ADDRESSING OVERSIZED
VEHICLE (OSV) IMPACTS
IN PALO ALTO
Presenter:
Melissa McDonough,
Assistant to the City Manager
OCTOBER 20, 2025 Paloalto.gov
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Subtitle 32 font
October 20, 2025
•2025 Council Priority Objective:
Present options to address homelessness impacts, particularly relating to individuals living in vehicles, to Policy & Services Committee for participation.
Identify feasible (1) regulatory approaches to manage the use of public space and (2) policy solutions to expand RV safe parking. Present options to Policy & Services for consideration and prioritization.
•Responds to increasing complaints and visible street-level impacts. •Incorporates compassion, community livability and public safety.
PURPOSE / OVERVIEW OF COUNCIL ITEM
Paloalto.gov
3 How We Got Here
FEB 2025 Council study session on housing and homelessness MAY 2025 Council Priority Objectives Adopted
JUN 2025 Human Relations Commission (HRC) Feedback
JUL 2025 Growing concern, anecdotal increase in vehicle dwellers AUG 2025 Policy & Services Committee considers approaches to address impacts
4 BASELINE INFORMATION
2025 Point-in-Time Count:
418 unhoused individuals
• 73% in vehicles in Palo Alto (compared to 37% in vehicles countywide) • 168 vehicles (29 cars, 120 RVs, 19 vans)
Recent efforts include:
• Homekey interim shelter under construction
• Safe parking program – 22 RV spaces at Geng Road + 14 vehicle spaces at congregation-based sites
• Below Market Rate (BMR) - 401 entitled units, ~315 pipeline • $57M to affordable housing projects since 2017, including $5M in 2025 towards 130 affordable units (3001 El Camino Real)
• >2,000 existing affordable units
• Enhanced renter protections
• Service support and referrals
• Law enforcement coordination
Housing Initiatives & Pipeline
5 Key Elements of P&S Recommendation
• Advance an ordinance to prohibit detached/inoperable vehicles on public streets • Advance an ordinance to prohibit vanlording
• Advance implementation in a phased approach, including:
• Phase 1: street cleanups, consider buyback program, expand safe parking options • Phase 2: Design a small-scale enhanced services pilot; begin exploration of limiting OSV parking to certain streets, including considering a permit program • Phase 3: Approve enhanced services pilot; approve preferred option for expanded safe parking; identify streets for the limiting OSV parking to certain streets • Phase 4: Evaluate enhanced services pilot; implement expanded safe parking; Council approval and implementation for limiting OSV parking to certain streets 6 Additional Pilot Program for Consideration
Following up on P&S Committee recommendation to explore an OSV parking permit program, staff is currently evaluating:
• Temporary pilot program to permit OSVs to park on one or a limited number of streets where are OSVs currently parking; ordinance would be required • Limit to a monthly (or other short duration) permit, requiring valid vehicle registration only
• Permit renewal would require no citations for parking or other regulations • Could be advanced with Phase 1
7 Phased Approach
• Accommodates some OSV parking demand while increasing regulation to manage impacts • Sequencing frontloads a considerable body of new work and will require both new resources and reprioritizing staff work
• Responsive to varied community perspectives (e.g., the needs of unhoused neighbors, the needs of housed neighbors, the shared use of public space, etc.) 8 4
PHASE ACTION ESTIMATED DURATION ESTIMATED COST
All Support program implementation 2 years $314K (total over 2 years), some prorate some
Phase 1
1.1 Develop ordinance to prohibit detached/inoperable
vehicle parking on public streets
3 months – Jan 2026 Staff time only
1.2 Develop an ordinance to prohibit renting public
parking spaces
3 months – Jan 2026 Staff time only
1.3 Refine scope & begin implementation of additional
street cleanups and sweeping
3 months – Jan 2026 $548K FY26; +$269K FY27; can prorate some
1.4 Begin adoption of ordinance(s) and contract(s)
approval on consent calendar
3 months – Jan 2026 Staff time only
1.5.1 Implement & enforce detached/inoperable vehicles
prohibition
Apr/May 2026 Unknown amount for signage, enforcement
included in 1.3 FY26; +$80K enforcement
FY27
1.5.2 Implement & enforce vanlord (public parking space rental) prohibition
Apr/May 2026 enforcement included in 1.3, 1.5.2 FY26; + $280K enforcement FY 27
1.6 Work with LifeMoves [and Santa Clara County] to
consider options (buyback, storage) to accept RV
residents quickly at Homekey or other housing
6 months – Apr/May 2026 Unknown - $150,000 FY27
1.7 Return to Council for direction on expanding safe
parking on privately-owned & congregational lots
If no site identified, then
9+ months – Aug 2026
Staff time only
10 PHASE ACTION ESTIMATED DURATION ESTIMATED COST
Phase 2
2.1 Develop small scale enhanced services pilot 5 months – Oct 2026 Staff time only
2.2 Begin exploration of limiting OSV parking to certain streets, including process/criteria for designating streets, with community engagement
6+ months – Nov/Dec
2026
Staff time only
2.2.1 Identify non-residential & non-residential adjacent streets 6+ months – Nov/Dec 2026
Staff time only
2.2.2 Tie the number of OSV permitted parking to the PIT Count <1 month Staff time only
2.2.3 Explore possibility of OSV permitting program 3+ months – Aug/Sep 2026 Staff time only
2.2.4 Evenly disburse permissible OSV parking across identified streets to avoid overconcentration and mark clearly on those streets where permitted
6+ months – Nov/Dec
2026
Staff time only
Note: Italicized text was part of a split motion. As some of these items also appeared elsewhere in the unanimous motion, where those appear, they are also italicized.
11 PHASE ACTION ESTIMATED DURATION ESTIMATED COST
Phase 3
3.1 Council approval of enhanced services pilot and related contracts/agreements
Nov/Dec 2026 $300,000-$400,000+ FY27
3.2 Council approval of preferred expanded safe parking option(s) Aug/Sept 2026 Staff time only
3.3 Council identification of streets where OSV parking permitted & develop ordinances and program design
6+ months –
Nov/Dec 2026
Staff time only
3.4.1 Implement enhanced services pilot Jan/Feb 2027 Staff time only
3.4.2 Implement expanded safe parking (initial steps) Late 2026 & onward Staff time only Note: Italicized text appeared in an earlier phase as part of a split motion. 12 PHASE ACTION ESTIMATED DURATION ESTIMATED COST
Phase 4
4.1 Evaluate enhanced services pilot Jan/Feb 2028 Staff time only
4.2 Pursue implementation of expanded safe parking June/July 2026 onward $270,000+ Midyear 26-27
4.3 Council approvals relating to limiting OSV parking to certain streets
Jan/Feb 2027 $4.2 million one-time for
citywide signage FY27;
$400,000+ annually
thereafter
4.3.1 Implement “limiting OSV parking to certain streets” and begin enforcement
3-6 months –
May/Aug 2027
Staff time only
Recommendation
1. Approve the phased approach to addressing oversized vehicle (including recreational vehicle) impacts, particularly relating to individuals living in vehicles; and
2. Approve amendments to the Fiscal Year 2026 Budget Appropriation to resource aspects of the phased approach in the:
a. General Fund by:
i. Increasing the contractual services appropriation for the City Manager’s Office by $157,000 for resources to support program implementation;
ii. Decreasing the Reserve: Business Tax Revenue for Housing Affordability by $157,000; iii. Increasing the contractual services appropriation for the Office of Transportation by $150,000 for engineering services;
iv. Increasing the contractual services appropriation in the Public Works Department by $60,000 for street clean- up services;
v. Increasing the contractual services appropriation in the Police Department by $95,000 for marking and enforcement of vehicles;
vi. Decreasing the Budget Stabilization Reserve by $305,000 b. Refuse Fund by:
i. Increasing the contractual services appropriation by $245,000 for new permanent and temporary street cleaning signage; and
ii. Decreasing the Ending Fund Balance by $245,000. 9
Melissa McDonough
Assistant to the City Manager
[email protected]
650-329-2533