City Council
Staff Report
From: City Manager
Report Type: INFORMATION REPORTS
Lead Department: Public Works
Meeting Date: June 17, 2025
Report #:2411-3804
TITLE
Semiannual Update on the Status of Capital Improvement Program Projects; CEQA Status – Not a Project
RECOMMENDATION
This report is provided for information only and requires no Council action.
EXECUTIVE SUMMARY
The City Council and Palo Alto community can be proud of the City’s capital improvement program (CIP). The CIP represents major investments in infrastructure functionality and sustainability, funded largely through the transfer of funding from the General Fund, including dedicated Transient Occupancy Tax (TOT) funding, as well as utility rates and various other sources. The 2025-2029 five-year CIP totaled $1.7 billion for 206 projects as reviewed by the Council in its adoption of the FY 2025 Capital Budget. Since July 2016, the City of Palo Alto has completed 110 individual community-serving projects totaling over $434 million in improvements. A summary of all completed CIP projects is provided at the end of Attachment A. The CIP also represents a major effort for much of the City workforce. The following table summarizes the status of all projects for the six-month period of July to December 2024.
One Time ProjectsCIP Workgroup Recurring
Projects Pre-Design Design Procurement Construction Completed Airport 0 0 4 1 0 1
Buildings and Facilities 12 5 13 0 9 2
Electric 9 2 3 0 6 1
Fiber Optic 2 0 2 0 0 0
Gas 4 0 2 0 1 0
Parks and Open Space 9 2 7 0 7 1
Stormwater Management 2 0 4 0 0 3
Streets and Sidewalks 8 0 3 0 0 0
Traffic and Transportation 5 1 8 1 2 0
Wastewater Collection 4 0 0 0 1 0
Wastewater Treatment 2 2 3 0 2 0
Water 7 1 1 0 1 1
Subtotals 64 13 50 2 29 9
Totals 167
BACKGROUND
This report provides Council with an update on the status of capital improvement program (CIP) projects, with detailed and useful information for the Council and public regarding general fund and enterprise fund projects that appear on Council agendas and will be visible throughout the community. The report does not include Internal Service Funds projects (Information Technology and Vehicle).
ANALYSIS
Project Update Organization
The City of Palo Alto has a robust capital improvement program, and many individual projects are in progress at any given time. The 2025-2029 five-year CIP totaled $1.7 billion for 206 projects as reviewed by the Council in the adoption of the FY 2025 Capital Budget. The attached CIP project tables are intended to provide a quick overview of each project, including budgetary information, the anticipated completion date, a brief description of the project scope, the status of the project, and upcoming activities including Council actions. Also included in the report is a list of all completed projects since the introduction of the Infrastructure Management System.
Major/Significant Projects Summary
The 2014 Council Infrastructure Plan is a major focus of staff’s capital improvement program efforts and ties to several 2024 City Council Priorities and related objectives. The following table details the Total Project Budget and Total Actual Expenses through January 25, 2025, for the Infrastructure Plan projects.
Council
Infrastructure
Plan Projects
CIP
Number Project Update Total Project
Budget
Total Actual
Expenses* Completion
Date
Fire Station 3
Replacement
PE-15003 Completed $10,600,734 $10,600,734 Summer
2019
New California
Avenue Area
Parking Garage
PE-18000 Completed (final punch list items
in progress)
$50,207,727 $49,454,479 Summer
2020
Highway 101
Pedestrian/Bicycle
Overpass Project
PE-11011 Completed $23,734,218 $23,734,218 Fall 2020
Charleston
Arastradero
Corridor Project
PE-13011 Completed $20,684,799 $20,684,799 Summer
2024
Downtown
Automated
Parking Guidance
Systems
PL-15002 Council approved a design-build
contract in May 2023.
Construction is underway and
expected to be completed in
spring 2025.
$5,197,827 $2,790,599 Spring 2025
New Public Safety
Building
PE-15001 Phased staff move-in is expected
in summer 2025, following May
2025 issuance of a Temporary
Certificate of Occupancy.
$123,500,000 $119,375,833 Spring 2025
Fire Station 4
Replacement
PE-18004 Project is going through building
permit review. Staff completed a
pre-qualification process, with
construction bidding anticipated
in early 2025.
$18,225,946 2,117,901 Spring 2027
Byxbee Park
Completion
PE-18006 On hold pending completion of
the Baylands Comprehensive
Conservation Plan.
$3,699,189 $368,192 Spring 2028
Bicycle and
Pedestrian
Transportation
Implementation
Plan
PL-04010 This project funds the Bicycle and
Pedestrian Transportation Plan
Update, which has kicked off
recently and is slated to take
approximately 18 months to
complete. This project also funds
the implementation of various
bicycle and pedestrian projects.
$14,400,000 $9,912,240 On-Going
New Downtown
Parking Garage
PE-15007 Council directed staff to look at
the feasibility of partnering with a
private entity to develop new
parking using downtown in-lieu
parking fees in conjunction with
housing or other uses, including
the use of City surface lots or
privately held parcels. Council
gave direction to staff in
December 2023 to advance the
project in conjunction with
advancement of affordable
housing in the Downtown area. A
design contract for the garage was
approved on Council’s December
2, 2024 consent agenda.
$17,300,000 $1,469,301 TBD
*Total actual expenses through January 25, 2025
The last phase of the Public Safety Building project is expected to be completed in spring 2025.
Current Infrastructure Plan project schedules can be found at https://www.infrastructure.cityofpaloalto.org/
Key considerations for the information presented in the project update tables include:
• Project status information is current as of December 31, 2024. • The individual project tables align with the Capital Improvement Fund categories in the Fiscal Year 2025-2029 capital budget: Buildings and Facilities, Parks and Open Space, Streets and Sidewalks, and Traffic and Transportation.
• Enterprise Fund projects follow the order of their respective Fund in the capital budget. • Department Technology Upgrades and Improvements projects and Cubberley Property Infrastructure Fund projects are included in the Buildings and Facilities table. • Additional project information is available in the Fiscal Year 2025-2029 capital budget. • Each project table is divided into a section for one-time projects and a section for recurring projects that have ongoing annual funding.
• Budgetary figures include staff oversight costs for projects to which staff costs have been allocated.
• The table of completed projects, located at the end of Attachment A provides a summary of all CIP projects completed since the Biannual CIP updates to council began in 2016. The data is sorted from most recent to oldest.
Completed Projects
There were nine completed one-time projects in the first half of Fiscal Year 2025 (July through December 2024).
• Airport Zero Emission Vehicle Fleet Replacement Program (AP-23000) •Baylands Boardwalk Piling Repair (PE-24000)
• Cameron Park Improvements (PG-14002)
• City Facilities Assessment and Record Plan Management System (PE-20002) • East Meadow Drive System Upgrades (SD-22000)
• East Meadow Circle Connection to Adobe Creek Pump Station (SD-26000) • Hanover Substation Improvement (EL-24001)
• Trash Capture Device Installation (SD-22002)
• Water Main Replacement Project 29 (WS-15002)
One-time projects do not include the significant amount of annual work completed under ongoing recurring projects, such as streets and sidewalks repairs, parking lot maintenance, roofing replacements, and regular maintenance of Utilities assets.
Below are some photos of completed projects:
Baylands Boardwalk Piling Repair (PE-24000)
Trash Capture Device Installation (SD-22002)
East Meadow Drive System Upgrades (SD-22000)
One-Time Projects Under Construction
The 29 projects that are currently underway include the following:
Capital Improvement Fund (general fund):
• Baylands Interpretive Signage Program (OS-24001)
• Boulware Park Improvements (PE-17005)
• Churchill Avenue/Alma Street Railroad Crossing Safety Improvements (PL-20000) • Civic Center Fire Life Safety Upgrades (PE-18016)
• Civic Center Waterproofing Study and Repairs (PE-15020) • Cubberley Field Restroom (CB-17002)
• Downtown Automated Parking Guidance Systems, Access Controls & Revenue Collection Equipment (PL-15002)
• Eucalyptus Tree Removal (PG-25002)
• Heritage Park Site Amenities Replacement (PG-21000)
• Homekey Facilities (PE-24005)
• JMZ Renovation (AC-18001)
• Library Automated Material Handling (LB-21000)
• Lucie Stern Community Theatre Stage Rigging System Refurbishment (AC-24000) • New Public Safety Building (PE-15001)
• Performing Arts Venues Seat Replacement (AC-18000)
• Ramos Park Improvements (PG-14000)
• Rinconada Park Improvements (PE-08001)
• Roth Building Rehabilitation Phase 1 (PF-23001)
Electric Fund:
• Colorado Distribution Feeder Outlet Replacement (EL-22002) • Grid Modernization for Electrification (EL-24000)
• Inter Substation Line Protection Relay (EL-17005)
• Foothills Rebuild Fire Mitigation (EL-21001)
• Smart Grid Technology Installation (EL-11014)
• Substation Physical Security (EL-16003)
Gas Fund
• Gas Main Replacement Project 24 (GS-14003)
Wastewater Collection Fund:
• Wastewater Collection System Rehabilitation Augmentation Project 31 (WC-19001) Wastewater Treatment Fund:
• Joint Intercepting Sewer Rehabilitation (Phase 1) (WQ-24000) • Secondary Treatment Upgrades (WQ-19001)
Water Fund:
• Water Tank Seismic System Upgrades (WS-09000)
As described above for completed projects, the list of projects under construction does not include work currently being conducted under recurring CIP projects. Below are some photos of one-time projects under construction:
Boulware Park (PE-17005)
Cubberley Field Restroom (CB-17002)
Homekey Facilities (PE-24005)
Capital Improvements of Note Implemented by Other Agencies The Caltrans paving project along El Camin Real is progressing well with several key milestones already completed. The pavement rehabilitation, including AC paving and concrete pavement repairs, has been finished. Electrical work is approximately 45% complete, including loop installations, modifications to lighting systems, and traffic signal work.
Roadway striping is about 80% complete, with bike lane striping underway in Mountain View.
The bike lane striping in Palo Alto is expected to begin in May. The bike lane implementation is tentatively scheduled for completion in fall 2025, pending weather and the progress of other related tasks.
Caltrain Electrification:
The Caltrain Electrification Project was completed on September 21, 2024, marking the start of full electric service between San Francisco and San Jose. To celebrate the milestone, Caltrain partnered with the City of Palo Alto to host a special launch event at the Palo Alto Caltrain Station. The event featured dignitaries, community performances, and informational booths, drawing over 8,000 attendees. In the first three months following the launch, Caltrain experienced a 41% increase in ridership compared to the same period in 2023. Caltrain extends its gratitude to the Palo Alto City Council, staff, and residents for their support of the Electrification Project.
FISCAL/RESOURCE IMPACT
Funding for the projects discussed in this report was appropriated in the Fiscal Year 2025 Adopted Capital Budget and reviewed for the 2025-2029 Five-Year CIP. Funding for projects in future years of the CIP is subject to Council approval as part of the annual budget process.
STAKEHOLDER ENGAGEMENT
This report was coordinated with staff in the Administrative Services, Community Services, Office of Transportation, Public Works, and Utilities Departments. Stakeholder engagement is conducted separately for each project.
ENVIRONMENTAL REVIEW
This report is exempt from the California Environmental Quality Act (CEQA) as it is an informational report to Council. CEQA compliance is reviewed separately for each capital project.
ATTACHMENTS
Attachment A: Semiannual Update on the Status of Capital Improvement Program Projects APPROVED BY:
Brad Eggleston, Director Public Works/City Engineer