Palo Alto City Council
March 9, 2026

City Council
Staff Report
From: City Manager
Report Type: INFORMATION REPORTS
Lead Department: Public Works
Meeting Date: March 9, 2026
Report #:2511-5441
TITLE
Information Report on Sustainability and Climate Action Plan (S/CAP) Implementation, 2025 Quarters 3-4; CEQA Status - Not a Project

RECOMMENDATION
No City Council action is required. This is an update on Sustainability and Climate Action Plan (S/CAP) Implementation Progress in quarters three and four of calendar year 2025. It is provided to give the City Council and public an overview of S/CAP workplan items status since adopted by the City Council in June of 2023.

EXECUTIVE SUMMARY
The City is implementing the Sustainability and Climate Action Plan (S/CAP) to help meet its sustainability goals, including its goals of reducing greenhouse gas (GHG) emissions 80% below 1990 levels by 2030 (the “80 x 30” goal) and achieving carbon neutrality by 2030. Since the S/CAP was adopted in June 2023, staff has provided implementation updates covering progress from Q3 2023 through Q2 2025. This update covers progress in Q3 and Q4 2025. Highlights of Q3 and Q4 2025 progress include:

Climate Action
Served 152 utilities customers through the free online home electrification assessment service launched in January 2025
The City Council approved design guidelines for an Advanced Packaged HVAC Pilot Program serving commercial utilities customers
Provided rebates that enabled projects providing electric vehicle charger access to 125 Alta Housing income-qualified apartments by the end of 2025 Completed the e-Mobility Strategic Roadmap, which the City Council accepted in August 2025
Conducted community engagement and began developing land use alternatives for the Bayshore Alma San Antonio Priority Area. This Priority Area is part of the San Antonio Road Area Plan, which has the potential to reduce emissions by creating cohesive mixed-use neighborhoods with improved mobility and interconnectivity

Identified preferred alternatives for the South Palo Alto Bike/Ped Connectivity Project Sustainability
Began construction on the Local Advanced Water Purification System Project that could expand the use of recycled water of irrigation by improving the quality of recycled water Began construction of the Palo Alto Horizontal Levee Pilot Project, an innovative project intended to protect infrastructure from sea level rise while supporting biodiversity and water quality
Conducted fuel management on 400 acres of Foothills and Arastradero Nature Preserves to mitigate potential risks from wildfires

BACKGROUND
In April 2016, the City Council adopted the goal of reducing GHG emissions 80% below 1990 levels by 2030 (the “80 x 20” goal),1 and in October 2022 the City Council adopted the ambitious goal of achieving carbon neutrality by 2030.2 Staff, with community and City Council input, referred to the 2016 Sustainability and Climate Action Plan (S/CAP) Framework and 2018- 2020 Sustainability Implementation Plan to create a comprehensive S/CAP and Three-Year S/CAP workplan.3 In June 2023, Council adopted the 2022 Sustainability and Climate Action Plan, certified the Comprehensive Plan Environmental Impact Report Addendum: Update to the Sustainability and Climate Action Plan, and accepted the 2023-2025 S/CAP Workplan.

The S/CAP is an ambitious plan to reduce the City and community’s GHG emissions, while also guiding how Palo Alto uses land and natural resources in ways that ensure quality of life for future generations. The S/CAP aligns with several goals of the 2030 Comprehensive Plan Implementation Plan. All previous S/CAP Implementation progress reports can be found in the Sustainability and Climate Action Plan (S/CAP) Program Reports section of the Sustainability Actions and Accomplishments page of the City website.4 The 2022 S/CAP and 2023-2025 S/CAP Work Plan align closely with one of the four City Council Priorities for calendar year 2025:
“Climate Action and Adaptation, and Natural Environment Protection.” In addition, there are several overlapping City Council Priority Objectives, the status of which can be found in the 2025 City Council Priority Objectives Q4 Report presented to Council on January 12, 2026.5 This report references the City Council Priority Objectives in parentheses where applicable.

1 City Council, April 18, 2016; Agenda Item #10; SR #6754, https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=79086&dbid=0&repo=PaloAlto 2 City Council, October 3, 2022; Agenda Item #9; SR #14720, https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=82036&dbid=0&repo=PaloAlto 3 City Council, November 3, 2025; Agenda Item #14; SR #2505-4672, https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83784&dbid=0&repo=PaloAlto 4 Sustainability and Climate Action Plan (S/CAP) Progress Reports; https://www.paloalto.gov/City- Hall/Sustainability/Emissions-Reduction-Goals-and-Progress/Sustainability-Actions-and-Accomplishments 5 City Council, January 12, 2026; Agenda Item #2; SR #2511-5583; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=85203&dbid=0&repo=PaloAlto

ANALYSIS
The City is committed to a sustainable future. The City owns, operates, and maintains a full- service utilities portfolio that provides electric, natural gas, fiber, water, refuse, and wastewater services to residents and businesses in Palo Alto. Palo Alto’s continued leadership in advancing sustainability commitments has succeeded mainly because of the continued collaboration of community stakeholders, City departments, and the leadership of the City Council.

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

There are 23 City Council Priority Objectives in the 2025 City Council Priority Area Climate Action and Adaptation, & Natural Environment Protection (CA).11 This report addresses 18 of those City Council Priority Objectives, as well as one in City Council Priority Area Economic Development & Retail Vibrancy (ED), three in Implementing Housing Strategies for Social & Economic Balance (IHS), and one in Public Safety, Wellness & Belonging (PS), as shown in Table

1. One CA City Council Priority, "Implement plan for phaseout of leaded fuel at Palo Alto Airport,” was not addressed in the 2023-2025 S/CAP Implementation Work Plan.

Table 1: 2025 City Council Priority Objectives Addressed in the S/CAP Informational Report Number City Council Priority Objective
Economic Development & Retail Vibrancy (ED)
ED 6 Council approval of funding to continue Downtown cleanliness enhancements and other medium-term investments such as a Mobility Hub.

Climate Action and Adaptation, & Natural Environment Protection (CA) CA 13 Council Adoption of the Safe Streets for All (SS4A) Safety Action Plan.

CA 14 Begin construction of the Newell Road Bridge Replacement project.

CA 15 Complete construction of initial pilot area of electric grid modernization.

CA 16 Begin construction of Hamilton Avenue storm drain system capacity upgrades project.

CA 19 Council Adoption of the 2025 Bicycle and Pedestrian Transportation Plan (BPTP).

CA 20 Develop and begin implementing a City Facility Electrification Plan.

CA 22 Complete implementation of the Reliability and Resiliency Strategic Plan, 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.
11 City Council, August 18, 2025; Agenda Item #A; SR # 2508- 5034; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83560&dbid=0&repo=PaloAlto CA 24 Refine Grade Separation Design Alternatives per Council Direction and Conduct Outreach to Support Rail Committee Review of Locally Preferred Alternatives.

CA 25 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.

CA 26 Advocate for the San Francisquito Creek Flood Protection capital project (Reach 2) through Council’s JPA representation and any Council approvals involved.

CA 27 Begin development of a Regional Shoreline Adaptation Plan meeting new standards approved by BCDC.

CA 28 Initiate Preliminary Engineering and Environmental Clearance Work for Quarry Road Extension in Partnership with Stanford University, Caltrans, & VTA.

CA 29 Complete deployment of 65,000 residential Advanced Metering Infrastructure (AMI) meters by end of FY 2025 and begin deployment of commercial AMI meters.

CA 30 Complete E-Mobility Strategic Plan for Council acceptance.

CA 34 Council approval for Phase 2 (full service program) of the Advanced Whole Home Electrification Pilot Program and begin implementation.

CA 35 Develop an Advanced Commercial Rooftop HVAC Pilot Program proposal and review with the Climate Action and Sustainability Ad Hoc Committee for
recommendation to Council.

CA 36 Propose an updated multi-family EV charger program (EV 2.0) for Council approval.

Implementing Housing Strategies for Social & Economic Balance (IHS) IHS 48 Present to Council the Downtown Housing Plan Community Assessment report and receive Council direction on draft housing plan scenarios.

IHS 49 Initiate the San Antonio Road Area Plan.

IHS 50 Advance affordable housing project on Downtown surface parking lot (Lot T).

Public Safety, Wellness & Belonging (PS)
PS 58 Council to adopt the updated Foothills Fire Management Plan and Community Wildfire Protection Plan.

Climate Action
Covering the S/CAP Areas of Climate Action, Energy, Electric Vehicles, and Mobility, this section reports on progress based on the Work Plan Climate Action Priority areas. This includes five priorities with various work items under each priority. This report notes where these work items have been designated as City Council Priority Objectives.

P1. Grid Modernization
P2. Launch Programs
P2.1 Residential Emissions Reduction
P2.2 Non-Residential Emissions Reduction
P2.3 Citywide Mobility
P2.4 Municipal Electrification
P2.5 Electric Vehicle (EV) Strategic Plan
P3. Build Awareness and Confidence
P4. Additional Emissions Reductions
P5. Funding Needs and Sources
P1. Grid Modernization
Electric grid reliability and resilience will be important to inspire confidence in electrified homes and vehicles. The focus of Priority 1 is to preserve and enhance reliability, modernize the electric grid and replace aging infrastructure, increase electric grid capacity to accommodate electrification, and explore ways to enhance resiliency.

Grid Modernization (Work Plan Item 1A; Council Priority Objective CA 1): Staff has been evaluating results from a pilot project that replaced and upgraded aging infrastructure serving approximately 1000 residents before determining how to most cost-efficiently continue the project. Staff is gathering feedback from the Utilities Advisory Commission (UAC) and Climate Action and Sustainability Committee (CASC) about the costs, pros, and cons of different approaches to grid modernization (a proactive replacement approach or a flexible approach of replacing as capacity is needed). More detail on these proposals can be found in the January 7, 2026 report to the UAC.13
Reliability & Resiliency Strategic Plan (Work Plan Items 1B, 1C; Council Priority Objective CA 4):

In April 2024, the City Council accepted the Reliability and Resiliency Strategic Plan (RRSP). Staff has been implementing the plan and providing status updates to the UAC and CASC. The most recent updates to these bodies were December 3, 2025 and November 20, 2025 respectively.14,15 A status update will be provided to the City Council in March 2026.

One major focus for the UAC and CASC has been implementing Strategy 4 (Evaluate the benefits of flexible energy and resiliency technologies and efficient electrification strategies to the utility and community) and Strategy 5 (Evaluate the resource needs to promote the adoption of various flexible demand reduction and resiliency solutions and efficient electrification strategies) of the RRSP. Through 2025, the UAC and CASC provided feedback at various points on a study of the cost-benefit associated with using these technologies to reduce utility supply costs, defer utility distribution investment, and improve long-term resiliency in the community. The completed study was presented to the UAC and CASC at their December and November meetings.16,17
13 Utilities Advisory Commission, January 7, 2026, Agenda Item #3, Fiscal Year 2026 Mid-Year Electric Grid Moderniz ation Update, Staff Report 2512-5638 ; https://cityofpaloalto.primegov.com/meetings/ItemWithTemplateType?id= 10311&meetingTemplateType=2&compiledMeetingDocumentId=18174 14 Utilities Advisory Commission, December 3, 2025; Agenda Item #2; SR #2508-5038; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=84166&dbid=0&repo=PaloAlto 15 Climate Action and Sustainability Committee, November 20, 2025; Agenda Item #3; SR #2507-5028; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83907&dbid=0&repo=PaloAlto 16 Utilities Advisory Commission, December 3, 2025; Agenda Item #2; SR #2508-5038; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=84166&dbid=0&repo=PaloAlto 17 Climate Action and Sustainability Committee, November 20, 2025; Agenda Item #3; SR #2507-5028; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83907&dbid=0&repo=PaloAlto Few technologies analyzed showed a positive cost-benefit result that would merit incentives, but the CASC and the UAC identified the need for a continued focus on outreach, regular updates to the analysis as costs and benefits may change, and barrier reduction in the areas of permitting, interconnection, and other barriers. The City Council will consider recommendations from the CASC and the UAC in March.

Utility Rates and Fees (Work Plan Item 1D; Council Priority Objective CA 5): The City is on track to complete the advanced metering infrastructure project by the end of 2026. On June 4, 2025, the UAC recommended approval of time of use rates that customers could use to achieve savings by moving electric consumption to times of lower cost electricity.23 Modifications to transformer upgrade fees were adopted in late 2025 to avoid situations where the resident who triggers a transformer upgrade would pay the entire cost of that upgrade.24 P2. Launch Programs
The focus of Priority 2 is to launch effective programs for emissions reductions with the highest impact and lowest cost such as single-family electrification, strategic promotion of EVs, commercial rooftop HVAC (heating, ventilation, and air conditioning), and expanded transportation alternatives.

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

Advanced Heat Pump Water Heater Pilot (Work Plan Items 2.1D, 2.1E): The City launched the Advanced Heat Pump Water Heater Pilot Program in March 2023 with the goal to install 1,000 heat pump water heaters (HPWH). The City launched a new Emergency Water Heater Replacement program in September 2024. As of December 31, 2025, 745 residents had either completed installations or signed contracts to get a heat pump water heater installed through the City’s programs, with 100 of these projects applying for on-bill financing. The City has completed around 250 water heater conversions per year through the Advanced HPWH Pilot Program, equivalent to almost 20% of the water heaters estimated to be replaced each year. In addition, the City and State Energy Reach Codes encourage new construction and major renovations to be built all-electric, which adds another 100-200 new heat pump water heaters each year.25 The rate of HPWH retrofits has slowed in 2025 compared to the first year and a half of the program. The pilot has moved past the early adopters after the first 18 months. 23 Utilities Advisory Commission, June 4, 2025; Agenda Item #4; SR #2503-4361; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=61770&dbid=0&repo=PaloAlto 24 City Council, October 20, 2025, Staff Report #2505-4736, https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83645&dbid=0&repo=PaloAlto&searchid=fe40954f- c0ac-49f4-b75f-daea4dc9bac7
25 City Council, June 3, 2024; Agenda Item #17; SR #2405-3073; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=82875&dbid=0&repo=PaloAlto Because the next wave of customers tends to be more cost-conscious and/or have more complex projects, they will need additional incentives or support to make the switch.

The City is continuing to pursue various efforts to promote HPWH adoption among single-family households. In 2025, the City worked on the following initiatives:
Innovative marketing: launched a HPWH Giveaway campaign on Earth Day with the prize of a free HPWH installation to encourage residents to install a HPWH, as well as a new Refer-a-Neighbor program launched in October. Water Heater Safety stickers were mailed out in December, promoting the emergency replacement program. Facilitate rebate applications: continued the Rebate Hub that was launched the first half of 2025.
Expert Consultation: continued the free expert consultation program that was launched in the first half of 2025 to help residents complete installations. Customer outreach: promoted HPWHs at community events and hosted two webinars on home electrification. The City also rented an “All-Electric Dream Home” display for the Municipal Service Center Open House in July, with over 200 residents touring this life-sized model. Ongoing outreach includes promotions through the City’s social media channels as well as Google ad campaigns.

Whole Home Electrification (Work Plan Items 2.1G, 2.1H; Council Priority Objective CA 34): The City is launching its whole home electrification program in two phases. The first phase, launched in January 2025, offers new rebates and a contractor directory through the Rebate Hub, an online home electrification assessment tool, free phone consultation with an electrification expert, and financing through the state’s GoGreen program. As of December 31, 2025, the City had processed rebates for 89 heat pump HVAC projects, 17 electric panel upgrades, and 19 gas meter removal incentives. Additionally, 152 customers have completed the online home electrification assessment. The City expects to soft launch phase two in early 2026, with a full launch planned in spring 2026.

Electric Vehicles and Charging (Work Plan Items 2.1A, 2.1C, 2.1J; Council Priority Objective CA 19): The City’s promotion of EV adoption and expansion of multi-family EV infrastructure continued. To promote the benefits of clean driving, the City offered 12 free EV activities to the public and one EV educational webinar for City staff in Q3 and Q4 2025. Over 1,150 people attended six online webinars about EVs and incentives. Events in Q3 and Q4 consisted of two new EV discount programs; two in-person EV and e-bike showcases at City facilities; two in- person EV showcases at community-gathering events; and three in-person EV workshop and showcase events at affordable housing properties. The City plans to continue offering additional EV showcases, free workshops, webinars, and discount programs in 2026, with a focus on residents at multi-family market-rate and affordable housing properties.

In Q3 and Q4 2025, four multi-family properties representing 342 housing units installed EV chargers through the City EV Charger Rebate program. To date, a total of 26 multi-family properties representing 1,324 housing units (about 12.4% of all multi-family units in Palo Alto) have installed a total of 325 EV charging ports and 48 EV-ready spaces (i.e. infrastructure to support additional charger installation at a later date) facilitated through the City's EV programs. Another 13 multi-family projects are in the permitting and installation phases and an additional 22 are in the project design phase (representing a total additional 1,753 residential units).

On November 17, 2025, City Council approved the Design Guidelines for the Successor to the Current Multifamily EV Charger Program (EV 2.0) as recommended by the Climate Action and Sustainability Committee.29 The EV 2.0 design guidelines are focused on:
financial models aimed at scaling installations communitywide; serving different types of multi-family buildings with different levels of EV adoption utilizing a variety of EV charging technologies;
deploying shared charging at low levels of adoption and individual chargers where demand supports them;
grid-friendly installations and inclusion of active and shared transportation facilities where appropriate; and
complementary programming to help drive adoption of e-mobility and use of active and shared transportation.

Affordable Housing Electrification (Work Plan Item 2.1I; Council Priority Objective CA 19): The City continues to engage with multi-family affordable housing providers in Palo Alto on building electrification and EV charging. The City is working to design a program to provide incentives for electrification of dedicated affordable multi-family housing central and in-unit gas equipment, with program launch targeted in early 2026. As part of this effort, the City is coordinating with the State’s Low-Income Weatherization Program (LIWP) to align program enrollment processes and eligibility requirements and allow projects to leverage program technical assistance and LIWP incentives for energy efficiency and electrification alongside the City’s incentives planned to the greatest extent possible.

Through the City’s EV Charger Rebate program, Alta has completed EV charging projects at two of their properties to date, providing access to 125 income-qualified apartments by the end of 2025. Two additional Alta Housing properties and one MidPen Housing property are expected to complete projects in early 2026, providing EV charging access to an additional 316 units.

The City’s Residential Energy Assistance Program (REAP) for income-qualified customers continues to reach the City’s most vulnerable population, offering energy and water efficiency improvements at no cost to the customer. In Q3 and Q4 2025, 18 customers participated in the REAP program. Four REAP customers received HPWHs at no cost, and two additional REAP 29 City Council, November 17, 2025; Agenda Item #3; SR #2508-5087; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83873&dbid=0&repo=PaloAlto customers received a site assessment for a HPWH and are awaiting installation. Fourteen REAP customers received energy and water efficiency upgrades.

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

Rooftop Packaged HVAC (Work Plan Items 2.2A, 2.2B; Council Priority Objective CA 24): In September 2024 the City launched an update to the commercial heat pump HVAC pilot with the goal of collecting additional data to inform the design of an advanced pilot program. To achieve this goal, the City is offering enhanced incentives to a limited group of 10 customers. In return, these customers are required to gather and provide detailed cost and project information to the City. Businesses that prefer not to share this data can still participate in the program at the original incentive level.

Outreach efforts are ongoing through various channels to encourage participation. So far, 18 building owners have applied to join the program, with six permits issued and three projects successfully completed; three projects have withdrawn from the pilot.

On November 17, 2025, the City Council adopted the program design guidelines for the Advanced Packaged HVAC Pilot Program.31 To ensure the program is cost-effective, legally viable, and scalable, the guidelines prioritize providing financing rather than up-front incentives, without increasing tenant utility bills. To facilitate electrification of nonresidential packaged HVAC units, staff will explore streamlining the permit process, providing technical and permitting assistance to program participants, developing a courtesy contractor list, and providing support to contractors on program rules.

Major Employer Partnerships (Work Plan Item 2.2C): This work plan item focuses on building strategic partnerships with major employers to advance emissions reductions and support key facility projects across the community. At PAUSD, electrification efforts continue to advance meaningful decarbonization in school facilities. The ongoing heat pump retrofit project at El Carmelo Elementary School is replacing aging gas systems with high-efficiency electric equipment and is paired with domestic hot water system upgrades to further reduce fossil fuel reliance and improve site resiliency. Stanford Health Care and Stanford School of Medicine, which are within the City of Palo Alto and served by Palo Alto Utilities, also completed multiple high impact projects across the medical campus and surrounding facilities. Recent projects include extensive LED lighting upgrades at 900 Blake Wilbur, 875 Blake Wilbur, and multiple locations at Stanford Hospital, improving lighting quality while delivering substantial long-term electricity savings. Additional Stanford Health Care and Stanford School of Medicine campus 31 City Council, November 17, 2025; Agenda Item #4; SR #2508-5088; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83874&dbid=0&repo=PaloAlto measures included chilled water system optimization, new building pumping controls, and chiller replacement each improving system efficiency, lowering operational energy use, and reducing lifecycle maintenance costs.

CPAU continues to support small and medium-sized businesses with energy efficiency, water conservation services, and electrification technical assistance through the Business Energy Advisor and Business Electrification Technical Assistance programs. In Q3 and Q4 of 2025, program staff visited over 100 small businesses in-person, conducted 56 onsite assessments, and provided energy efficiency project recommendations and project support, including access to rebates. While no projects were completed during Q3 and Q4, 14 projects are currently underway and are expected to be completed in the first half of 2026.

Altogether, in 2025, commercial efficiency and electrification projects delivered annual energy savings exceeding 1,600,000 kWh and 76,000 therms (60% of which is reduced through electrification projects) and resulted in the avoidance of 218 metric tons carbon dioxide equivalent per year. Projects that increased electricity use but transitioned away from gas still received incentives as long as there is a net reduction in energy use.

Commuter/Visitor Emissions Reduction (Work Plan Items 2.2D, 2.2E): Following the adoption of the E- Mobility Strategic Roadmap (formerly titled “Electric Vehicle Strategic Plan” - see Priority

2.5, below) in the fall of 2025,33 the City plans to proceed with this work item in 2026. Work on commuter/visitor emissions reduction will be coordinated with updated multi-family EV charging programs.

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

Transportation and Land Use Policies and Programs (Work Plan Item 2.3A; Council Priority Objectives IHS 40, IHS 53): The Safe Routes to School (SRTS) program carried out a successful bike rodeo season in fall 2025 and recruited a new Safe Routes to School planner to fill a vacancy. The City made significant progress on two plans that are expected to reduce greenhouse gas emissions while also implementing the Housing Element.34 In Q3 and Q4 2025, staff moved forward the San Antonio Road Area Plan, which will guide redevelopment of a portion of the Bayshore Alma San Antonio Priority Development Area. The San Antonio Road Area Plan envisions creating cohesive mixed-use neighborhoods with improved mobility and interconnectivity when compared with existing conditions. The resulting integrated transportation network in the plan area is anticipated to reduce greenhouse gas emissions and the use of single-occupancy motor vehicles. Q3 included community engagement on initial plan goals, including discussions with the Planning and Transportation Commission, Architecture 33 City Council, August 18, 2025; Agenda Item #6; SR #2507-4943; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83554&dbid=0&repo=PaloAlto 34 2023-2031 City of Palo Alto Housing Element; https://www.paloalto.gov/files/assets/public/v/1/planning-amp- development-services/housing-element/housing-element_2023_2031/palo-alto-housing-element.pdf Review Board, Pedestrian and Bicycle Advisory Committee, and City School Transportation Safety Committee. Feedback was also sought from the Community and Technical Advisory Groups. Q4 activities included a community workshop, online survey, and study session with City Council. Following the initial community feedback, the project team began developing transportation and land use alternatives to discuss with the public in 2026.

The Downtown Housing Plan, once adopted, will implement Housing Element programs by establishing policies, development standards, and a plan for the public infrastructure necessary to support increased housing in the area. The project advances the objectives of the S/CAP by analyzing components such as climate change and resilience, as well as land use, housing, and transportation by focusing on housing production near the downtown Palo Alto Caltrain station. In October 2025, staff presented the City Council with an update on the project, an Economic Feasibility and Implementation Analysis, an outreach summary, and preliminary policy recommendations based on the feasibility analysis, as well as a discussion of the implications of Senate Bill 79. Passage of SB 79 has introduced housing planning complexities, requiring the broader Downtown Housing Plan effort to be placed on hold pending further City Council guidance and direction.

Housing Element Adoption and Implementation (Work Plan Items 2.3C; Council Priority Objective IHS 44 and IHS 42): The City has made considerable progress in implementing the 110 program objectives in the 2023-2031 Housing Element. Implementation activities in Q3 and Q4 2025 include:
In the second half of 2025, the City used 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. City Council reviewed findings from the analysis on November 17, 2025.37 Based on City Council feedback, a draft RFP will be prepared for future City Council consideration. The City Council provided informal feedback on Alta Housing’s project proposal during a study session on October 22, 2025.38 Alta Housing and the City jointly hosted a community meeting to gather further project input on December 1, 2025. The proposed fully affordable housing project would develop a surface parking lot within one-half mile of the downtown Palo Alto Caltrain station into a 72-unit community serving families.

Alta Housing intends to submit its formal planning application in January 2026. Staff made progress in 2025 towards implementing Program 6.5B of the Housing Element, which envisions creating zoning incentives or updating development standards to support various housing typologies, including micro-units, intergenerational housing, 37 City Council, November 17, 2025; Agenda Item #10; SR #2507-4927; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83868&dbid=0&repo=PaloAlto 38 City Council, October 22, 2025; Agenda Item #2; SR #2505-4745; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83672&dbid=0&repo=PaloAlto aging adults, students, and lower-income units.41 Stakeholder outreach was completed in July 2025, and an analysis of opportunities and challenges was prepared in August 2025. The project team is currently refining the alternative approaches to be presented to the Architectural Review Board and the Planning and Transportation Commission in early 2026.

Last Mile Solutions (Work Plan Items 2.3D, 2.3E; Council Priority Objectives CA 15, CA 18): The Office of Transportation continues to conduct the Shared Micromobility Feasibility study to understand local demand for micromobility and to identify if a micromobility program would be financially sustainable for the City. The study is scheduled to be completed in early 2026, after which staff will report on the study’s findings. The City Council previously approved a one-year micromobility pilot program, but the program was not implemented at the time due to the COVID-19 pandemic and staffing limitations.42
Bicycling Improvements (Work Plan Items 2.3A, 2.3F, 2.3G; Council Priority Objectives CA 13, CA 15, CA 16, CA 17):

After staff incorporated input on draft recommendations for the 2026 Bicycle and Pedestrian Transportation Plan (BPTP) Update from the public, the Policy and Services Committee, and the Pedestrian and Bicycle Advisory Committee, the City Council reviewed the Draft Plan and near- term projects on December 1, 2025.43 City staff is now reviewing community and City Council feedback and preparing the Final 2026 BPTP Update document for presentation to the City Council in spring 2026.

The City will begin procurement for a transportation planning firm to finalize the South Palo Alto Bikeways Demonstration Project street design when a project manager has been recruited to fill a recent vacancy.

The South Palo Alto Bike/Ped Connectivity Project will identify locations and design concepts where new grade-separated bicycle and pedestrian pathways across the Caltrain corridor may be constructed in south Palo Alto (south of Oregon Expressway). Creating a path above or below the tracks will improve bicycle and pedestrian connectivity in support of the mobility and sustainability goals of the City. On December 1, 2025, the City Council reviewed eight shortlisted alternatives for the South Palo Alto Bike/Ped Connectivity Project and, based on recommendations from the Rail Committee and Staff, selected Alternative A (a crossing near El Dorado Avenue) as the preferred alternative, eliminating all other options from further 41 City of Palo Alto 2023-2031 Housing Element, 2024; https://www.paloalto.gov/files/assets/public/v/1/planning- amp-development-services/housing-element/housing-element_2023_2031/palo-alto-housing-element.pdf 42 City Council, March 2, 2020; Agenda Item #5; SR #11075; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=80712&dbid=0&repo=PaloAlto 43 City Council, December 1, 2025; Agenda Item #2; SR #2507-4967; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=84114&dbid=0&repo=PaloAlto consideration.47 Two variants of Alternative A were advanced: A1 (signalized crossing of Alma Street at El Dorado Avenue) and A2 (tunnel under both Alma Street and the Caltrain tracks).

The City Council passed a motion to focus evaluations on Alternatives A1 and A2, with a preference for A2. Staff will continue to focus evaluations on Alternatives A1 and A2, prioritizing Alternative A2 as directed by the City Council. Additional community engagement activities are planned for early 2026 to support the decision-making process and incorporate public feedback on the alternatives in the vicinity of El Dorado Avenue.

Transportation Demand Management (Work Plan Item 2.3H): In 2025, the Palo Alto Transportation Management Association (PATMA) conducted essential outreach to businesses on El Camino Real regarding available transit, bike, and parking programs to support businesses following the parking changes to the corridor as part of the Caltrans repaving project, as funded by a $25,000 Santa Clara Valley Transportation Authority (VTA) Transit Oriented Communities Grant. In coordination with other local sustainable transportation advocates, PATMA held summertime community bike rides along the new protected bike lanes of El Camino Real with turnouts of 8-20 cyclists per week. PATMA completed an e-bike and e-scooter pilot program for five participants with funding from the City. In the fall, PATMA administered a commute survey for 2025 and received 920 completed responses with findings helping to shape programs in 2026. In 2025, PATMA distributed 38 free transit passes to workers at businesses along El Camino Real and 104 to workers at the Stanford Mall encouraging sustainable commutes. By the end of 2025, 453 workers in Palo Alto were using train and/or bus passes from PATMA.

Work on the City’s Transportation Demand Management (TDM) Ordinance is on hold until staff capacity is available.

Parking (Work Plan Items 2.3I, 2.3J): The City and contractors continued installing Automated Parking Guidance Systems in downtown garages, which seek to limit the time that drivers spend circulating to find parking. Installation in the Civic Center Garage began in January 2025.

Community engagement regarding proposed enhancements to parking facilities will proceed in early 2026, following the start of a new parking permit management vendor contract.48 Traffic Signals (Work Plan Item 2.3K): The City continually monitors, maintains, and optimizes traffic signal operations, and addresses concerns from the community daily. As funding and staffing allow, the City also works on a variety of capital improvement program projects to update and upgrade the current traffic signal network and keep up with changing standards, modernization, and intelligent transportation systems (ITS) technologies. These improvements are a key component to optimizing operations to reduce delays and GHG emissions from idling. 47 City Council, December 1, 2025; Agenda Item #18; SR #2507-4950; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=84110&dbid=0&repo=PaloAlto 48 City Council, December 15, 2025; Agenda Item #20; SR #2503-2330; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=84136&dbid=0&repo=PaloAlto In Q3 and Q4 of 2025, the City made substantial progress on several projects and has completed modifications at the intersection of Alma Road/Churchill Avenue. The City completed procurement and testing and started installation/construction of hardware upgrades for systems at four intersections along Quarry Road. Included with the traffic signal program, the City has made vehicular safety and visibility upgrades and procured accessible pedestrian system push buttons to be installed in 2026. These pedestrian crossing improvements are essential in encouraging walking and alternative modes of transportation.

The City also started the procurement process for updating the network communication switches for the city-wide traffic signal network.

Mobility Hub (Work Plan Item 2.3D; Council Priority Objectives CA 12, ED 31): The City is working with Stanford University to initiate the design phase of the Quarry Road Transit Connection project that would reduce travel time to access the Palo Alto Transit Center. A cost-sharing agreement between Stanford and the City has enabled project design kick-off. Grant funding from the Metropolitan Transportation Commission and coordination with Caltrans are being pursued next to complete project design of the extension of Quarry Road between El Camino Real and the Transit Center. Separately, VTA has convened the Palo Alto University Avenue Mobility Hub Ad Hoc Committee to explore short- and long-term active transportation and other improvements to the Palo Alto Transit Center to activate the space.

In Q2 staff submitted a funding application for $126,000 to the Bay Area Air District’s Charge! Program. If funded, the project could support the installation of EV charging infrastructure in the City-owned Midtown parking lot in advance of a potential future small-scale neighborhood mobility hub, if feasible. This site could support EV charging and future micromobility services for adjacent multi-family housing and commercial uses.

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

Facility Electrification (Work Plan Items 2.4A, 2.4B, 2.4C; Council Priority Objective CA 20): The City has reviewed the Facility Electrification Assessment reports and supporting data to identify five facilities for the initial Facility Electrification pilot program. This pilot is intended to validate electrification delivery methods, evaluate logistical and construction challenges, and identify best practices for future facility conversions. Outcomes from the pilot will help refine project scoping, scheduling, and procurement strategies, strengthening the City’s long-term facility electrification planning.

The Facility Electrification pilot program was presented to the Climate Action and Sustainability Committee, at which time the following pilot facilities were identified: Golf Course Pro Shop/Restaurant, Ventura Community Center, Art Center, Downtown Library, and College Terrace Library.51
Fleet Electrification (Work Plan Items 2.4D, 2.4E): In Q3, the City replaced three internal combustion engine vehicles with four electric vehicles, consisting of one Ford E-Transit and three Chevrolet Silverado EVs. In Q4, two additional internal combustion engine vehicles were replaced with two Ford E-Transit EVs. As a result, the City fleet now includes 41 active electric vehicles, representing approximately 16% of passenger vehicles and light-duty trucks and vans.

Publicly Owned Charger Planning (Work Plan Item 2.4F): There is no change in the number of City-owned chargers or charger ports since the previous S/CAP Progress Report.52 The e- Mobility Strategic Roadmap, accepted by the City Council in August 2025,53 will guide future publicly owned charger planning.

P2.5. E-Mobility Strategic Plan (CA 18): The City Council accepted the e-Mobility Strategic Roadmap (formerly the EV Strategic Plan) in August 2025 following the CASC recommendation.54 The Roadmap will guide the promotion of e-mobility citywide and the integration of e-mobility into other City efforts, such as active transportation efforts. It was informed by the EV Charger Needs Assessment. A review of e-mobility electric grid impacts, EV charging benefits, mitigation strategies, and opportunities has been incorporated into the Reliability and Resiliency Strategic Plan (see Priority 1, Work Plan Items 1B/1C, above).55 P3. Build Awareness and Confidence
The focus of Priority 3 is to build community awareness and confidence in electrification through engagement, addressing concerns, and program results.

Building Awareness of the Need for and Benefits of Climate Action (Work Plan Item 3.1A): The City continues to publish a monthly Climate Action Blog and Quarterly Sustainability Newsletter. In Q3 and Q4 2025, the City published Climate Blogs in July, September, October, November, and December, and Sustainability Newsletters in August and October. Historically, the Sustainability Newsletters have an average 56% open rate, which is the percentage of readers that open the e-mail sent to them. The average open rate for government e- newsletters is 19.4%.56
51 Climate Action and Sustainability Committee, December 12, 2025; Agenda Item #1; SR #2511-5575; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=84027&dbid=0&repo=PaloAlto 52 City Council, November 3, 2025; Agenda Item #A; SR #2505-4672; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83784&dbid=0&repo=PaloAlto 53 53 City Council, August 18, 2025; Agenda Item #6; SR #2507-4943; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83554&dbid=0&repo=PaloAlto 54 City Council, August 18, 2025; Agenda Item #6; SR #2507-4943; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83554&dbid=0&repo=PaloAlto 55 City Council, April 15, 2024; Agenda Item #4; SR #2401-2496; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=82776&dbid=0&repo=PaloAlto 56 Campaign Monitor, 2022; https://www.campaignmonitor.com/resources/guides/email-marketing-benchmarks/ In Q3 and Q4 2025, the City held one Municipal Services Center Open House (968 attendees), one City Hall Open House, three electric vehicle and e-bike webinars (125 total attendees), five EV and e-bike expos (370 attendees), two gardening and landscape events (68 total attendees), one home electrification webinar (54 attendees), one commercial heat pump water heater webinar, one firescaping 101 webinar (7 attendees), one Scare Faire and Costume Swap, and one heat pump water heater Happy Hour. The City also participated in the Midtown Ice Cream Social (200 attendees) and the California Avenue Third Thursday “Sustainability Fair”.

The City co-sponsored Acterra’s Green@Home Tour on November 8, 2025, which engaged Bay Area residents in a unique opportunity to explore sustainable home electrification. There was a total of 539 attendees, with 55 registered attendees from Palo Alto, and 113 attendees visiting homes in Palo Alto.

In September, the Youth Climate Advisory Board (YCAB), comprised of 11 high school students attending schools in Palo Alto, convened for its second school year. In Q4, 2025, YCAB met monthly and appointed three leadership positions: Chair, Aiden Miao, Junior, Palo Alto High School; Vice Chair, Chanew Kim, Junior, Gunn High School; and Vice Chair Jenna Mu, Sophomore, The Kehillah School.

In December, the City held a public workshop with the Climate Action and Sustainability Committee.63 Participants discussed the insights from the S/CAP Funding Study, challenges it highlighted about community-wide electrification, and ideas being discussed around the region and among City staff to meet those challenges. There were 27 attendees (not including staff and Committee members), which included five students (high school and college) and a staff member from the Bay Area Air District. Staff and the Committee members heard a lot of great ideas about strategies for expanding electrification in Palo Alto that staff is eager to engage with in 2026, as well as positive feedback from attendees and Committee members who found the workshop engaging.

S/CAP Reporting and Surveys (Work Plan Items 3.1C, 3.1D): The City continues to calculate an annual GHG emissions inventory. Both the 2023 and 2024 GHG emissions inventories will be presented to the City Council in March, 2026.

P4. Additional Emissions Reductions
The focus of Priority 4 is to identify an additional 9% in emissions reduction opportunities to achieve 80 x 30, primarily through a focus on studying multi-family and commercial building equipment. The City is finalizing studies of the multi-family and commercial sectors in conjunction with the S/CAP Funding Study but is already making use of the insights delivered by the consultant in S/CAP strategic planning and program design. These studies include review of 63 Climate Action and Sustainability Committee, December 13, 2025; Special Meeting Agenda; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=84040&dbid=0&repo=PaloAlto publicly available data sources and on-site surveys of building equipment at multi-family and commercial buildings. CASC reviewed these studies in December 2025,65 and in January 2026 recommended that the City Council receive the studies. The studies will be provided to the City Council in March, 2026.

P5. Funding Needs and Sources (CA 22)
The focus of Priority 5 is to identify funding needed and potential funding sources for full scale implementation of the highest impact emissions reductions. The S/CAP Funding Study is being finalized as are its companion studies (an EV Charger Needs Assessment, Building Sector Study, and Funding Source Survey). All studies are being completed by the same group of consultants.

Staff and consultants presented preliminary results from the S/CAP Funding Study to the CASC in April 2025. The final draft studies were presented to the CASC in November 2025.66 The City Council will receive the reports in March, 2026.

Sustainability
Water: Further Water Conservation
Maximize Water Conservation and Efficiency (Work Plan Item 8.A): The City has offered an online water management tool, WaterSmart, to customers since 2022. The tool provides information on water consumption and personalized water conservation recommendations. As of December 2025, 36% of all single-family customers have accessed the portal – an increase from 33% as of June 2025. On a monthly basis, all single-family customers receive home water reports via email or regular mail if an email is not on file. The average open rate of home water report emails is 70%. Home water reports result in residential water savings of approximately

26.2 MG (3% savings) annually.

Design and build a salt removal facility for the Regional Water Quality Control Plant (Work Plan Item 8.B): The City Council approved the construction contract for the Local Advanced Water Purification System Project at the Regional Water Quality Control Plant (RWQCP) in May,67 and the Project began construction in June 2025. Once construction is complete, the Project will improve recycled water quality by blending reverse osmosis permeate to encourage expanded use of recycled water for non-potable uses such as irrigation. 65 Climate Action and Sustainability Committee, December 13, 2025; Agenda Item #A; SR #2511-5579; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=84030&dbid=0&repo=PaloAlto 66 Climate Action and Sustainability Committee, November 20, 2025; Agenda Item #2; SR #2507-5028; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83907&dbid=0&repo=PaloAlto 67 City Council, May 19, 2025; Agenda Item #10; SR #2503-4327; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83405&dbid=0&repo=PaloAlto Develop a “One Water” Portfolio for Palo Alto (Work Plan Item 8.C) and develop a tool for dynamic water planning in the future (Work Plan Item 8.D): The City has completed both of these items. Staff developed an Excel-based tool for water planning as part of One Water Plan development. The results of these efforts, including feedback from the Utilities Advisory Commission, were presented to CASC on September 19, 2025.71 The City Council received the One Water Plan as an information report on October 20, 2025.72 Climate Adaptation and Sea Level Rise: Prepare for Climate Change Foothills Fire Management Plan and Collaboration on Reducing Wildfire Hazards (Work Plan Items 8.K, 8.L, 8.M, 8.N; Council Priority Objective PS 58): The City Council accepted the final 2025 Community Wildfire Protection Plan on November 3, 2025. The Foothills Fire Management Plan is now encompassed within the Community Wildfire Protection Plan. Also on November 3, the City Council received the Wildfire Preparedness Audit, with recommendations across many departments that the City could enact to make improvements to this program.73 In the second half of 2025, the City began planning the fire mitigation work for calendar year 2026 in collaboration with Los Altos Hills County Fire District, the Woodside Fire Protection District, as well as the Santa Clara County Firesafe Council (SCCFSC) and the San Mateo County Fire Safe Council. Additionally, staff extended the City’s contractual relationship with the SCCFSC to enable them to perform directed fire management tasks prescribed by the Foothills Fire Management Plan. The SSCFSC sub-contracted the fuel reduction/fire mitigation of Arastradero and Los Trancos Roads in August 2025, and Page Mill Road in September 2025, which resulted in a very aggressive reduction of vegetative fuels to enhance the shaded fuel break of Page Mill Road. City staff accomplished fuel management activities in Foothills and Arastradero Nature Preserves treating 400 acres of fuel reductions. This effort was aided by a rented Green Climber robotic mower which treated 26 additional acres and improved their ability to reach more difficult terrain and reduced staff overhead. This was a successful test of a new tool that can augment fuel management performance, in conjunction with CEQA requirements.

Progress on the Foothills Fire Mitigation Project continues. The City has completed undergrounding 41,700 feet of power lines out of 49,200 feet. Cable installation and energization of 39,200 feet has been completed out of 49,200 feet. Overhead lines have been de-energized up to Foothills Nature Preserve with power running underground.

Develop a Sea Level Rise Adaptation Plan (Work Plan Item 8.F; Council Priority Objective 8): The City has been working on sea level rise adaptation efforts for several years as discussed in 71 Climate Action and Sustainability Committee, September 19, 2025; Agenda Item #1; SR #2509-5164; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83901&dbid=0&repo=PaloAlto 72 City Council, October 20, 2025; Agenda Item #A; SR #2509-5258; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83667&dbid=0&repo=PaloAlto 73 City Council, November 3, 2025; Agenda Item #2; SR #2510-5338; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83775&dbid=0&repo=PaloAlto previous S/CAP Progress Reports.77 Accomplishments to date include completing the “San Francisquito Creek Downstream Project” to protect the adjacent area from three feet of sea level rise and a 100-year storm, a Sea Level Rise Vulnerability Assessment, online mapping tools that help City engineers and project planners design for future sea level rise conditions, elevated equipment and the inclusion of sea level rise in the Long Range Facility Plan Update for the Regional Water Quality Control Plant, construction commencement for the Palo Alto Horizontal Levee Pilot Project, and the development of K-5 sea level rise school curricula.

In 2023, SB 272 (Laird) initiated new statewide requirements for local sea level rise adaptation planning. The San Francisco Bay Conservation and Development Commission (BCDC) administers these requirements for local governments in the Bay Area via the Regional Shoreline Adaptation Plan (RSAP). On September 30, 2025, Santa Clara County Office of Sustainability was awarded a $2.6 million Ocean Protection Council grant to develop a multi- jurisdictional “subregional” sea level rise vulnerability assessment and adaptation plan for RSAP project partners which include Palo Alto, Mountain View, Sunnyvale, San Jose, Milpitas and Santa Clara. This team will work closely with Valley Water and Valley Transportation Authority.

The project will submit a subregional vulnerability assessment to BCDC in summer 2027 and a subregional shoreline adaptation plan in 2029. The City submitted a letter of commitment to participate in this effort in summer 2025. The grant partnership will complement Palo Alto’s sea level rise planning work to date in addition to providing a project funding strategy and cost of inaction, a CEQA determination, a list of potential projects, and ensuring that social equity considerations have been properly vetted.

Begin Design Process for Levee Projects (Work Plan Item 8.G): Construction of the Palo Alto Horizontal Levee Pilot Project (PAHLPP) began in September 2025 and is set to finish in summer 2026. Horizontal levees are nature-based sea level rise adaptations with multiple benefits over traditional flood-control levees such as habitat enhancement, sea level rise adaptation, and additional wastewater treatment. The PAHLPP will be the first horizontal levee to be built in the Bay Area to be both irrigated with treated wastewater and hydrologically connected to San Francisco Bay. The project will provide much-needed data to inform the design of future horizontal levees around the greater San Francisco Bay Area. The City has also developed three interpretive signs, including one in partnership with the Association of Ramaytush Ohlone.

Identify Protection Strategies from Significant Flood Events at Newell Road Bridge (Work Plan Item 8.H; Council Priority Objective CA 2): The Newell Road Bridge Replacement Project pre- construction activities began in summer 2025, with construction taking 1.5 years to complete.

Identify Protection Strategies from Significant Flood Events (Work Plan Item 8.I, 8.J; Council Priority Objective CA 3, CA 11): There are no updates to this work plan item since the previous 77 All previous S/CAP reports are available on the City website: https://www.paloalto.gov/City- Hall/Sustainability/Emissions-Reduction-Goals-and-Progress/Sustainability-Actions-and-Accomplishments S/CAP Progress Report.79 The San Francisquito Creek Joint Powers Authority (SFCJPA) is the project lead. The City will continue to provide assistance through review and City Councilmember participation in SFCJPA Board discussions.

Hamilton Avenue Storm Drain Capacity Upgrades (CA 16): While the S/CAP work plan focuses on Pope Chaucer Bridge and San Francisquito Creek through the partnership with SFCJPA, a storm drain improvement project that also serves to mitigate Creek flooding is underway at Hamilton Avenue. The City awarded the construction contract for Hamilton Avenue Storm Drain Capacity Upgrades in fall 2025.80 Construction began in December 2025 and is expected to be completed within approximately one year.

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

8.P): The City will publish the new Tree and Landscape Technical Manual in early 2026. The manual is a companion document to the Tree Protection Ordinance and will provide guidance to residents, property owners, and industry professionals on both required and recommended practices regarding trees and landscaping.81 The primary focus is on preserving and growing urban canopy during development. Included in the new manual are an updated Model Water Efficient Landscape Ordinance process, revised tree replacement calculations that account for canopy size of the replacement tree(s), and updated in-lieu fees for when trees can not be planted on site.

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

S/CAP has the goal of restoring and enhancing resilience and biodiversity of our natural environment throughout the City. Coordinating implementation and updates of City plans allows for achieving multiple benefits. A recent example of this coordination is the participation of multiple City departments in work on the San Antonio Road Area Plan, including contributions to the Existing Conditions Assessment presented to the City Council in October.82 The e-Mobility Strategic Roadmap is also an exemplar of coordination between programs and departments involved in implementing the S/CAP.

Support the Green Stormwater Infrastructure (GSI) Plan and incorporate GSI in Municipal Projects (Work Plan Item 8.S): Staff will request that City Council approve a contract in early 79 City Council, November 3, 2025; Agenda Item #A; SR #2505-4672; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83784&dbid=0&repo=PaloAlto 80 City Council, October 6, 2025; Agenda Item #5, SR #2507-5009; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83624&dbid=0&repo=PaloAlto 81 Palo Alto Municipal Code Title 8; https://codelibrary.amlegal.com/codes/paloalto/latest/paloalto_ca/0-0-0- 65799
82 City Council, October 6, 2025; Agenda Item #3; SR #2509-5194; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83631&dbid=0&repo=PaloAlto 2026 to develop the design for a proposed GSI project in a City park. Completion of the design is expected in summer 2027.

Zero Waste: Support Waste Reduction
Encourage Commercial Food Waste Prevention and Provide Technical Assistance (Work Plan Items 8.T, 8.W): There are no updates on this work item since the previous S/CAP Progress Report.87
Promote Residential Food Waste Reduction (Work Plan Item 8.U): There are no updates to this item since the previous S/CAP Progress Report. The technical assistance, outreach, assessments of compliance with Senate Bill 1383 – the State’s Short-Lived Climate Pollutant legislation – and inspections are on-going.

Champion Waste Prevention, Reduction, Reusables, and the Sharing Economy (Work Plan Item

8.V): There are no updates to this item since the previous S/CAP Progress Report. As of June 2025, the open rate for the Zero Waste Minute weekly e-newsletter averaged 52 to 54%.

Prioritize Domestic Processing of Recyclable Materials (Work Plan Item 8.X): There are no updates to this item since the previous S/CAP Progress Report. Domestic processing for mixed paper and mixed rigid plastics began in April 2022. The City continues to review processing efforts.

Eliminate Single-Use Disposable Containers (Work Plan Item 8.Y): The City is reviewing the strategy and timeline for expanding the Disposable Foodware Ordinance and preparing to evaluate the compliance of food services establishments with existing requirements.

Expand the Deconstruction and Construction Materials Management Ordinance (Work Plan Item 8.Z): There are no updates to this item since the previous S/CAP Progress Report. The City continues to conduct outreach and educate homeowners, general contractors, and architects on the deconstruction ordinance requirements when building permit applications are submitted and when permits are issued. Number of projects and percentages of recovered, recycled, and landfilled materials are measured each fiscal year and reported in calendar year Q1-2 S/CAP Progress Reports.

FISCAL/RESOURCE IMPACT
Current and future initiatives will be managed and funded across various departments and funds. No new funding is needed, and the implementation of this 2023-2025 S/CAP Work Plan is subject to the standard budget appropriation process. 87 City Council, November 3, 2025; Agenda Item #A; SR #2505-4672; https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83784&dbid=0&repo=PaloAlto Some items in other work plans are also relevant to the S/CAP Work Plan. The Utilities Strategic Plan, for example, includes workforce development and advanced metering infrastructure (AMI) work items that are directly relevant to S/CAP. Some of these may involve future budget requests as well.

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

ENVIRONMENTAL REVIEW
This report is for informational purposes only with no action required by the City Council and therefore it is not a project subject to review under the California Environmental Quality Act (CEQA).

ATTACHMENTS
None.

APPROVED BY:

Brad Eggleston, Director Public Works/City Engineer