in part on completion of other complementary studies, including an EV Charger Needs Assessment, Building Sector Study, and the Funding Source Survey. All studies are being completed by the same group of consultants and all are in progress in parallel. Preliminary results from all studies were generated in Q4 2024. Staff discussed scenarios to model in the Funding Study with the Climate Protection Ad Hoc Committee in October 2024. The consultant generated preliminary results based on those scenarios and staff reviewed key insights and outputs with the Ad Hoc Committee and Working Group in December.

Sustainability
The Sustainability section of the work plan includes the following S/CAP Areas: Water, Climate Adaptation and Sea Level Rise, Natural Environment, and Zero Waste.

Maximize Water Conservation and Efficiency (Work Plan Item 8.A): The near-term focus for water is reducing water consumption while exploring ways to capture and store water and increase the availability and use of recycled water. The WaterSmart customer portal, an online water management tool, launched in November 2022. Through this program, home water reports are sent to around 11,000 single-family customers on a monthly basis. A control group of around 4,000 single-family customers currently do not get the reports. The average open rate of home water report emails is 74%. As of December 19, 2024, 29% of all single- family customers have accessed the portal – an increase from 24% last quarter - which provides information about their water consumption and personalized water conservation recommendations. Results from the efficiency study show that sending home water reports results in water savings of 3.4%.

The City, in partnership with the Bay Area Water Supply and Conservation Agency (BAWSCA), offers landscape education classes throughout the year to introduce residents to the concepts of water-efficient and sustainable landscaping. In Q4 2024, the City held two online and two in-person workshops.

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Design and build a salt removal facility for the Regional Water Quality Control Plant (Work Plan Item 8.B): The City continues work on the Advanced Water Purification System, which will reduce the salinity of treated water used for irrigation. In May, the City Council reviewed Site and Design application for a proposed local advanced water purification system.22 The design is complete, funding is secured, and staff anticipates Council approving a construction contract in Spring 2025.

Develop a “One Water” Portfolio for Palo Alto (Work Plan Item 8.C): The final One Water Plan is a 20-year trigger-based plan for implementing future water supply and conservation portfolio alternatives. Staff presented this plan to the Utilities Advisory Commission in January 2025 and will transmit the report to Council in 2025.

Develop a tool for dynamic water planning in the future (Work Plan Item 8.D): An excel- based tool for water planning is part of the “One Water” Plan effort and final report tools the City now has to assist in modeling and planning efforts.

Complete the Sea Level Rise Vulnerability Assessment (Work Plan Item 8.E): The City completed a Sea Level Rise Vulnerability Assessment in the Fall of 2022. The Vulnerability Assessment identified risks and hazards to the Palo Alto Baylands, City infrastructure, and residential and business property. The Assessment considers high tide, 100-year coastal storm event scenarios, and rising shallow groundwater impacts.

Develop a Sea Level Rise Adaptation Plan (Work Plan Item 8.F and Council Priority Objective CC&NE 33): The City will coordinate the development of its Sea Level Rise Adaptation Plan to align with SB272 (Laird): Sea Level Rise Planning and Adaptation requirements and other regional planning efforts. On October 18, 2024, the City provided feedback on the Bay Conservation Development Commission’s Draft Regional Shoreline Adaptation Plan. The Regional Shoreline Adaptation Plan (RSAP) guidance for Bay Area was approved at the December 5, 2024 Bay Area Conservation and Development Commission. The RSAP requires subregional (e.g., County-wide, or City-wide) sea level rise plans. The Santa Clara County Office of Sustainability is considering leading subregional plan development and will provide a proposal to interested partners, including the City of Palo Alto, to collaborate on elements of the RSAP guidance. Staff anticipates a proposal for this effort in Q1 2025.

Part of any long-term sea level rise adaptation plan will include Palo Alto shoreline levee improvements which had been pursued most recently through the Shoreline II Project led by Valley Water as the lead for a partnership with the United States Army Corps of Engineers (USACE). In late 2023, a USACE cost/benefit analysis determined that there is no federal interest in funding Palo Alto shoreline improvements at this time, and that improvements would not be needed until approximately 2060. A Congressional letter encouraging another 22 City Council, May 13; Agenda Item #11; SR #2403-2760, https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=5f812cd5-ab33-4e51-851a- 1b01fde39467
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review of this determination was sent to no avail. Valley Water and Shoreline II partners (CalTrans and the cities of Palo Alto and Mountain View) developed an agency factsheet, and other reference materials for public information and as a staff technical reference.

Despite longer-term regional planning horizons for sea level rise, the City is working on several near-term goals. These efforts include publishing web-based GIS maps which depict future sea level rise and shallow groundwater changes for use in City project planning (implementation for use is estimated by July 1, 2025), and inclusion of sea level rise in long range facility plans for the Regional Water Quality Control Plant and Palo Alto Airport—both of these are active tasks.

Begin design process for levee projects (Work Plan Item 8.G): The City continues to advance the Palo Alto Horizontal Levee Pilot Project (PAHLPP). The PAHLPP will be the first horizontal levee to be built in the Bay Area to be both irrigated with treated wastewater and hydrologically connected to San Francisco Bay. The project will provide much-needed data to inform the design of future horizontal levees around the greater San Francisco Bay Area.

Horizontal levees are nature-based sea level rise adaptations with multiple benefits over traditional flood- control levees such as habitat enhancement, sea level rise adaptation, and additional wastewater treatment. The City’s project partner, San Francisco Estuary Partnership, is releasing a solicitation for construction in January 2025 with the goal to begin construction during the first half of 2025. This was enabled by an additional $2 million Coastal Conservancy grant that was approved in December 2024 to address escalating construction costs. Staff is also working on interpretive signage with the Association of Ramaytush Ohlone, and lining up required monitoring services and permit requirements.

Identify Protection Strategies from Significant Flood Events (Work Plan Items 8.H, 8.I, 8.J, and Council Priority Objectives CC&NE 31 and 32): The City continues to work with the San Francisquito Creek Joint Powers Authority (SFCJPA) member agencies to coordinate the San Francisquito Creek Flood Protection capital project (Reach 2) with the Newell Road Bridge replacement project.

Local Hazard Mitigation Plan (Council Priority Objective CHSW&B 70): The federal Disaster Mitigation Act of 2000 requires all cities, counties, and special districts to adopt a Local Hazard Mitigation Plan (LHMP) to receive disaster mitigation funding from the Federal Emergency Management Agency (FEMA). The State of California and FEMA approved the Santa Clara County Multi-Jurisdictional Hazard Mitigation Plan (MJHMP), Volume I and the associated Jurisdictional Annexes, Volume II. On October 7, 2024, City Council adopted a resolution23 approving the Palo Alto LHMP, including Volume I of the 2023 County of Santa Clara Multi-Jurisdictional Hazard Mitigation Plan and Volume II of the Palo Alto Jurisdictional Annex.
23 City Council, October 7, 2024; Agenda Item #14; SR #2407-3313, https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=b90a63a1-e1cc-4b5f-934b-bee4486b2909 Item 9
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Foothills Fire Management Plan and Collaboration on Reducing Wildfire Hazards (Work Plan Items 8.K, 8.L, 8.M, 8.N, Council Priority Objective CHSW&B 71): The effort to combine the Palo Alto Foothills Fire Management Plan and Community Wildfire Protection Plan (CWPP) into one document to integrate the wildfire mitigation efforts among the Palo Alto community is underway. The updated plan is currently under environmental review and will be open for public comment when the review is complete. The final plan is scheduled to be completed in Q2 2025.

Increase Palo Alto’s Tree Canopy and Ensure No Net Tree Canopy Loss (Work Plan Items 8.O,

8.P): The City will use the iTree inventory to calculate a baseline and citywide public tree inventory update. The current baseline, which needs to be updated, is 5,236,420 lbs CO2 sequestered for 35,570 calculated public trees. The inventory data points used to calculate the current baseline (e.g. tree species) may be outdated (e.g. trees are larger than the data shows, trees were replaced or removed without updating the data). An effort to establish a baseline for carbon storage of Palo Alto’s urban tree canopy is on-track to be completed in 2024.

Reduce Pesticide Use in Parks and Open Space Preserves (Work Plan Item 8.Q): The City continues to review the use of pesticides in all parks and open space preserves to identify opportunities to further reduce both the amount and the toxicity of pesticides that are used.

Coordinate Implementation of City Natural Environment-Related Plans (Work Plan Item 8.R):

The City is working on an update of the Tree and Landscape Technical Manual. In addition, the Model Water Efficient Landscape Ordinance process is currently under review and should be completed soon.

Support the Green Stormwater Infrastructure (GSI) Plan and incorporate GSI in Municipal Projects (Work Plan Item 8.S): This is an on-going effort to achieve a 10% increase in land area that uses green stormwater infrastructure to treat urban water runoff.

Encourage Commercial Food Waste Prevention and Provide Technical Assistance (Work Plan Items 8.T, 8.W): It is an on-going effort to encourage food waste prevention and require edible food recovery for human consumption from commercial food generators, and to provide technical assistance. The City developed a new innovative outreach tool for businesses offering waste reduction resources. This initiative is the first of its kind and provides tips and best practices for waste prevention in daily operations and procurements.

New outreach was created which included a new webpage, handouts and educational content on social media.

Promote Residential Food Waste Reduction (Work Plan Item 8.U): The City developed a new Zero Waste outreach community campaign to promote food waste reduction and connect it to reducing GHGs and climate change with a call to action: Strategize, Organize, Prioritize. New educational content was developed include a webpage, Item 9
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handouts, advertisements in the local newspapers, outreach signs for the collection vehicles, and content for social media.

Champion Waste Prevention, Reduction, Reusables, and the Sharing Economy (Work Plan Item 8.V): As part of the new Zero Waste Living outreach campaign, the City published fourteen Zero Waste Minute weekly e-newsletters in Q4 2024 providing the community with reduce, reuse, repair tips, and essential tools to tackle the complex waste challenges our community is dedicated to solving. The weekly e-news average an open rate of 52 to 54%.

In Q4 2024, the City held one compost workshop for residents to learn how easy it is to make their own compost. Palo Alto residents receive a free compost bin or worm bin (one per household) by attending a compost workshop. The City also continued the permanent Compost Giveaway Station at Eleanor Pardee Park where residents can pick up compost for their homes and landscape at no charge. Free mulch from tree removal operations is also available at centralized stations throughout the City.

Prioritize Domestic Processing of Recyclable Materials (Work Plan Item 8.X): Domestic processing for mixed paper and mixed rigid plastics began in April 2022. The City continues to review processing efforts.

Eliminate Single-Use Disposable Containers (Work Plan Item 8.Y): The strategy and timeline for expanding the Disposable Foodware Ordinance is on hold until further clarification is received through SB 54 final regulations and changes on what will be considered recyclable and compostable, which is expected by Q2 2025.

Expand the Deconstruction and Construction Materials Management Ordinance (Work Plan Item 8.Z): The Deconstruction and Construction Material Management Ordinance requires all residential and commercial projects undergoing a whole structure demolition to obtain a deconstruction permit.24 Deconstruction is the careful disassembly of building components to maximize reuse and recycling. Staff continued monitoring the Deconstruction Ordinance with proactive collaboration and education to project managers, contractors and reuse organizations. The ordinance was effective July 2020 and in the past 4 years, over 160 buildings went through the deconstruction process, which resulted in approximately 20,800 tons or 93% of building materials salvaged for reuse or recycle, and only 1,670 tons or 7% of materials landfilled.

Implement the Reach Code Standard for Low Carbon Construction Materials (Work Plan Item

8.aa): The City Council approved a reach code standard for low carbon construction materials in October 2022. Since adoption (effective 1/1/2023), all new construction and substantial 24 City Council, May 6, 2024; Agenda Item #18; SR #2312-2377, https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=da6cfa4a-5637-44bd-a7bc- 92763615dbc1
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remodels are required to meet the low-carbon concrete requirements. Fire Station 4 (3600 Middlefield) is currently under building permit review, and the concrete mix will meet the low- carbon requirements.

FISCAL/RESOURCE IMPACT
Current and future initiatives will be managed and funded across various departments and funds. The Fiscal Year 2025 work items in the 2023-2025 S/CAP Work Plan can proceed with the actions approved in the Fiscal Year 2025 Adopted Budget. Staff expects to submit additional resource requests as part of the annual budget process in subsequent years as the work plan proceeds.

Some items in other work plans are also relevant to the S/CAP Work Plan. The Utilities Strategic Plan, for example, includes workforce development and advanced metering infrastructure (AMI) work items that are directly relevant to the S/CAP. Some of these may involve future budget requests as well.

STAKEHOLDER ENGAGEMENT
Stakeholder engagement on S/CAP implementation is wide-reaching and coordinated with multiple departments. Efforts include direct engagement, webinars, social media and other digital marketing/outreach, website updates, public signage, Ad Hoc Committee meeting participation, leveraging the city’s communication platforms, and more. Stakeholder engagement efforts were described in the Analysis section Stakeholder engagement efforts were described in the Analysis section, under P3. Build Awareness and Confidence as well as other Work Plan areas.

ENVIRONMENTAL REVIEW
Council’s review of this report is not a project subject to review under the California Environmental Quality Act (CEQA).

APPROVED BY:

Brad Eggleston, Director Public Works/City Engineer
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