1 2025 Council Priorities & Objectives
Q2 Update January ‐June 2025
Overall Completion Status
To date, of the 70 Council objectives supporting Council priorities, in the second quarter, a total of 14 (20%) have been completed, 52 (74%) are on track with original scope or with new Council direction, 3 (4%) are behind, and 1 (1%) is on hold. Objectives with a revised estimated completion date are notated with an asterisk (*) in the revised estimated completion quarter and explanation in the Quarterly Update section.
Climate Action and Adaptation, & Natural Environment Protection (CA)
Modernize critical infrastructure for climate resilience CA 1. Complete initial pilot area of electric grid modernization (16) Project Manager: Jimmy Pachikara Lead Dept: UTL
Estimated Completion: Q2 Status: Completed
Project Description:
2 The project will increase electrical capacity and reliability in initial pilot area bounded by Louis, Amarillo, 101, & Embarcadero about 1,000 homes; once completed, staff will continue the grid upgrades to the "Phase 1" area which impacts approximately 6,000 homes.
The City’s planned project includes the modernization of the systematic grid and incorporates the goals and key actions from the Grid Modernization Study to prepare for widespread electrification in support of the S/CAP goal of an 80 percent carbon reduction by 2030. This project is coordinated with the Fiber to the Home pilot.
2025 Project Milestones:
By the end of FY2025 staff intends to complete the pilot area of Phase 1.
Quarterly Update:
A total of 908 homes have been served with upgraded facilities that included the replacement of 70 wood utility poles, 106 new transformers, 22,650 feet of new low‐voltage wire, 46,743 feet of new fiber messenger. The cost to complete the pilot area was just over $10 million with contracted labor being the largest cost.
CA 2. Begin construction of the Newell Road Bridge Replacement project (32) Project Manager: Holly Boyd Lead Dept: PW
Estimated Completion: Q2 Status: Completed
Project Description:
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. 2025 Project Milestones:
Complete design and right‐of‐way acquisition, obtain regulatory permits, and seek programming of construction funding by Caltrans, through Council advocacy as needed, and award a construction contract, subject to property owner, permitting agencies, and Caltrans approvals.
Initiate and complete construction.
Quarterly Update:
Staff received authorization from Caltrans to advertise the project in April. After successfully bidding the project, Council approved a construction contract on June 16. Staff issued the notice to proceed on August 1, with pre‐construction activities to start on September 1. Construction will last for a year and a half and will be completed in Spring 2027.
CA 3. Begin construction of Hamilton Avenue storm drain system capacity upgrades project (31) Project Manager: Holly Boyd Lead Dept: PW
Estimated Completion: Q3 Status: On Track
Project Description:
Advance the San Francisquito Creek (SFC) Flood Protection capital project (Reach 2) through Council’s JPA representation and any Council approvals involved. 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. 2025 Project Milestones:
Begin construction of Hamilton Avenue storm drain system capacity upgrades project.
Quarterly Update:
The storm drain system design was completed in June, and the project was advertised for bid in late July. A construction contract is anticipated to be awarded in September.
3 CA 4. Complete implementation of the Reliability and Resiliency Strategic Plan (RRSP), including Strategy 4 – conducting a cost/benefit analysis of flexible energy resources such as battery storage and microgrids (including evaluation of the airport microgrid), and Strategy 5 – recommending potential programs for Council consideration.
Project Manager: Jonathan Abendschein Lead Dept: PW
Estimated Completion: Q4 Status: On Track
Project Description:
The RRSP includes several long‐term and ongoing efforts that extend beyond this year, primarily in Strategies 1, 2, and 3. But Strategies 4 and 5 focus on a cost‐benefit analysis and program options for use of flexible technologies and efficient electrification strategies to provide various types of community value. This goal involves completion of Strategies 4 and 5 of the RRSP. 2025 Project Milestones:
In 2025, the Climate Action and Sustainability Committee (CASC) and the Utilities Advisory Commission (UAC) will review the cost‐benefit analysis and potential program options to complete Strategies 4 and 5 of the Resilient Resource and Sustainability Plan (RRSP). Following these reviews, the City Council will consider the recommendations and provide direction on any subsequent program implementation.
Quarterly Update:
A cost‐benefit analysis and program development are currently underway. A status update was provided to the Utilities Advisory Commission (UAC) in February 2025. A review of the preliminary analysis results is planned for the July UAC meeting and the August Climate Action and Sustainability Committee (CASC) meeting. The goal is to gather policy feedback to inform the final report recommendations, which will be presented to the UAC, CASC, and City Council in the fourth quarter of 2025.
CA 5. Complete deployment of 65,000 residential Advanced Metering Infrastructure (AMI) meters by end of FY 2025 and begin deployment of commercial AMI meters. (13) Project Manager: Dave Yuan Lead Dept: UTL
Estimated Completion: Q4 Status: On Track
Project Description:
The City of Palo Alto Utilities (CPAU) is upgrading the City’s utility metering system with electronic meters to utilize grid technology called Advanced Metering Infrastructure (AMI). AMI is becoming a standard in the utilities industry, enabling interval utility usage data and time‐of‐use rates for homes and businesses to the benefit of electric, natural gas, and water utility customers. CPAU will replace old legacy electric meters with new advanced electric meters and retrofit existing water and gas meters with AMI radios, starting with residential meters. 2025 Project Milestones:
A continuation from 2024 to deploy all 65,000 residential AMI meters, this work continues, as well as to deploy 10,300 commercial AMI meters by Q3 2025 assuming no supply chain delays.
Quarterly Update:
Due to supply chain issues affecting electric meters and challenges with exchanging or retrofitting gas and water meters, the City’s installation contractor concluded services in May 2025, leaving approximately 12,000 meters remaining. CPAU staff will complete the remaining exchanges and retrofits, with a target of reaching 95% completion by the end of 2025. The remaining 5% of electric and gas meter installations are expected to be completed by April 2026. Additional time will be needed to complete the final 5% of water meters due to field conditions, meter accessibility, and the need for large water meter replacements.
4 CA 6. Council approval for Phase 2 (full‐service program) of the Advanced Whole Home Electrification Pilot Program and begin implementation. (19) Project Manager: Jonathan Abendschein Lead Dept: PW
Estimated Completion: Q4 Status: Completed
Project Description:
Add turnkey services to the City’s Advanced Whole Home Electrification Pilot Program to provide direct installation of space heating to complement existing turnkey services for direct installation of water heating.
2025 Project Milestones:
City Council approval of the contract and budget for the program, followed by the commencement of program implementation.
Quarterly Update:
A contract with Franklin Energy to operate turnkey services for the Advanced Whole Home Electrification Pilot Program, along with a program budget, was approved by the City Council on June 9, 2025. Implementation has begun.
Advance citywide and regional climate adaptation and environmental protection strategies
CA 7. 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 Project Manager: Christine Luong Lead Dept: PW
Estimated Completion: Q4 Status: On Track
Project Description:
Develop and approve an S/CAP Implementation Plan for 2026‐2027 which reflects feedback on strategies reviewed by the Council Climate Action and Sustainability Committee and the Climate Action Working Group.
2025 Project Milestones:
Work with the Council Climate Action and Sustainability Committee and the Climate Action Working Group to prioritize focus areas and strategies for future implementation.
Quarterly Update:
In May, the Climate Action and Sustainability Committee discussed options and ideas for the Climate Action section of the 2026‐2027 Sustainability and Climate Action Plan (S/CAP) Work Plan. The Committee reviewed high‐level potential areas of focus in the areas of transportation, buildings (including resiliency) and carbon neutrality. Also in May, the Climate Action Working provided feedback on options and ideas for the Climate Action section of the 2026‐2027 S/CAP Work Plan.
Staff is developing strategies for a 2026 –2027 work plan for the next phase of S/CAP implementation.
Proposed Sustainability priorities for the 2026‐207 Sustainability and Climate Action Plan Work Plan
are complete and will be presented to the Climate Action and Sustainability Committee in August. The key areas of focus for the Sustainability priorities are water, sea level rise, wildfire protection, natural environment, green stormwater infrastructure, and zero waste.
CA 8. Begin development of a Regional Shoreline Adaptation Plan meeting new standards approved by BCDC (33)
Project Manager: Julie Weiss Lead Dept: PW
Estimated Completion: Q4 Status: On Track
5 Project Description:
Public Works–Watershed Protection is collaborating with Santa Clara County Office of Sustainability and other County cities to submit an SB1 grant proposal for the development of a Regional Shoreline Adaptation Plan (RSAP). The RSAP would include a regional vulnerability assessment for Santa Clara County shoreline communities and a subsequent shoreline adaptation plan that aligns with State sea level rise adaptation requirements that are administered by the Bay Conservation and Development Commission. This regional vulnerability assessment would complement Palo Alto’s similar assessment by providing an adaptation funding strategy, would determine the cost of inaction should Palo Alto not pursue additional sea level rise adaptations, and would expand social equity considerations. 2025 Project Milestones:
Engage with neighboring cities for potential partnership and review status with the City Council. SB1 grant submittal: July, 2025
Confirmation of grant award: Fall, 2025
Quarterly Update:
The SB1 grant proposal was submitted by the Santa Clara County Office of Sustainability in July 2025.
CA 9. Council consideration of an ordinance implementing updated Stream/Creek Corridor Setback requirements. (34)
Project Manager: Kelly Cha Lead Dept: PDS
Estimated Completion: Q3 Status: On Track
Project Description:
Conduct research and present an ordinance that implements the City’s Comprehensive Plan polices related to stream corridor setbacks for Planning and Transportation Commission (PTC) review and recommendation to the City Council.
2025 Project Milestones:
Hold a community meeting Q1, Planning and Transportation Commission (PTC) consideration of next steps in Q3 for Council consideration thereafter.
Quarterly Update:
The City held a community meeting on February 6, 2025. The stream/creek draft corridor setback requirements have been refined by staff based on comments received by community members. A draft ordinance is scheduled to be presented to the PTC on August 27, 2025.
CA 10. Council consideration of an ordinance implementing Bird Safe Glass & Wildlife Light Pollution Protections standards. (35)
Project Manager: Kelly Cha Lead Dept: PDS
Estimated Completion: Q3* Status: On Track
Project Description:
Prepare ordinance updates to the City’s zoning code to require new building design and lighting standards with the aim to reduce bird strikes and nighttime light pollution for new or substantially remodeled buildings/structures.
2025 Project Milestones:
Initially scoped as one project, the bird safe glass and wildlife light pollution protection standards are now two projects coming before Council at different time. Lighting pollution standards was reviewed by the City Council in Q2 to return in Q3 for reconsideration.
Bird friendly design standards will be going to the Planning and Transportation Commission (PTC) for reconsideration in Q3 and City Council consideration in Q4.
6 Quarterly Update:
Lighting pollution standards: City Council considered a draft ordinance on April 7, 2025 and directed staff to revise the standards and return to the Council. The ordinance is schedule for City Council reconsideration on September 15, 2025.
Bird friendly design standards: Based on direction received from the PTC in late 2024, staff has evaluated the impacts of specific regulations. As a result of this analysis, staff will return to the PTC with a revised ordinance for consideration prior to City Council consideration.
*The lighting standards are anticipated to be completed on schedule (Q3). Based on the revised scope the estimated completion for the bird friendly design standards is now Q4.
CA 11. Advocate for the San Francisquito Creek Flood Protection capital project (Reach 2) through Council’s JPA representation and any Council approvals involved (31) Project Manager: Holly Boyd Lead Dept: PW
Estimated Completion: Q4 Status: On Track
Project Description:
Advance the San Francisquito Creek (SFC) Flood Protection capital project (Reach 2) through Council’s JPA representation and any Council approvals involved.
2025 Project Milestones:
Support JPA’s efforts to make decisions through staff discussions and the City’s representation on the JPA Board.
Quarterly Update:
Staff have reviewed JPA’s project documents and attended meetings to discuss Reach 2 progress. The JPA is scheduled to have a study session with Council in August or September 2025.
CA 12. Initiate Preliminary Engineering and Environmental Clearance Work for Quarry Road Extension in Partnership with Stanford University, Caltrans, & VTA.
Project Manager: Holly Boyd/Sylvia Star‐Lack Lead Dept: PW/OOT Estimated Completion: Q4 Status: On Track
Project Description:
The Quarry Road Connection Project will allow the extension of Palo Alto’s Quarry Road to create a direct connection between the Palo Alto Transit Center (PATC) and El Camino Real for use by public buses and shuttles (the Quarry Road Connection Project). This project enables transformation of a currently congested PATC by enhancing public transit efficiency, reducing traffic congestion, and improving safety and convenience for cyclists and pedestrians. 2025 Project Milestones:
Develop an agreement with Stanford to initiate a preliminary engineering and environmental clearance work for Quarry Rd Extension.
Quarterly Update:
Staff is working to generate an agreement between the City and Stanford to initiate design and environmental work which would be brought to Council in Fall of 2025.
CA 13. Develop an updated Regional Water Quality Control Plant Biosolids Facility Plan.
Project Manager: Karin North Lead Dept: PW
Estimated Completion: Q4 Status: On Track
7 Project Description:
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.
2025 Project Milestones:
Development of biosolids treatment alternatives and screening to eliminate non‐viable alternatives.
Finalize evaluation criteria, including weighting, based on community and stakeholder input. Begin detailed evaluation of the screened alternatives. Review findings and draft recommendations with SCAP and the Policy and Services Committees. Initiate development of a draft report summarizing the alternatives analysis and preliminary recommendations.
Quarterly Update:
Staff identified potential treatment alternatives, developed evaluation criteria, and completed an initial screening of the alternatives. Public input meetings were held in spring 2025. Based on the feedback received, the descriptions and weighting of the evaluation criteria have been adjusted to align more closely with community priorities. The next steps include developing lifecycle cost estimates, and continuation of the detailed evaluation of the six remaining biosolids treatment alternatives.
Advance active and sustainable transportation
CA 14. Council Adoption of the Safe Streets for All (SS4A) Safety Action Plan (14) Project Manager: Sylvia Star‐Lack Lead Dept: OOT
Estimated Completion: Q2 Status: Completed
Project Description:
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)
The Safe Streets for All (SS4A) Safety Action
Plan aims to eliminate traffic deaths and life‐changing injuries on local streets. The Palo Alto Safety Action Plan is a roadmap for eliminating traffic deaths and severe injuries on local streets and achieving the city’s Sustainability and Climate Action Plan goals through the reduction of vehicle miles traveled.
2025 Project Milestones:
Finalize and adopt Safety Action Plan. Begin seeking grant funds for implementation.
Quarterly Update:
Council adopted the SS4A Safety Action Plan on June 2, 2025.
CA 15. Council Adoption of the 2025 Bicycle and Pedestrian Transportation Plan (BPTP) (15) Project Manager: Ozzy Arce Lead Dept: OOT
Estimated Completion: Q4 Status: On Track
Project Description:
The 2025 Bicycle and Pedestrian Transportation Plan (BPTP) represents a system of interconnected bicycle and pedestrian corridors, facilities, and programs that make biking and walking a more convenient form of day‐to‐day travel. The 2025 BPTP Update is an update to the 2012 BPTP, adjusting the bicycle network to reflect land use changes, roadway designs to improve comfort and safety, and policies that support active transportation and climate action plan goals. 2025 Project Milestones:
8 Complete community engagement work and circulate the draft BPTP Update to the public for City Council adoption.
Quarterly Update:
The Recommended Bicycle Network, along with associated projects and programs, has been completed. The project team presented these recommendations at various public meetings, including sessions with the Palo Alto Bicycle Advisory Committee (PABAC), parents, the Planning and Transportation Commission (PTC), the Parks and Recreation Commission (PRC), as well as at tabling events, community events, and a community workshop.
On June 2, 2025, the City Council provided input on the revised Prioritization Framework and the related priority project lists. The project team will review and incorporate this feedback, along with public comments, into the forthcoming Draft Plan. The Draft Plan is expected to be released for public review in fall 2025.
CA 16. Refine Grade Separation Design Alternatives per Council Direction and Conduct Outreach to Support Rail Committee Review of Locally Preferred Alternatives (24) Project Manager: Ripon Bhatia Lead Dept: OOT
Estimated Completion: Q4 Status: On Track
Project Description:
Review advanced alternatives to minimize right of way impacts and improve traffic circulation, conduct outreach, and develop conceptual plans (15% design) for each of the three crossings.
Identify grade separated project alternatives for grade separation at Churchill Avenue, Meadow Drive, and Charleston Road crossings.
2025 Project Milestones:
Collaborate with Caltrain to procure the services of the consultant to review advanced alternatives to minimize right of way impacts and improve traffic circulation. Conduct outreach and develop conceptual plans (15% design) for each of the three crossings based on the guidance and direction provided by the Rail Committee and the City Council
Quarterly Update:
Staff is collaborating with Caltrain to refine the project alternative in preparation for public outreach and feedback. An item is planned for review by the Rail Committee at its September 2025 meeting.
CA 17. Identify locations and design concepts for additional east‐west bicycle and pedestrian crossings of the Caltrain railroad tracks in the southern part of the city.
Project Manager: Sylvia Star‐lack/Charlie Coles Lead Dept: OOT Estimated Completion: Q4 Status: On Track
Project Description:
This Project is referred to as the “South Palo Alto Bike/Ped Connectivity” Project. Project will engage with the community to select two preferred crossing locations, develop conceptual plans (15% designs), and identify bike/pedestrian network improvements, and develop an implementation plan and funding strategy for future construction.
2025 Project Milestones:
By Q4 2025, community engagement efforts will focus on identifying preferred crossing locations, design options, and related network improvements for east‐west bicycle and pedestrian grade crossings. A formal report summarizing these recommendations will be publicly circulated and
9 presented to the City Council for adoption in 2026. Subsequent steps will include pursuing grant funding for final design and construction.
By the end of Q4 2025, the public and committees will provide feedback on preferred crossing locations and design concepts.
Quarterly Update:
Phase 1 engagement, conducted in Q2 2025, introduced the project to the community and gathered input on goals and priorities for grade‐separated bicycle and pedestrian crossings. Feedback from Phase 1 will inform the design priorities for crossing alternatives, which will be presented during Phase 2 in Q3/Q4 2025.
CA 18. Complete E‐Mobility Strategic Plan for Council acceptance (21) Project Manager: Jonathan Abendschein Lead Dept: PWD
Estimated Completion: Q3 Status: On Track
Project Description:
The goal of this effort is to develop a strategic roadmap for the promotion of E‐mobility (which includes electric vehicles of all sizes from e‐scooters up to e‐trucks) and provision of supportive infrastructure.
2025 Project Milestones:
In 2024 staff developed an EV Charger Needs Assessment and draft strategies and actions for an E‐Mobility Strategic Plan and reviewed them with the Council Climate Action and Sustainability Committee (CASC) and its Working Group. In 2025 staff will finish writing the plan, seek Council acceptance, and begin implementation.
Quarterly Update:
At its June meeting the CASC recommended acceptance of the E‐Mobility Strategic Roadmap for Council approval with amendments to clarify wording and intent for various strategies and actions.
Staff intends to take the roadmap to Council for acceptance in Q3 2025.
CA 19. Propose an updated multifamily EV charger program (EV 2.0) for Council approval Project Manager: Rachel DiFranco Lead Dept: UTL
Estimated Completion: Q4 Status: On Track
Project Description:
The City’s first generation multifamily electric vehicle program has resulted in the installation of chargers in buildings representing 9.2% of the multi‐family units in Palo Alto. The State’s Advanced Clean Cars II regulations are driving rapid adoption of electric vehicles, however, and more charging will be needed for multifamily residents to support them. This program is meant to build on the successes of the first‐generation program and create an even better program that can extend to even more multi‐family buildings.
2025 Project Milestones:
Develop program business model for Council approval.
Quarterly Update:
Staff is developing the program and is targeting Climate Action and Sustainability Committee review in Q3 2025, with Council approval tentatively targeted in Q4.
Promote clean energy and reduce fossil fuel dependence CA 20. Develop and begin implementing a City Facility Electrification Plan (19) Project Manager: Gloria Yu Lead Dept: PWD
10 Estimated Completion: Q4 Status: On Track
Project Description:
Building on the citywide Facilities Assessment, this project will design and implement the electrification of fossil fuel‐consuming systems in City buildings through the Capital Improvement Program. In alignment with the S/CAP, the project aims to reduce greenhouse gas emissions by transitioning gas‐fired equipment to electric alternatives, with upgrades to electrical service as needed.
2025 Project Milestones:
Issue a Request for Proposals (RFP), select a qualified design firm, and execute a contract to begin design and planning work for the electrification of fossil fuel‐consuming systems at City facilities.
Quarterly Update:
The Facility Assessment report and associated data are currently being analyzed to confirm priority facilities for initial electrification efforts. This evaluation will guide the upcoming design phase and ensure alignment with the City’s Sustainability and Climate Action Plan goals. Meanwhile, preparations are underway to issue the RFP (Request for Proposal) for selecting a design consultant.
CA 21. Implement plan for phaseout of leaded fuel at Palo Alto Airport. (77) Project Manager: Andy Swanson Lead Dept: PW
Estimated Completion: Q4 Status: On Track
Project Description:
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. 2025 Project Milestones:
Develop and begin implementing a multi‐phase plan to phase out the use of leaded fuel.
Quarterly Update:
Airport staff have drafted updated lease requirements mandating that at least one Fixed Base Operator (FBO) at Palo Alto Airport offers unleaded aviation fuel. To further encourage the transition, the updated leases include a provision waiving the fuel flowage fee for unleaded fuel.
In addition, staff have researched options for continuous air monitoring of lead emissions at the airport. However, this effort has proven challenging due to the limited number of vendors capable of providing the specialized monitoring services required.
CA 22. Share preliminary analysis of strategies for a physical and financial transition of the gas utility to relevant policymakers and stakeholders (17)
Project Manager: Aaron Perkins Lead Dept: UTL
Estimated Completion: Q3 Status: On Track
Project Description:
This study evaluates the infrastructure needs and financial implications of operating the gas utility in the context of declining gas sales due to widespread electrification. The first phase, completed in late 2024, involved developing a gas system model that simulates changing flow patterns as electrification progresses. This model helps identify which sections of the gas system can be decommissioned first and assesses the potential impacts on the remaining infrastructure.
A complementary financial analysis is currently underway to simulate various levels of community electrification and evaluate the resulting effects on the gas utility’s operations and finances. The
11 physical model will support this analysis by identifying areas that, while theoretically eligible for abandonment, must remain in service to ensure system functionality. The simulations aim to estimate decommissioning costs, impacts on gas utility operating expenses, rate changes, indirect financial effects on other utilities, and implications for General Fund revenues. The results will inform policy options to help mitigate the financial burden on customers who have not yet electrified. 2025 Project Milestones:
A consultant completed development of a balanced gas system model in 2024. Initial results of the staff analyses are anticipated in Q3 of 2025, with completion and documentation of the study results by Q2 2026.
Quarterly Update:
Staff reviewed the methodology for the study with the Climate Action and Sustainability Committee in June 2025 and the Utilities Advisory Commission on July 9, 2025. Staff has retained consultants to simulate various levels of electrification and model the operational and rate impacts, with a substantial portion of the analysis to be performed in‐house. The analysis is in progress with the goal of presenting preliminary results to the UAC and CASC in November 2025.
CA 23. 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. (28)
Project Manager: Julia Knight Lead Dept: PDS
Estimated Completion: Q4 Status: On Track
Project Description:
Adopt the California Building Standards Commission’s model technical building, mechanical, plumbing, electrical, existing buildings, fire, energy, residential building, historic building, and green building codes, with local amendments as appropriate, including standards to advance the City’s carbon reduction and electrification initiatives, in compliance with federal regulations. 2025 Project Milestones:
Continue research and analysis and engage stakeholders on anticipated amendments; collaborate with City service departments, including fire, public works and utilities. Prepare an ordinance for review by the Policy and Services Committee as applicable and forward a recommendation to the City Council for final action.
Quarterly Update:
Staff reviewed potential amendments with the Climate Action and Sustainability Committee at its May 2025 meeting and is finalizing proposals for stakeholder review over the summer. The goal is to bring the ordinance to the City Council for adoption in Q4 2025.
In response to new state legislation enacted earlier this summer, staff will review potential green and energy reach code proposals for residential building standards with the Climate Action and Sustainability Committee in early September, in lieu of the Policy and Services Committee.
Amendments to nonresidential building standards are not affected by the new state law.
Additional green and reach code amendments, which are dependent on pending State cost‐ effectiveness studies, will be brought to Council for consideration in the first half of 2026.
CA 24. 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) Project Manager: Shelby Sinkler Lead Dept: UTL
Estimated Completion: Q4 Status: On Track
Project Description:
12 In 2024, staff launched an HVAC pilot program to offer enhanced incentives for replacing a limited number of aging rooftop gas‐pack units with heat pump heating, ventilation, and air conditioning (HVAC) systems in commercial buildings. The goal is to gain hands‐on experience with these types of replacements. The 10‐customer pilot is on track to reach capacity, with more than 10 applicants currently pursuing rebate reservations (which are not confirmed until a building permit is issued).
Lessons learned from this pilot will inform the design of an advanced rooftop HVAC program aimed at demonstrating a scalable, high‐participation business model. 2025 Project Milestones:
Staff will monitor the progress of projects from the 2024 pilot program and use the lessons learned from these projects to design an Advanced Pilot Program and review the proposal with the Climate Action and Sustainability Committee by Q4 2025 with the goal of launching it in early 2026.
Quarterly Update:
Data from the pilot program is steadily accumulating and will be used to inform the design of the advanced pilot program. Of the ten participating customers, three have completed their projects, and three more are currently in the permitting or construction phase. Pricing and other valuable information are available for most of the projects. This data is providing a sufficient foundation to begin shaping the preliminary design of the advanced pilot program, and staff has initiated the program development process.
13 Economic Development & Retail Vibrancy
ED 25. Council approval of outdoor activation guidelines for California Avenue (2) Project Manager: Bruce Fukuji Lead Dept: CMO
Estimated Completion: Q2* Status: On Track
Project Description:
Council approval of California Ave outdoor activation guidelines, which includes dining, informed by continued engagement with stakeholders on a refined priorities and recommendations and initiate implementation.
2025 Project Milestones:
Council approval of outdoor activation guidelines.
Quarterly Update:
At the June 17 Council study session, staff received feedback to revise outdoor activation guidance to enable all year, all weather outdoor dining, develop design standards for permanent parklet structures and process for custom parklet designs; enable equivalent area to existing dining; work with the Architectural Review Board (ARB) on design and process recommendations.
*The revised project scope will now place an estimated completion to Q4.
ED 26. Council approval of a final signage plan for California Avenue and funding appropriations (2) Project Manager: Bruce Fukuji Lead Dept: CMO
Estimated Completion: Q2* Status: Behind
Project Description:
Review the signage plan for California Avenue with the Architectural Review Board (ARB), incorporate feedback, and seek Council approval to implement the plan. 2025 Project Milestones:
The near‐term signage improvements for California Avenue include replacement of El Camino Real (ECR) and Oregon Expressway signs to be completed by calendar year Q3. Longer‐term improvements will include formulating a comprehensive sign program, with a proposal to be developed and reviewed by Q3, and built into Fiscal Year 2027 CIP budget cycle, for implementation in Q3 of 2026.
Quarterly Update:
The concept design for the Oregon Expressway sign has been completed. Staff is currently coordinating with potential fabricators to define the scope, schedule, and estimated costs for
14 procuring the signage. In addition, the design for the El Camino Real sign is being updated in response to comments received from the Architectural Review Board.
*The revised estimated completion date is now Q3.
ED 27. Council approval of a design option for California Ave. (3) Project Manager: Bruce Fukuji Lead Dept: CMO
Estimated Completion: Q2* Status: Behind
Project Description:
Develop a feasible, achievable community and business supported street design concept to modify and permanently designate California Avenue as a car‐free, bicycle friendly, outdoor dining, shopping and public space environment, including guidelines for outdoor dining, signage and wayfinding.
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. 2025 Project Milestones:
Develop two street design alternatives with slow, two‐way bicycle facilities; ensure all‐weather all‐ year outdoor dining and public spaces for community use.
Quarterly Update:
Monthly in‐person meetings have been held with California Avenue merchants, along with a community workshop and stakeholder meetings to gather input and share updates. On March 10, 2025, the City Council approved the permanent closure of the car‐free portion of the street. On March 20, 2025, staff received comments from the Architectural Review Board regarding outdoor activation and signage.
Two alternative street designs were developed and presented to merchants and at the community workshop for feedback. During the June 17, 2025 Council study session, Council provided input on outdoor dining, confirmed the bicycle route on California Avenue with traffic calming measures and
signage, and expressed support for designating Cambridge Avenue as the preferred route for through biking. Street designs now need to be updated to reflect Council direction on outdoor activation for approval.
*The estimated completion date is now Q4.
ED 28. Propose and implement outdoor activation guidelines for Car‐Free Ramona Street Project Manager: Ashwini Kantak Lead Dept: CMO
Estimated Completion: Q3* Status: On Track
Project Description:
Initiate implementation of Council approved outdoor activation standards informed by continued engagement with stakeholders on a refined priorities and recommendations. 2025 Project Milestones:
Council approval of outdoor activation standards in August and implementation of outdoor dining and retail areas in accordance with adopted standards estimated to be completed by December.
Quarterly Update:
Outdoor activation standards were presented to the Retail Committee on June 18, 2025. The Committee requested that staff engage the Historic Review Board and the Architectural Review Board, and explore the feasibility of roofed structures and electrical connectivity. This expanded
15 scope will require a longer implementation timeline. Staff will seek Council confirmation on this revised direction in August 2025. Following Council’s confirmation, staff will prepare a consultant contract amendment for Council consideration. An engagement strategy for the two Boards and key stakeholders will also need to be developed, and funding must be secured before the project timeline can be updated.
*Based on the proposed revised scope, the estimated completion date may extend beyond Q4.
ED 29. Council approval of Ramona Street design and funding appropriations (4) Project Manager: Ashwini Kantak Lead Dept: CMO
Estimated Completion: Q2* Status: On Track
Project Description:
Engage stakeholders to develop design proposals and outdoor activation standards for Car‐Free Ramona Street and present to Council for necessary funding appropriations to implement Phase I. 2025 Project Milestones:
Council approval on March 10 of pedestrian only Ramona Street; Council approval of funding for Phase I near‐term streetscape improvements as part of adopted FY 25‐26 budget. Council approval of near‐term improvements was planned for summer, with implementation to follow in fall/winter.
Quarterly Update:
Proposed near‐term streetscape improvements included in Phase I project scope were presented to the Retail Committee on June 18, 2025. The Retail Committee asked staff to engage the Historical Review Board and Architectural Review Board and to explore longer term streetscape improvements.
This change in project scope will require a longer implementation timeline and need additional CIP funding. Staff will be seeking Council confirmation on this direction in August 2025.
It is important to note that Phase I scope had been planned to be implemented by the end of this calendar year to expedite the removal of the
temporary vehicle barriers and signage. The change in
project scope will result in the temporary barriers staying in place until the new project scope is finalized, finding identified, and project implemented.
*Based on the revised scope this is now on track with the to be completed by Q3.
ED 30. Resume work on new parking structure in downtown core (Lot D) (8) Project Manager: Holly Boyd Lead Dept: PW
Estimated Completion: Q2 Status: Completed
Project Description:
Resume work on a new parking structure in the Downtown core on a City surface parking lot to help attract visitors downtown. Pursue refined proposals for potential affordable housing development on the Lytton / Kipling Lot T at 450 Lytton Avenue, or elsewhere, with parking for residents and the public. 2025 Project Milestones:
Develop and present parking garage design options for City Council review and selection.
Quarterly Update:
In April, the Council approved proceeding with the preliminary design and environmental review for a 274‐space parking garage, featuring six levels of above‐ground parking and a reserved area to allow for the future construction of affordable housing on the site, with separate access on Waverley Street.
16 In June, the Council approved an exclusive negotiating agreement with Alta Housing for the development of affordable housing on Lot T.
ED 31. Council approval of funding to continue Downtown cleanliness enhancements and other medium‐term investments.
Project Manager: Brad Eggleston Lead Dept: PW
Estimated Completion: Q2 Status: Completed
Project Description:
Include necessary proposals and budget appropriations as part of the development of the FY 2026 Operating Budget to continue enhanced Downtown Cleanliness enhancements and other medium‐ term investments such as a Mobility Hub.
2025 Project Milestones:
Include funding proposals for Council approval in the FY 2025 mid‐year budget and FY 2026 budget for cleaning enhancements, including increased sidewalk and parking garage pressure washing, contract services to replace existing staff overtime, and some ongoing overtime staffing. Identify existing or propose new funding to improve University undercrossing and tunnels, provide a mid‐ block crosswalk connecting Centennial Alley and King Plaza, and evaluate and implement alternative tree grate solutions.
Quarterly Update:
The FY 2026 budget approved by Council in June included appropriations for enhanced cleaning as described in the project milestones. The capital budget included new funding for tree grate alternatives and existing funding to support the University undercrossing and mid‐block crosswalk projects. In June, Council approved the construction project for repainting and providing new lighting in the University undercrossing and tunnels, and work is expected to begin in August.
Staff is working with VTA and Stanford on the Mobility Hub and Transit Center. The VTA Ad Hoc Committee meets regularly to discuss this. The agencies and the City are partnering with the Urban
Land Institute to conduct additional analysis to help inform further discussions.
ED 32. Begin feasibility analysis of Assessment District for University Avenue Streetscape Project Manager: Ashwini Kantak Lead Dept: CMO
Estimated Completion: Q3 Status: On Hold
Project Description:
Conduct analysis to determine practicality of an assessment district or similarly funding strategy as a funding mechanism for capital enhancements to University Avenue Streetscape. 2025 Project Milestones:
Award of contract to a consultant to determine the feasibility of an assessment district and initiate stakeholder engagement.
Quarterly Update:
A Request for Proposals was released and the selection process for a consultant initiated. However, given the concerns about funding for the streetscape project, this project is currently on hold.
Support economic development and retail vibrancy
ED 33. Complete build‐out of fiber‐to‐the‐premises (FTTP) pilot Phase 1 with grid modernization (9) Project Manager: Alex Harris Lead Dept: UTL
17 Estimated Completion: Q3 Status: On Track
Project Description:
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.
The City is advancing a pilot phase 1 of fiber with grid modernization to bring reliable and faster broadband, high‐speed internet services directly to companies and homes, supporting business and remote workers. The City recently completed the pilot design for the Palo Alto Fiber project and aligned with the electric grid modernization to capitalize on economies of scale and reduce neighborhood disruptions.
2025 Project Milestones:
Complete buildout of a reliable and high‐speed municipal fiber and grid modernization pilot. Issue a Request for Proposal (RFP) for Operating Support Systems/Business Support Systems (OSS/BSS) and invitation for construction bids for phase 1 implementation.
Quarterly Update:
The grid modernization pilot has been completed. The OSS/BSS system is scheduled to be completed in Q3. The OSS/BSS will enable customers to sign up for Palo Alto Fiber internet in the pilot area or express interest in non‐serviceable areas at this time.
Due to delays with the fiber hut permit, materials, and construction, the City is scheduled to offer Palo Alto Fiber internet service in the pilot area in Q1 2026. Prior to the pilot, staff is exploring opportunities to offer broadband internet service to some customer‐friendly accounts to ensure the product package and customer experience is positive.
ED 34. Council consideration of an ordinance that expands retail opportunities and promotes retail resiliency (12)
Project Manager: Jennifer Armer Lead Dept: PDS
Estimated Completion: Q4 Status: On Track
Project Description:
Consider further refinement to the retail and retail‐like definition and explore changes to retail preservation ordinance.
2025 Project Milestones:
Prepare recommendations on retail approaches in response to City Council direction. Conduct a Planning and Transportation Commission (PTC) study session to explore alternative ordinance revision strategies. Prepare a draft ordinance for review by the PTC and recommendation to the City Council.
Quarterly Update:
Recommendation memo and ordinance outline underway and anticipated Q3 completion. PTC review anticipated in early Q4 followed by Council review.
ED 35. Council consideration of an ordinance restoring subjective wireless communication facility regulations.
Project Manager: Jennifer Armer Lead Dept: PDS
Estimated Completion: Q4 Status: Completed
Project Description:
18 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 streetlight or utility poles.
2025 Project Milestones:
Adopt a temporary ordinance.
Quarterly Update:
The City Council held a public hearing on a draft ordinance on May 19, 2025. The temporary ordinance was adopted, with a second reading on June 9, 2025. Direction on future work was provided and will proceed once funding and staff resources are available.
ED 36. Refine destination marketing efforts and enhance Palo Alto’s international reputation.
Project Manager: Steve Guagliardo Lead Dept: CMO
Estimated Completion: Q3 Status: On Track
Project Description:
Meet with hospitality partners and incubator/accelerators to assess willingness to partner with the City on destination marketing efforts and propose next steps, including necessary appropriation actions, to City Council.
2025 Project Milestones:
Collaborate with local hotels and incubator/accelerators to partner with the City.
Quarterly Update:
In May 2025, staff met with local hoteliers to discuss destination marketing for Palo Alto. The hoteliers expressed support for marketing efforts but emphasized the need for measurable outcomes to share with their executive teams. Staff is also continuing to explore partnership opportunities with incubators and accelerators. However, due to limited staffing, progress has been slower than anticipated.
19 Implementing Housing Strategies for Social & Economic Balance (IHS)
Enable housing production through zoning and regulatory reform IHS 37. Prepare an ordinance for Council review expanding the housing focus area (41) Project Manager: Coleman Frick Lead Dept: PDS
Estimated Completion: Q2 Status: Completed
Project Description:
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.
2025 Project Milestones:
Present draft ordinance for PTC consideration and recommendation to City Council.
Quarterly Update:
The Planning Commission considered a draft ordinance amending and expanding the El Camino Real Focus Area on March 26, 2025 and recommended City Council approval. The City Council adopted an ordinance amending the regulations on May 27, 2025 (June 16 second reading).
IHS 38. Present to Council an ordinance updating the City’s housing incentive program (46) Project Manager: Coleman Frick Lead Dept: PDS
Estimated Completion: Q2 Status: Completed
Project Description:
Increase housing development potential and expand provisions to multi‐family zoning and other commercial districts in accordance with Housing Element Program 3.4 D. 2025 Project Milestones:
City Council consideration of a draft ordinance.
Quarterly Update:
The City Council adopted an ordinance amending the Housing Incentive Program and Affordable Housing Incentive Program on March 3, 2025 (April 7 second reading).
IHS 39. Prepare an update to the City's accessory dwelling unit ordinance Project Manager: Garrett Sauls Lead Dept: PDS
Estimated Completion: Q2 Status: Completed
20 Project Description:
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.
2025 Project Milestones:
Adopt an ordinance updating the City’s accessory dwelling units Quarterly Update:
Council reviewed and approved a draft ordinance on May 12, 2025, with a second reading on June 16, 2025.
IHS 40. Initiate the San Antonio Road Area Plan (40)
Project Manager: Coleman Frick Lead Dept: PDS
Estimated Completion: Q4 Status: On Track
Project Description:
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.
2025 Project Milestones:
Secure professional services to conduct community outreach and as part of that engagement, form a community advisory committee by Q2. Community outreach will commence in Q3 and a draft Existing Conditions Report (Q3).
Quarterly Update:
The City Council adopted the professional services contract supporting the project in Q1. The project team conducted a kick‐off meeting and site visit. The Existing Conditions phase of the project was initiated in Q2. A Community Advisory Group and Technical Advisory Group for the project were formed in Q2.
Advance affordable housing developments
IHS 41. 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)
Project Manager: Melissa McDonough Lead Dept: CMO
Estimated Completion: Q3* Status: On Track
Project Description:
Palo Alto Homekey construction is scheduled to take place throughout calendar year 2024 with completion in early 2025. City staff attends regular project management meetings and owner‐ architect‐contractor (OAC) meetings and conducts site visits. The Housing Authority assists the City with overall review of construction financing, budget and schedule, as well as construction monitoring, including conducting site visits, informing the City whether work is being completed on time and according to design intent, and reviewing the project schedule on a regular basis, providing input to mitigate potential delays.
2025 Project Milestones:
Monitor the timely completion of updated milestones relating to concrete work, fabrication of modular units, setting of modular units, backfill and grading, decking and stairs, completion of site‐ built items, and switchgear installation and energization.
Quarterly Update:
21 Homekey Palo Alto has made steady progress, with several key milestones recently achieved or upcoming, including permanent power installation (April 1), roofing completion (May 5), the beginning of siding and waterproofing work in May, and initial modular unit setting in late June, followed by other construction tasks such as stair and decking installation through the summer.
A strategic shift in modular production from a planned facility in Tracy, CA to subcontractor VBC’s main manufacturing factory in Berwick, PA was made to prioritize quality. This adjustment, while slowing progress, has resulted in enhanced quality. Early delays were also attributed to the integration of specialized cast iron plumbing and staffing shortages at the factory.
Currently, the focus is on ensuring high‐quality finishing of the modular units now that they have been safely delivered and placed on‐site. In late June 2025, the first modulars were set at the San Antonio Road site and in July the remaining housing unit modulars were also set.
*The project team is estimating construction completion by early 2026 after impacts of construction delays.
IHS 42. Identify different housing typology options for the one‐acre site near Matadero Creek Project Manager: Claire Raybould Lead Dept: PDS
Estimated Completion: Q4 Status: On Track
Project Description:
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. 2025 Project Milestones:
Present massing options, financial analysis, and request for proposal considerations for City Council feedback and direction on next steps.
Quarterly Update:
Grant funded technical analysis is 75% complete. City Council consideration anticipated in fall 2025.
IHS 43. Prepare the Community Development Block Grant (CDBG) 5‐Year Consolidated Plan and Annual Action Plan.
Project Manager: Robert Feign Lead Dept: PDS
Estimated Completion: Q4 Status: Completed
Project Description:
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.
2025 Project Milestones:
City Council adoption of the CDBG Consolidated Plan (Con Plan) and Annual Action Plan (AAP) by Q2.
Quarterly Update:
The City met the Department of Housing and Urban Development (HUD) timeliness test on May 2, 2025. The Human Resources Commission considered the draft CDBG Con Plan and AAP on May 8 and
22 provided recommendations for City Council consideration. The City Council adopted the CDBG Con Plan and AAP on June 9, 2025.
IHS 44. Advance affordable housing project on Downtown surface parking lot (Lot T).
Project Manager: Julia Knight Lead Dept: PDS
Estimated Completion: Q4 Status: On Track
Project Description:
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.
2025 Project Milestones:
Staff anticipates that Alta Housing will hold a community meeting to gather general ideas and input for this project in August 2025 and will present an updated design concept to Council in September 2025. The Alta Housing team is currently targeting an October project application submission and a December design review hearing with the Architecture Review Board.
Quarterly Update:
City Council selected Alta Housing as their development partner for the Lot T project on January 21, 2025 and approved an exclusive negotiation agreement with Alta Housing on June 17, 2025.
IHS 45. Work with the Santa Clara County Housing Authority to determine next steps to maintain affordability and improve conditions at Buena Vista Mobile Park (56) Project Manager: Melissa McDonough Lead Dept: CMO
Estimated Completion: Q4 Status: On Track
Project Description:
Meet with Housing Authority regularly to identify feasible next steps. Review financing approach and options. Update Council on identified, proposed next steps and approach. 2025 Project Milestones:
Staff plans to meet with Housing Authority regularly to identify feasible next steps. Including reviewing financing approach and maintaining Council abreast of identified options and approach.
Work on this project will be reported quarterly and as necessary, with activities concluding in Q4.
Quarterly Update:
Staff are regularly meeting with the Housing Authority and have reviewed the financing approach to the paused project. With funding sources shifting dramatically at the federal government level, the Housing Authority is actively working to determine next step options for park upgrades with already secured funds.
IHS 46. Organize an initial review of sources and methods to raise funding to support new affordable housing production for future evaluation.
Project Manager: Melissa McDonough Lead Dept: CMO
Estimated Completion: Q4 Status: On Track
Project Description:
Conduct research to identify and evaluate sources and methods. Work with Finance Committee to develop recommendations for City Council.
2025 Project Milestones:
23 Conduct research and evaluate sources and methods to raise funding to support new affordable housing production. Present findings to the Finance Committee for feedback and development into recommendations for City Council.
Quarterly Update:
Project will be initiated in Q3.
Support tenant protections and housing equity
IHS 47. Present a renter protection fair chance ordinance to Council (54) Project Manager: Coleman Frick Lead Dept: PDS
Estimated Completion: Q3 Status: Completed
Project Description:
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.
Consistent with the City Council’s renter protection policy direction, staff will research the policy implications of a fair chance renter policy from a legal, policy, and anticipated resource demand perspective.
2025 Project Milestones:
Present ordinance for City Council consideration.
Quarterly Update:
Staff presented an ordinance for City Council consideration on April 14, 2025. The Council directed staff to further analyze specific provisions and return to the City Council Policy and Services Committee for further consideration and next steps.
IHS 48. Report out on initial data from the rental registry program and project implementation; receive feedback and recommendations for next steps. (57) Project Manager: Coleman Frick Lead Dept: PDS
Estimated Completion: Q3 Status: On Track
Project Description:
The Rental Registry Program registration period ran between fall 2024 and spring 2025. The data collected in the first year of the program will be provided to the City Council including key insights and next steps.
2025 Project Milestones:
Reporting to Council on first year of registration period in Q3. Open second year registration period on October 1, 2025.
Quarterly Update:
Analysis of data collected through Program Year 1 of the rental registry program was completed in Q2. An informational report will be provided to the City Council in Q3.
IHS 49. Present to Council an analysis related to anti‐rent gouging (55) Project Manager: Julia Knight Lead Dept: PDS
Estimated Completion: Q4 Status: On Track
Project Description:
Consistent with prior Council direction, examine implications of a possible ordinance from legal, policy and anticipated resource demand perspectives; receive direction on next steps. 2025 Project Milestones:
24 September 30, 2025 will mark the end of the first year of required real‐time rent increase reporting for all properties subject to the rental registry program as it is currently implemented. Staff will analyze this data alongside annual rent reporting trends from the 2024‐2025 program year to inform a Q4 Council discussion on the costs and benefits of a potential rent stabilization program in Palo Alto.
Quarterly Update:
Staff presented initial policy analysis findings to Housing Ad Hoc Committee in Q4 2024 and received direction to present analysis alongside Palo Alto specific rental housing data from the Rental Registry Program in 2025. The Rental Registry team will review and analyze available data as of June 2025 and will continue to do so through the end of September.
IHS 50. Present options to address homelessness impacts, particularly relating to individuals living in vehicles, to Policy & Services Committee for prioritization.
Project Manager: Chantal Cotton‐Gaines Lead Dept: CMO
Estimated Completion: Q3 Status: On Track
Project Description:
Identify feasible (1) regulatory approaches to manage the use of public space and (2) policy solutions to expand RV safe parking. Present options to the Policy & Services Committee (P&S) for consideration and prioritization.
2025 Project Milestones:
Identify options for P&S, including implementation considerations and resources needs.
Present options to P&S for consideration and prioritization.
Quarterly Update:
Staff has identified options for P&S to consider and prioritize in late August. It will go to P&S on August 25, 2025 at a special meeting.
Improve citywide housing policy and planning
IHS 51. Extend for one year or codify R1/SB 9 interim ordinance (45) Project Manager: Jennifer Armer Lead Dept: PDS
Estimated Completion: Q4 Status: On Track
Project Description:
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. 2025 Project Milestones:
Discuss and receive feedback from the Planning and Transportation Commission on a permanent ordinance in Q3 for Council consideration in Q4.
Quarterly Update:
Project will be initiated in Q3.
IHS 52. Initiate evaluation of South of Forest Area Coordinated Area Plan (SOFA) development standards.
Project Manager: Coleman Frick Lead Dept: PDS
Estimated Completion: Q4 Status: On Track
Project Description:
25 Review and explore options to amend the coordinated area plan with the intent to replace subjective development standards with objective standards to accommodate future residential development at higher densities consistent with Housing Element Program 3.7. 2025 Project Milestones:
Develop options for amending the South of Forest Area Coordinated Area Plan (SOFA) Quarterly Update:
Project scoping planned for Q3.
IHS 53. Present to Council the Downtown Housing Plan Community Assessment report and receive Council direction on draft housing plan scenarios (36)
Project Manager: Coleman Frick Lead Dept: PDS
Estimated Completion: Q4 Status: On Track
Project Description:
Continue advancing the plan development and public engagement strategy to prepare draft housing plan and environmental analysis.
2025 Project Milestones:
Provide the City Council with the Community Assessment in Q2 and receive direction on alternative approaches to housing distribution in the plan area and hold a community workshop (Q4). Policy development and community engagement efforts will continue through Q4 of 2025.
Quarterly Update:
The Downtown Housing Plan Community Assessment report was completed in June, 2025 and a project status information report was provided to the City Council on June 16, 2025. The project team held the second community workshop for the project on June 18, 2024; and second Community Advisory Group meeting on July 1, 2025.
IHS 54. Present an ordinance to Council that supports innovative housing structures.
Project Manager: Coleman Frick Lead Dept: PDS
Estimated Completion: Q4 Status: On Track
Project Description:
Create 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.
2025 Project Milestones:
Complete stakeholder outreach in Q2 2025. Complete an analysis of opportunities and challenges in Q3, followed by the development of alternative approaches and a study session with the Architectural Review Board in Q4.
Beyond this year, a draft ordinance will be prepared in 2026 for recommendation by the Planning and Transportation Commission and consideration by the City Council.
Quarterly Update:
Stakeholder interviews were conducted in Q1/Q2. The draft Opportunities and Challenges Analysis and Outreach Summary of stakeholder interviews were completed in Q2. The next step of the project includes developing alternative approaches to accommodating various alternative housing types in the zoning ordinance for ARB discussion. Timing is subject to City Council adoption on Planning on‐call contracts.
26 IHS 55. 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 (50)
Project Manager: Coleman Frick Lead Dept: PDS
Estimated Completion: Q4 Status: On Track
Project Description:
Evaluate opportunities that make multi‐family housing an attractive alternative to commercial office development, consistent with Housing Element Program 3.9. 2025 Project Milestones:
Present findings to the PTC and ordinance recommendation to the City Council.
Quarterly Update:
The project team conducted a kickoff meeting in Q1. Models were created for test sites to evaluate different development scenarios (Q2). Simulations using the test models are anticipated to begin in August 2025 subject to City Council adoption on Planning on‐call contracts.
The project team completed some stakeholder
meetings for the parking program component.
Remaining stakeholder meetings and draft a memo summarizing the issues and findings will follow; anticipated to resume in August.
IHS 56. Update development impact fees for public safety, government facilities, housing, transportation, parks, and community services.
Project Manager: Julia Knight Lead Dept: PDS
Estimated Completion: Q4 Status: On Track
Project Description:
Conduct a nexus and feasibility study to ensure housing remains viable. Consider potential policy to waive impact fees associated with for low‐income inclusionary units with when 20% of the units are deed restricted. (Housing Element Programs 2.1B; 3.1 B&C) 2025 Project Milestones:
A RFP was issued in May 2025, with responses due by July 11, 2025. An interdepartmental panel will conduct respondent interviews at the end of August. Staff is targeting consultant selection, contract execution and project kick‐off in the fall. Fee updates based on consultant studies and staff community needs analyses are anticipated in 2026 and 2027.
Quarterly Update:
Staff published the RFP in May 2025 following interdepartmental review and responded to questions received on the RFP in June 2025.
27 Public Safety, Wellness & Belonging (PS)
Modernize public safety infrastructure
PS 57. Open the new Public Safety Building for daily Police, OES, and Fire services (72) Project Manager: Holly Boyd Lead Dept: PW
Estimated Completion: Q3 Status: On Track
Project Description:
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.
Complete construction of the new Public Safety Building followed by furniture and equipment installation, communication testing and set‐up.
2025 Project Milestones:
Complete construction of the project and move public safety departments into the fully operational building.
Quarterly Update:
Staff obtained the certificate of temporary occupancy (stock & train) in May. Since then, staff has been working with various contractors to complete the final construction work and anticipates starting to move public safety departments in mid‐August.
PS 58. Council to adopt the updated Foothills Fire Management Plan and Community Wildfire Protection Plan (71)
Project Manager: Ken Dueker Lead Dept: OES
Estimated Completion: Q2 Completed
Project Description:
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.
Staff is working on various efforts related to improving the City’s planning in collaboration with Santa Clara County and other allied agencies and entities.
Efforts include not only emergency planning, but
also early warning technology, and updating operational and procedural elements within the City organization to mitigate the risks associated with a fire in the foothills.
NOTE: The Foothills Fire Management Plan/Community Wildfire Protection Plan (FFMP/CWPP) is a multi‐year plan with OES, Fire
Department, Public Works, Utilities Wildfire Mitigation Plan,
28 Community Services Department coordinated via the Foothills Fire Management Team (aka Foothills Wildfire Coordination Team).
2025 Project Milestones:
Staff is also pursuing a service agreement with the Santa Clara County Firesafe Council to perform the schedule of required treatments each year in conjunction with some support from the City.
The Fire Department and OES are in the process of evaluating certain remote fire detection equipment in cooperation with the Fire Safe Council and local partner agencies. In partnership with the Santa Clara County Fire Safe Council, Palo Alto, Stanford, and the Woodside Fire Protection District deployed a distributed wildland fire sensor network (known and “N5”) via a Homeland Security grant in the Fall of 2024 and will work through 2025 to optimize the system’s configuration.
Quarterly Update:
Public engagement was held in April through May, 2025 to seek public comment on the update of the two plans followed by Council awareness in Q2. Formal adoption is not a requirement of the Plans.
PS 59. Council approval of construction contract for Fire Station No. 4 Replacement project and initiation of construction. (73)
Project Manager: Holly Boyd Lead Dept: PW
Estimated Completion: Q2* Status: Behind
Project Description:
Complete design and award a construction contract to re‐build Fire Station No. 4. 2025 Project Milestones:
Complete design, construct temporary facility, and award a construction contract in the Fall 2025.
Quarterly Update:
The project was advertised for bids in late June, and a construction contract is anticipated to be awarded in September. The temporary fire station construction was completed in June and staff relocated in July.
*The objective is now estimated to be completed by Q3.
PS 60. Activate a fire engine at Fire Station 4
Project Manager: Stephen Lindsey Lead Dept: Fire
Estimated Completion: Q2 Status: Completed
Project Description:
The Palo Alto Fire Department (PAFD) provides fire protection and emergency medical transport throughout the City and Stanford. Following pandemic budget reductions that impacted all City departments and services, the Council has reinvested in fire services to rebuild operations. Additional investment in emergency medical and fire response supports the whole community and a near‐term proposal to add a fire engine to the current ambulance staffing at Fire Station 4 will be considered. 2025 Project Milestones:
Augment staffing at Fire Station 4 to deploy either ambulance or fire engine response.
Quarterly Update:
Engine 64 was officially upstaffed at Fire Station 4 on May 5, 2025. It is now cross staffed daily with Medic 64, with a crew consisting of a captain, apparatus operator, and firefighter who are assigned to deploy either the fire engine or the ambulance, depending on the nature of the emergency.
As of July 8, 2025, both Engine 64 and Medic 64, along with their assigned personnel, have been relocated to the Temporary Fire Station 4 at 4000 Middlefield Road at Cubberley, in preparation for
29 the upcoming Fire Station 4 construction project. Units continue to operate under a cross‐staffed response model.
PS 61. Initiate an update to the City’s seismic hazards ordinance (75) Project Manager: Julia Knight Lead Dept: PDS
Estimated Completion: Q3 Status: On Track
Project Description:
Conduct an assessment of previous study, update potentially eligible buildings, and begin work on seismic hazard identify and mitigation ordinance.
2025 Project Milestones:
Establish a community advisory group to support the project with a first meeting targeted for August 2025, with 2‐3 additional meetings to follow. Staff intends to present findings from Task A (an updated of the eligible buildings list) to the Policy and Services Committee in November or December 2025. Work will continue into 2026 with an aim to adopt an updated ordinance by the end of the 2026 calendar year.
Quarterly Update:
City Council awarded the project contract to Rutherford & Chekene on February 10, 2025. Staff issued the consultant a notice to proceed with Task A on May 7, 2025. Staff began work to establish the community advisory group in June 2025.
Expand wellness and community saving facilities and services PS 62. Develop Master Plan for Cubberley site
Project Manager: Kristen O’Kane Lead Dept: CSD
Estimated Completion: Q4 Status: On Track
Project Description:
The City has hired consultant, Concordia, to lead the Master Planning process for the anticipated 15 acres of the Cubberly site. Currently the City owns eight acres and plans to purchase an additional seven acres from PAUSD pending a successful bond measure in November 2026. Concordia will lead the community engagement and master planning process with anticipated completion by December 2025.
Master planning will be in cooperation with The Friends of the Palo Alto Recreation Wellness Center, whose objective is to create space for a 3‐court gymnasium and wellness center in the first phase of construction. The master
planning process will occur concurrently with the City’s efforts to pass the bond measure in November 2026, which in 2025 will include working with a polling consultant (FM3) and ballot strategy consultant (Lew Edwards Group).
2025 Project Milestones:
The project will be kicked off by a Council Visioning Session in February, 2025, followed by community engagement meetings in March, June and September. Staff will analyze the feedback and return to Council in December to present the Final Master Plan draft for consideration.
Quarterly Update:
In the first two quarters of 2025, extensive community engagement took place through co‐design meetings, City Council updates, and various outreach efforts. Three design concepts—focused on building spacing and layout, outdoor space, and site circulation—were presented at the June 12 community meeting. Additionally, the first community poll conducted by FM3 indicated positive support for a potential future bond or tax measure.
30 PS 63. Implement the 2024‐2025 Wellness & Belonging Action Plan Project Manager: Chantal Cotton Gaines Lead Dept: CMO
Estimated Completion: Q4 Status: On Track
Project Description:
Complete the 26 action items in the action plan in collaboration with partners as well as completing a training on Islamophobia and Antisemitism.
2025 Project Milestones:
Each item in the action plan has a different deadline with a variety of milestones. The action plan can be found here: https://www.paloalto.gov/files/assets/public/v/2/city‐manager/wellness‐and‐ belonging/wellness‐and‐belonging‐workplan‐2025.pdf
Quarterly Update:
The most recent progress on the City’s wellness and belonging work is in the report to be presented to the Policy and Services Committee on August 12, 2025. Agenda link (it is item #4):
https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=16179. The progress on action plan items is included as Attachment A to that report.
PS 64. Open 445 Bryant Street Community Center
Project Manager: Kristen O’Kane Lead Dept: CSD
Estimated Completion: Q3 Status: On Track
Project Description:
The project at 445 Bryant Street will transform the facility into a two‐level community center designed to host community programs, classes, events, and dedicated teen space. The first‐floor multi‐purpose room will serve as the primary location for La Comida’s Senior Lunch Program. Phase I includes the structural improvements necessary to make the building safe for occupancy and to open the community center to the public. Completion of Phase I will allow for the official opening of the community center and the launch of La Comida’s lunch program. Phase II will focus on building out the second‐floor space to serve as a teen center and additional community events and classes. 2025 Project Milestones:
Phase I‐ hire an architect to design structural updates, with priority given to the first‐floor to serve as a senior lunch program and community event space. Structural improvements will include ADA improvements, sound mitigation, plumbing and HVAC system upgrades among others.
Quarterly Update:
In February, CJW Architect contract was executed to design the structural updates to 445 Bryant Street. Multi‐department coordination has continued through the first and second quarters with the primary goal of completing renovations to the downstairs space for La Comida’s senior lunch program by Q3. CSD is planning to do some programming by the end of the year or in early 2026.
PS 65. Enhance and Expand Inclusive Programs and Services Project Manager: Amanda Deml Lead Dept: CSD
Estimated Completion: Q4 Status: On Track
Project Description:
Enhance services to support individuals with disabilities seeking accommodation support, expand community partnerships that serve the disability community, and implement new therapeutic recreation programs.
31 CSD will continue to expand and enhance inclusive and accessible practices, programs, classes, and events. The new Therapeutic Recreation and Accessibility Coordinated role was hired in August 2024 and began providing dedicated support to the department in handling all accommodation requests for participation, leading quarterly all‐staff training on inclusive practices, and facilitating inclusive and adaptive recreation programs, classes and events with our community partner organizations. 2025 Project Milestones:
The Community Services Department will hire a new full‐time coordinator to support inclusion efforts across programs. The department will enhance the accommodation request process to better serve individuals with diverse needs and will create and support new inclusive programs in collaboration with community partners. Additionally, new therapeutic recreation programs will be launched to provide tailored opportunities for participation. To strengthen internal capacity, quarterly inclusion trainings will be implemented for all CSD staff.
Quarterly Update:
City Council approved the coordinator position to be expanded from 0.75 FTE to full‐time in the FY26 budget process and allocated budget for program supplies and accommodation support which will enhance our ability to serve the community. A full‐time staff member will allow us to provide consistent accommodation support for participants, implement all‐ staff inclusion trainings within CSD, and launch therapeutic recreation programs. The incumbent resigned in February and the search for the full‐time staff member will begin in August.
PS 66. Implement New Expanded CSD Recreation Special Events Workplan. (60) Project Manager: Kristen O’Kane Lead Dept: CSD
Estimated Completion: Q4 Status: On Track
Project Description:
Create special events that foster togetherness, belonging, and a strong sense of community.
Continuing cherished traditions and introducing new gatherings helps combat the loneliness epidemic and celebrate the rich diversity of the community. Longstanding events such as the May Fete Parade and Festival, Fourth of July Chili Cook‐Off, Moonlight Run, and Holiday Tree Lighting remain cornerstones of community connection. New events are also planned for this year, pending City Council approval of the workplan. In addition, the Community Services Department (CSD) offers a wide range of special events throughout the year and actively partners with other City departments and local organizations to enhance community engagement. 2025 Project Milestones:
Approve the 2025 CSD Recreation Special Events workplan. Include the following new events:
Heart and Harmony Dance; Around the World in One Day Cultural Event; Fun and Games at July Third Thursday; Pancakes in the Park; and a Pet Costume Parade.
Quarterly Update:
On February 24, the City Council approved the CSD Recreation Special Events Workplan Special, and implementation has been successfully implemented for the first two quarters. Planning for the third quarter is underway.
67. Support Community Mental Health (65)
Project Manager: Kristen O’Kane Lead Dept: CSD
Estimated Completion: Q4 Status: On Track
Project Description:
32 The Community Services Department (CSD) continues to promote mental health for all ages through a range of programs, partnerships, and initiatives. In FY25, the City Council allocated $100,000 to support youth and teen mental health efforts. Ongoing programs from 2024 include free Link rides for teens ($10,000) to access mental health‐supportive locations such as community centers, parks, libraries, and Allcove, as well as the Beyond the Books event ($4,000). New initiatives in FY25 include a $45,500 contract with Palo Alto University to host mental health workshops for teens and parents, and a new Career Fair event ($10,000) focused on post‐high school pathways that do not involve traditional university enrollment. Additional trainings, programs, and partnerships are also under development.
2025 Project Milestones:
In the spring, teen mental health workshops will launch in partnership with Palo Alto University, along with a career fair focused on non‐traditional post‐high school pathways. Fall activities will include hosting the Beyond the Books event. By Q4, the City of Palo Alto and the Palo Alto Unified School District will work with stakeholders to further refine the scope of collaboration for City Council discussion, potential direction, and continued partnership with the School District.
Quarterly Update:
CSD staff along with Palo Alto University hosted trainings and workshops for youth, adults, and staff.
Staff is developing a new agreement with Project Safety Net and exploring a partnership with the JED Foundation for the second half of 2025 and beyond.
Promote environmental and transportation safety
PS 68. 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)
Project Manager: Andy Swanson Lead Dept: PW
Estimated Completion: Q4 Status: On Track
Project Description:
Palo Alto is impacted by three arrival routes into San Francisco International Airport (SFO). These routes have had an ongoing negative health impact on our community and intensified due to the implementation of the Federal Aviation Administration’s NextGEN Initiative. The City remains committed to collaborating with residents, the FAA, SFO, SFO’s Community Roundtable, elected officials, regional agencies, and noise advocacy groups to identify solutions that restore quality of life.
Staff and community members continue to evaluate the potential noise impacts of SFO’s proposed Ground Based Augmentation System (GBAS) on Palo Alto.
2025 Project Milestones:
Issue a Request for Qualifications (RFQ) to solicit proposals for two key initiatives:
1. Ground‐Based Augmentation System (GBAS): To evaluate the feasibility and potential benefits of implementing GBAS technology to reduce aircraft noise impacts in our region.
2. San Francisco International Airport (SFO) Noise Data Analysis: To obtain detailed data and technical expertise for analyzing noise impacts from SFO operations on our community.
The RFQ process will ensure we identify qualified consultants or firms with the appropriate experience to support these efforts.
Quarterly Update:
The Request for Qualifications was issued in May 2025. The RFQ is expected to go out late summer or early fall.
33 PS 69. Council Approval of Quiet Zone Concept Plans at Churchill Ave, Meadow Drive, and Charleston Rd Rail Crossings. (76)
Project Manager: Ripon Bhatia Lead Dept: OOT
Estimated Completion: Q3 Status: On Track
Project Description:
Quiet zone implementation is desired by neighborhood to reduce noise impact of locomotive horn sound off in advance of crossings. The city must mitigate the increased risk caused by the absence of the horn. Safety improvements meeting Federal Rail Authority technical requirements must be identified and implemented in order to establish a quiet zone. 2025 Project Milestones:
A draft conceptual improvement plan was developed in 2024.
Conduct public outreach and review by the Rail Committee by June 2025.
Quarterly Update:
Staff conducted a public outreach meeting and now working to complete the Quiet Zone Study Report. Staff plans to bring the project for Rail Committee review in September.
PS 70. Enhance safety and improve quality of life in commercial areas by reducing criminal activity through business engagement and the deployment of officers and technology.
Project Manager: Andrew Binder Lead Dept: PD
Estimated Completion: Q4 Status: On Track
Project Description:
Establish a Business Watch program to enhance collaboration with businesses and assign two officers at a minimum to patrol high traffic commercial areas.
Deploy technology and officers in commercial areas in order to deter criminal activity and support a safe environment for the public. Engage with local businesses to facilitate information sharing, identify problems and develop collaborative solutions. Work with other city departments to abate nuisances and connect offenders with appropriate social services. 2025 Project Milestones:
Assign at least 2 officers daily to, exclusively, patrol high traffic commercial areas. Complete deployment of 10 additional Automatic License Plate Reader (ALPR) cameras approved by the Council in December for a total of 30 cameras throughout. Establish a “Business Watch” program to enhance collaboration with businesses.
Quarterly Update:
Two or more officers are being deployed daily to, exclusively, patrol high traffic commercial areas. All 30 Council‐authorized ALPR cameras have been deployed. PD staff has coordinated with the Chamber to facilitate better dissemination of relevant crime trend information and will continue working with the Chamber to further improve collaboration.