Cities Index.
Agenda packet

Palo Alto City Council
April 6, 2026

Document
Agenda packet
Meeting
April 6, 2026
Body
Palo Alto City Council
Pages
8
Original file
90.7 MB
Text extracted from the city's file for reading and search. Open the original on cityofpaloalto.primegov.com. That file is the official record.

CITY COUNCIL
Regular Meeting
Monday, April 06, 2026
Council Chambers & Hybrid
5:30 PM
Amended Agenda
Amended agenda items appear below in RED (Time Estimates Updated)

Palo

Alto

City

Council

meetings

will

be

held

as

“hybrid”

meetings

with

the

option

to

attend

by
teleconference

or

in

person.

Information

on

how

the

public

may

observe

and

participate

in

the
meeting

is

located

at

the

end

of

the

agenda.

The

meeting

will

be

broadcast

on

Cable

TV

Channel
26,

live

on

YouTube

https://www.youtube.com/c/cityofpaloalto
,

and

streamed

to

Midpen

Media
Center
https://midpenmedia.org
.

VIRTUAL PARTICIPATION

CLICK HERE TO JOIN

(
https://cityofpaloalto.zoom.us/j/362027238
)
Meeting ID: 362 027 238 Phone:1(669)900-6833

PUBLIC COMMENTS
General

Public

Comment

for

items

not

on

the

agenda

will

be

accepted

in

person

for

up

to

three
minutes

or

an

amount

of

time

determined

by

the

Chair.

General

public

comment

will

be

heard
for

30 minutes.

Additional

public

comments,

if

any,

will

be

heard

at

the

end

of

the

agenda.

Public

comments

for

agendized

items

will

be

accepted

both

in

person

and

via

Zoom

for

up

to
three

minutes

or

an

amount

of

time

determined

by

the

Chair.

Requests

to

speak

will

be

taken
until

5 minutes

after

the

staff’s

presentation

or

as

determined

by

the

Chair.

Written

public
comments

can

be

submitted

in

advance

to

[email protected]

and

will

be

provided

to
the

Council

and

available

for

inspection

on

the

City’s

website.

Please

clearly

indicate

which
agenda

item

you

are

referencing

in

your

subject

line.

Multiple

individuals

who

wish

to

speak

on
the

same

item

may

designate

a

spokesperson.

Spokespersons

must

be

representing

five

or

more
verified

individuals

who

are

present

either

in

person

or

via

zoom.

Spokespeople

will

be

allowed
up

to

10 minutes,

at

the

discretion

of

the

presiding

officer.

Speaking

time

may

be

reduced

if

the
presiding officer reduces the speaking time for individual speakers.

PowerPoints,

videos,

or

other

media

to

be

presented

during

public

comment

are

accepted

only
by

email

to

[email protected]

at

least

24 hours

prior

to

the

meeting.

Once

received,

the

Clerk

will

have

them

shared

at

public

comment

for

the

specified

item.

To

uphold

strong
cybersecurity

management

practices,

USB’s

or

other

physical

electronic

storage

devices

are

not
accepted.

Signs

and

symbolic

materials

less

than

2 feet

by

3 feet

are

permitted

provided

that:
(1)

sticks,

posts,

poles

or

similar/other

type

of

handle

objects

are

strictly

prohibited;

(2)

the
items

do

not

create

a

facility,

fire,

or

safety

hazard;

and

(3)

persons

with

such

items

remain
seated

when

displaying

them

and

must

not

raise

the

items

above

shoulder

level,

obstruct

the
view or passage of other attendees, or otherwise disturb the business of the meeting.

TIME ESTIMATES
Listed

times

are

estimates

only

and

are

subject

to

change

at

any

time,

including

while

the
meeting

is

in

progress.

The

Council

reserves

the

right

to

use

more

or

less

time

on

any

item,

to
change

the

order

of

items

and/or

to

continue

items

to

another

meeting.

Particular

items

may

be
heard

before

or

after

the

time

estimated

on

the

agenda.

This

may

occur

in

order

to

best

manage
the time at a meeting or to adapt to the participation of the public.

1 April 06, 2026
Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas
.

CALL TO ORDER

SPECIAL ORDERS OF THE DAY (5:30 - 5:55 PM)

1. Interview Candidate for Vacancies on the Planning & Transportation Commission; CEQA Status - Not a Project

AGENDA CHANGES, ADDITIONS AND DELETIONS

PUBLIC COMMENT (5:55 - 6:25 PM)
Members of the public may speak in-person ONLY to any item NOT on the agenda. 1-3 minutes depending on number of speakers. Public Comment is limited to 30 minutes. Additional public comments, if any, will be heard at the end of the agenda.

COUNCIL MEMBER QUESTIONS, COMMENTS, ANNOUNCEMENTS (6:25 - 6:35 PM) Members of the public may not speak to the item(s).

STUDY SESSION (Item 2: 6:35 - 7:35 PM, Item 3: 7:35 - 8:35 PM)

2. Discussion of Nonprofit Partnership Workplan Phase I Purpose and Improvements for FY 2027. CEQA Status – Not a project.

3. San Antonio Road Area Plan Update and Council Feedback on Draft Land Use and Transportation Concepts and Alternatives. CEQA Status: Exempt under CEQA Guidelines Section 15262.

CONSENT CALENDAR (8:35 - 8:40 PM)
Items will be voted in one motion unless removed from the calendar by three Council Members.

4. Approval of Minutes from March 16 and March 23, 2026 Meeting

5. Approval of Construction Contract No. C26196846 with FieldTurf USA, Inc. in an Amount Not-to-Exceed $878,919 for El Camino Park Turf Replacement PG-24000, Including Authorization to Execute Change Orders; and Amend the FY 2026 Budget Appropriation in the Capital Improvement Fund; CEQA status – categorically exempt under CEQA Guidelines sections 15301 (Existing Facilities) and 15302 (Replacement or Reconstruction).

Supplemental Report added

2 April 06, 2026
Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas
.

6. Approval of General Services Contract No. C26194173 with Duke’s Root Control for a Total Not-to-Exceed Amount of $279,098 and a Three-Year Term and for Root Foaming Treatment Services; and Finding of California Environmental Quality Act (CEQA) Categorical Exemption pursuant to CEQA Guideline 15301, Maintenance of Existing Facilities

7. Approval of a Final Map for the Properties Located at 4335 and 4345 El Camino Real to Allow for a Condominium Subdivision to Create Eight Units on a 17,406-Square-Foot Parcel and to Create 21 Units on a 41,370-Square-Foot Parcel and the Naming of Three Private Streets Associated With the Development (25PLN-00160). CEQA Status: Exempt pursuant to CEQA Guidelines Section 15332 (In-fill Development). Zoning District: CS (Service Commercial).

8. Approval of Contract Amendment Number 2 to Contract Number C21177635B with Ingram Library Services in the amount of $664,000 for Print Materials and Services for a new not-to-exceed (NTE) of $1,119,000 and to extend the contract term to June 30, 2028, Contract Amendment Number 2 to Contract Number C21177635C with Midwest Tape in the amount of $360,000 for Media and Digital Materials and Services for a new NTE of $1,113,000 and to extend the contract term to June 30, 2028, and Contract Amendment Number 1 to Contract Number C25190507 with OverDrive in the amount of $200,000 for Digital Materials and Services for a new NTE of $400,000 and to extend the contract term to June 30, 2028; CEQA Status – Not a Project.

9. Approval of Amendment Number 2 to Contract Number S20178516 with Hohbach-Lewin Inc. to Increase Compensation by $10,000, Revising the Amount Not-to-Exceed to $70,000 and Extend the Contract Term Through March 30, 2029, for On-Call Structural Engineering Services for Public Art Installations; CEQA Status – exempt under regulation 15061(b)(3).

10. QUASI-JUDICIAL. 530 Barron Avenue [25PLN-00021]: Appeal of Director’s Decision to Deny an Individual Review Application to Allow Partial Deconstruction of an Existing 924-Square-Foot Single-Story Residence and to Allow the Construction of a New 2,528- Square-Foot Two Story Single-Family Residence with Attached One-Car Garage, 303- Square-Foot Junior Accessory Dwelling Unit and 497-Square-Foot of Existing House Converted to Detached Accessory Dwelling Unit. CEQA Status: Exempt from the Provisions of CEQA in Accordance with CEQA Guidelines Section 15303. Zoning District:

R-1 (Single-Family Residential).

11. SECOND READING: Ordinance of the Council of the City of Palo Alto Amending Title 18
(Zoning)
Chapter 18.70 (Nonconforming Uses and Noncomplying Facilities)

of the Palo
Alto Municipal Code to
Amend Requirements Relating to Accessory Dwelling Units and

3 April 06, 2026
Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas
.

Junior Accessory Dwelling Units

Allow De Minimis Exceptions

(FIRST READING: March 9,
2026; PASSED: 7-0)
Title Updated, Supplemental Report added

12. SECOND READING: Ordinance of the Council of Authorizing Work in the Baylands Related to the Adjacent Development at 2100-2400 Geng Road (24-PLN-00356) (FIRST READING: March 16, 2026; PASSED 7-0)

13. SECOND READING: Ordinance of the Council of the City of Palo Alto Amending Chapter

18.40 (General Standards and Exceptions) of Title 18 (Zoning) of the Palo Alto Municipal Code to Adopt Bird Friendly Design Standards (FIRST READING: March 16, 2026; PASSED: 5-2, Lu, Lythcott-Haims no)
CITY MANAGER COMMENTS (8:40 - 8:50 PM)

BREAK (15 MINUTES)

ACTION ITEMS (Item AA1: 9:05 - 9:35 PM; Item 14: 9:35 - 10:20 PM; Item 15: 10:20 - 10:50 PM) Include: Report of Committees/Commissions, Ordinances and Resolutions, Public Hearings, Report of Officials, Unfinished Business and Council Matters.

AA1.

Approval of Selection of and Employment Agreement with James Reifschneider as the Chief of Police at an Annual Salary of $363,584; CEQA Status – Not a Project New Item
Added

14. Approval of FY 2026-2027 Human Relations Commission, Parks and Recreation Commission, Public Art Commission, and Stormwater Management Oversight Committee Work Plans; CEQA Status - not a project

15. Adoption of Recommendations by the Policy & Services Committee Implementing Changes to Meeting Procedures Related to Teleconferencing, Remote Public Participation, Translation and Interpretation Assistance, and Expanded Public Outreach; CEQA Status – Not a Project.

16. Approval of City Council Values (as Recommended by Policy & Services Committee), 2026 Objectives, Ad Hoc Purpose Statements, and Committee Workplans (Continued from 3/9/2026 - On March 9, 2026, the Council Received Presentations and Public Testimony; the Item Will be Continued to April 6 for further Council Deliberation and Action - No Public Testimony Will be Heard on April 6.)

Item Removed Off Agenda

4 April 06, 2026
Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas
.

ADJOURNMENT

OTHER INFORMATION
Standing Committee Meetings this week

Finanace Committee April 7, 2026

Public Comment Letters
Schedule of Meetings

AMENDED AGENDA ITEMS

5. Approval of Construction Contract No. C26196846 with FieldTurf USA, Inc. in an Amount Not-to-Exceed $878,919 for El Camino Park Turf Replacement PG-24000, Including Authorization to Execute Change Orders; and Amend the FY 2026 Budget Appropriation in the Capital Improvement Fund; CEQA status – categorically exempt under CEQA Guidelines sections 15301 (Existing Facilities) and 15302 (Replacement or Reconstruction).

Supplemental Report added

11. SECOND READING: Ordinance of the Council of the City of Palo Alto Amending Title 18
(Zoning)
Chapter 18.70 (Nonconforming Uses and Noncomplying Facilities)

of the Palo
Alto Municipal Code to
Amend Requirements Relating to Accessory Dwelling Units and Junior Accessory Dwelling Units

Allow De Minimis Exceptions

(FIRST READING: March 9,
2026; PASSED: 7-0)
Title Updated, Supplemental Report added

AA1.

Approval of Selection of and Employment Agreement with James Reifschneider as the Chief of Police at an Annual Salary of $363,584; CEQA Status – Not a Project New Item
Added

16. Approval of City Council Values (as Recommended by Policy & Services Committee), 2026 Objectives, Ad Hoc Purpose Statements, and Committee Workplans (Continued from 3/9/2026 - On March 9, 2026, the Council Received Presentations and Public Testimony; the Item Will be Continued to April 6 for further Council Deliberation and Action - No Public Testimony Will be Heard on April 6.)

Item Removed Off Agenda

5 April 06, 2026
Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas
.

PUBLIC COMMENT INSTRUCTIONS
Members

of

the

Public

may

provide

public

comments

to

teleconference

meetings

via

email,
teleconference, or by phone.

1. Written public comments
may be submitted by email to
[email protected]
.

2. For

in

person

public

comments

please

complete

a

speaker

request

card

located

on

the
table

at

the

entrance

to

the

Council

Chambers

and

deliver

it

to

the

Clerk

prior

to
discussion of the item.

3. Spoken

public

comments

for

agendized

items

using

a

computer

or

smart

phone

will

be
accepted

through

the

teleconference

meeting.

To

address

the

Council,

click

on

the

link
below to access a Zoom-based meeting. Please read the following instructions carefully. ◦
You

may

download

the

Zoom

client

or

connect

to

the

meeting

in-

browser.

If

using
your

browser,

make

sure

you

are

using

a

current,

up-to-date

browser:

Chrome

30 ,
Firefox

27 ,

Microsoft

Edge

12 ,

Safari

7 .

Certain

functionality

may

be

disabled

in
older

browsers

including

Internet

Explorer.

Or

download

the

Zoom

application

onto
your

smart

phone

from

the

Apple

App

Store

or

Google

Play

Store

and

enter

in

the
Meeting ID below.
◦
You

may

be

asked

to

enter

an

email

address

and

name.

We

request

that

you
identify

yourself

by

name

as

this

will

be

visible

online

and

will

be

used

to

notify

you
that it is your turn to speak.
◦
When

you

wish

to

speak

on

an

Agenda

Item,

click

on

“raise

hand.”

The

Clerk

will
activate

and

unmute

speakers

in

turn.

Speakers

will

be

notified

shortly

before

they
are called to speak.
◦
When

called,

please

limit

your

remarks

to

the

time

limit

allotted.

A

timer

will

be
shown on the computer to help keep track of your comments.

4. Spoken

public

comments

for

agendized

items

using

a

phone

use

the

telephone

number
listed

below.

When

you

wish

to

speak

on

an

agenda

item

hit

*9

on

your

phone

so

we
know

that

you

wish

to

speak.

You

will

be

asked

to

provide

your

first

and

last

name

before
addressing

the

Council.

You

will

be

advised

how

long

you

have

to

speak.

When

called
please limit your remarks to the agenda item and time limit allotted.

CLICK HERE TO JOIN
Meeting ID: 362-027-238 Phone: 1-669-900-6833
Americans

with

Disability

Act

(ADA)

It

is

the

policy

of

the

City

of

Palo

Alto

to

offer

its

public
programs,

services

and

meetings

in

a

manner

that

is

readily

accessible

to

all.

Persons

with
disabilities

who

require

materials

in

an

appropriate

alternative

format

or

who

require

auxiliary
aids

to

access

City

meetings,

programs,

or

services

may

contact

the

City’s

ADA

Coordinator

at
(650)

329-2550

(voice)

or

by

emailing

[email protected]
.

Requests

for

assistance

or
accommodations

must

be

submitted

at

least

24 hours

in

advance

of

the

meeting,

program,

or
service.

6 April 06, 2026
Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas
.

California

Government

Code

§84308
,

commonly

referred

to

as

the

"Levine

Act,"

prohibits

an
elected

official

of

a

local

government

agency

from

participating

in

a

proceeding

involving

a
license,

permit,

or

other

entitlement

for

use

if

the

official

received

a

campaign

contribution
exceeding

$500

from

a

party

or

participant,

including

their

agents,

to

the

proceeding

within

the
last

12 months.

A

“license,

permit,

or

other

entitlement

for

use”

includes

most

land

use

and
planning

approvals

and

the

approval

of

contracts

that

are

not

subject

to

lowest

responsible

bid
procedures

and

have

a

value

over

$50,000.

A

“party”

is

a

person

who

files

an

application

for,

or
is

the

subject

of,

a

proceeding

involving

a

license,

permit,

or

other

entitlement

for

use.

A
“participant”

is

a

person

who

actively

supports

or

opposes

a

particular

decision

in

a

proceeding
involving

a

license,

permit,

or

other

entitlement

for

use,

and

has

a

financial

interest

in

the
decision.

The

Levine

Act

incorporates

the

definition

of

“financial

interest”

in

the

Political

Reform
Act,

which

encompasses

interests

in

business

entities,

real

property,

sources

of

income,

sources
of

gifts,

and

personal

finances

that

may

be

affected

by

the

Council’s

actions.

If

you

qualify

as

a
“party”

or

“participant”

to

a

proceeding,

and

you

have

made

a

campaign

contribution

to

a
Council

Member

exceeding

$500

made

within

the

last

12 months,

you

must

disclose

the
campaign contribution before making your comments.

7 April 06, 2026
Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas
.

City Council
Staff Report
From: City Clerk
Report Type: SPECIAL ORDERS OF THE DAY
Lead Department: City Clerk
Meeting Date: April 6, 2026
Report #:2603-6135
TITLE
Interview Candidate for Vacancies on the Planning & Transportation Commission; CEQA Status - Not a Project

BACKGROUND
The City Council selected candidates to interview at the March 2, 20261 City Council meeting for the Human Relations Commission, Planning & Transportation Commission, and the Utilities Advisory Commission. Recruitment for the Historic Resources Board and Stormwater Management Oversight Committee was extended.

City Council conducted interviews for all three commissions at the March 23, 2026, City Council meeting2. Two candidates, Martin Blanchet and Daniel Phillip Benas, were unable to attend the interviews on that date. We have scheduled these two interviews for the April 6, 2026, City Council meeting and the candidates have confirmed their attendance with the City Clerk.

Candidates have been informed of the following:

1. Each interview is scheduled for 10 minutes. Candidates may begin with 1-2 minutes describing their experience and/or desire to serve. The remaining time will be Q+A with the City Council;

2. Interviews are located in Council Chambers on the ground floor of City Hall (250 Hamilton Ave) or on Zoom;

3. Please arrive to Council Chambers or join Zoom 15 minutes before the scheduled time and check in with the clerk; and

4. If joining via Zoom, make sure to use your name so the clerk can identify the candidate.

Please use this link to join https://cityofpaloalto.zoom.us/j/362027238. The clerk will allow you to unmute and turn on your video when it’s your turn. 1 March 2, 2026, City Council Meeting YouTube Video: https://www.youtube.com/watch?v=P26S0WrCNoM 2 March 23, 2026, City Council Meeting YouTube Video: https://www.youtube.com/watch?v=GH4VheJi9LE Item 1
Item 1 Staff Report

Item 1: Staff Report
Pg.
1 Packet Pg. 8 of 613

Interview Schedule:
5:35 – 5:45 PM Daniel Phillip Benas In Person
5:45 – 5:55 PM Martin (Iris) Blanchet In Person

ANALYSIS
A summary of the openings, eligibility requirements, and term lengths for the PTC vacancies are included below. In addition to the eligibility requirements below, no commissioners can be Councilmembers, officers, or employees of the City.

Planning & Transportation Commission (PTC)
Vacancies and
Term Dates
Seat Numbers Number of
Applicants
Number of
Candidates to
Interview
Number of
Votes per
Councilmember
2 Full Terms
4/1/26 – 3/31/30
1, 4 11 Up to 6 4
PTC Eligibility Requirements5:
Palo Alto residency is required

FISCAL/RESOURCE IMPACT
None.

ENVIRONMENTAL REVIEW
Council action on this item is not a project as defined by CEQA because it is an organizational or administrative activity that will not result in direct or indirect physical changes in the environment. CEQA Guidelines section 15378(b)(5).

ATTACHMENTS
None.

APPROVED BY:

Mahealani Ah Yun, City Clerk
5 Palo Alto Municipal Code 2.20.010 https://codelibrary.amlegal.com/codes/paloalto/latest/paloalto_ca/0-0-0- 61274
Item 1
Item 1 Staff Report

Item 1: Staff Report
Pg.
2 Packet Pg. 9 of 613

City Council
Staff Report
From: City Manager
Report Type: STUDY SESSION
Lead Department: City Manager
Meeting Date: April 6, 2026
Report #:2603-6028
TITLE
Discussion of Nonprofit Partnership Workplan Phase I Purpose and Improvements for FY 2027.

CEQA Status – Not a project.

RECOMMENDATION
That the City Council discuss and provide feedback on the Nonprofit Partnership Workplan (NPW) Phase I purpose and improvements and, given the City’s FY 2027 projected $14.9 million deficit and planned General Fund reductions, and consider suspending the NPW Phase I pilot in FY 2027 (no FY 2027 solicitation) and return in FY 2028 with a refined approach.

EXECUTIVE SUMMARY
The Nonprofit Partnership Workplan (NPW) Phase I pilot, implemented in FY 2026, improved transparency in how nonprofit funding requests were evaluated during the City’s annual budget adoption process. A total of $506,646 was awarded to 17 nonprofit organizations, including four new partnerships serving the Palo Alto community.

Feedback from the City Council, the Policy & Services Committee, and nonprofit partners indicates that Phase I’s purpose and structure need refinement—particularly to reduce confusion about whether Phase I is a grant program versus a budget evaluation process, and to clarify its relationship to the Human Services Resource Allocation Process (HSRAP). The purpose of this study session is to review Phase I’s policy purpose, how it should align with existing funding mechanisms, and potential process improvements should the City choose to continue or redesign the approach.

Looking ahead to FY 2027, staff is currently developing budget recommendations that recognize the City faces significant fiscal constraints, including a projected budget deficit and a balancing strategy that reflect reduced General Fund resources. In this context, staff anticipates recommending no funding for NPW Phase I in the FY 2027 recommended budget. This suggests not inviting requests in FY 2027, with the intent to revisit the program in FY 2028 after incorporating City Council feedback and identifying a clear and sustainable approach to Item 2
Item 2 Staff Report

Item 2: Staff Report
Pg.
1 Packet Pg. 10 of 613

discretionary funding. Should the City Council wish to proceed with the process for FY 2027, staff will continue work with the Policy & Services Committee to prioritize refining the program.

BACKGROUND
On December 15, 20251, the City Council approved continuing the Nonprofit Partnership Workplan Phase I funding process in the FY 2027 Budget Cycle and referred refinements of the process to the Policy & Services Committee with a return to Council in early 2026. The Phase I process is part of a broader effort to improve the City’s best practices for nonprofit partnerships and contract management, consistent with recommendations from the 2022 City Auditor’s report2. The pilot focused on improving how nonprofit funding requests that fall outside existing funding mechanisms are evaluated during the annual City budget process.

In debriefing the outcome of the NPW Phase I pilot, the 2025 Policy & Services Committee discussed possible refinements at its January 14, 2026 meeting3. The overall sentiment was that the process produced positive outcomes, funding 17 nonprofit organizations, four of which were new partnerships to provide services to the Palo Alto community. The pilot revealed structural and policy issues, which require refining. Staff presented a set of process improvements informed by stakeholder feedback for the Committee to consider. These included clarifying application eligibility requirements, establishing funding priorities, defining nonprofit service categories, enhancing application design and nonprofit engagement, and clarifying roles between the Finance Committee and the Policy and Services Committee.

The Committee suggested several administrative improvements but also expressed the need to clarify and refine Phase I’s policy purpose and define its relationship to the Human Services Resource Allocation Process (HSRAP). In discussing future direction, Committee members expressed differing perspectives on how Phase I could evolve in FY 2027. Views ranged from maintaining Phase I as a mechanism to address funding gaps within the nonprofit community, to repositioning it as a discretionary funding source focused on innovative or emerging initiatives, to redirecting resources to increase support for HSRAP.

This study session provides an opportunity for the Council to provide feedback on the purpose of the NPW Phase I process, its relationship to HSRAP, and proposed process improvements. 1 12/15/2025 City Council Meeting:
https://cityofpaloalto.primegov.com/meetings/ItemWithTemplateType?id=10222&meetingTemplateType=2&com piledMeetingDocumentId=18036
2 2022 City Auditor Report on Nonprofit Agreement Risk Management Review:
https://cityofpaloalto.primegov.com/Public/CompiledDocument?meetingTemplateId=9028&compileOutputType= 1 3 1/14/2026 Policy & Services Committee Meeting:
https://cityofpaloalto.primegov.com/meetings/ItemWithTemplateType?id=10664&meetingTemplateType=2&com piledMeetingDocumentId=18259
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Concurrently, however, the likely limited funding availability in FY 2027 suggests that refining the program could be deferred.

ANALYSIS
The FY 2026 the NPW Phase I pilot enhanced transparency in the funding process and resulted in the award of $506,646 to 17 new and existing partners delivering community programs. As the Council considers whether to continue Phase I in FY 2027, it is important to do so within the context of the City’s broader financial outlook, as discussed on January 20, 2026,7 as well as consideration of recent urgent funding needs such as Oversized Vehicles parking regulation, railroad crossing monitoring, and funding allcove youth mental health services.

The FY 2027 forecast reflects a projected $14.9 million deficit, driven largely by declining sales tax revenues. In response, the Council approved a balancing strategy that includes developing a budget with approximately $7 million in General Fund reductions, along with adjustments to the Capital Improvement Program, pension cost contributions, use of stabilization reserves, and exploration of new revenue sources. Funding the Phase I process would widen the deficit by any amount allocated to it.

Given these fiscal constraints, staff recommends that the Council consider suspending the Phase I pilot in FY 2027, with the intent to revisit the program in FY 2028 incorporating Council feedback on the refinements outlined below.

NPW Phase I Purpose
The Phase I process is designed to provide the City Council with a fair and equitable way to evaluate nonprofit funding requests during the Budget Adoption process; notable it was not intended to represent a new grant program. This distinction was a source of confusion among the nonprofit applicants, especially those with multi-year or ongoing service agreements with the City. In the past, the City Council approved funding requests from nonprofits with no notifications or criteria for selection.

A key challenge was the high number of applications submitted by existing grant recipients.

While they were not discouraged from applying, their participation limited opportunities for nonprofits without established funding from the City. This dynamic was compounded by the difficulty of clearly communicating the new process. The broad and flexible parameters made it challenging to provide straightforward guidance, resulting in confusion among nonprofit partners, particularly existing recipients, about whether the process applied to them and how it differed from a traditional grant program or multi-year service contracts. As a result, some 7 1/20/2026 City Council Meeting:
https://cityofpaloalto.primegov.com/meetings/ItemWithTemplateType?id=10251&meetingTemplateType=2&com piledMeetingDocumentId=18295
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partners defaulted to applying out of uncertainty, contributing to the disproportionate number of applications from organizations already receiving City funding.

On January 14, 2026, the 2025 Policy & Services Committee discussed this dynamic and the challenge of creating a clear path forward. Committee members expressed differing perspectives on how Phase I could evolve in FY 2027. Views ranged from maintaining Phase I as a mechanism to address funding gaps within the nonprofit community, to repositioning it as a discretionary funding source focused on innovative or emerging initiatives, to redirecting resources to increase support for HSRAP. Given the wide range of perspectives on the future of the NPW Phase I process, the Policy & Services Committee agreed that the policy purpose must be clarified before procedural adjustments. City Council feedback is needed to clarify its purpose and intent for FY 2027.

Possible improvements could include all or a combination of the following:
Exclude nonprofits that receive funding through existing grant programs or have a multi- year service agreement from the Phase I funding application process. Expand and broaden the scope of the existing Emerging Needs Fund process to support larger funding requests and funding categories for unanticipated nonprofit needs throughout the year.
Consider expanding HSRAP (or rebranding as Community Need Grants) to include funding gaps such as arts, culture, workforce development, and environmental stewardship. Ensure adequate funding is allocated to accommodate increase in scope.

Staff has compiled a table with all nonprofit grants and service agreements above $10,000 to provide a “big picture” overview of nonprofit funding beyond Phase I grants alone (Attachment A). A summary of funding by source:

FY HSRAP CDBG Phase I
Grants
Operating
Services
Total
FY 2026 $911,431 154,812 $506,646* $5,163,723 $6,736,612 Anticipated
FY 2027
Amounts
$942,971 $152,000 TBD $5,476,223 $6,571,194
*Includes two $5,000 grants not listed in Attachment A
Overall, a key concern expressed by nonprofit public comments as well as the Policy & Services Committee was to avoid undermining Palo Alto’s collaborative nonprofit ecosystem and avoid a situation where nonprofits feel pitted against one another.

Proposed Process Improvements
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While the 2025 Policy & Services Committee did not make formal recommendations at its January 14, 2026 meeting, there was general consensus on various administrative areas of improvement. Below is a list of discussion points:
Improve coordination between Finance and Policy & Services Committee. The Finance Committee should set the Phase I budget for the fiscal year and the Policy & Services Committee should make award recommendations to the City Council based on the established budget.
Add a partial funding disclosure question to the application to help evaluate award recommendations.
Consider routing applications through the Human Resources Commission for review and recommendation to the Policy & Services Committee.
Replace alignment with Council Priorities in the Phase I application with other priority or community needs criteria.
Frame future Phase I process funding as discretionary and non-guaranteed. Include funding categories in the application for applicants to self-select (special needs, youth services, arts & culture, climate action & natural resources, services for the unhoused, senior services, workforce development, Other) Revise the application (as proposed in Attachment B) to remove redundant or low-value questions identified during the evaluation process.
Improve nonprofit outreach and guidance on Phase I process, including posting a template service agreement on the City’s website to increase transparency on contractual expectations.

Timeframe Considerations
Although staff suggests not soliciting proposals for FY 2027, should the City Council wish to continue the NPW Phase I process in FY 2027, two timelines are outlined for consideration.

Option 1 ensures that awards to specific nonprofits are approved by the City Council during the Budget Adoption Process, however, is an aggressive and compressed timeframe. In this scenario, nonprofits will have only two weeks to apply. Option 2 would focus on setting the Phase I budget during the FY 2027 Budget Adoption process and allow for a longer application period with grants awarded in the new fiscal year after budget adoption.

OPTION 1.

Date Activity Hearing Body
April 6 Council feedback on Phase I purpose and
improvements
City Council
April Phase I website updated: application timeline
and requirements posted
April 17 Nonprofit information session on FY27 Phase I
updates and requirements
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April 20- May 1 Application period open (2 weeks)
April 21 Nonprofit workshop on application goals and
budget
May 4-8 Application intake
May 5-6 FY27 Phase I target budget set Finance Committee May 14 Application review and recommendations to
P&S
HRC
May Special Meeting Applicant interviews Policy & Services Committee
June 9 FY27 Phase I award recommendations Policy & Services Committee
June 15 FY27 Phase I awards approved City Council
OPTION 2.

Date Activity Hearing Body
April 6 Council feedback on Phase I purpose and
improvements
City Council
April Phase I website updated: application timeline
and requirements posted
May 5-6 FY27 Phase I target budget recommendation Finance Committee May Nonprofit information session on FY27 Phase I
updates and requirements
May Nonprofit workshop on application goals and
budget
June 1-29 Application period open (4 weeks)
June 15 FY27 Phase I budget approved City Council
July Summer Break
August 13 Application review and recommendations to
P&S
HRC
August Special
Meeting
Applicant interviews Policy & Services
Committee
September 8 FY27 Phase I award recommendations Policy & Services Committee
September 28 FY27 Phase I awards approved City Council
Option 2 offers nonprofits more time for engagement and communication on the Phase I process changes as well as four weeks for the application period.

Staff requests the City Council’s feedback on suspension of the NPW Phase I process in FY 2027, clarity of purpose and improvements of the process for future consideration. Staff would return to Council on consent agenda to reflect consensus heard during the Study Session.

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FISCAL/RESOURCE IMPACT
No resource impact is expected at this time. The FY 2027 target budget for Phase I process will be addressed during the budget review process in May.

STAKEHOLDER ENGAGEMENT
Throughout the development and implementation of the FY 2026 Nonprofit Partnership Workplan Phase I process development, staff collected feedback through an extensive engagement process from key stakeholders such as nonprofits, Policy & Services Committee, Finance Committee and Council. Additionally, nonprofits were invited to send additional feedback prior to the January 14, 2026 Policy & Services meeting and invited to attend.

ENVIRONMENTAL REVIEW
Committee action on this item is not a project as defined by the California Environmental Quality Act (CEQA) because making improvements to the Nonprofit Partnership Workplan Phase I funding process is a continuing administrative or maintenance activity. CEQA Guidelines section 15378(b)(2).

ATTACHMENTS
Attachment A: FY 2026 Nonprofit Service Agreements
Attachment B: Proposed Phase I Application Edits
APPROVED BY:

Ed Shikada, City Manager
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No. Nonprofit  Organization Name
Current
Contract Start
DATE
Contract End
Date
Total Contract
Amount
FY26 Contract
Amount
Preliminary Estimate
of FY27 Amount
Responsible
Department Purpose HSRAP CDBG Phase I
Grants
Operating
Services
1 AbilityPath   7/1/2025 6/30/2027 $145,245   $67,556 $69,583 Community Services /Human Services
HSRAP ‐ Disability services.  Provides
advocacy, inclusion, and independence
for people with developmental
disabilities and their families
X
2A d a ' s  Cafe 7/1/2025 6/30/2027 $122,550   $57,000 $58,710 Community Services /Human Services
HSRAP ‐ Employment opportunities for
adults with developmental disabilities. X
3A d a ' s  Cafe 7/1/2025 6/30/2026 $10,000 $10,000 $0 City  Manager Nonprofit Phase I grant recipient for community events x
4A d o l e s c e n t Counseling Services 7/1/2025 6/30/2027 $97,019 $45,125 $46,479 Community Services /Human Services
HSRAP ‐ Services to lesbian, gay, bisexual,
transgender, queer and questioning
(LGBTQQ) youth and their straight allies
X
5 allcove TBD TBD $200,000 TBD Support youth mental health services x 6A l t a  Housing 7/1/2025 6/30/2027 $94,338   $43,878 $45,194 Community Services /Human Services
HSRAP ‐ Various program for low‐income
youth and seniors X
7A l t a  Housing 5/19/2023 6/30/2025 $356,556 $178,278 $225,300 Planning Administration of the Below Market Rate program. x
8 Avenidas 7/1/2025 6/30/2030 $3,186,528 $598,972 $616,941 Community Services /Human Services
Senior programs (formerly part of

HSRAP) X
9 Canopy 10/6/2025 10/6/2028 $1,236,366 $400,000 $412,000 Public  Works Urban forestry professional services,
outreach, and education x
10 CASSY (Counseling and Support Services
for Youth) 7/1/2025 6/30/2027 $51,093 $23,764 $24,477 Community Services /Human Services
HSRAP ‐ Outreach services for school‐
based mental health counseling for
students in the community.

X
11 Children's  Health Council 7/1/2025 6/30/2027 $21,102 $9,815 $10,109 Community Services /Human Services
HSRAP ‐Provide transportation to access
in‐person therapy, basic food needs, and
clinician recommended therapy supplies
for families with children ages 5‐22 with
Medi‐Cal
X
12 Children's  Health Council 7/1/2025 6/30/2026 $10,000 $10,000 $0 City  Manager Nonprofit Phase I grant recipient for youth mental health services  x
13 Ecology  Action 2/12/2024 12/31/2027 $625,211 $193,889 $156,300 Transportation Provides SRTS Education Grades K‐3 & 5.

SRTS program supports youth mental
health.
x
14 Environmental  Volunteers $10,780 Community  Services Ambassador Program at Foothills Nature Preserve x
15 Environmental  Volunteers 7/1/2025 6/30/2026 $10,780 $10,780 $0** City Manager Ambassador Program at Foothills Nature Preserve x
16 Grassroots  Ecology 3/14/2024 3/14/2027 90,000 $30,000 $30,000 Public Works Irrigation, maintenance, and reporting
x
17 Grassroots  Ecology 7/1/2024 6/30/2029 612,027 $118,789 $122,203 Community  Services Habitat Restoration and Land Sterwardship at Pearson Arastradero  x
18 Grassroots  Ecology 10/1/2023 9/30/2028 529,459 $95,894 $99,067 Community  Services Habitat restoration at Foothills  Nature Preserve & Adobe Creek Bridge x
19 Heart  & Home Collaborative 7/1/2025 6/30/2027 $121,653 $56,583 $58,280 Community Services /Human Services
HSRAP ‐ Winter shelter for women
experiencing homelessness X
20 Heart  & Home Collaborative 1/1/2024 5/30/2024 $50,000 $23,500 $25,000 Community Services /Human Services
Shelter staffing for the Overnight
Warming Location (OWL) X
21 JED  Foundation 10/1/2025 9/30/2027 $149,000 $87,850 $61,150 City  Manager Youth mental health services including
postvention support, youth engagement,
citywide campaign and training.
x
22 JobTrain 7/1/2025 6/30/2026 $45,000 $45,000 $0 City Manager Nonprofit Phase I grant recipient for workforce development   x
23 Kara 7/1/2025 6/30/2027 $61,275 $28,500 $29,355 Community Services /Human Services
HSRAP ‐ Grief support X
24 Kara 7/1/2024 6/30/2027 $24,900 $8,300 $8,300 Fire Critical Incident Stress Management support X
Nonprofit Service Agreements of $10K or More, as of FY 2026 Funding Source

ATTACHMENT A
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Nonprofit Service
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No. Nonprofit  Organization Name
Current
Contract Start
DATE
Contract End
Date
Total Contract
Amount
FY26 Contract
Amount
Preliminary Estimate
of FY27 Amount
Responsible
Department Purpose HSRAP CDBG Phase I
Grants
Operating
Services
Nonprofit Service Agreements of $10K or More, as of FY 2026 Funding Source 25 Karat  School Project 7/1/2025 6/30/2027 $75,637 $35,180 $36,235 Community Services /Human Services
HSRAP ‐ outreach to connect families
living in RVs to essential  services. X
26 Karat  School Project 7/1/2025 6/30/2026 $20,000 $20,000 $0 City  Manager Nonprofit Phase I grant recipient for
improved engagement and connection to
Safe Parking and housing enrollment
programs
x
27 La  Comida 7/1/2025 6/30/2027 $126,635 $58,900 $60,667 Community Services /Human Services
HSRAP ‐ Nutrition program for persons
60 years of age or older. X
28 LifeMoves 7/1/2025 6/30/2027 $101,237 $47,087 $48,500 Community Services /Human Services
HSRAP ‐ Food services for homeless and
very low‐income Palo Alto residents X
29 LifeMoves 7/1/2023 6/30/2027 $972,377 $251,301 $261,076 Community Services /Human Services
Staff for the Homeless Outreach Team
(HOT). HOT goes out into the community
to connect unhoused individuals to
essential services.

X
30 LifeMoves 7/1/2025 6/30/2026 $39,155 $39,155 $39,000 Planning &
Development
Services/CDBG
Opportunity Services Center. Provide
comprehensive, one‐stop, multi‐service
day drop‐in center for critical homeless
services
x
31 LifeMoves 7/1/2025 6/30/2026 $48,366 $48,366 $0 City  Ma nager Nonprofit Phase I grant recipient for
meals and food resources for individuals
experiencing homelessness
x
32 Loaves  and Fishes Family Kitchen 7/1/2025 6/30/2027 $51,063 $23,750 $24,463 Community
Services/Human
Services
HSRAP ‐ Meals on Wheels; fully‐prepared
meals delivered to vulnerable seniors X
33 Magical  Bridge Foundation 7/1/2025 6/30/2026 $150,000 $150,000 $0 Community  Services Nonprofit Phase I grant recipient for
adaptive programming for people of all
abilities.
x
34 MidPen  Media Center 3/31/2026 3/31/2029 $800,000 $160,000 $180,000 Administrative  Services Cablecasting, production and streaming services x
35 Momentum  for Health 7/1/2025 6/30/2026 $15,000 $15,000 $0 City  Manager Nonprofit Phase I gra nt  recipient for cold
season protection and hygiene kits to
individuals experiencing homelessness
x
36 Neighbors  Abroad 9/30/2019 12/31/2021 $134,636 $30,000 $47,500 City  Manager Neighbors Abroad provides ongoing
services to the City for the City’s efforts
with Sister Cities, Sibling City, and
Friendship Cit(ies).
x
37 Neighbors  Abroad 7/1/2025 6/30/2026 $17,500 $17,500 0** City  Manager Neighbors Abroad provides ongoing
services to the City for the City’s efforts
with Sister Cities, Sibling City, and
Friendship Cit(ies).
x
38 Palo  Alto Chamber of Commerce 6/20/2024 6/30/2026 $95,000 $50,000 $28,000 City  Manager 3rdThursday Support & Economic
Recovery Support to Businesses x
39 Palo  Alto Community Child Care 7/1/2025 6/30/2030 $3,228,146 $606,794 $624,998 Community Services /Human Services
Management of City's childcare subsidy
program (formerly part of HSRAP) X
40 Palo  Alto Historical Association (PAHA) 7/1/2025 6/30/2028 $157,500 $51,000 $52,500 Library Management of the City’s archives and
facilitate public access to information
and materials relating to City history
x
41 Palo  Alto Recreation Foundation Spring  2026 12/31/2026 $40,000 $40,000 $0 City  Manager Monthly activations, previously known as
Third Thursday, from April 2026 to
September 2026 on California Ave to
support business vibrancy
x
42 Palo Alto Transportation Management
Association 7/1/2023 6/30/2027
Based on annual
budget submitted
to Council
$400,000 $400,000 Transportation Serving as Transportation Management Association for Palo Alto x

ATTACHMENT A
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Attachment A - FY 2026
Nonprofit Service
Agreements

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No. Nonprofit  Organization Name
Current
Contract Start
DATE
Contract End
Date
Total Contract
Amount
FY26 Contract
Amount
Preliminary Estimate
of FY27 Amount
Responsible
Department Purpose HSRAP CDBG Phase I
Grants
Operating
Services
Nonprofit Service Agreements of $10K or More, as of FY 2026 Funding Source 43 Parents and Advocates of Remarkable
Children and Adults (PARCA) 7/1/2025 6/30/2027 $58,211   $27,075 $27,887 Community Services /Human Services
HSRAP ‐ On‐site support services for
developmentally disabled adults living in
a residential program
X
44 Pathwise  (formally DreamCatchers) 7/1/2025 6/30/2027 $122,243 $56,857 $58,563 Community Services /Human Services
HSRAP ‐ Tutoring for low income middle
school students X
45 Pathwise  (formally DreamCatchers) 7/1/2025 6/60/2026 $15,000 $15,000 $0 City Manager Nonprofit Phase I grant recipient for
tutor training and mentorship and parent
engagement
x
46 Peninsula  Healthcare Connection 7/1/2023 6/30/2025 $268,521   $120,711 $128,530 Community Services /Human Services
HSRAP ‐ Provide basic needs through
community‐based services that target
the immediate health needs of hard to
reach individuals experiencing
homelessness. As of 11/1/25 took over
operation of the Downtown Food Closet
(previously run by Downtown Streets
X
47 Peninsula  Healthcare Connection 7/1/2025 6/30/2026 $20,000 $20,000 $0 City  Manager Nonprofit Phase I grant recipient for
access to trauma‐informed healthcare for
marginalized populations including
Health and Housing Services
x
48 Pets  In Need 4/1/2024 3/31/2029 7,373,516 $1,370,000 $1,411,100 Community  Services Operating and Management Agreement to operate the Animal Shelter x
49 Project  Safety Net 10/1/2025 9/30/2026 $300,000 $100,000 $100,000 Community  Services Resource provider for youth and teen mental health x
50 Project  Sentinel 7/1/2024 6/30/2027 $240,859 $81,561 $84,008 Community Services /Human Services
Landlord‐Tenant Mediation Program
(formerly part of HSRAP) X
51 Project  Sentinel 7/1/2025 6/30/2026 $22,005 $22,005 $20,000 Planning &
Development
Services/CDBG
Fair Housing Services. Provide fair
housing services including complaint
investigation, counseling, advocacy and
community education
x
52 Ravenswood Family Health Center
(MayView Clinic) 7/1/2025 6/30/2027 $145,527   $67,687 $69,718 Community Services /Human Services
HSRAP ‐ Health services for low income,
uninsured Palo Alto residents X
53 Rebuilding  Together Peninsula 7/1/2025 6/30/2026 $73,585 $73,585 $73,000 Planning &
Development
Services/CDBG
Create safe and healthy homes in Palo
Alto allowing the most vulnerable
homeowners, especially lower income
households, seniors, and those with
disabilities to re main  in homes and
communities
x
54 Santa  Clara County Fire Safe Council 8/1/2025 7/31/2030 $2,500,000 $308,000 $250,000 Fire Fire Hazard Mitigation including wildland
fuel reduction, defensible space
maintenance, and public education.
x
55 Senior  Adults League Assistance (SALA) 7/1/2025 6/30/2027 $49,020 $22,800 $23,484 Community
Services/Human
Services
HSRAP ‐ Legal Assistance to Elders
X
56 Silicon  Valley Bicycle Exchange 8/1/2025 12/31/2026 $19,595 $19,595 $20,000 Transportation Bicycle repair at schools, rodeo support,
provision of bicycles to low‐income
students, City bicycle fleet service. SRTS
program supports youth mental health.
x
57 Silicon  Valley Independent Living Center 7/1/2025 6/30/2026 $20,067 $20,067 $20,000 Planning &
Development
Services/CDBG
Housing and Emergency Services. Assist
low‐income individuals and families in
search for affordable, accessible housing
x
58 UNAFF 7/1/2025 6/30/2026 $45,000 $45,000 $0 City  Manager Nonprofit Phase I grant recipient for film
festival focused on human rights and
year‐round screenings and panels
x
59 Vista Center for the Blind or Visually
Impaired  7/1/2023 6/30/2025 $127,523 $59,313 $61,092
Community
Services/Human
Services
HSRAP ‐ Empowers individuals who are
blind or visually impared to embrace life
through evaluation, counceling,
education and training
X

ATTACHMENT A
Item 2
Attachment A - FY 2026
Nonprofit Service
Agreements

Item 2: Staff Report
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No. Nonprofit  Organization Name
Current
Contract Start
DATE
Contract End
Date
Total Contract
Amount
FY26 Contract
Amount
Preliminary Estimate
of FY27 Amount
Responsible
Department Purpose HSRAP CDBG Phase I
Grants
Operating
Services
Nonprofit Service Agreements of $10K or More, as of FY 2026 Funding Source 60 YMCA  of Silicon Valley 7/1/2025 6/30/2027 $36,765 $17,100 $17,613 Community
Services/Human
Services
HSRAP ‐ Senior fitness programming and
financial assistance for senior
memberships
X
61 Youth  Community Services  7/1/2025 6/30/2027 $91,913 $42,750 $44,033 Community
Services/Human
Services
HSRAP ‐ Youth well‐being and leadership
program services through community
service projects
X
62 Youth Community Services (Youth
Connectedness
Initiative)
7/1/2025 6/30/2026 $50,000   $50,000 $0** Community Services /Human Services
Funding for the Youth Connectedness
Initiative x
63 Youth Community Services (Youth
Connectedness
Initiative)
$50,000 Community Services
/Human Services
Funding for the Youth Connectedness
Initiative x
TOTAL $25,159,790 $6,726,612 $6,571,194
**Ongoing allocation reflected in department contract

ATTACHMENT A
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Attachment A - FY 2026
Nonprofit Service
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ATTACHMENT B
FY 2027 Budget Nonprofit Funding Request- Application

ORGANIZATION INFORMATION
Are you a 501 (c)(3) nonprofit organization? ☐Yes
☐No
Organization Name

Year Founded

EIN (Tax ID#)

Contact Person, First and Last Name

Title

Email Address

Phone Number

Mailing Address

Website

ABOUT YOUR ORGANIZATION
What is the mission of your organization?

Number of Employees ☐Full-Time Staff
☐Part-Time Staff
☐Volunteers
In the last two years, have you been awarded a grant or other direct funding by the City? If so, explain.

Are you qualified to apply for the Human Services Resource Allocation Program (HSRAP), Community Development Block Grant (CDBG), or Emerging Needs grant programs? If so, did you apply? Explain why or why not.

PROGRAM & COMMUNITY IMPACT
Name of Program: Grant Request Amount: $ Please provide a narrative describing your proposed program (no more than 200 words):

Total Number of people estimated to be served by this
program:

Total number of Palo Alto residents estimated to be
served by this program:

Total number of Palo Alto residents estimated to be served by your agency:

Total number of unduplicated Palo Alto residents
estimated to be served by the requested funding
amount:

EQUITY IMPACT
Does Will your organization proposed program serve historically underrepresented or underserved populations? If yes, please describe. (ex. Number or percent of demographic populations)

What measures does your organization take to promote services to underserved populations? ☒Social Media ☐Website
☐Location of program/services ☐Direct mail
☐Other: (Please describe)
What fees will be charged for proposed services, if any? Will subsidized or fee waivers be offered to clients?

ALIGNMENT WITH CITY COUNCIL PRIORITIES
Briefly describe how your request supports one or more of the City Council Priorities (2-3 sentences). If not relevant indicate with “N/A.”
Climate Action and Adaptation & Natural Environment Protection:

Economic Development and Retail Vibrancy:

Implementing Housing Strategies for Social & Economic Balance:

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ATTACHMENT B

Public Safety, Wellness & Belonging:

PROGRAM GOALS
Attachment 1: Please use the template below to list up to 3 goals related to the program(s) you are proposing with requested funding. In a separate Attachment 1, for each goal identify 1-3 strategies your organization will implement to achieve this goal. For each strategy, provide an objective and an outcome.

Example:

Goal: A general statement about the desired long-term impact.

Example: "Enhance STEM education access for underrepresented middle school girls in underserved areas.” Strategy: The overall approach or method used to achieve the goal.

Example: "Partner with local schools to develop and deliver hands-on STEM workshops led by female science professionals.”
Objective: Specific, measurable actions that need to be completed to reach the goal. Example: "Train 20 female STEM professionals to facilitate workshops reaching 100 middle school girls per year.” Outcome: The positive change or result that occurs as a direct consequence of the project activities. How will you know that the strategy is successful?
Example: "An increase in the number of girls expressing interest in pursuing STEM careers post-workshop participation.”
Describe your organization’s plan for evaluating the program’s effectiveness? Include any specific measurement tools to be used such as surveys or other tools. (no more than 200 words)

PROGRAM SUSTAINABILITY BUDGET
What amount $ and percent % of your organization’s budget is currently funded by the following:

If the full funding request is not awarded, would the program remain viable with partial funding? (Y/N) ☐Government Grants$_____, ___%
☐Private Donations$_____, ___%
☐Fundraising$_____, ___%
☐Membership Fees$_____, ___%
☐Fees for service$_____, ___%
☐Other $_____, ___%
What percentage of your organization’s annual budget does the grant request represent? Annual Budget: $____
Grant Request Amount: $____
Percent of Budget: (Grant request/Annual Budget) x100 = ___% If awarded, will the contribution be used to leverage other funding opportunities? Explain (1-2 sentences).

Attachment 2- Proposed Budget. Describe specifically how the requested funding will be used.

REQUIRED ATTACHMENTS
Attachment 1: Program Goals Attachment 3: IRS Determination Letter (501 (c)(3) Attachment 2: Proposed Budget Attachment 4: IRS Form 990*

REPORTING REQUIREMENTS
*Requests of up to $510,000- brief annual report (1-2 pages) summarizing key activities and community impact highlights. -Financia reporting will consist of a self-certification of compliance with grant terms.

Requests $510,000-$25,000-
-Annual report on service outcomes
and performance metrics.
-IRS Form 990
Requests $25,000+-$100,000-
-Semi-annual reports on service
outcomes and performance metrics.
- IRS Form 990
Requests $100,000+
-Quarterly service outcomes and
performance metrics, and a year-end
community impact report.
- IRS Form 990
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ATTACHMENT B
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ATTACHMENT B
ATTACHMENT 2: Program Goals
Please use the template below to list up to 3 goals related to the program(s) you are proposing with requested funding. In a separate Attachment 1, for each goal identify 1-3 strategies your organization will implement to achieve this goal. For each strategy, provide an objective and an outcome.

Example:

Goal: A general statement about the desired long-term impact.

Example: "Enhance STEM education access for underrepresented middle school girls in underserved areas.”
Strategy: The overall approach or method used to achieve the goal.

Example: "Partner with local schools to develop and deliver hands-on STEM workshops led by female science professionals.”
Objective: Specific, measurable actions that need to be completed to reach the goal. Example: "Train 20 female STEM professionals to facilitate workshops reaching 100 middle school girls per year.” Outcome: The positive change or result that occurs as a direct consequence of the project activities. How will you know that the strategy is successful?
Example: "An increase in the number of girls expressing interest in pursuing STEM careers post- workshop participation.”
Goal #1:

Strategy(s)-
Objective(s)-
Outcome(s)-
Goal #2:

Strategy(s)
Objective(s)
Outcome(s)
Goal #3:

Strategy(s)
Objective(s)
Outcome(s)

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ATTACHMENT B
ATTACHMENT 2: FY 2027 (July 1, 2026-June 30, 2027)
Proposed Budget
FY2027
Total Program Expense
Budget
Total Program Expense
Budget for
Requested Funding
Program Name:

Salaries-
Overhead (insurance, rent, phone,
etc.)-

Insurance
Audit
Rent & Utilities
Maintenance/Repair
Phone
Consultants-
Staff Development & Training
Travel & Meetings
Information Technology
Equipment
Office Supplies & Materials
Printing & Publishing
Direct Services-
Direct Subsidy-
Other-
Other-
Total
Add any additional program budget sheet(s) here, as needed.

Click or tap here to enter text.

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ATTACHMENT B
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ATTACHMENT B

ATTACHMENT 3: IRS Determination Letter 501(c)(3)
Please attach determination letter to application email, clearly labeled Attachment 3.

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ATTACHMENT B
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ATTACHMENT B

ATTACHMENT 4: IRS Form 990*
Please attach to the application email, your organization’s 2025 IRS Form 990, or 2024 IRS Form 990 if 2025 has not yet been filed.
*Funding requests < $510,000 do not need to submit an IRS Form 990.

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ATTACHMENT B
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ATTACHMENT B

Signature(s)
The undersigned certifies the information contained in this proposal is true and accurate to the best of their knowledge and belief. The undersigned warrants that they have authority on behalf of the organization they represent to enter into this proposal, warrant its accuracy, and bind the organization to the applicable terms and conditions.

Name of Authorized Signer: Click or tap here to enter text.

Title: Click or tap here to enter text.

Sign Here: Click or tap here to enter text.

Date: Click or tap here to enter text.

Name of Authorized Signer: Click or tap here to enter text.

Title: Click or tap here to enter text.

Sign Here: Click or tap here to enter text.

Date: Click or tap here to enter text.

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CITY COUNCIL
Staff Report
From: City Manager
Report Type: STUDY SESSION
Lead Department: Planning and Development Services
Meeting Date: April 6, 2026
Report #: 2603-6127
TITLE
San Antonio Road Area Plan Update and Council Feedback on Draft Land Use and Transportation Concepts and Alternatives. CEQA Status: Exempt under CEQA Guidelines Section 15262.

RECOMMENDATION
Staff recommends the City Council conduct a study session to:

1. Receive an update on the San Antonio Road Area Plan

2. Provide feedback to staff on land use and transportation concepts and alternatives

EXECUTIVE SUMMARY
The San Antonio Road Area Plan (Area Plan) is a City-led initiative to develop an integrated land use and transportation vision for the 275.3-acre corridor along San Antonio Road, with the goals of increasing housing production, improving multi-modal mobility, creating new open spaces, and supporting commercial vitality. This study session marks a critical milestone: staff is presenting draft land use and mobility alternatives (Attachment A) and requesting Council feedback to narrow the range of options before a preferred alternative is selected at the June 8, 2026 Council meeting.

The alternatives explore meaningful tradeoffs across several policy dimensions, including building heights and residential densities, the role of office development in the CTI sub-area, bicycle and pedestrian facility design along San Antonio Road and E. Charleston Road, and the distribution of parks, open space, and ground floor retail across the plan area. Financial analysis (Attachment B) indicates that the 90-foot mid-rise building type is the most feasible near-term option for housing, while office development in the CTI sub-area presents an opportunity to improve project feasibility and fund public benefits, including parks and infrastructure.

Council feedback at this session will inform the alternatives presented in June, when staff will return to seek formal direction on a preferred alternative. Staff requests Council's initial Item 3
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reactions on which concepts merit further development and which may warrant setting aside, so that the June presentation can offer a more focused set of options for decision.

PROJECT DESCRIPTION
The purpose of the Area Plan is to develop an integrated land use and transportation approach to guide new development in the 275.3-acre plan area along and adjacent to San Antonio Road.

The Area Plan objectives include increased housing production, transportation and mobility improvements, outdoor space, commercial and retail nodes, infrastructure, and sustainability measures. The creation of this plan implements policies and programs of the City’s Comprehensive Plan and the 2023-2031 Housing Element (Housing Element). The Area Plan will establish policies, development standards, design guidelines, and identify the necessary public infrastructure to accelerate the envisioned growth and development. The Area Plan builds on other planning efforts, including the 2030 Comprehensive Plan, the 2022 Sustainability and Climate Action Plan, the Housing Element, the 2025 Safe Streets for All (SS4A) Safety Action Plan, and the 2026 Bicycle and Pedestrian Transportation Plan update (currently in process).

BACKGROUND
The City Council designated the Bayshore Alma San Antonio (BASA) Area as a Priority Development Area (PDA) on September 18, 2023.1 PDAs are locally created to support regional goals set forth by the Association of Bay Area Governments (ABAG) and the Metropolitan Transportation Commission (MTC), as described in Plan Bay Area. Plan Bay Area outlines the Bay Area’s Regional Growth Framework, Regional Transportation Plan, and Sustainable Community Strategies through 2050 and beyond. Key goals of PDAs include encouraging and guiding growth around transit and connecting housing to jobs and areas of interest.

The approximately 275.3-acre San Antonio Road Area Plan project boundary includes a majority of the larger BASA PDA boundary and has 53 identified Housing Element Opportunity Sites that account for roughly 1,500 housing units per standards set in the Housing Element. The Area Plan will also be impacted by existing and proposed development in the surrounding area, including across the border in Mountain View. Currently, the plan area prioritizes vehicular traffic and lacks sufficient pedestrian and bicycle facilities and transit options. This, combined with speeds often exceeding the posted limit, raise safety concerns. In order to meet the goals of increasing housing production and improving multi-modal connections (as well as the City’s sustainability goals) an overarching integrated land use/circulation approach is necessary, with a key goal of creating easy and safe connections.

The Area Plan contract and budget were approved by Council in March 2025,2 and work began in April 2025. Phase one of the Area Plan included analysis of the area through literature and 1 September 18, 2023, City Council Meeting:
https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=3056&dbid=0&repo=PaloAlto&searchid=0bc4e1ba- de31-426a-892f-ae4a36969781
2 March 10, 2025, City Council Meeting:

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https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=5768&dbid=0&repo=PaloAlto&searchid=787bc75f- 1bbd-4311-8628-64aacd028498&cr=1
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regulatory review, site visits, collection of new data, stakeholder interviews, workshops, surveys, and other technical studies to determine the area’s existing conditions, strengths, and challenges. Staff convened both a Community Advisory Group (CAG) made up of area residents and stakeholders and a Technical Advisory Group (TAG) made up of City staff and subject matter experts. One outcome of phase one was the development of a draft Existing Conditions Analysis Summary Report, which was presented to the City Council; Planning and Transportation Commission; Architectural Review Board; Pedestrian and Bicycle Advisory Committee; and City/School Transportation Safety Committee in 2025.5 A Community Survey was conducted in October 2025, and the first Community Workshop was held on October 23, 2025.

The land use and mobility alternatives were presented to the CAG and TAG in January and February, 2026, and the following advisory bodies in March 2026:
Pedestrian and Bicycle Advisory Committee (March 3, 2026) Human Relations Commission (March 12, 2026)
Architectural Review Board (March 19, 2026)
Parks and Recreation Commission (March 24, 2026)
Planning and Transportation Commission (March 25, 2026) City/School Transportation Safety Committee (March 26, 2026) In addition, a community workshop was held on March 5, 2026, and an online survey ran from late February through March 2026. The feedback from these advisory bodies and the public will be summarized in the presentation to Council.

ANALYSIS
The development of land use and mobility alternatives is a critical step toward creation of an area plan. These alternatives explore differing priorities and tradeoffs, including housing and commercial mix, housing densities, building heights, outdoor spaces, retail, and bicycle and pedestrian facilities. Once preferred alternatives are selected, the Area Plan will have its high- level concepts in place which will be further developed in the draft plan. The Area Plan will ultimately include more granular policies and development standards will be developed in phases three and four of the project. Attachment A to this report describes how the project team developed the plan alternatives, and provides detailed information about each, including differences between alternatives and tradeoffs between choices. Pages 12-16 describe the overall design strategy, and Page 25 provides an explanation of how to view various alternatives that are located within the same sub area. Attachment B provides additional financial analysis as well as potential funding mechanisms. 5 October 6, 2025, City Council Meeting:
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Land Use
For the land use alternatives, the project team has divided the 275.3-acre plan area into districts which could be seen as distinct development areas. Some of these areas are considered not likely to redevelop during the next 25 years, due to factors such as how recently the current property was developed, institutional uses, and disparate ownership. Other areas have a higher probability of redevelopment. Page 18 of Attachment A identifies specific locations of these development areas. The development areas are:

Primary Sub-Areas (High Development Potential)
The primary focus of the land use alternatives is on four high development potential areas listed below. These areas are considered most likely to change. The project team has created a series of options (or alternatives) to consider. These are illustrated in Attachment A on pages 20-58.
Central San Antonio — is generally the area along San Antonio Road between East Charleston Road and Byron Street, excluding the Greenhouse. This area includes several pipeline residential development projects, additional sites likely to redevelop (such as the Magnussen Toyota site at 690 San Antonio Road), and only a handful of sites unlikely to redevelop (such as the two recently constructed hotels at 744 and 750 San Antonio Road). Many properties contain one- to two-story commercial development.

These are explored in pages 26-30 of Attachment A.
South Fabian — The portion of Fabian Way on either side of Charleston Road, this area includes the Taube Koret Campus for Jewish Life, a private school, and some of the most recently constructed multi-family housing, none of which is likely to redevelop.

However, there are several low-rise commercial spaces and surface parking lots which have high development potential. This area contains some pipeline residential development projects. These are explored in pages 31-35 of Attachment A. North Fabian — The portion of Fabian Way closest to U.S. 101; this area contains 2-3 story office buildings (including the Maxar Site at 3825 and 3875 Fabian Way) and a private school. While the school is unlikely to redevelop, the owner of the Maxar Site is currently seeking a buyer, with residential development likely to be considered as part of any redevelopment. These are explored in pages 36-43 of Attachment A. CTI — The area containing Commercial Street, Transport Street, and Industrial Avenue (CTI), bounded by San Antonio Road, U.S. 101, East Charleston Road, and the City’s border with Mountain View contains a number of small lot, one- to two-story commercial buildings. While there are no active development applications in this area, there is developer interest in consolidating lots in this area. A 10-acre mixed-use development is currently proposed in Mountain View adjacent to this area, and there is a unique opportunity to work across jurisdictions in developing a new neighborhood in this area. These are explored in pages 44-62 of Attachment A.

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Secondary Sub-Areas (Limited Development Potential)
The Area Plan will also consider land use alternatives in other areas which have more limited development potential, listed below. The project team has created a series of options (or alternatives) to consider, described in more detail in Attachment A on pages 69-73. East and West Bayshore — The area bounded by East Bayshore Road, San Antonio Road, and the Baylands Nature Preserve currently contains a number of low-rise office buildings and the HomeKey transitional housing site. Separated from the rest of the Plan Area by U.S. 101 and in close proximity to the Bay, this area appears less desirable for increased residential development. The single parcel along West Bayshore Road adjacent to the U.S. 101 bike/ped bridge also currently has a commercial office use and is not well connected to the surrounding community.
Alma — The portion of the plan area along Alma Street contains a small townhouse development and two faith-based organizations with larger parking lots. While state laws have made it easier to develop housing on faith-based properties and in proximity to Caltrain stations, this area is still less likely to redevelop.

Stability Areas (redevelopment not anticipated)
There are also sub-areas within and adjacent to the plan area which are considered highly unlikely to redevelop due to factors such as lot size, ownership, and/or historic designation. See Sub Area Alternatives map on page 18 of Attachment A.
Greenhouse — The Greenhouse (777 San Antonio Road) and the Greenhouse II (765 San Antonio Road) are a series of individually owned townhomes constructed in the 1970s. Green Meadow — Green Meadow is one of Palo Alto’s mid-century subdivisions designed by Joseph Eichler. While it is listed on the National Register, it is not a designated district on Palo Alto’s Inventory. Green Meadow is outside of the plan area, but within the Senate Bill 79 (2025) development area.
South San Antonio — South San Antonio is generally the area along San Antonio Road between Byron Street and Nita Avenue. This area contains individually owned townhomes, low-rise apartment buildings, and private schools.

During the previous study session held with the City Council on October 6, 2025, individual members indicated support for robust bike and pedestrian facilities, additional outdoor/ community spaces, concern about equitable development, including school access, housing on the south side of San Antonio and how families would connect to the rest of Palo Alto, retail development, and addressing the jobs/housing imbalance within the City. These concepts are addressed in some of the alternatives provided. Additionally, some land use concepts proposed such as small block sizes and paseos also improve walkability/bikability, which will enhance proposed mobility improvements.

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Mobility
The Area Plan will identify mobility strategies which support the land use alternatives. The Area Plan will reimagine the San Antonio Road corridor in order to accommodate multiple travel modes and support access to adjacent land uses. Key mobility concepts include pedestrian-first design, the creation of low-stress biking routes, first/last mile connections, parking and demand management, and smart corridor technology. These topics are explored in pages 84-93 of Attachment A.

Mobility recommendations will be developed to coordinate with regional and state transportation investments, including access to the San Antonio Caltrain Station and planned improvements at the U.S. 101 interchange. The Area Plan will also evaluate opportunities to improve transit operations and reliability, vehicle circulation (including goods movement where applicable), and active transportation connectivity within and through the plan area. While mobility improvements will apply across the entire plan area, Attachment A presents multiple concepts for two focus locations described below.
San Antonio Road (E. Charleston Road to Middlefield Road) – This segment currently includes an approximately 100+foot public right-of-way (ROW), four travel lanes (two in each direction), a raised median and on-street parking which transition to turn lanes at intersections. Sidewalks are provided on both sides of the street. Bicycle travel is currently accommodated via Class III shared-lane markings (“sharrows”), where people bicycling and motor vehicles operate in the same travel lane – there are no dedicated on-street bicycle lanes or separate bicycle facilities along this segment. The alternatives presented in pages 99-106 of Attachment A provide three concepts to enhance pedestrian and bicycle facilities while maintaining existing general-purpose vehicle travel lanes along the City’s east-west truck route.
E. Charleston Road (south of San Antonio Road) – This segment functions as a key connection to the City of Mountain View, and currently provides pedestrian and bicycle accommodations along the corridor (e.g., sidewalks and bike lanes). The alternatives presented on pages 116-119 of Attachment A present two concepts to enhance pedestrian and bicycle facilities along this segment.

These concepts will inform a toolkit of cross-sections, intersection treatments, and operational strategies that may be applied, as feasible, to other segments of the corridor and to connecting streets.

Financial Analysis
Attachment B provides additional context for some of these alternatives by describing the current and projected financial feasibility of housing and office products in the plan area; the range of costs to provide public parks, paseos, and open spaces envisioned in the Maxar Site and CTI Sub-Area Plan Alternatives; the ability of housing and office development in the plan alternatives to fund parks based on current City requirements; and policy tools for ensuring the Item 3
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public parks are built within the Maxar Site and CTI Sub-Area. Attachment B also discusses tools that the City can use to fund and secure land for parks and for improvements included in the “Mobility Alternatives,” given that much of the required land is currently privately owned.

Preliminary analysis of the financial feasibility (from a developer's perspective) reveals the projected success of development prototypes representing ownership townhomes, five-story midrise multifamily rental housing, eight-story multifamily rental housing, a five-story office building, and an eight-story office building.
Under current conditions, the townhome prototype outperforms all other prototypes in the plan area. Townhomes are relatively inexpensive to build and sell for high prices in the Palo Alto market, including within the plan area.
Both midrise rental housing and office development are likely to become financially feasible in the Plan as market conditions improve, though neither prototype currently achieves a positive residual land value. Feasibility depends on a combination of rent growth and meaningful improvement in financing conditions. Palo Alto remains one of the region's most desirable office markets; although the plan area will remain a secondary location within the city, significant office development potential exists as achievable rents increase, financing costs decline, and the area benefits from the creation of an adjacent mixed-use office destination in Mountain View.

Based on the ranges of park spaces and residential and commercial buildout included in the Area Plan alternatives for the Maxar Site and CTI Sub-Area, the City of Palo Alto's existing Parks Impact Fee revenues and Parkland Dedication requirements are expected to provide sufficient resources to acquire and construct the alternatives' public parks (inclusive of paseos and open spaces) for smaller park scenarios. However, Maxar Site scenarios that include 4.5 acres of parks fall an estimated $20 to $25 million short of full funding under existing City requirements.

Only the low-end residential only buildout of the CTI Sub-Area fell short of generating sufficient revenue based on today's fees and projected costs to provide high-end outdoor facilities, and this scenario would still generate enough funds to support some level of outdoor spaces.

Requested Council Feedback
City staff is requesting feedback on the following topics, detailed in Attachment A:
Overall Plan Direction. Any concerns or observations regarding the Area Plan's scope, direction, or timeline.
Sub-Area Classification. Whether the designation of primary, secondary, and stability areas aligns with Council expectations.
Residential Density and Building Heights. Whether Council has a preference among the height and density alternatives that drive the 25-year housing projection range of 3,800 Item 3
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to 7,400 units plan-wide. The alternatives turn primarily on building height: 60 ft allowing up to 5-story mid-rise construction at approximately 90 du/ac, 90 ft allowing up to 8-story construction at approximately 135 du/ac, and a high-rise option of 160 to 250 ft. The 90 ft mid-rise alternative is identified as the most financially feasible building type. The high-rise option, while providing maximum flexibility, faces significant near- term feasibility challenges. Direction on whether any of these height tiers should be removed from further consideration.
Office Development. Whether there is Council support for two related but distinct office policy directions in the CTI sub-area. First, the conversion of existing lower-density R&D and less efficient office space into higher-density Class A office, which improves development feasibility and can fund public benefits such as parks and infrastructure.

Second, whether there is support for net new office floor area beyond what conversion alone would produce, up to approximately 175,000 square feet. Mobility Improvements. Whether Council has a preferred direction among the mobility alternatives, which range from minimal changes to existing conditions, to a balanced approach using existing infrastructure with targeted improvements, to more transformative corridor changes. A key variable is the type of bicycle facility: on-street bike lanes, sidewalk-level separated bikeways, or multi-use paths. Mobility Improvements. Whether Council has a preferred direction among the alternatives for two focus segments. On San Antonio Road between E. Charleston and Middlefield, options range from separated bikeways within the existing curb footprint to a more transformative two-way bikeway on both sides requiring curb reconstruction and tree relocation. On E. Charleston south of San Antonio, options include a 14-foot multi-use path within an expanded setback or widened bike lanes requiring curb work.

Direction on which options to carry forward or eliminate would help narrow alternatives ahead of June.
Parks and Outdoor Space. Whether Council has a preference on how open space is distributed across the plan area, including consolidated versus dispersed configurations, interior versus roadway-adjacent locations, and co-location with retail and services. Ground Floor Retail. Whether Council supports limiting ground floor retail requirements to primary sub-areas, where market conditions are more likely to sustain it, while allowing but not requiring retail in secondary sub-areas. Information Needs for June Decision. What additional analysis or information would help Council select a preferred land use and mobility alternative at the June 8 study session.

NEXT STEPS
The purpose of this study session is to provide an update to Council on the Area Plan and receive feedback on specific topic areas. To the extent the Council’s feedback identifies refinement or areas not supported for continued exploration – a narrower list of options can be Item 3
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presented to the City Council at its next meeting. In June, staff anticipates returning to the City Council to select an alternative concept that will then be used for more granular analysis and policy development, design standards and environmental review.

POLICY IMPLICATIONS
Several of the City’s 2030 Comprehensive Plan policies relate directly to the Area Plan. Policies L-1.10, L-2.2, L-2.3, L-2.4, L-2.6, L-2.11, L-2.12, and L-3.4 relate to growth management, sustainable communities, and neighborhood character. Policies L-4.5, L-4.16, and L-5.4 relate to commercial centers and employment districts. Policies L-6.6 and L-6.7 relate to the design of buildings and public space. Policies L-8.6, L-9.3, L-9.6, and L-9.7 relate to parks, streets, and public spaces. Additionally, the 2023-2031 Housing Element includes Program 6.6(C) calling for the City to prepare an area plan for the San Antonio Road Corridor and increase housing opportunities. The Housing Element also identifies 53 Housing Opportunity Sites within the plan area and emphasizes increasing housing in close proximity to the San Antonio Caltrain station.

The City has also adopted a Housing Incentive Program (HIP) in 2019, which was updated in 2025, as a local alternative to encourage multi-family and mixed-use residential development.

HIP currently covers significant parts of the plan area.

FISCAL/RESOURCE IMPACT
The Area Plan budget was approved by the Council on March 10, 2025, with an amount not to exceed $1,979,902.7 As of March 1, 2026, $654,515.33 of this budget has been spent. As of this report, the project is approximately one third of the way through both the schedule and budget. There are no additional costs associated with this action item.

STAKEHOLDER ENGAGEMENT
Community engagement is central to the success of this planning effort, alongside the technical, design, and subject matter expertise informing the work. A robust engagement strategy has been developed, which includes a dedicated webpage, social media and email announcements, formation of the CAG and Technical Advisory Group (TAG), stakeholder interviews, community workshops, surveys, meetings with the City Council and advisory commissions, committees, and boards, and pop-ups including tabling at City events and Farmers Markets.

CAG meetings were held on August 19, 2025, January 29, 2026, and February 26, 2026, with up to three additional CAG meetings planned through 2028. The project team has also met with the TAG beginning in August, 2025. Community workshops were held on October 23, 2025, and March 5, 2026, with one additional community workshop planned in the next phase of the project. Surveys for the project have also run on the project webpage in October 2025 and 7 CMR 2501-4703 was approved on March 10, 2025 and can be viewed here:
https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=5768&dbid=0&repo=PaloAlto&searchid=787bc75f- 1bbd-4311-8628-64aacd028498&cr=1
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February/March 2026. The project team has also promoted engagement with the project at Third Thursday, the California Avenue Farmer’s Market, and meetings with citizen interest groups such as the League of Women Voters.

ENVIRONMENTAL REVIEW
The actions recommended in this report are exempt from review under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15262: A project involving only feasibility or planning studies for possible future actions that has not been approved, adopted, or funded would not have significant impact on the environment. The City will prepare an environmental analysis for the San Antonio Road Area Plan when more project specifics have been identified.

ATTACHMENTS
Attachment A: San Antonio Road Area Plan Land Use and Transportation Alternatives Attachment B: San Antonio Road Area Plan Alternatives Financial Memo APPROVED BY:

Jonathan Lait, Planning and Development Services Director Item 3
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Task 4
Plan Alternatives
Memorandum
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SAN ANTONIO ROAD AREA PLAN
Table of Contents
• Project Vision
• Plan Alternatives: Objectives, Priorities and Process • Overall Design Strategy
• Sub Area Alternatives
• Primary Sub Area Alternatives
• Evaluating Trade- Offs
• Secondary Sub Area Alternatives
• Mobility Alternatives
• Mobility Strategies
• San Antonio Road
• E. Charleston Road
• Fabian Way
2 04
07 12
17 73
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SAN ANTONIO ROAD AREA PLAN 3
• Section Break
• Green Slide
• White Border
• Defines different sections of
the Alternatives memorandum.

Deck Description
• Strategy/Alternative
• White Slide
• Green Border
• Describes design
strategies, policies, and
design alternatives.
• Provides a high-level
overview of concepts,
trade-offs and related
information.
• Additional Information
• White Slide
• Orange Border
• Describes details of design
strategies and alternatives.
• Provides additional
information to inform
decision making.

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Project Vision
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SAN ANTONIO ROAD AREA PLAN 5
Vision Statement (Draft)
The vision for San Antonio Road is of a vibrant mixed-use corridor connecting walkable neighborhoods where people of all incomes can live, work, and thrive; where safe streets, transit, and green infrastructure can support shorter commutes, reliable transit, and climate resilience; and with a dynamic economy that attracts new businesses while sustaining local shops and services that define the community.

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SAN ANTONIO ROAD AREA PLAN
Overarching Goals of the Area Plan
6 A City-led initiative to create a 20-year vision with active community input, with results from 200+ survey respondents included

ENHANCE

ECONOMIC VITALITY
Attract new businesses, strengthen Palo Alto’s
economy, and preserve valued local businesses.

Encourage residential and mixed-use development, with
housing at all income levels, and access to well-designed public spaces and neighborhood services and retail.

IMPROVE MOBILITY

AND SAFETY
Enhance streets, sidewalks, bike lanes, and transit
connections for easier and safer travel for all users.

SUPPORT

SUSTAINABILITY
Promote development with fewer, shorter commutes,
integrate green infrastructure, increase tree canopy, and build resilience to climate change.

CREATE A MORE

LIVABLE COMMUNITY
78% support/
strongly support
90% support/
strongly support
82% support/
strongly support
73% support/
strongly support

IMPROVE MOBILITY

AND SAFETY
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Plan Alternatives:

Objectives, Priorities
and Process
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SAN ANTONIO ROAD AREA PLAN
What will the Alternatives do?
• Translate what we have heard from the community and decision-makers into physical interventions that support the project vision.
• Test out land use and mobility design concepts to resolve identified issues in the Plan Area, shape future development, and explore how to deliver community benefits. • Inform feasibility analysis to ensure streamlined implementation on project completion. 8 Alternatives: Objectives
How will the Alternatives impact project outcomes and implementation? • Inform modifications to existing development standards to regulate future development. • Establish development incentives to get desired built form and community benefits while ensuring project feasibility.
• Identify implementation strategies such as public-private partnership projects, mechanisms to create and maintain open space, etc.

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SAN ANTONIO ROAD AREA PLAN
Housing Priorities
• Develop scenarios to illustrate increased residential capacity at all income levels. • Re-evaluate housing needs allocation capacity within the Plan Area. 9 Alternatives: Priorities
Retail Priorities
• Focus on small-scale neighborhood-serving retail (not larger "destination retail"). • Explore retail models that are co-located with open spaces to create "third places".

Office Priorities
• Explore potential to increase office development to achieve community benefits like increased open space and more viable neighborhood serving retail. • Consider strategies to include small-scale office/ flex spaces.

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SAN ANTONIO ROAD AREA PLAN
Outdoor
Space
Priorities
• Explore different sizes, configurations, and typesof open spaces (larger outdoor space vs several smaller outdoor spaces).
• Explore potential locations for aggregating open spaces and retail to create “third places” for community gathering.
10 Alternatives: Priorities
Mobility +
Connectivity
Priorities
• Create mobility improvements for all users, focusing on a connected network in alignment with other City mobility initiatives.
• Primary focus on San Antonio Road and key intersections. • Improve streetscape character and safety in primary change areas. • Improve pedestrian-bike access to Caltrain and consider strategies to increase transit access.

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SAN ANTONIO ROAD AREA PLAN
Establish “areas of stability” and “areas of change” within Plan Area. 11 Overall Design Strategy and Priorities
Land Use Priorities
• Create new neighborhoods along Fabian
Way and in the CTI area (area along
Commercial St., Transport St., Industrial Ave.)
• Focus open space, amenities in new
neighborhoods
• Create smaller, walkable blocks where
possible
• Infill San Antonio Road with residential
Mobility Priorities
• Improve ped/bike safety and walkability
• Improve streetscape character and
pedestrian experience through
landscaping, tree canopy
• Improve ped/bike experience at
intersections
• Improve connections to Caltrain,
schools, and other amenities
Explore land use and mobility alternatives focusing on the identified “areas of change” Item 3
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Overall Design
Strategy
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SAN ANTONIO ROAD AREA PLAN
13 Overall Design Strategy
Redevelop/infill existing low-density commercial with
high-density residential to create new neighborhoods
Create new open spaces and "third spaces"
with neighborhood serving retail and amenities
Improve transit service to community destinations and
access to Caltrain
Improve ped/bike experience, safety and connectivity on all streets and intersections
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SAN ANTONIO ROAD AREA PLAN
Design Strategy: Outdoor Space
Goals
• Improve access to parks, decrease distance to parks to under a 10-min walk throughout Plan Area
• Improve ped-bike experience linking existing and new open spaces to new residential areas
• Create new open spaces to serve existing and new
residential neighborhoods (North Fabian and CTI sub areas) • Co-locate retail and services with new open spaces to create “third places”
Alternatives explore:
• Location, size, and number of open spaces
• Method of creating open spaces
14 Access to Parks
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SAN ANTONIO ROAD AREA PLAN 15

ADD NEIGHBORHOOD

SERVING PARK TO

NORTH FABIAN

SUB-AREA

ADD DISTRICT

SERVING PARK TO

CTI SUB-AREA

PROPOSED

NEW PARK IN

MOUNTAIN VIEW
PROPOSED 101

INTERCHANGE
PLAN

IMPROVE ACCESS AND

SAFETY AT INTERSECTIONS

CONNECTING TO NEW AND

EXISTING OPEN SPACES
Design Strategy: Outdoor Space
• Add new outdoor spaces as part of new
development in North Fabian and CTI sub-
areas
• Improve ped-bike access to existing parks
and new outdoor spaces
• San Antonio Road becomes a key ped/bike
connection with continuous tree canopy to
create a pleasant experience connecting
new residential areas to amenities and
transit
• Fabian Way becomes a key bike connection
to the Baylands with separated bikeways
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SAN ANTONIO ROAD AREA PLAN
Design Strategy: Connectivity
Focus on Corridors: Primary interventions will focus on the major street corridors: San Antonio Rd, E. Charleston Rd. and Middlefield Rd.

Where possible, new connections will be made to increase walkability Block Size: Reduce block size to create more walkable and connected neighborhoods
Improve connectivity by adding mid-block pedestrian paths/paseos in the following areas:
• CTI Area: At least one connection from: San Antonio to Commercial; Commercial to Industrial; Industrial to MV Project
• North Fabian Way:
• One connection from Fabian Way to San Antonio Rd;
• Add pedestrian walkway or new street connecting to Fabian Way per the Objective Design Standards (at least one ped connection every 300 feet) • San Antonio Road: Explore connection to Wyandotte Street • Caltrain access: Improve connections at Nita Avenue and coordinate with Google and Mountain View to improve connections to Caltrain
16 Primary Connections
Potential New Connections
MV Proposed Project
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Sub Area Alternatives
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SAN ANTONIO ROAD AREA PLAN
Based on anticipated redevelopment potential, “areas of change” are divided into sub-areas for exploring alternatives, that look at different land use mixes, heights, and densities, as well as open space and connectivity. Each area is studied at a different level of detail depending on specific opportunities and challenges.

Primary Sub-Areas
• These areas have the greatest potential for redevelopment and can contribute to creating new neighborhood-serving amenities like outdoor space and retail • These include Central San Antonio, South Fabian, North Fabian, and CTI Secondary Sub-Areas
• These areas have limited redevelopment potential in the near term. • These include East and West Bayshore, and Alma Street “Areas of Stability“
• These include Greenhouse, Green Meadow, and South San Antonio, areas that are 100% built-out with low redevelopment potential.
• Parts of Green Meadow and South San Antonio are within SB 79’s impact area that allows higher density for projects meeting specific criteria. Utilization of SB 79, however, is likely very low, due to existing conditions in these areas.

Sub Area Alternatives
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SAN ANTONIO ROAD AREA PLAN 19
Methodology for Redevelopment/Growth Projections
Assumptions
• All build-out assumptions, such as density ranges, building prototypes, and replacement ratios for existing commercial uses, are based on recent pipeline projects and market demand in the Plan Area. • The assumptions try to show the maximum change/growth potential possible in the Plan Area. • The build-out scenarios and potential development numbers exclude the "no change" parcels identified within each subarea. • All office scenarios focus on improving the jobs-housing balance area across the Plan Area. • Up to 100% of commercial-only parcels were projected to redevelop to understand the full extent of change possible within the plan area and sub-areas.
• Up to 75 to 100% build-out scenarios have been considered for most alternatives. In CTI, a lower build-out (50-75%) has been considered for the no-office scenarios, since residential-only projects are less financially viable on smaller individual parcels, which is the prevailing condition in the CTI subarea.
• Potential new housing development, excluding the Maxar site, is assumed to have mid-rise buildings with densities ranging from 90 du/ac to 135 du/ac depending on height.
• The Area Plan expects 50,000 to 80,000 sf of new neighborhood-serving retail and commercial services such as restaurants, day care, grocery stores, pet care, salons, etc. to be developed in the Plan Area within new mixed-use buildings. • Within the CTI subarea, each alternative scenario assumes that, at a minimum, Palo Alto's jobs/housing policy for new development will be met. Across the Plan Area as a whole, new residential development will improve the jobs/housing balance.

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SAN ANTONIO ROAD AREA PLAN
Plan Area Development Analysis
Primary Sub-Areas:

Estimated Build-out of Alternatives
• Central San Antonio
+ 1,300 to 2,400 units Residential
- Up to 209,000 sf Non-residential
• South Fabian
+ 600 to 1,100 units Residential
- Up to 177,000 sf Non-residential
• North Fabian
+700 to 1,500 units Residential
- Up to 485,000 sf Non-residential
• CTI
+ 1,000 to 2,000 units Residential
+ 0 to ~900,000 sf New Office/R+D
- Up to 499,000 sf Non-residential
20 Total Plan Area
Existing Condition:
• 802 units Residential
• 2,399,400 sf Non-residential
• 1,495,965 sf Office/R+D
• 903,435 sf Commercial
Redevelopment Potential*:
• New Residential Development
up to 3,800 to 7,400 units
• New Class A Office/R+D (if allowed)
+ 0 to ~900,000 sf *
• Office/R+D
Up to -932,600 sf net loss
• Other non-residential
Up to -437,400 sf net loss
*Individual scenarios predict maximum development potential if 50-100% of sites redevelop, with certain sites excluded due to use, ownership, or recent redevelopment. Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the citywide total).Even with scenarios which allow the largest amount of new office space, staff anticipates an overall net decrease in non-residential square footage due to redevelopment for residential and mixed-use projects.

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SAN ANTONIO ROAD AREA PLAN 21
Analysis of Potential New Office/R+D
Can New Class A Office in CTI Offset the CTI and Maxar Loss? * Not all existing CTI R&D/office parcels may redevelop concurrently with new Class A office proposals. This modifier provides a planning allowance that enables redevelopment to proceed without requiring a net office reduction across the CTI area, which may be critical to securing the public infrastructure and community benefits this area requires.

Total Plan Area
Existing Condition:
• 802 units Residential
• 2,399,400 sf Non-residential
• 1,495,965 sf Office/R+D
• 903,435 sf Commercial
Redevelopment Potential:
• New Residential Development
up to 3,800 to 7,400 units
Plan-Wide Office/R+D Loss from
Redevelopment:
• CTI area (older office/R+D
demolished) up to -240,000 sf
• Maxar site (replaced by residential) -
485,000 sf
• Other areas up to -207,600 sf
• Total plan-wide loss up to -932,600 sf
This loss occurs regardless of whether new Class A
office is permitted in CTI. The scenarios on the right
address whether new office in CTI can offset the CTI
and Maxar losses.

Scenario 1
600,000 sf new
Scenario 2
750,000 sf new
Existing CTI office/R+D demolished -240,000 sf -240,000 sf New Class A office built in CTI +600,000 sf +750,000 sf Net change in CTI +360,000 sf +510,000 sf
Maxar office/R+D lost to residential -485,000 sf -485,000 sf Net change: CTI and Maxar combined -125,000 sf +25,000 sf Office floor area modifier* +150,000 sf +150,000 sf
Adjusted range +25,000 sf +175,000 sf
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SAN ANTONIO ROAD AREA PLAN 22
Palo Alto’s Policy on Jobs -Housing Balance
Analysis of Potential New Office/R+D in CTI Subarea
Current Jobs-Housing Ratio
• The 2023-2031 Housing Element
identifies a ratio of 3.19 jobs to
employed residents within the City.
• 2023 data shows a ratio of 4.18 jobs
per housing unit
• Regional average is 1.5 jobs to
housing units.

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Primary Sub Area
Alternatives
- Central San Antonio
- South Fabian
- North Fabian
- CTI (Commercial St., Transport St., Industrial Ave.)
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SAN ANTONIO ROAD AREA PLAN
Within each primary sub area, there are a series of choices. These can relate to general site use (residential, commercial, mixed-use), residential densities, building heights, ground floor uses, and publicly accessible outdoor spaces. These can be mixed and matched.

Central San Antonio
• CSA-A1 and CSA-A2 are building height options
• CSA-B1 and CSA-B2 are ground/lower floor use options
South Fabian
• SF-A1 and SF-A2 are building height options
• SF-B1 and SF-B2 are ground/lower floor use options
North Fabian
• M-A1 and M-A2 are land use options (additional considerations included) • M-B1 and M-B2 are residential density options
• M-C1, M-C2, and M-C3 are building height options
“CTI”
• CTI-A1 through CTI-A4 are outdoor space options
• CTI-B1 through CTI-B4 are building height and land use options Selecting Alternatives
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Primary Sub Area Alternatives
Central San Antonio
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SAN ANTONIO ROAD AREA PLAN
Central San Antonio Sub Area
Existing Character
• Low-density commercial
• Two recently completed 5-story hotel
projects
• Several applications for 6-8 story midrise
residential projects
Future Development Potential
• Transition to high-density mixed-use
• 8.7 acres of Housing Element Sites
• Approx. 19 acres of potential future
development
• Several active pipeline projects
Active Planning Applications
824 San Antonio Road 800-808 San Antonio Road 788 San Antonio Road 762 San Antonio Road
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SAN ANTONIO ROAD AREA PLAN
Central San Antonio Sub Area
27 Design Approach
The strategy for this area to is continue to allow high-density residential projects. For larger sites or parcels that may be aggregated to be over ~3 acres there is a potential to require some publicly accessible outdoor space and neighborhood serving retail.

Future Development Potential
• Alt CSA-A1: 60 ft height limit (status quo)
• No change to currently allowed height
• Limits buildings to 5 stories, less feasible building type • Alt CSA-A2: 90 ft height limit
• Maximizes mid-rise construction
• In line with current development applications
• Improves project feasibility
• Increases housing yield
824 San Antonio
Height: 4 Stories
25 units: 56 du/ac
800+808 San Antonio Rd
Height: 8 Stories
175 units: 200 du/ac
788 San Antonio Rd
Height: 8 Stories
168 units: 169 du/ac
762 San Antonio
Height: 7 Stories
197 units: 111 du/ac
Sub Area Boundary
Pipeline Projects
Housing Element Sites
Parcel Lines
No Change Area
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SAN ANTONIO ROAD AREA PLAN
824 San Antonio
Height: 4 Stories
25 units: 56 du/ac
800+808 San Antonio Rd
Height: 8 Stories
175 units: 200 du/ac
788 San Antonio Rd
Height: 8 Stories
168 units: 169 du/ac
762 San Antonio
Height: 7 Stories
197 units: 111 du/ac
Central San Antonio Sub Area
28 Other Considerations
• Ground floor retail allowed, not required
• Lower floor land use alternatives
• Alt CSA-B1 - Restrict all commercial office uses
• Alt CSA-B2 - Allow limited commercial office uses on
the ground floor focused on professional services
Urban Design and Placemaking
• Outdoor Space
• Consider small plaza/park requirement on larger sites (Toyota site)
• Connectivity
• Consider requiring ped/bike path connection to
Wyandotte Street
• Improve intersections and ped/bike facilities
(see mobility section for alternatives)
• Require wider sidewalks
Potential
Connection
Potential
Plaza/Park
Sub Area Boundary
Pipeline Projects
Housing Element Sites
Parcel Lines
No Change Area
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SAN ANTONIO ROAD AREA PLAN 29
Central San Antonio
ALT CSA-A1
Residential 60 ft height limit
ALT CSA-A2
Residential 90 ft height limit
Build-Out Up to 75%-100% Up to 75%-100%
Assumed
Average Density 90 du/ac 135 du/ac
Residential Units 0 existing units
Up to 1,300 to 1,800 new units
0 existing units
Up to 1,800 to 2,400 new units
Commercial
Uses
449,000 sf existing
up to 209,000 sf loss of
commercial uses
449,000 sf existing
up to 209,000 sf loss of
commercial uses
Total Parcel
Area

21.3 acres
HE Sites*
Parcel Area

8.7 acres
Existing Building Area 449,000 sf
Existing Commercial Area 449,000 sf
Commercial area includes 234,100 sf of hotel, nursery,
restaurants, and some automotive services.

Land Use Alternatives (includes pipeline projects):

Existing Condition (does not include pipeline projects) :

Sub Area Boundary
Pipeline Projects
Housing Element Sites
Parcel Lines
No Change Area*Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide) Item 3
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Primary Sub Area Alternatives
South Fabian Way
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SAN ANTONIO ROAD AREA PLAN
South Fabian Sub Area
Existing Character
• Mix of low-scale office buildings
• Jewish Community Center/Moldaw Residences
• Apartments and podium townhomes north of JCC
• Insufficient bike facilities
• Narrow sidewalks and insufficient street trees on
Fabian Way south of E. Charleston Rd
Future Development Potential
• 6 acres of Housing Element Sites
• Approx. 10 acres of potential future development
• 2 pipeline projects include an office-to-private
school conversion and a 7-story mid-rise
residential project
• The area has seen other applications for mid-rise
residential projects
Active Planning Applications Old Applications
3950 Fabian Way 3997 Fabian Way 4015 Fabian Way
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SAN ANTONIO ROAD AREA PLAN
South Fabian Sub Area
Design Approach
Due to the small parcel sizes in this sub-area, the
recommended strategy is to allow incremental
redevelopment on a parcel-by-parcel basis.

Height/Density Alternatives
• Alt SF-A1: 60 ft height limit (status quo)
• No change to currently allowed height
• Limits buildings to 5 stories, less feasible building type
• Alt SF-A2: 90 ft height limit
• Maximizes mid-rise construction
• Improves project feasibility
• Increases housing yield
32 3950 Fabian Way
Private School Conversion
Height: 2 Stories
3977 Fabian Way
Height: 7 Stories
295 units: 135 du/ac
Sub Area Boundary
Pipeline Projects
Housing Element Sites
Parcel Lines
No Change Area
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SAN ANTONIO ROAD AREA PLAN
South Fabian Sub Area
Other Considerations
Land Use
• Ground floor retail: allowed, not required
• Lower floor land use alternatives
• Alt SF-B1: Restrict all commercial/office uses
• Alt SF-B2: Allow limited commercial office uses on lower floors (ground and 2nd floor) focused on professional services Urban Design and Placemaking
• Require wider sidewalks and street trees
• Improve intersections and ped/bike facilities
(see mobility section for alternatives)
33 3950 Fabian Way
Private School Conversion
Height: 2 Stories
3977 Fabian Way
Height: 7 Stories
295 units: 135 du/ac
Sub Area Boundary
Pipeline Projects
Housing Element Sites
Parcel Lines
No Change Area
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SAN ANTONIO ROAD AREA PLAN 34
South Fabian Sub Area Alternatives
ALT SF-A1
Residential 60 ft height limit
ALT SF-A2
Residential 90 ft height limit
Build-Out Up to 75%-100% Up to 75%-100%
Assumed Average
Density 90 du/ac 135 du/ac
Residential Units 384 existing units
Up to 600 to 800 new units
384 existing units
Up to 800 to 1,100 new units
Commercial Uses 177,000 sf existing
up to 177,000 sf loss of commercial
177,000 sf existing
up to 177,000 sf loss of commercial
Total Parcel
Area

24.3 acres
HE Sites*
Parcel Area
6 acres
Existing Building Area 754,800 sf
Existing Commercial Area 177,000 sf
Commercial area includes 33,000 sf of private schools,
estimated 120,000 sf of office, and some automotive uses Land Use Alternatives (includes pipeline projects):

Existing Condition(does not include pipeline projects) :

Sub Area Boundary
Pipeline Projects
Housing Element Sites
Parcel Lines
No Change Area*Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide) 3950 Fabian Way
Private School Conversion
Height: 2 Stories
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Primary Sub Area Alternatives
North Fabian Way
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SAN ANTONIO ROAD AREA PLAN
North Fabian Sub Area
Existing Character
• Large Maxar industrial facility
• Office buildings that have been
converted into private school facilities
• Inadequate bike facilities and traffic
calming to serve new uses
Future Development Potential
• Transition to high-density mixed-use
• Approx. 35 acres of potential future
development sites
36 Item 3
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SAN ANTONIO ROAD AREA PLAN
North Fabian Sub Area
Land Use Strategies
• Integrate residential uses
• Create new outdoor areas to serve existing and new
residents in the area
• Improve ped/bike access and safety
• Create a plan for the future of the Maxar Site
Maxar Site (24.5 acres)
• Connect to bike path at US-101 interchange, for ped/bike access to CTI and North Bayshore
• Allow for a mix of residential densities; townhouses and apartment buildings • Estimated yield: 900 to 1,400 units
• Create publicly accessible parks and outdoor spaces
• Create walkable block structure connecting to Fabian Way

24.5 acres
North Fabian:

Maxar Site
(See Alts)
North Fabian:

Other Sites
• Maintain
allowed land
uses
• Allow up to 60
or 90 ft with
rear setback
requirements
37 Item 3
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SAN ANTONIO ROAD AREA PLAN

24.5 acres
Maxar Site Alternatives
• Land Use Area
• Alt M-A1: Allow residential throughout site area
• Alt M-A2: Prioritize Flex/Incubator/Research + Development/Office space on eastern section of Plan Area along US-101
• Approximately 5-6 acres
• Allows for up to 20-acre residential master plan project Other Considerations
• Urban Design
• Require publicly accessible internal streets
• New ped/bike connection from Fabian Way to proposed US-101 interchange path • Create new and/or improved intersections along Fabian Way to access new development • Outdoor Space
• Require new parks and outdoor spaces to be built on-site • Require new parks and outdoor spaces to be publicly accessible • Retail
• Require a minimum amount of retail space to serve new residents • Require a minimum of amount of “retail ready” space (convertible to retail/food + beverage) • Allow but no minimum retail requirement, allow a 100% residential project 38 Item 3
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SAN ANTONIO ROAD AREA PLAN
Maxar Site Alternatives
Minimum Gross Density for Residential Projects
• Alt M-B1: 40 du/ac (status quo - allow some townhouses @ 18-22 du/ac net density)
• Would allow for approx. 200 for-sale 2-3 story townhouses • Alt M-B2: 60 du/ac (no building type with less than 30 du/ac net density) • Would likely push development of more 3-8 story rental apartment buildings • Would push for-sale component into denser “townhouse over podium” building type Height
• Alt M-C1: Allow up to 60 feet (status quo)
• Alt M-C2: Allow up to 90 feet (maximize mid-rise constructure type) • Alt M-C3: Allow high-rises, up to 160-250 feet
• Unlikely to be financially feasible but provides flexibility • Extra height could be tied to additional outdoor space

24.5 acres
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SAN ANTONIO ROAD AREA PLAN 40
Maxar Site: Potential Site Configurations
5-6 ac
3 ac

1.5 ac2 ac2 ac
1 ac

0.5 ac

0.5 ac
Concept A Concept B Concept C Concept D
• One big park, one small park
• Parks face Fabian Way
• Higher density to the west
• Lower density to the east
• Flex/incubator space along US-101
• One big park, one small park
• Big park faces Fabian Way
• Higher density residential along
San Antonio Rd and US-101 ramp
• Two parks of similar size
• Lower density residential along
San Antonio Rd and US-101 ramp
• One larger park
These site concepts are for illustrative purposes only and represent potential configurations of land uses based on the strategies and alternatives presented in previous slides, final designs will be developed through the typical development application and design review process.

Ped-bike
Connection
to San
Antonio
High Density Housing
Retail/Services
Low Density For Sale
Housing
Outdoor Space
Flex/Incubator Space
Legend
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SAN ANTONIO ROAD AREA PLAN
Maxar Site Alternatives Analysis
Maxar Site and Alternatives Summary
• Site area = 24.5 acres
• Parks/outdoor space estimate: 2-5 acres
• Streets estimate: 3.5 - 4.5 acres
• Developable Area: 17-19 acres
• Development @ 40 du/ac:
• 24.5 acres @ 40 du/ac = 980 units (gross)
• 17-19 acres @ 40 du/ac = 680-760 units (net)
• Development @ 60 du/ac:
• 24.5 acres @ 60 du/ac = 1,470 units (gross)
• 17-19 acres @ 60 du/ac = 1,020 - 1,140 units (net)

24.5 acres
41 Item 3
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SAN ANTONIO ROAD AREA PLAN
Maxar Site Alternatives

24.5 acres
ALT M-B1
Residential 60 ft height limit
ALT M-B2
Residential 90 ft height limit
Build-Out Up to 75%-100% Up to 75%-100%
Assumed Average
Density 40 du/ac 60 du/ac
Residential Units 0 existing units
Up to 700 to 1,000 new units
0 existing units
Up to 1,000 to 1,500 new units
Commercial Uses 683,000 sf existing
up to 485,000 sf loss of commercial
683,000 sf existing
up to 485,000 sf loss of commercial
Total Parcel
Area

34.6 acres
HE Sites*
Parcel Area
0 acres
Existing Building Area 683,000 sf
Existing Commercial Area 683,000 sf
Land Use Alternatives (includes pipeline projects):

Existing Condition (does not include pipeline projects) :
*Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide) 42 Item 3
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Primary Sub Area Alternatives
CTI Area
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SAN ANTONIO ROAD AREA PLAN
CTI Sub Area
44 Existing Character
• Low-density office and
industrial buildings in small
buildings
• Parcel sizes are small
• Single property owner has
aggregated a number of parcels
but they are non-contiguous
Future Development Potential
• Transition to high-density
mixed-use
• 7.2 acres of Housing Element
Sites
• Approx. 25.8 acres of potential
future development sites
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SAN ANTONIO ROAD AREA PLAN
CTI Sub Area Alternatives
Design Approach
The strategy for this area to is create a cohesive and complete neighborhood over time with new outdoor spaces and
neighborhood-serving retail. Just south of the CTI Sub Area, in Mountain View, a developer is proposing a project with
488,000 sf of office and 476 units on the shopping center site.

Design Opportunities
• Create new park/plaza/outdoor space for residential uses • Create opportunity for retail/services/food + beverage • Connect to MV development
• Improve ped/bike connections to San Antonio
• Improve streets and increase tree canopy
45 Sub Area Boundary
Pipeline Projects
Housing Element Sites
Parcel Lines
MV
Proposed
Project
PROPOSED US-101

INTERCHANGE PLAN
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SAN ANTONIO ROAD AREA PLAN
SITE

ANALYSIS
46 Fire Access
How do streets
provide for fire
access to mid-rise
buildings?
Flooding
How do projects
integrate with public
realm considering
higher ground floor
than sidewalks?
Ped/Bike
Infrastructure
E. Charleston
facilities inadequate
for higher-density
development
Street Design
Provide for wider
sidewalks and
increased tree
canopy
US-101 Buffer
Provide for
landscape buffer
US-101
Interchange
Plan
Ped/Bike connection
to US-101 interchange:
multi-use path

DEVELOPABLE
AREA

25.8 acres
HE SITES*

7.2 acres
Proposed
Project in MV
• 10.4 Acres Total
Parcel Area
• 488,100 sf Office
(11-story)
• 476 Residential
Units (8-story)
• 28,500 sf of
Commercial
• ~1.7 acres of Open
Space
Outdoor Space
Provide publicly access outdoor
space(s) for new development
Total Existing
Building Area :
528,800 sf
*Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide)
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SAN ANTONIO ROAD AREA PLAN
47 MV
Proposed
Project
Street connection
to Transport Ave
Neighborhood
connection to open
spaces and retail
Bike
infrastructure
improvements
on E.

Charleston
Road
Connection to
ped/bike
improvements on
US-101 interchange
Mobility
Strategies
Improve intersection
Create a walkable
block structure with
pedestrian pathways
Increase sidewalk
widths and tree
canopy
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SAN ANTONIO ROAD AREA PLAN
Street Design
Goals
• Improve pedestrian experience
• Improve bike safety and comfort on E.

Charleston
• Increase tree canopy
• Create transition area from sidewalk grade
to building ground floor heights (need to
be 3-8 ft above sidewalk level to meet
FEMA standards)
• Design streets to meet Fire Department
aerial access standards to avoid on-site
driveways for firefighting access (to
increase unit yield and development
feasibility)
48 Property Line
Existing Curb
Property Line
Property Line
Existing Curb
Property Line
Property Line
Existing Curb
Property Line
East Charleston Rd
(alternatives described in Mobility Section)
Internal Streets
(additional study needed in plan development)
Existing
Condition
Existing
Condition
Alt 1 Alt 1
Alt 2 Alt 2
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Outdoor Space
Considerations
49 ?
• Size and amount of
outdoor space?
• Types of spaces?
• Location priorities?
• Connections to local
ped/bike
improvements?
• Character of new
outdoor space(s)?
?
MV
Project
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Challenges to Creating
New Outdoor Spaces
50 Small Parcels
New outdoor spaces
and pedestrian
connections will
require coordination
across parcels

DEVELOPABLE
AREA

25.8 acres

HE SITES

7.2 acres
Proposed
Project in MV
(1 parcel)
• 10.4 Acres Total
Parcel Area
• 488,100 sf Office
• 476 Units
• 28,500 sf of
Commercial
• ~1.7 acres of
Open Space
Challenges
• Parcels are small with multiple owners; ownership aggregation is distributed where it occurs
• Small parcels are less feasible for residential development • Wider front setbacks are needed to improved sidewalks and increase tree canopy
Opportunities
• Allow higher value land uses (office) in exchange for creating new outdoor spaces
• Distribute new outdoor spaces evenly across all parcels (require front yard “mini parks” on all parcels through requiring larger setbacks and access easements
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SAN ANTONIO ROAD AREA PLAN
51 Outdoor Space
Strategies and
Alternatives

KEY ISSUES
• Visibility and Activation
Fronting E. Charleston Road or
along an interior street?
• Amount of Open Space
1-3 acres of parks/plaza plus
pedestrian pathways
• Size and Distribution
• One large park or distributed
open spaces?
• What is the minimum size…
For the largest park?
To be considered a park?
• Concentrated on a few parcels or
distributed as expanded setbacks
on most parcels?
Alt CTI-A4. Linear Parks on Expanded Setbacks
Alt CTI-A2. Internal Park/PlazaAlt CTI-A1. Plaza/Park on E. Charleston Road Alt CTI-A3. One Large Park
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SAN ANTONIO ROAD AREA PLAN
Potential Outdoor Space Types
52 Small
Park
Mini
Park Plaza
Less than

0.25 acre
Pocket Park Linear Greenway
(widened setback)

0.25 to

0.5 acre

0.25 to

0.75 acre~ 1 acre Size varies
with length
Size varies
with length~ 2 acre
Neighborhood
Park
South Park
San Francisco, CA
Landsby North
Mountain View, CA
Santana Row
San Jose, CA
6th Ave Park
Seattle, WA
Landsby North
Mountain View, CA
Johnson Park
Palo Alto, CA
Mews /
Pedestrian
Pathways
Mission Bay
San Francisco, CA
Strongly
supported by
community
Strongly
supported by
community
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SAN ANTONIO ROAD AREA PLAN
53 Alt CTI -A1 | Location: Along E. Charleston Rd.

KEY CONSIDERATIONS
• High retail visibility and activation
supports retail fronting outdoor space
by maximizing visibility from Charleston
• Better access and connection to
potential bike facility along E.

Charleston Road
• More accessible to a wide range of
users (transit users, cyclists,
pedestrians) instead of just
neighborhood residents
• Adds public space to the public realm
of a major corridor; complements
streetscape investments
• Traffic on E. Charleston could impact
user comfort; noise and pollution from
major street could impact usability of
open space
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54 Alt CTI -A2 | Location: Interior to Neighborhood

KEY CONSIDERATIONS
• Retail visibility less from E. Charleston,
could impact viability (retail could be
added on street leading to open space
to address this issue)
• Better residential integration serving
as an amenity focused on residents and
more neighborhood oriented
• Reduced noise and safety concerns
supports comfort and safety for passive
recreation and children’s activities
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55 Alt CTI -A3 | Configuration: Large Central Park

KEY CONSIDERATIONS
• Feasibility. A large outdoor space would
require maximum parcel aggregation and
additional height or higher-value land
uses such as office to “pay” for the
larger, consolidated outdoor space. This
configuration is likely hardest to achieve.
• Size. A 2-acre park may be very difficult
to achieve in one location. If one larger
outdoor space if preferred, the size may
need to be evaluated for feasibility.
• Programming of uses. A larger outdoor
space allows for a wider variety of
program elements, activities, and
increased greenery/ landscaping.
• Reduced noise and safety concerns.

Supports comfort and safety for passive
recreation, children’s activities, as well as
community events.

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SAN ANTONIO ROAD AREA PLAN
56 Alt CTI -A4 | Configuration: Linear Parks and Plaza

KEY POINTS
• High visibility and activation. Supports
retail fronting outdoor space by
maximizing visibility from E. Charleston
• Integrated over time. Each landowner
on certain streets would dedicate a
widened setback to create parklets.
• Usability. Narrower open space will
limit program options and
planting/landscape density but may
improve retail and street activation.
• Adds public open space to a major
corridor; complements streetscape
investments
• Traffic on E. Charleston could impact
user comfort; noise and pollution could
impact usability of open space
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SAN ANTONIO ROAD AREA PLAN
• Support relocation of HE sites
adjacent to US-101 to parcels
closer to E. Charleston
• Support parcel aggregation to
implement outdoor space and
connectivity goals
• Explore allowing higher value
office development to improve
residential feasibility and
implement outdoor space and
connectivity goals
Development
Strategies
57 Small Parcel
Sizes
Support parcel
aggregation to make
project more
feasible and
implement open
space goals
HE Sites
Relocate HE sites
away from freeway
Proposed
Mixed-Use Office
and Residential
Project in MV

10.4 Acres
One Parcel:

Former Shopping
Center

DEVELOPABLE
AREA

25.8 acres

HE SITES

7.2 acres
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SAN ANTONIO ROAD AREA PLAN 58
Land Use
Alternatives (1/2)
Alt CTI-B2:

Allow Residential up to 90 feet
• Estimated growth: 2,000 units
(assuming 75% of parcels redevelop)
• Allows developers to maximize mid-
rise building type, providing more
flexibility and financial feasibility.

Alt CTI-B1:

Allow Residential up to 60 feet
• Estimated growth: 1,000 units
(assuming 50% of parcels redevelop)
• Maintain existing height limits
• Limits residential and residential
mixed-use buildings to 5 stories
Alternative Summary

1. Residential up to 60 feet (5
stories); and existing allowed
uses.

2. Residential up to 90 feet (8
stories); and existing allowed
uses

3. Residential and Office up to 90
feet; and existing allowed uses.
(Relocate HE sites)

4. Residential up to 160-250 feet
and Office up to 135 feet; and
existing allowed uses.
(Relocate HE sites)
Residential
Mixed Use with Retail
Housing Element Sites
Potential Open Space
Potential Connection
Residential
Mixed Use with Retail
Housing Element Sites
Potential Open Space
Potential Connection
Land use designation of parcels for illustrative purposes, to be considered in the policy development phase of the Area Plan Item 3
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SAN ANTONIO ROAD AREA PLAN 59
Land Use
Alternatives (2/2)
Alt CTI-B4:

Allow Office and Residential high-rise (160-
250 ft residential/135 ft office)
• Estimated growth: 1500 units; 750,000 sf office/R+D
(Net new 510,000 sf of office/R+D assuming 75% of
parcels redevelop; no more than 175,000 sf net
increase between North Fabian and CTI)
• Jobs/housing balance is met in the CTI Area.
• High-rise building types could reduce office parcel
area and allow for more residential parcel area and
outdoor space.

Alt CTI-B3:

Allow Office and Residential up to 90 feet
(8 story residential/5-story office)
• Estimated growth: 1,200 units; 600,000 sf office/R+D
(Net new 360,000 sf of office/R+D assuming 75% of
parcels redevelop; no more than 25,000 sf net
increase between North Fabian and CTI)
• Jobs/housing balance is met in the CTI Area.
• Restricts office development to 5 stories, allowing
more height for office could reduce office footprint
for same amount of floor area.

Relocate
Housing
Element
Sites.Benefits to allowing office:
• Move HE sites from US-101
adjacent parcels to internal
parcels
• Office development can help
fund land area for parks and
other community benefits
• Office and Residential Mixed-
use will better support retail
and services
• Office development may offset
cost and improve feasibility for
residential projects if developed
by same company
Residential (No Office)
Mixed Use with Retail
Housing Element Sites
Potential Open Space
Potential Connection
Office Allowed
Residential (No Office)
Mixed Use with Retail
Housing Element Sites
Potential Open Space
Potential Connection
Office Allowed
Relocate
Housing
Element
Sites.

Land use designation of parcels for illustrative purposes, to be considered in the policy development phase of the Area Plan Item 3
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SAN ANTONIO ROAD AREA PLAN 60
Context: School Map
Goals/Strategies
• Create a safe ped/bike connection along
Charleston Rd with Intersection
improvements at San Antonio Rd.
• Create a safe ped/bike route along San
Antonio Rd
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SAN ANTONIO ROAD AREA PLAN 61
CTI Land Use Alternatives
Scenario Alt CTI-B1
60 ft height limit (No Office)
Alt CTI-B2
90 ft height limit (No Office)
Alt CTI-B3
90 ft height limit (Office Allowed )
Alt CTI-B4
135 ft height limit (Office Allowed )
Estimated
Build-Out Up to 50%-75% Up to 50%-75% Up to 75%-100% Up to 75%-100% Residential Units Up to 1,000 to 1,500 new units Up to 1,300 to 1,900 new units Up to 1,100 to 1,500 new units Up to 1,500 to 2,000 new units Office/R+D 0 sf 0 sf
600,000 sf (new)
360,000 sf (net new in CTI)
No more than +25,000 sf
between CTI and Maxar
750,000 sf (new)
510,000 sf (net new in CTI)
No more than +175,000 sf
between CTI and Maxar
Notes
Less build-out is expected since
residential alone is less financially
profitable.

Less build-out is expected since
residential alone is less financially
profitable.

Palo Alto’s job-to-housing ratio policy
can be maintained within the CTI area
up to 750,000 sf of new office if a
minimum of 1,500 units are built.

Palo Alto’s job-to-housing ratio policy
can be maintained within the CTI area
up to 900,000 sf of new office if a
minimum of 1,900 units are built.

Total Parcel
Area

25.8 acres
HE Sites*
Parcel Area

7.2 acres
Existing Building Area 528,800 sf
Existing Commercial Area 528,800 sf
The commercial area includes an estimated 240,000 sf of office space, 288,800 sf of retail, and light industrial uses.

Land Use Alternatives:

Existing Condition (does not include pipeline projects) :
*Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide) Item 3
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Evaluating Trade -Offs
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SAN ANTONIO ROAD AREA PLAN 63
Height/Density Trade -offs
60 ft Height Limit (status quo) 90 ft Height Limit 160-250 ft Residential Limit* Allows up to 5-story residential project
(mid-rise "4 over 1" typology)
Allows up to 8-story residential project
(mid-rise "5 over 3" typology)
Allows a 14-24 story residential project
(high-rise construction typology)
• “Fits” in better with adjacent lower scale
buildings, more compatible building form
and scale.
• However, any project may use State
Density bonuses to increase density/height
up to 8 stories by providing affordable
units on-site.
• Most feasible building type - maximizes
buildout for mid-rise construction typology.
• Can yield a higher number of housing units.
• Potentially more affordable units because
construction and land costs are distributed
across a larger number of units.
• Increases opportunities for community
benefits like outdoor space.
• Provides more flexibility in how parking is
provided by allowing up to three podium
levels, limiting need to go below-grade.
• Provides maximum number of new
housing units (assuming projects are
feasible and get built).
• Provides maximum flexibility to developer .
• Potentially less feasible building type in
high-value areas because it limits number
of units.
• Potentially more expensive units because of
higher per unit costs.
• To maximize units, below-grade parking is
likely needed, which further drives up costs
per unit and limits project feasibility.
• Need to regulate built form for scale and
height transitions to adjacent smaller-scale
buildings.
• Less feasible building type (at least in
near-term) because of significant increase
in costs per square foot for high-rise
construction technology. Projects begin to
become feasible around 14 stories in
height (9 to 14-story not very feasible)
Building
Type
Pros
Cons
*final height limit would be set in next stage of Area Plan with Council feedback Item 3
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SAN ANTONIO ROAD AREA PLAN
Housing Density + Typical Typologies
64 3-Story
Townhouse
18-22 du/ac
4-Story
Stacked Flats
20-30 du/ac
60 ft (5 story)
Midrise
100-135 du/ac
90 ft (7-8 story)
Midrise
135-200 du/ac
170 ft (16 story)
Zoning range may be
up to 250 feet
High-rise
200-400 du/ac
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SAN ANTONIO ROAD AREA PLAN 65
Land Use Trade- Offs in CTI
Allowing New Office Along with Residential for New
Mixed-Use Projects
Restricting New Office, Allowing Only
Residential/Residential Mixed-Use
Office is the most desirable use in Palo Alto from a developer perspective. By allowing a mixed-use project to include office in addition to residential, the feasibility of a project increases, and offers an opportunity to negotiate the provision of community benefits such as outdoor space.

High-density residential and residential mixed-use projects (residential above ground floor commercial) face
feasibility challenges in high-value markets such as Palo Alto.

Feasibility is further impacted if projects are required to provide community benefits like outdoor space, new connections on private property, etc.

Possible outcomes of allowing office:
- Improve project feasibility, ensuring that redevelopment happens in the near future.
- Deliver residential units sooner as part of redevelopment. - Provide more space for parks/plazas/outdoor space.
- Provide more space for new connections (using private property)
- Provide other community benefits such as streetscape
improvements.

Possible outcomes of restricting office:
- Redevelopment would likely take longer.
- Larger residential projects may not develop without a corresponding higher-value product (office or townhomes). - Lower feasibility would likely mean smaller-scale development on scattered parcels without lot consolidation.
- Incremental development without lot consolidation is unlikely to produce community benefits such as
parks/plazas, infrastructure improvements.

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SAN ANTONIO ROAD AREA PLAN 66
Statistical Analysis OF Alternatives: 20 -Year Build -Out EXISTING CHANGE ALTERNATIVES BUILDOUT TOTAL EXISTING + NEW

SUB AREA

EXISTING

COMMERCIAL

BUILDING AREA

EXISTING

RESIDENTIAL UNITS

COMMERCIAL

NET CHANGE

RESIDENTIAL

NET CHANGE

LOWER DENSITY
(75% to 100% buildout)
90 du/ac

HIGHER DENSITY
(75% to 100% buildout)
135 du/ac
HIGHER DENSITY +

OFFICE RESIDENTIAL COMMERCIAL
EAST BAYSHORE 414,000 sf 0 units N/A N/A N/A N/A N/A N/A 414,000 sf to 517,500 sf
WEST BAYSHORE 35,000 sf 0 units 0 100 to 200 units 100 to 200 units N/A 35,000 sf 100 to 200 units 35,000 sf to 44,000 sf NORTH FABIAN 683,000 sf 0 units -485,000 sf 700 to 1,500 units 700 to 1,000 units 1,000 to 1,500 units N/A 700 to 1,500 units 198,000 sf to 247,500 sf
SOUTH FABIAN 177,000 sf 384 units -177,000 sf 600 to 1,100 units 600 to 800 units 800 to 1,100 units N/A 1,000 to 1,500 units 0 CTI 528,800 sf 0 units +371,000 sf to
-499,000 sf 1,000 to 2,000 units 1,000 to 1,500 units 1,500 to 2,000 units 2,000 units + 900,000 sf office 1,000 to 2,000 units 0 sf to 900,000 sf CENTRAL SA 449,000 sf 0 units -209,000 sf 1,300 to 2,400 units 1,300 to 1,800 units 1800 to 2,400 units N/A 1,300 to 2,400 units 240,000 sf to 300,000 sf
SOUTH SA 99,000 sf 125 units 0 0 0 units 0 units N/A 125 units 99,000 sf to 124,000 sf
GREENHOUSE 0 sf 228 units 0 0 0 units 0 units N/A 228 units 0 ALMA 13,600 sf 65 units 0 100 to 200 units 100 to 120 units 120 to 200 units N/A 165 to 265 units 13,600 sf TOTAL 2,399,400 sf 802 units -500,000 sf to
-1,370,000 sf
3,800 to
7,400 units
3,800 to
5,420 units
5,220 to
7,200 units Up to 935,000 sf 4,600 to 8,200 units 999,600 sf to 2,146,600 sf
Note: Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide) Item 3
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SAN ANTONIO ROAD AREA PLAN 67
Summary of City’s Housing Initiatives
Recent City initiatives to stimulate housing production • Housing Element (2023-2031) has identified 53 opportunity sites in the Plan Area.
• Housing Element allocates 1,559 new housing units to the Plan Area (26% of total citywide allocation)
• GM and ROLM-zoned districts within Plan Area designated as Focus Areas. • City’s Housing Incentive Program (HIP) applies to a portion of the Plan Area.

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Secondary Sub Area
Alternatives
- East Bayshore
- West Bayshore
- Alma
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SAN ANTONIO ROAD AREA PLAN
Secondary Opportunity Areas
East Bayshore
• Alt EB-1: Low-density commercial office (status quo)
• Alt EB-2: High-density commercial office
• Alt EB-3: Mixed-use; allow residential (alternative removed) West Bayshore (HE Site)
• Alt WB-1: Allow residential and keep as HE Site (status quo) • Alt WB-2: Restrict residential, move the HE site to within North Fabian or South Fabian Areas
Alma
• SB 79 will allow residential on these parcels up to 65/75 feet in height with a minimum density of 30 du/ac
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SAN ANTONIO ROAD AREA PLAN 70
East Bayshore
ALT EB-1
Low-density commercial
office (status quo)
ALT EB-2
High-density
commercial office
Build-Out No change Up to 75%-100%
F. A.R. 0.4 FAR Allow Higher FAR
Commercial
Uses
414,000 sf existing
No new commercial
414,000 sf existing
Up to 103,500 sf of net
new commercial
Total Parcel
Area

37.5 acres
HE Sites*
Parcel Area
0 acres
Existing Building Area 414,000 sf
Existing Commercial
Area 414,000 sf
Land Use Alternatives (includes pipeline projects):

Existing Condition (does not include pipeline projects) :
*Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide)
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SAN ANTONIO ROAD AREA PLAN 71
West Bayshore
ALT WB-1
Allow residential and keep
as HE Site (status quo)
ALT WB-2
Restrict residential,
move the HE Site.

Build-Out Up to 75%-100% No Change
Density / Office
F. A.R 90 du/ac 0.4 FAR
Residential Units Up to 100 to 200 new units 0 new units Commercial
Uses
35,000 sf existing
up to 35,000 sf loss of
commercial
35,000 sf existing
No net new commercial
Total Parcel
Area

2.1 acres
HE Sites*
Parcel Area

2.1 acres
Existing Building Area 35,000 sf
Existing Commercial
Area 35,000 sf
Land Use Alternatives (includes pipeline projects):

Existing Condition(does not include pipeline projects) :
*Palo Alto’s 2023-2031 Housing Element allocates a total of 1,559 new housing units to the Plan Area (26% of the total citywide)
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SAN ANTONIO ROAD AREA PLAN
SB 79: Alma and parcels within ½ -mile radius of Caltrain • Typical Lot: Single-family Eichler House
on 8,000 sf lot (5.5 du/ac) with a home
value from $3-4 million
• SB 79 would allow redevelopment of a
parcel up to heights/density outlined
below; 30 du/ac minimum density is
required (6 units on typical parcel size)
• Outside of religious facility sites,
redevelopment under SB 79 is not likely
due to existing home values
• SB 79: ¼ Mile Radius
• Up to 75 ft; 120 du/ac
• SB 79: ½ Mile Radius
• Up to 65 ft; 100 du/ac
72 ¼ Mile Radius
½ Mile Radius
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Mobility Alternatives
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SAN ANTONIO ROAD AREA PLAN
Mobility Context – Overview

POOR WALK/BIKE CONNECTIVITY
There are disconnected bike lanes, narrow sidewalks,
wide arterials that create barriers to walking and biking.

HIGH TRAFFIC VOLUMES The corridor experiences heavy traffic and truck volumes with congestion throughout the day.

AUTO-ORIENTED DESIGN
The area has wide roads, low-density land use, and
development that prioritizes automobiles.

Despite proximity to bus stops and Caltrain, there is poor integration with transit, limiting alternatives to driving.

Coordination with Mountain View and Caltrain, as well
as other partners (e.g., Google, private developers) will be necessary to advance projects across boundaries.

INTERAGENCY COORDINATION NEEDS

LACK OF TRANSIT INTEGRATION
Characteristics of the existing transportation and circulation environment 74 Item 3
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SAN ANTONIO ROAD AREA PLAN
Mobility Context – What We Heard
• Build on and coordinate with prior and current planning and design efforts • 2026 Bicycle and Pedestrian Transportation Plan
• South Palo Alto Bike/Ped Connectivity Project
• US-101 Interchange Project
• Fabian Way South Palo Alto Bikeways Demonstration Project • Prioritize safe connections to schools, parks, retail, and transit • Improve connections across San Antonio Rd at Nita Ave, Middlefield Rd, and Charleston Rd
• Enhance connection to San Antonio Caltrain Station
• Create comfortable walking and biking experience along and across San Antonio Road
• Provide separated bikeway or multi-use path
• Consider increase in vehicle and truck traffic related to new development in Mountain View and Palo Alto
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SAN ANTONIO ROAD AREA PLAN
Mobility Context – Walking, School Routes
76 Item 3
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SAN ANTONIO ROAD AREA PLAN
Mobility Context – Biking
77 Item 3
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SAN ANTONIO ROAD AREA PLAN
Mobility Context – Transit, Parking
78 Item 3
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SAN ANTONIO ROAD AREA PLAN
Mobility Context – Safety
79 Item 3
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SAN ANTONIO ROAD AREA PLAN 80
Special Set Back
• Special setbacks along several streets in
the Plan Area are shown here for
reference.

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SAN ANTONIO ROAD AREA PLAN 81
2026 BPTP Complete Vision Network
2026 BPTP Recommendations
• Class I shared use path along San Antonio Road from E. Charleston Road to Terminal Boulevard/Baylands Nature Preserve
• Class IV separated bikeways on
• San Antonio Road between Alma Street and Charleston Road (SB_20) • Middlefield Road within City limits
• Charleston Road within City limits
• Alma Street from Meadow Drive to San Antonio Avenue
• Fabian Way from Meadow Drive to Charleston Road(SB_23) • Class IIIb bicycle boulevard on Mackay Drive
• Intersection improvements at Charleston Rd (Int_07) and Middlefield Rd (Int_12) • San Antonio Road Area is identified as a Pedestrian Priority Area Mobility Context – Projects, Plans, and Policies
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SAN ANTONIO ROAD AREA PLAN 82
Mobility Context – Projects, Plans, and Policies
• T-3.5. When constructing or modifying roadways,
plan for use of the roadway by all users
• T-3.6. Consider pedestrians, bicyclists, e-bikes
and motorcycles when designing road surfaces,
curbs, crossings, signage, landscaping and sight
lines
• Create a culture and climate of systemic safety by
addressing the key risk factors and barriers to
safety, including:
• Making design, maintenance and operations
decisions that prioritize safety
• Commit to support areas zoned for
increased density and infill
development with transportation
facilities and improvements to
enable safer multi-modal
transportation for present and future
road users
Safety Action PlanComprehensive Plan
• T-3.14. Continue to prioritize the
safety of school children in street
modification projects that affect
school travel routes, including
during construction
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SAN ANTONIO ROAD AREA PLAN 83
Prior and Current Planning and Design Efforts
US 101 Interchange Improvements – San Antonio Road
Fabian Way Protected Bike Lanes
Charleston/San Antonio
Road Intersection Design
Potential future ped/bike
connection
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Mobility Strategies
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SAN ANTONIO ROAD AREA PLAN
Reimagine the corridor as a multimodal spine that balances mobility with placemaking 85 Mobility Strategies to Support Land Use Alternatives

PARKING AND DEMAND MANAGEMENT
Apply strategies to reduce travel demand and organize
allocation of curb space to improve access and efficiency.

PEDESTRIAN-FIRST DESIGN
Prioritize comfortable, accessible, and inviting streets that encourage walking and biking (while recognizing San Antonio as a regional corridor and truck route.

LOW-STRESS BIKING ROUTES
Provide high quality bikeways that meet the needs of
people of all ages and abilities.

Integrate walking, biking, shuttles, and shared mobility to create a seamless journey from doorstep to destination.

SMART CORRIDOR TECHNOLOGY
Use real-time data, adaptive signals, and digital tools to optimize traffic flow and enhance multimodal safety.

FIRST/LAST MILE CONNECTIONS
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SAN ANTONIO ROAD AREA PLAN
Create comfortable, accessible, and vibrant environments where walking is the most convenient and enjoyable mode of travel.

Pedestrian -First Design
short blocks
Implement 2026 BPTP Pedestrian Design Guidelines and increase walkability with short block lengths and paseos 86 Item 3
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SAN ANTONIO ROAD AREA PLAN
Low-Stress Biking Infrastructure
Provide high-quality bikeways that meet the needs of people of all ages and abilities.

Class IV Separated Bikeway
Protected Intersection
Class I Shared Use Path
Implement 2026 BPTP recommendations and applicable countermeasures from the Safety Action Plan Appendix E 87 Item 3
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SAN ANTONIO ROAD AREA PLAN
Types of Bikeways
Source: Caltrans, Toward an Active California, State Bicycle and Pedestrian Plan, 2017. 88 Item 3
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SAN ANTONIO ROAD AREA PLAN
First/Last Mile Connections - Overview
Integrate walking, biking, shuttles, and shared mobility to create a seamless journey from doorstep to destination.

Shuttles
Short-distance, fixed-route,
circulator-style trips or flexible,
responsive, and sustainable
transport to bridge the first/last
mile.

Mobility Hubs
A place where multiple transportation
modes are cohesively and conveniently
located to provide an integrated suite of
mobility services and amenities.

Shared Micromobility
Any shared small, low-speed, human- or
electric-powered transportation device,
including bicycles, scooters, electric-assist
bicycles, electric scooters (e-scooters), and
other small, lightweight, wheeled
conveyances.

Wayfinding
Use of signs, maps, and other visual cues to
help people navigate through an area.

Effective wayfinding systems improve
accessibility and user experience.
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SAN ANTONIO ROAD AREA PLAN
First/Last Mile Connections - Mobility Hubs
A place where multiple transportation modes are cohesively and conveniently located to provide an integrated suite of mobility services and amenities.

Features
Rendering of Mobility Hub
Source: mtc.ca.gov/planning/transportation/mobility-hubs • Real-time transit information
• Shuttle service
• Pick-up/drop-off zone
• Electric vehicle charging
• Vehicle parking
• Enhanced crossings
• Low-stress bicycle routes
• Bicycle racks
• Covered bike storage/lockers
• Shared micromobility
• Transit shelter
• San Antonio Rd/Charleston Rd
• San Antonio Rd/Middlefield Rd
• San Antonio Caltrain Station
Potential Locations
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SAN ANTONIO ROAD AREA PLAN
Organize allocation of curb space for vehicles, deliveries, and shared mobility to improve access and efficiency.

Parking and Demand Management - Curbspace
Prioritize and accommodate various curb functions depending on curb needs in different contexts.

Access for Goods
Space for deliveries, used for
short periods of time.

Access for People
Active space for transit
boardings, passenger
loading, and shared mobility
services.

Public Space and Services
Space for use by people and
public services, such as
parklets, landscaped areas,
and fire hydrants.

Storage for Vehicles
Curb lane is intended to be
used for the storage of
vehicles or bicycles for
established time periods, such
that it is unavailable for other
purposes.

Movement
Curb lane is used for the
movement of vehicles or
active transportation modes
and is unavailable for other
purposes.
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SAN ANTONIO ROAD AREA PLAN
Implement strategies intended to reduce travel demand, shift trips to more sustainable modes, and improve the efficiency of the mobility network.

Parking and Demand Management - Transportation
Options
Provide Bicycle Parking and
Repair Stations
Provide designated, secure
and convenient areas for bike
parking and bike
maintenance and repair.

Improve Walking/Biking
Access
Include streetscape
improvements that make it
easy and comfortable to walk
and bike.

Incorporate Shared Vehicle
Services and Bike Fleets
Provide car-share parking and
bike fleets on-site and offer
subsidized car-
share memberships.

Create Supportive Mix of Land
Use
Incorporate a mix of
residential, commercial, and
institutional land uses and
increase the density of uses.

Integrate Communications
and Information
Provide real-time transit
information and wayfinding
signage.

Apply transportation demand management strategies to make sure that new development is designed to make it easier for tenants, residents, employees, and visitors to get around using sustainable modes. 92 Item 3
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SAN ANTONIO ROAD AREA PLAN
Smart Corridor Technology
Keep Cycles
Short
Transit Signal
Priority & Leading
Bike/Ped Intervals
& Extended Time
to Cross
Signal
interconnectivity
and coordination
Time to
Intended
Speed
Adjust by
Time of
Day
Real-time
traffic
management
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Mobility Alternatives
San Antonio Road
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SAN ANTONIO ROAD AREA PLAN
San Antonio Rd Priorities
A. East of Charleston Rd
o Enhance connection to and across US-101
o Create connection through to Fabian Way
o Coordinate with VTA US-101 Interchange Project and Google o BPTP Recommendation: Class IV - Separated Bikeways; Class I - Shared Use Path north of Bayshore Road
B. Charleston Rd to Middlefield Rd
o Provide comfortable walking and biking facilities
o Enhance connections across San Antonio Rd
o Maintain capacity for vehicle and truck traffic
o Coordinate with landowners and developers
o BPTP Recommendation: Class IV - Separated Bikeways
C. West of Middlefield Rd
o Caltrain Station connection
o Nita Avenue crossing improvements
o San Antonio Avenue enhancements
o Coordinate with Mountain View, Caltrain, and Google
o BPTP Recommendation: Class IV – New Separated Bikeway on San Antonio Avenue and new Class IV – New Separated Bikeway on San Antonio Road from overcrossing to Middlefield
A
B
C
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SAN ANTONIO ROAD AREA PLAN
San Antonio Intersection Improvements
D. Charleston Rd Intersection
o Create protected intersection
o Remove side street with diagonal parking, extend pedestrian zone o Modify lane geometry, consider removing dual left turn lanes to provide median refuge
o Explore grade separated crossing
E. Middlefield Rd Intersection
o Create protected intersection
o Consolidate existing driveway access
o Modify lane geometry,
o remove westbound right turn lane,
o consider removing dual left turn lanes to provide median refuge o Explore grade separated crossing
F. Nita Ave
o Extend existing bike lanes through the intersection
o Enhance connection to bike boulevard on Mackay Dr
D
E
F
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SAN ANTONIO ROAD AREA PLAN
A. East of Charleston Rd
97 San Antonio Road with planned US 101 Interchange
Improvements that include bike path over 101
• Class I multi-use path or Class IV
separated bikeway along San Antonio
from Charleston to US-101 interchange
ped/bike overpass
• Ped/bike connection across San Antonio
Road and through to Fabian Way to
access destinations north of CTI Area
Google Streetview images of San Antonio
Road at US 101 SB Off Ramp, facing east
8 – 12 ft
As Space
Allows
Expand sidewalk to
create a 8-12 ft wide
multi-use ped/bike
path on San Antonio Rd
Connect San Antonio
Interchange Bike Path
to Fabian Way and
Transport St
Expand sidewalk to
create a 8-12 ft wide
multi-use ped/bike
path on San Antonio Rd
Planned US 101
Interchange
Improvements
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SAN ANTONIO ROAD AREA PLAN
D. Potential Grade -Separated
Crossing
98 Would require 9%
ramp or
~ 300 feet for 5%
175 ft
Would require
30-40 feet
setback
Spiral ramp requires
100 ft x 100 ft
dimension, roughly
the size of the gas
station property
Potential two-way
shared-use path
Potential two-way
shared-use path
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SAN ANTONIO ROAD AREA PLAN 99
• Heart of the Central San Antonio sub area (mixed-use change area) • Currently designated a high-stress street for biking
• Experiences truck traffic and congestion throughout the day • 2026 BPTP recommends prioritizing intersection improvements at Charleston Rd and Middlefield Rd
• 2026 BPTP recommends Class IV separated bikeways on each side of the street
B. Charleston Rd to Middlefield Rd - Existing
24’24’
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SAN ANTONIO ROAD AREA PLAN 100
Context: Charleston Rd to Middlefield Rd - Existing
• Utilities/Infrastructure Challenges
• Potential Pinch-Points
• Unique Situations
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SAN ANTONIO ROAD AREA PLAN 101
B. Charleston Rd to Middlefield Rd - Alternatives
Existing Condition
24’ 24’
24’ 24’
24’ 24’
24’24’
Alt MSA-2 Alt MSA-3
Alt MSA-1
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SAN ANTONIO ROAD AREA PLAN 102
Category Existing ALT MSA-1
Separated Bikeway, Wider Sidewalks
ALT MSA-2
Shared Use Path (north) + Bikeway(south)
ALT MSA-3
Two Way BikewayBoth Sides
Bike Facility Type Class III (shared lane) Class IV Class I shared use path north + Class IV south Class IV two way (both sides) Curb to Curb Width 76.5 ft 76.5 ft 76.5 ft 55.5 ft (moves curbs, removes existing trees) ROW Required 100.5 ft (Existing) 100.5 ft 110.5 ft 105.5 ft Additional Easements NA No change 10 ft (7ft on north side) 5ft (2.5ft each side) Bicycle Facility Width NA 7 ft 12 ft two-way shared use path (north) + 7 ft bikeway (south) 10 ft two-way path (each side)
Sidewalk Width 5 ft 5-8 ft 5-8 ft 8 ft
On-Street Parking 8 ft; No Change Removed (101 spaces) Removed on south side (40 spaces totalremoved) Removed (101 spaces) Considerations • No change
• Separated, low stress bicycleand pedestrian
facility
• Improved safety for bicyclists and pedestrians
crossing at intersections
• No curb moves
• Space for placemaking
• High comfort two-way path on north side
• Improved safety for bicyclists and pedestrians
crossing at intersections
• Some parkingretained
• Space for placemaking
• Highest comfort for bicycles and pedestrians
• Improved safety for bicyclists and
pedestrians crossing at intersections
• Space for placemaking
Constraints • No change • Intersection turn consolidation • Removal of parking
• Intersection turn consolidation
• Minor parking impacts
• Large ROW needs (10ft), requires coordination with
properties on west side
• Impact to tree at pinch point near Greenhouse
residences
• Complete reconstruction of curb to curb
required and considerations related
to utilities and stormwater infrastructure
• Removal of parking
• Impact to trees between existing curb and
sidewalk
• Taller buildings require reduced distances
to fire apparatus
Consistent with 2026
BPTP Recommendations NA • Yes • Partially • Yes
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SAN ANTONIO ROAD AREA PLAN
B. Charleston Rd to Middlefield Rd – Alt MSA- 1
• Separated bikeway with wide sidewalks and no
parking on both sides
• Meets 2026 BPTP
• Considerations
o Separated and low stressbicycle and pedestrian
facilities on both sides, but does not fully mitigate
traffic conflicts along this truck route
o Curbs and median remain in place
o Widening sidewalks would require 3' right-of-way
within the special setback
o All parking removed
103
24’24’
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SAN ANTONIO ROAD AREA PLAN
• Shared use path and parking on north side with
separated bike facility, wider sidewalks, and no
parking on the south side
• Equivalent to 2026 BPTP
o Modifies 2026 BPTP Class IV separated bikeway to high comfort Class I shared-use path on north side
o Low-stress bicycle facilities on both sides
o Curbs and median remain in place, some parking
retained
o Requires right-of-way or easements within the special setback (7' north, 3' south with sidewalk widening)
104
B. Charleston Rd to Middlefield Rd – Alt MSA- 2
24’24’
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SAN ANTONIO ROAD AREA PLAN
Alt MSA- 2: Multi- Use
Path on North Side
Expand
sidewalk to
create 8-12 ft
wide multi-use
ped/bike path
Maintain street
trees
Existing trees
may create
pinch points
10 – 12 ft
As Space
Allows
• Work with adjacent property
owners to expand existing sidewalk
into a two-way multi-use path
• Maintain as many existing trees as
possible
• Pinch-points may be unavoidable
without moving infrastructure or
removing some trees
105
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SAN ANTONIO ROAD AREA PLAN
• Exceeds 2026 BPTP with Class IV two-way bikeways on both sides of the street separated from sidewalks
• Considerations
o High comfort bicycle and pedestrian facilities providing two- way separated travel for people walking and biking
o Removes parking on both sides
o Impacts tree near Greenhouse residences
o Requires relocation of all existing street trees
o 20 feet on each side of the street for pedestrian and bike facilities
• Potential Trade-Offs
o Requires reconstruction of curbs to narrow roadway, median remains
o Requires right-of-way within special setback on both sides o Requires relocation of significant utilities and infrastructure 106
B. Charleston Rd to Middlefield Rd – Alt MSA- 3
24’24’
24’24’
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SAN ANTONIO ROAD AREA PLAN
C. West of Middlefield Rd
107
• Enhance connections to the Caltrain Station
• Provide low-stress bikeway on San
Antonio Ave
• Extend and connect bike path to Caltrain
Station
• Create high visibility pedestrian and bike
crossing markings
• Coordinate with Mountain View, Alphabet,
and Caltrain to provide Mobility Hub at/near
the Caltrain Station
• Enhance bike/ped crossings at Nita Ave to
connect to Mackay Dr
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SAN ANTONIO ROAD AREA PLAN
C. West of Middlefield Rd (+ San Antonio Ave)
108
Convert turn lane to
separated bikeway
along San Antonio
Rd and transition to
San Antonio Ave
at Byron St
Remove left turn
from Byron St to
San Antonio Ave
Provide low-stress
bikeway and lighting
enhancements along
San Antonio Ave from
Byron St to Alma St
• Existing cross-section varies from 30' to 40'
• Implementing separated bikeway (2026 BPTP
recommendation) would require removal of
on-street parking and landscaping strip
• Provide pedestrian-scale lighting
• Provide low-stress bikeway, consider
o Shared use path (Class I)
o Bike boulevard with traffic calming (Class III)
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SAN ANTONIO ROAD AREA PLAN
San Antonio Rd Connection to Caltrain
109
Enhance connection from
Mackay Dr across San
Antonio Rd to existing bike
lanes on Mayfield Ave
Explore opportunities to
improve connection through
existing underpass
• Partner with Mountain View and Alphabet to
strengthen existing connections to Caltrain
o Enhance connection from Mackay Dr across
San Antonio Rd to Nita Ave/Mayfield Ave
o Explore opportunities to improve connections
through existing underpass
o Simplify San Antonio Ave / Briarwood Way
intersection
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SAN ANTONIO ROAD AREA PLAN
Alma Street and Connection to Caltrain
110
Widen existing sidewalk to
shared use path on west
side of Alma St from San
Antonio Ave to Caltrain
station
Reduce curb radii and add
bike crossing markings
connecting to new shared
use path on west side of
Alma St
Construct separated bikeway
on east side of Alma St
Widen existing sidewalk to
shared use path on west
side of Alma St from San
Antonio Ave to Caltrain
station
Reduce curb radii and add
bike crossing markings
connecting to new shared
use path on west side of
Alma St
Construct separated
bikeway on east side of
Alma St
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SAN ANTONIO ROAD AREA PLAN 111
Alma Street (existing conditions)
Widen existing sidewalk
to shared use path on
west side of Alma St from
San Antonio Ave to
Caltrain station
Reduce curb radii and add bike
crossing markings connecting
to new shared use path on
west side of Alma St
Construct separated
bikeway on east side of
Alma St
Utilize existing
landscaping strip to
construct separated
bikeway on east side of
Alma St
• 2026 BPTP recommends separated bikeway
along Alma St from San Antonio Ave to
Meadow Dr
• Limited driveway conflicts along east side
• Landscaping strip is approx. 15' wide
• Coordinate with Caltrain and Mountain View to
enhance existing connection from San Antonio
Ave to Caltrain station
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SAN ANTONIO ROAD AREA PLAN 112
Alma Street
• Provide low-stress bikeway on Alma Street
• Create high visibility pedestrian and bike crossing
markings
• Implement signal timing strategies to manage
vehicle speeds along the corridor
• Keep cycles short
• Provide leading intervals for walk/bike
• Time signals to intended speeds
• Adjust timing plans by time of day
• Coordinate with Mountain View, Google, and
Caltrain to provide Mobility Hub at/near the Caltrain
Station
Class IV Separated Bikeway
Keep Cycles
Short
Time to
Intended
Speed
Adjust by
Time of
Day
Leading Pedestrian
Intervals
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Mobility Improvements
E. Charleston Road
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SAN ANTONIO ROAD AREA PLAN
Charleston Road Strategy
114
Fabian to SA SA to MV
SA/Charleston
Intersection
• Improve ped/bike facilities on E. Charleston Road
• Improve intersection safety
• Connect to proposed ped/bike facilities on San Antonio Road Item 3
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SAN ANTONIO ROAD AREA PLAN 115
Intersection : E. Charleston Rd and San Antonio Rd
Goals:
• Improve pedestrian/bike movements
across the intersection
• Integrate preferred alternatives for San
Antonio Road and Charleston Road
Potential Concepts to Study:
• Protected intersection
• Reduce crossing distance
• Reconfigure diagonal parking to ped/bike
facilities
• Grade separated crossing (limited
touchdown area on south side)
Approved Project
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SAN ANTONIO ROAD AREA PLAN 116
Charleston Rd: San Antonio Road to Mountain View
Proposed Improvements
• Improve neighborhood
connections to Mountain
View
• Improve pedestrian and
bike infrastructure on
Charleston Road
• Connect to proposed US-
101 bikeway interchange
Bike
Infrastructure
Setbacks required
for new bike
infrastructure on
Charleston
Street Design
Provide for
wider sidewalks
and increased
tree canopy
101
Interchange
Plan
B
Ped/bike connection to
US-101 interchange
multiuse path
Neighborhood
connection to
open spaces and
retail
Bike infrastructure
improvements on E.

Charleston Road
Block Size
Create pedestrian
pathways at least
one every 800 feet
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SAN ANTONIO ROAD AREA PLAN
10 ft.

Setback
Property Line
Existing Curb
Property Line
117
Charleston Road South of San Antonio (facing south)
Existing Typical Section
Bike lanes too
narrow Sidewalk too
narrow for high
density
development
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SAN ANTONIO ROAD AREA PLAN 118
ALT MCH -1: STREET SECTION
E. Charleston Road south of San Antonio (section shown facing south) Exiting
10 ft.

Setback
Preferred
15 to 17 ft.

Setback
Property Line
Existing Curb
Property Line
• Goals:
• Create safe and comfortable
bike connection to and across
San Antonio Road
• Connected new development in
CTI and Mountain View to other
amenities
• Alternative Concept:
• Create 14 feet wide multi-use
path on north side of
E.Charleston Road
• Keep existing curbs
• Expand existing setback by 5 to
7 feet
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SAN ANTONIO ROAD AREA PLAN 119
ALT MCH -2: STREET SECTION
E. Charleston Road south of San Antonio (section shown facing south) Property Line
Exiting
10 ft.

Setback
Existing Curb
Preferred
15 to 17 ft.

Setback
Property Line
Curb moved
by 6 ft.
• Goals:
• Create safe and comfortable
bike connection to and across
San Antonio Road
• Connected new development in
CTI and Mountain View to other
amenities
• Alternative Concept:
• Increase curb-to-curb
dimension to widen bike lanes
from 5 feet wide to 8 feet wide
• Increase sidewalk width
• Expand existing setback by 5 to
7 feet
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SAN ANTONIO ROAD AREA PLAN
Charleston Rd: Fabian Way to San Antonio Road
• Reconfigure the Fabian Way - San
Antonio Road intersection to
improve safety and circulation
• Calm turning movements with a
raised crosswalk on Fabian Way
• Remove diagonal parking spaces to
support a safer, more efficient
intersection layout
• Create space for placemaking
elements, micromobility parking,
and enhanced bus stop amenities
120
10 ft
Class IV
Separated Bike Lane
10 ft
Right Turn Lane
10 ft
North Bound Lane
10 ft
South Bound Lane
10 ft
South Bound Lane
10 ft
Class IV
Separated Bike Lane
15 ft
Shared Bike Right
Turn Lane
10 ft
North Bound Lane
10 ft
Turning Lane
10 ft
South Bound Lane
10 ft
South Bound Lane
5 ft
Bike Lane
Alt MCH-B1
Proposed
Section
Existing Section
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SAN ANTONIO ROAD AREA PLAN
121
Traffic Volumes for E. Charleston to Fabian Way
AM Peak Hour
PM Peak Hour
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Mobility Improvements
Fabian Way
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SAN ANTONIO ROAD AREA PLAN
Fabian Way
• Address Fabian Way planned improvements
• Address potential future needs with residential
land use at Maxar Site
• Address pick-up drop-off at JCC and private
schools
• Address potential to add traffic signal at
Federation Way and/or other locations
123
Future
Residential
Development
JCC Gym/
Afterschool
Program
Federation Way
Fabian Way
Potential Ped/Bike Path
Fabian Way
Private
School
Private
School
Potential new intersections
Potential new traffic signal
Protected intersection
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2991 SHATTUCK AVE, #203 | BERKELEY, CA. 94705 | P: 510.647.5291| STRATEGICECONOMICS.COM

MEMORANDUM
To: Robert Cain, Principal Planner, City of Palo Alto
From: Derek Braun, Principal
T.J. McKiernan, Associate
Date: March 24, 2026
Project: San Antonio Road Area Plan
Subject: Analyses Supporting Consideration of the Plan Alternatives: Development Conditions and Funding / Delivery Approaches for Parks and Mobility Improvements Strategic Economics evaluat ed three topics related to the City of Palo Alto’s consideration of “Plan Alternatives” for the San Antonio Road Area Plan. Those topics included the following:

1. The financial performance of housing and office development prototypes in the Plan Area that align with the Plan Alternatives’ visions (and therefore the ability of future development to fund other improvements included in the Plan Alternatives).

2. Whether the quantity and types of development described in the alternatives for the “Maxar Site” and “CTI Site” would generate sufficient parkland dedication and Parks Impact Fee revenues to construct new public parks, paseos, and outdoor spaces (collectively referred to as “parks” throughout this memorandum).

3. Tools the City of Palo Alto can use to fund and secure land for parks and for improvements included in the “Mobility Alternatives ,” given that much of the required land is currently privately owned, and significant capital improvement projects may be required.

The Plan Alternatives being considered by the City of Palo Alto include variations in the intensity and types of uses accommodated in the Plan Area. The Plan Alternatives also include varying quantities of public parks, paseos, and outdoor space to support the Plan Area’s gradual transformation into a set of cohesive mixed-use neighborhoods and employment centers. The Plan Alternatives identify the CTI Sub Area and the Maxar Site (in the North Fabian Sub Area) as being two of the most significant areas of potential change, with each consisting of approximately 25 acres of potential future development sites. New paseos in the CTI Sub Area would serve as a new pedestrian and bicycle mobility connection in addition to providing outdoor space.

The Mobility Alternatives—a sub-component of the Plan Alternatives—cover multimodal transportation improvements throughout the Plan Area, including for the key segment of San Antonio Road from Charleston Road to Middlefield Road. The Mobility Alternatives include enhanced walking and biking facilities designed to improve comfort and align with applicable safety standards . Their implementation requires varying levels of funding for construction and acquisition of easements or rights-of-way from private property owners.

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March 24, 2026 2
Following this introduction, the remainder of the memorandum consists of the sections described below:
• Residential and Office Development Conditions (page 2): Describes residential and office development “prototypes,” their applicability to the study geographies, and their current and potential future financial performance under varying market and development conditions. • Public Parks Costs and Funding (page 9): Defines the land use scenarios analyzed to reflect the Maxar Site and CTI Sub Area Plan Alternatives. Compares the cost to provide parks in the scenarios with the contributions of land and funding that would be generated by development in the scenarios, based on current City of Palo Alto parkland dedication and Park Impact Fee requirements.
• Park Delivery Tools (page 14): Describes tools the City of Palo Alto can potentially use to acquire land for parks in the Plan Area, depending on the magnitude and pace of development proposals.
• Mobility Alternative s Implementation Considerations (page 15): Describes challenges for delivery of each Mobility Alternative using the segment of San Antonio Road between Charleston Road and Middlefield Road as an example. Explains the major cost drivers associated with each Mobility Alternative, and identifies the pros and cons of potential funding mechanisms and land acquisition tools to implement the Mobility Alternatives.

The Appendix provides additional detailed tables that describe key assumptions, calculations, and outputs of the analyses.

Residential and Office Development Conditions
This section reviews the results of a preliminary analysis of the financial performance (from a developer’s perspective) of development prototypes representing residential and commercial developments that align with the Plan Alternatives’ visions for the Maxar Site and CTI Sub Area . The analysis examined the relative performance of the development prototypes under both current and foreseeable future market and economic conditions. The findings are intended to inform consideration of the mix and scale of uses included in the Plan Alternatives.

Residential prototypes included ownership townhomes, five -story multifamily rental housing, and eight-story multifamily rental housing (see
Figure 1). Commercial prototypes included a five-story office building and an eight -story office building (see Figure 2). The two townhome prototypes and the two office prototypes respectively occupy sites of the same size, making the key difference between these prototypes the density or floor area ratio (FAR) achieved.

The analysis determined the approximate “residual land value” associated with each prototype, which represents the developer’s ability to pay for land after addressing all other project costs and required return on investment. Expressing the findings as a residual land value provides a uniform metric for comparing the performance of different prototypes. Comparison of the residual land value to the typical value of recently sold properties in the Plan Area also indicates the relative financial feasibility of the development prototypes. Detailed assumptions and outcomes of the analyses are shown in the Appendix.

Since a variety of development challenges exist throughout the Bay Area in the current market cycle, the findings also describe how the performance of the development prototypes may change over time Item 3
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March 24, 2026 3
under foreseeable market and economic shifts. This step of the analysis tested the sensitivity of the results to potential changes in rents and cap rates, a variable that represents a project’s net operating income relative to its value and serves as an in dicator of the strength and perceived risk of the development market. such as construction costs or land costs, that are also always changing over time. In reality, every aspect of the development “equation” changes over time, such as variation in construction costs, financing costs, and land costs. Nonetheless, the results do demonstrate the potential outcomes of improving market and economic conditions over the next two- to three-year period.

F
IGURE 1: RESIDENTIAL DEVELOPMENT PROTOTYPES

3-Story
Townhomes
(Garage
Parking)
3-Story
Townhomes
(Podium
Parking)
5-Story
Multifamily
8-Story
Multifamily
Site/Building Characteristics
Tenure Ownership Ownership Rental Rental
Parcel Size (acres) 12.5 12.5 1.5 2.5
Parcel Size (SF) 544,500 544,500 65,000 110,000 Number of Units 250 350 140 320 Number of Market-Rate Units 200 280 140 320 Number of Affordable Units 50 70 Average Unit Floor Area 1,700 1,700 850 850 Number of Stories 3 3 5 8 Units per Acre 20 28 94 127

Parking Spaces 500 753 210 400
Private Garage 500
Podium 753 105 400
Underground 105
Source: Raimi+Associates, 2026; Strategic Economics, 2026.

FIGURE 2: OFFICE DEVELOPMENT PROTOTYPES
Five-Story Office Eight-Story Office
Site/Building Characteristics
Parcel Size (acres) 2.2 2.2
Parcel Size (SF) 95,300 95,300
Number of Stories 5 8
FAR (without parking) 1.76 2.70
Gross area (GSF) 168,000 268,800

Parking Spaces 516 726
Structured Garage 420 630
Underground 96 96
Parking Ratio (per 1,000 SF) 3.07 2.70
Source: Raimi+Associates, 2026; Strategic Economics, 2026.

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March 24, 2026 4
As shown in Figure 3, townhome-style developments support the highest residual land values of the four residential development prototypes under current conditions. Under current market conditions, the townhome projects both result in residual land values of $311 and $226 per square foot of land.

Under current development conditions, typical garage-parked townhomes support higher residual land values than the less common podium-parked townhomes that were also analyzed (a version of which exists at “Altaire” in the Plan Area). The parking podium in the latter prototype increases the achievable density of townhome -style housing on the site, but the additional value of those housing units is insufficient to cover the increase in construction costs for building the concrete podium.

The feasibility analysis found that the multifamily rental prototypes currently support lower residual land values than townhomes. The five-story multifamily prototype produced a slightly negative residual land value, likely due to the prototype’s inclusion of a level of underground parking. The eight -story multifamily building, which did not contain any underground parking, supporte d higher residual land values than the five -story multifamily building, but it still did not perform as well as either of the townhome prototypes.

The short -term financial performance challenges for the multifamily rental housing prototypes are largely the result of increased construction costs and financing costs , both of which are negatively impacting midrise housing development throughout the Bay Area. Multifamily residential development slowed in the years after the Covid -19 pandemic as rents failed to keep pace with rapidly rising construction costs. The effects of these changes remain in place, as high construction costs and financing costs continue to pose challenges for delivering new multifamily projects.

Despite short-term financial performance challenges for midrise multifamily rental housing, testing of market scenarios demonstrates that modest improvements in development conditions would likely readily enable development of these prototypes in the near future in the Plan Area. • The market scenarios compared current and improved cap rates under assumptions of varying levels of rent growth. The high end of the range of market outcomes achievable in the next two to three years was based on a 3.75 percent cap rate and twenty percent increase in rents. The low-end scenario was based on the current estimated cap rate of 5.50 percent and no rent growth. Figure 4 and Figure 5 show all outcomes in the range of rent and cap rate growth, with the bottom left corner of the shaded area representing residual land values under current conditions.

• The five -story and eight -story multifamily rental prototypes produce residual land values sufficient to purchase and develop land in the Plan Area with a ten percent increase in rents and marginal decrease in cap rates. The eight-story multifamily prototype outperforms the five- story prototype, likely due to the former’s less costly parking configuration.

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March 24, 2026 5
FIGURE 3: RESIDUAL LAND VALUE OF RESIDENTIAL PROTOTYPES UNDER CURRENT MARKET CONDITIONS

Source: Strategic Economics, 2026.

FIGURE 4: RESIDUAL LAND VALUE OF THE FIVE-STORY MULTIFAMILY PROTOTYPE UNDER A RANGE OF MARKET

CONDITIONS

Source: Strategic Economics, 2026.
$311
$226
$(80)
$17
-$200
-$100
$0
$100
$200
$300
$400
$500
3-Story
Townhomes
(Garage Parking)
3-Story
Townhomes
(Podium
Parking)
5-Story
Multifamily
8-Story
Multifamily
Land Values ($ per Square Foot)
Typical Land Values Residual Land Value
-$400.00
-$300.00
-$200.00
-$100.00
$0.00
$100.00
$200.00
$300.00
$400.00
$500.00
0% 10% 20%
Residual Land Values per Square Foot
Change in Market Rents
Typical Land Values in Palo Alto
Range of Residual Land Values
Residual Land Value (Improved
Cap Rates)
Residual Land Value (Current
Cap Rates)
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March 24, 2026 6
FIGURE 5: RESIDUAL LAND VALUE OF THE EIGHT-STORY MULTIFAMILY RENTAL PROTOTYPE UNDER A RANGE OF MARKET

CONDITIONS

Source: Strategic Economics, 2026.

The office development prototypes also demonstrate challenges for their financial performance under short-term market conditions, due to similar broader regional factors . As shown in Figure 6, neither office prototype currently achieves a positive residual land value due to similar factors that are constraining the short-term performance of the midrise residential development prototypes. In recent years, market rents for many types of commercial property have fallen or plateaued, while construction costs and interest rates have risen significantly. As a result, developers and investors are approaching office development with a higher level of uncertainty than in the recent past, and they require higher return thresholds for new projects to achieve financial feasibility.

Despite short-term constraints for office development, Palo Alto and nearby Silicon Valley communities remain highly-desirable office markets —especially for modern class A office buildings in mixed-use districts with amenities. New development proposals—such as Presidio Bay’s proposed redevelopment of Charleston Plaza shopping center adjacent to the Plan Area —demonstrate ongoing developer confidence that office development conditions will improve. This is especially true for new, modern office projects in l ocations with amenities and housing. The financial analysis described in this memorandum is based on current conditions in which the Plan Area is a secondary office market compared to “core” locations such as Downtown Palo Alto, California Avenue, and near Stanford Research Park.
1 However, a large-scale mixed-use office development in the Plan Area can potentially transform the Plan Area’s market position, improve the area’s ability to command higher office rents, and reduce perceptions of development risk.

1 These findings generally align with a recent analysis by Economic & Planning Systems, Inc. for the City of Palo Alto’s consideration of policy options to encourage multi -family development in mixed -use districts. Although that analysis incorporated slightly more optimistic base assumptions, the analysis found significant differences in the financial performance of office development prototypes between the highest- value submarket areas within the city versus other areas of the city. See the staff report and attachments for Action Item #2 from the March 10, 2026 meeting of the Policy and Services Committee of the City of Palo Alto. -$400.00
-$200.00
$0.00
$200.00
$400.00
$600.00
$800.00
0% 10% 20%
Residual Land Values per Square Foot
Change in Market Rents
Typical Land Values in Palo Alto
Range of Residual Land Values
Residual Land Value (Improved
Cap Rates)
Residual Land Value (Current Cap
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Testing of market scenarios again demonstrates that modest improvements in development conditions would likely enable development of the office prototypes in the near future in the Plan Area. • The tested market scenarios compared current market rents to rents up to twenty percent higher under “strong” market cap rates of 4.50 percent and “weak” market cap rates of 7.75 percent (derived from market research and developer interviews). These ranges reflect historic rent growth and the variability of market capitalization rates over the last ten years. Figure 7 and Figure 8 illustrate the performance of both prototypes under a range of possible future development market conditions.

• The financial performance of the office development prototypes most readily improves in response to changes in financing costs and perceived development risk . Typical cap rates adjust in response to changes in financing costs, perceived development risk, and anticipated future revenues. The market scenario analyses show that the office prototypes exceed land purchase costs under a hypothetical “strong” market c ap rate scenario while maintaining current rents and construction costs.

• The results of the analysis also demonstrate the value of additional office FAR in the eight - story office prototype —suggesting greater ability of higher -FAR office products to support community benefits or other contributions. For example, in a strong market scenario (low cap rates) with ten percent rent growth, the five -story prototype’s residual land value is approximately $580 per square foot of land and the eight-story prototype’s residual land value is approximately $1,060 per square foot of land.

FIGURE 6: RESIDUAL LAND VALUES OF COMMERCIAL PROTOTYPES UNDER CURRENT MARKET CONDITIONS

Source: Strategic Economics, 2026.

$(110)
$(42)
-$150
-$100
-$50
$0
$50
$100
$150
$200
$250
$300
Five-Story Office Eight-Story Office
Land Values ($ per Square Foot)
Typical Land Values Residual Land Value
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FIGURE 7: RESIDUAL LAND VALUE OF THE FIVE-STORY OFFICE PROTOTYPE UNDER A RANGE OF MARKET CONDITIONS

Source: Strategic Economics, 2026.

FIGURE 8: RESIDUAL LAND VALUE OF THE EIGHT-STORY OFFICE PROTOTYPE UNDER A RANGE OF MARKET CONDITIONS

Source: Strategic Economics, 2026.

-$500.00
-$300.00
-$100.00
$100.00
$300.00
$500.00
$700.00
0% 10% 20%
Residual Land Values per Square
Foot
Change in Market Rents
Typical Land Values in Palo Alto
Range of Residual Land Values
Residual Land Value (Strong
Market)
Residual Land Value (Weak
Market)
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Typical Land Values in Palo Alto
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Public Parks Costs and Funding
The following findings c ompare the cost s and potential development -driven public revenues to construct parks (inclusive of paseos and outdoor space) at the Maxar Site and CTI Sub Area. The following content describes development scenarios analyzed for those areas, approximate development costs to build parks included in the Plan Alternatives for those areas, and estimates potential resources for park acquisition and construction that would be supported by new development in the Plan Alternatives.

STUDY GEOGRAPHIES AND DEVELOPMENT SCENARIOS
Development scenarios for the Maxar Site and CTI Sub Area were prepared based on Plan Alternative buildout information provided by Raimi + Associates. The scenarios are not indicative of active planning applications in the City of Palo Alto. They are preliminary buildout scenarios used to evaluate the feasibility of park development in each subarea.

The Plan Alternatives included 2 to 4.5 acres of park space at the Maxar Site and one to three acres at the CTI Sub Area. Figure 9 shows the quantities of park space included in each scenario to determine park land costs and funding contributions. Numbers in the scenario names vary based on park space in the scenarios, while letters in the scenario names vary based on differences in development composition.

This analysis only evaluated residential development scenarios at the Maxar Site, although the site could include a smaller commercial component. The scenarios for the Maxar Site, which is a large single-owner parcel, include a mix of townhomes and multifamily housing units. All analyses assumed that townhomes are an ownership housing product while multifamily apartments are a rental housing product.

The CTI Sub Area includes two scenarios of entirely residential development and two scenarios of residential and office development.

F
IGURE 9: DEVELOPMENT SCENARIOS BY GEOGRAPHY AND PARK SPACE Park Area (Acres) Townhome Units Multifamily Units Office Square Feet Maxar Site
Scenario 1A 2.0 260 720 0
Scenario 1B 2.0 175 1,295 0
Scenario 2A 4.5 200 780 0
Scenario 2B 4.5 115 1,355 0
CTI Sub Area
Scenario 3A 1.0 0 1,344 0
Scenario 3B 1.0 0 1,728 0
Scenario 3C 1.0 0 1,428 675,000
Scenario 3D 1.0 0 2,000 825,000
Scenario 4A 3.0 0 1,156 0
Scenario 4B 3.0 0 1,472 0
Scenario 4C 3.0 0 1,172 675,000
Scenario 4D 3.0 0 1,500 825,000
Source: Raimi + Associates, 2026; Strategic Economics, 2026.

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PARK DEVELOPMENT COSTS AND POTENTIAL FUNDING ASSOCIATED WITH LOCAL

DEVELOPMENT ACTIVITY
The following findings examine whether the City of Palo Alto’s existing park land dedication and funding requirements would cover the costs of providing parks included in the Plan Alternatives. The findings describe costs to provide parks in the Scenarios, identify required park land and funding contributions from development in the Scenarios, and discuss the adequacy of current parks funding mechanisms.

The analysis used park construction cost estimates (based on the City of Palo Alto’s most recent Park Impact Fee nexus study), recent property sales, and a construction cost inflation index to calculate the cost of land acquisition and park construction on the Maxar site and in the CTI subarea.

The estimated cost to acquire park land and construct a park in the Plan Area ranges from $11.5 million to $13.4 million per acre, as shown in Figure 10. The notes below Figure 2 describe the sources and methodology used to prepare these estimates.

Based on these cost estimates, estimated park development costs at the Maxar Site range from $23 million to $60 million and estimated park development costs in the CTI subarea range from $11.5 million to $40 million. As shown in Figure 11, these cost estimates reflect the low- and high-end park development cost estimates as applied to the varying quantities of park acres included in the Land Use Alternative and Development Scenarios.

Actual park development costs will vary depending on the specific circumstances of land acquisitions, park design, and changes in general costs for labor and materials. The estimates described in this memo are intended to inform general policy-level consideration of mechanisms for funding parks included in the Plan Alternatives. Although these estimates are based on reliable local sources and data, t he actual cost to acquire land and construct a park will always vary based on unique circumstances.

FIGURE 10: PARK DEVELOPMENT COST ESTIMATES (2026 DOLLARS) Cost per Acre Low-End Cost Estimate (b) High-End Cost Estimate (c) Land Acquisition $9,300,000 $11,000,000
Park Construction (a) $2,138,000 $2,138,000
Planning and Design $128,000 $128,000
Administration $107,000 $107,000
Total Cost / Acre $11,537,000 $13,373,000
(a) Strategic Economics assumes outdoor space will be developed as "City Parks" and plazas, not as "Natural Open Space," which has a lower development cost per acre.
(b) Strategic Economics calculated the low-end park development cost by adjusting the City's previous park development cost estimates (from 2019) for inflation. The adjustment was based on the California Construction Cost Index (published by the California Department of General Services and based on the Engineering News Record Building Cost Index). Although this index reflects changing construction costs, it is also used to increase the City’s park impact fees. As such, it is appropriate to use this index to conduct a fee-based estimation of the total cost of park development. The original estimates appear in the City of Palo Alto’s “Supplement to the Development Impact Fee Justification Study,” 2019.
(c) Strategic Economics calculated the high-end total outdoor space development cost based on land values reflecting the average of five industrial property sales that occurred in the San Antonio Road Specific Plan Area from 2024 to 2026 (these sales are shown in Figure 14; all other costs reflect inflation-adjusted costs from the City of Palo Alto’s 2019 park development cost estimates described above.

Source: City of Palo Alto, 2019 & 2022; DTA, 2019 & 2022; California Construction Cost Index, 2021 & 2026; Strategic Economics, 2026.

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FIGURE 11: ESTIMATED PARK LAND ACQUISITION/CONTRIBUTION VALUE AND PARK DEVELOPMENT COST FOR THE

MAXAR SITE AND CTI SUB AREA
Maxar Site CTI Subarea
Scenarios Scenario #1 Scenario #2 Scenario #3 Scenario #4 Total Sub-Area Acreage 24.5 24.5 25.8 25.8
Park Area (Acres) (a) 2.0 4.5 1.0 3.0
Park Development Cost / Acre
Low-End Estimate $11,537,000 $11,537,000
High-End Estimate $13,373,000 $13,373,000
Total Park Development Cost
Low-End Estimate $23,074,000 $51,916,500 $11,537,000 $34,611,000 High-End Estimate $26,746,000 $60,178,500 $13,373,000 $40,119,000 (a) The Park Area of each alternative includes a mix of park space, plazas, and pedestrian walkways / paseos. The cost estimates uniformly assume that the overall average cost of these spaces match the typical cost of developing a park in Palo Alto.

The next step of the analysis compared the estimated park development costs to the total developer contributions to park space and funding required under current City of Palo Alto requirements . The main assumptions of each buildout scenario were shown in Figure 9.

The City’s two policies that generate funding and produce land for parks are the Parkland Dedication requirement and the Park Impact Fee:
• The Parkland Dedication requirement only applies to residential projects that require a subdivision or parcel map, which typically includes multiunit ownership housing developments such as single -family homes, townhomes, and condominiums. Therefore, the requirement applies to the ownership townhome component of the Maxar site’s development scenarios. As of 2025, t he Parkland Dedication requirement specifies that subdivisions resulting in more than 50 parcels must provide land at a rate of 531 square feet per unit for single family homes and 366 square feet per unit for multi-family homes; otherwise, an in-lieu fee may be paid.

• The Park Impact Fee requires that multifamily developments pay $44.20 per square foot and commercial projects pay $19,076.43 per 1,000 square feet, as of August 2025. The Park Impact Fee only applies to projects not subject to the Parkland Dedication requirement. For purposes of the analysis, the multifamily housing units at the Maxar Site and CTI Sub Area were assumed to be rental projects that must pay the Park Impact Fee.

At the Maxar site, the development scenarios with two acres of parks provide sufficient parkland dedication and funding for those parks; in contrast, the development scenarios with 4.5 acres of parks fall short of providing sufficient land and funding for those parks under existing requirements. Figure 12 compares the cost of providing parks in the scenarios (based on land value and park construction cost) versus the value of land dedication and Park Impact Fee payments required of development in the scenarios. As shown, the land and fee contributions in the scenarios with 4.5 acres of parks fall short of meeting the full cost of developing the parks. The results for all scenarios assumed that the new housing development is exempt from paying approximately $13.5 million in park impact fees due to credits for existing commercial development on the site.

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FIGURE 12: TOTAL MAXAR SITE PARK DEVELOPMENT COST AND REQUIRED DEVELOPER CONTRIBUTIONS UNDER

EXISTING CITY POLICIES

(a) The development scenarios under the two-acre park alternative are required to dedicate 3.2 and 2.1 acres of park space, respectively, given that the 260 and 175 townhomes in these scenarios must dedicate 531 square feet of park space each. Under the Parkland Dedication policy, they would pay an in -lieu fee for the remaining undedicated park acreage; however, this chart assumes that the two-acre park contribution fully satisfies the dedication requirement, and no additional in -lieu fee revenue is show n (i.e., only the Park Impact Fee contributions are shown).

Source: City of Palo Alto, 2025; Strategic Economics, 2026.

At the CTI Sub Area, Park Impact Fees exceed total development costs in every scenario except the one with the lowest housing density. As shown in Figure 13, the Park Impact Fees generated under the one-acre park alternative scenarios for the CTI Sub Area are at least three times higher than the park development cost due to the small park size compared to the total housing units developed. The three-acre park alternative scenarios include fewer housing units, decreasing the total Park Impact Fees collected compared to the one-acre alternative while also requiring three times the cost in land acquisition and construction to build the park. However, the only CTI Sub Area scenario for which Park Impact Fees are inadequate to cover the cost of park development is the least intensive “Scenario 4A,” which includes the lowest number of housing units —implicitly corresponding to five -story multifamily residential development—and three acres of parks and paseos.

The analysis findings demonstrate that relatively higher-intensity development is better able to provide land and funding to construct the parks envisioned in the Plan Alternatives. The scenarios that fail to meet park land and funding requirements combine fewer housing units with higher assumed quantities of park land.
$0M $20M $40M $60M $80M
Total Park Development Cost
Scenario 1A Development Contributions
Scenario 1B Development Contributions
Total Park Development Cost
Scenario 2A Development Contributions
Scenario 2B Development Contributions
Total Cost of Park Construction or Existing City Policies Land Cost (Acquisition) Construction Cost Land Cost (Dedication) Park Impact Fee (Residential) Scenario #1 - 2.0 Acre Park
Scenario #2 - 4.5 Acre Park
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FIGURE 13: TOTAL CTI SUB AREA PARK DEVELOPMENT COST AND REQUIRED DEVELOPER CONTRIBUTIONS UNDER

EXISTING CITY POLICIES
(a) The development scenarios for the CTI subarea are not bound to the Parkland Dedication requirements.

Source: City of Palo Alto, 2025; Strategic Economics, 2026.

Park Delivery Tools
Although future development in the Plan Area will generate funding to build parks, funding alone does not guarantee that the City of Palo Alto will be able to acquire land for parks envisioned in the Plan Alternatives. The Parkland Dedication requirement is the sole tool that ensures development projects provide land for parks, but the requirement only applies to a very limited subset of large-scale, typically owner-occupied housing development projects. However, these projects can currently request to pay an in-lieu fee instead of providing the on-site land dedication.

The following findings describe several significant tools available to the City of Palo Alto for ensuring or enhancing the ability of the City to obtain land for parks and other public facilities needs included in the Plan Alternatives. The applicability of each tool varies depending on the development context , such as whether new development is undertaken by a single large property owner or through smaller individual projects via an incremental process.

A detailed funding and financing strategy for a ll major p ublic infrastructure and facilities needs will later be prepared and included in the San Antonio Road Area Plan.

As described earlier, the City’s two policies that solely focus on generating funding and dedicating land for parks are the Parkland Dedication requirement and the Park Impact Fee:
$0M $20M $40M $60M $80M $100M
Total Park Development Cost
Scenario 3A Development Contributions
Scenario 3B Development Contributions
Scenario 3C Development Contributions
Scenario 3D Development Contributions
Total Park Development Cost
Scenario 4A Development Contributions
Scenario 4B Development Contributions
Scenario 4C Development Contributions
Scenario 4D Development Contributions
Total Cost of Park Construction or Existing City Policies Land Cost (Acquisition) Construction Cost
Park Impact Fee (Residential) Park Impact Fee (Commercial) Scenario #4 - 3.0 Acre Park
Scenario #3 - 1.0 Acre Park
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• Existing Parkland Dedication requirement: The City of Palo Alto’s existing dedication requirement mandates that housing developments seeking a subdivision or parcel map for more than 50 parcels must provide land for parks. Smaller projects requiring subdivision or a parcel map can pay an in-lieu fee instead. This requirement would primarily apply to large-scale ownership housing projects, such as the townhomes envisioned at a portion of the Maxar site in the plan alternatives.

• Park Impact Fees: The City’s Park Impact Fees, described earlier, specifically provide funding for new parks. These fee revenues can be used to acquire land for public parks, but do not guarantee the City’s ability to acquire any specific property.

The City of Palo Alto can also establish an enhanced infrastructure financing district (EIFD) to use growth in property tax revenue to fund parks and other capital improvements—although this tool diverts tax revenue that would otherwise accrue to the City’s General Fund. An EIFD is a tool that diverts growth in municipal General Fund property tax revenues (the “tax increment”) from within a district to help fund infrastructure projects. The tool only indirectly leverages new development activity to pay for improvements since an EIFD diverts revenues that would otherwise support the City’s General Fund—the City’s primary operating fund. However, an EIFD enables the City to bond against future tax increment revenue to immediately construct improvements that may accelerate development and therefore growth of overall tax revenue.

Larger development projects create unique opportunities to ensure parks are delivered through both project-specific and district-based mechanisms. Examples of these mechanisms include the following:
• Development Agreements: Development agreements could potentially be required in the Area Plan for large-scale projects pursued by a master developer that exceed certain size thresholds. Negotiated agreements create an opportunity to require parkland dedication and construction, potentially in lieu of otherwise applicable Park Impact Fees. This option may be preferable for the City than using existing policies as it allows greater flexibility to specify park requirements and it addresses park dedication requirements, which will likely not apply to the CTI subarea under the Plan Alternatives development scenarios.

• Community Facilities Districts (CFDs): CFDs create an additional tax levy on properties in a district. These funds can be used to provide infrastructure improvements within the same district via bond issuance and repayment over time. Under California state law, this levy can be calculated based on any type of reasonable property characteristic other than property value, such as land square footage. The process for initiating the CFD could be initiated by the City but would require a two-thirds vote of property owners by land area if there are fewer than 12 registered voters in the district—an easier threshold to meet in a nonresidential area with one or more interested large property owners. A key benefit of CFDs over other district- based funding mechanisms is that they can be used for ongoing infrastructure operations and maintenance in addition to capital costs.

• Reimbursement Agreements: If one developer is required to provide additional infrastructure capacity or amenities to serve an entire district or area, a reimbursement agreement can be established to receive payments from later developers who benefit from these early improvements. Although reimbursement agreements can be established privately and Item 3
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separately from any other funding or park delivery mechanism, these agreements are more often incorporated into the structure of a CFD.

Zoning incentive tools can be used to increase the likelihood that developers will opt-in to provide land for parks and other public facilities, but the value and impact of these incentives may be limited. These mechanisms typically rely on the exchange of a benefit for increased development rights for commercial properties (as housing is often subject to State or local density bonuses and protections that limit developer incentives to purchase additional development rights). Examples of these mechanisms include the following:

• Community Benefits programs: The Area Plan can potentially incorporate a structured community benefits program in which property owners must set aside land for parks or make other contributions in exchange for greater development rights. However, community benefits programs may be less effective for ensuring parkland dedication since smaller properties would be unable to provide a land dedication.

• Transfer of Development Rights (TDR): Under such a program, property owners could transfer unused development potential from one property with certain characteristics (the “sending site” or “originating site”) to another property (the “receiving site”). The transfer enables the owner of the receiving site to develop additional gross floor area above and beyond what would otherwise be allowed. The sending site, having transferred away its development potential, could become a prime location for future parks. The value of the TDR depends on the relative financial feasibility of development at the base allowed density, financial feasibility of building types, and market strength. TDR programs for providing parks are generally most useful when the sending site is already a natural area, so the potential usefulness of TDR in the already-developed Plan Area is likely limited.

Mobility Alternatives Implementation Considerations
The Plan Alternatives include “Mobility Alternatives” that will require a strategic approach to fund the envisioned improvements and, in some instances, acquire easements or rights of way from private property owners.
2 The following conceptual assessment is intended to inform community and decisionmaker deliberations regarding the Mobility Alternatives. The findings describe challenges for delivery of each Mobility Alternative, explain the major cost drivers associated with each Mobility Alternative, and identify the pros and cons of potential funding mechanisms and land acquisition tools to implement the Mobility Alternatives.

The Plan envisions mobility improvements along all major roads and intersections within the Plan Area. The proposed Mobility Alternatives add walking and biking facilities designed to improve comfort and align with applicable safety standards. This memo examines the specific Mobility Alternatives which cover the segment of San Antonio Road from Charleston Road to Middlefield Road. This is the segment with the greatest range of potential improvements, and the key characteristics chosen in this segment can be carried forward to other road segments. The

2 For purposes of this memo, “easements” refers to a right of public access through a private property to construct wider sidewalks and/or cycle tracks. “Right of way” refers to land owned by the City of Palo Alto for transportation needs.

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alternatives featured in this report are titled MSA-1, MSA-2, and MSA-3, in order of least change to most change. MSA-1 primarily requires street restriping and more significant changes at the Fabian Way intersection; MSA-2 envisions creation of a shared-use path on the north side of San Antonio Road and an on-street bikeway on the south side; and MSA-3 envisions creation of a two-way separated bikeway and wider sidewalks on both sides of San Antonio Road. Full details are available in the “Plan Alternatives Memorandum.”

Figure 14 describes the cost drivers, relative magnitude of costs, and other implementation considerations for the Mobility Alternatives. Generally, any changes to ownership and fixed physical infrastructure will drive significant costs for purchases of access/land and construction, respectively.

Critical factors for each Mobility Alternative are as follows:

• MSA-1 is the lowest cost intervention since it entails the fewest changes to major infrastructure and little need for the City of Palo Alto to acquire easements or rights of way from private property owners. MSA-1 primarily requires relatively low-cost street restriping, along with one higher-cost change to reconfigure the extant public right of way at Fabian Way. Sidewalk widening—which would require acquisition of easements or rights of way—is optional in MSA-1 and can potentially be completed in incremental segments where easements or rights of way are already available and as street frontages are improved by future development projects.

• The MSA-2 alternative entails higher costs than MSA-1 due to the need to acquire additional easements or rights of way for a separate multi-use path on one side of San Antonio Road, construct the path, and address related infrastructure adjustments and possible tree removal and replacement in limited locations.

• MSA-3 is likely to entail substantially higher costs than MSA-1 or MSA-2. MSA-3 requires acquisition of easements or rights of way on both sides of San Antonio Road from numerous property owners. MSA-3 also requires moving curbs and reconstructing the street, as well as moving and rebuilding significant public and private sewer and utilities infrastructure in the existing street right of way, and replanting of existing street trees located between the sidewalk and curb. In addition to the impacts to City-owned utilities, those infrastructure adjustments may also require coordination with outside utility operators and reimbursement of related expenses.

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FIGURE 14: COST DRIVERS, IMPLEMENTATION CONSIDERATIONS, AND RELATIVE COST IMPACTS FOR EACH MOBILITY

ALTERNATIVE
Category
Maintain
Existing
ALT MSA-1
Separated Bikeway, Wider
Sidewalks
ALT MSA-2
Shared Use Path (north) +
Bikeway (south)
ALT MSA-3
Two Way Bikeway Both
Sides
Likely Cost
Drivers:

No
change
• Includes reconfiguration
of public right of way at
intersection with Fabian
Way to remove diagonal
parking and create new
ped/bike facilities
• Street restriping
• Optional sidewalk
widening where public
easement or right of way
already exists or can be
obtained (up to 3 feet of
easement and
improvements on each
side)
Same as MSA-1, PLUS:
• Acquisition of additional
7’ or more public
easement or right of way
from western property
owners
• Construction of multi-use
path and related
intersection safety
improvements
• Limited public
infrastructure changes at
“pinch points”
• Removal and replacement
of 1 or more trees

• Includes reconfiguration
of public right of way at
intersection with Fabian
Way to remove diagonal
parking and create new
ped/bike facilities
• Moving curbs, and
significant reconstruction
of the street; related
intersection
improvements
• Need to move numerous
utilities and infrastructure
(e.g., sewers, backflow
preventers, utility boxes)
• Construction of separate
sidewalks and cycle
tracks
• Removal and
replacement of all
existing street trees.
• No change to the median
• Optional sidewalk
widening where public
easement or right of way
already exists or can be
obtained (up to 3 feet of
easement and
improvements on each
side)

Other
Implementation
Considerations:

None • Potential for low-cost
incremental sidewalk
widening at frontages of
new development
projects
• Requires acquisition of
public easements or rights
of way at The Greenhouse
• Requires acquisition of
public easement for two
property owners north of
The Greenhouse or for the
pathway to be constructed
at time of redevelopment,
(795, 797, 799, 80 San
Antonio Rd)
• Requires comprehensive
coordination with existing
property owners on
relocation of
infrastructure serving
their property
• Requires acquisition of
public easements or
rights of way from
properties near major
intersections where
existing curb-to-curb
dimension is limited
• Requires coordination
and agreements with
outside agencies and
companies operating
public utilities and private
services

Relative Cost
Impacts:

None $ $$ $$$$$
Source: Raimi+Associates, 2026; Strategic Economics, 2026.

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A portion of the Mobility Alternatives’ costs would likely be funded via the City of Palo Alto’s existing citywide and outside sources of revenues for capital improvement projects. Capital improvement projects for street and mobility improvements in the City of Palo Alto are generally at least partly funded through the City’s Capital Improvement Fund. That fund receives revenue from citywide sources such as a base transfer from the General Fund and dedicated Transient Occupancy Tax revenue. Specific projects may receive funding generated by other local taxes and impact fees. The Capital Improvement Fund also combines outside federal, state, and local agency sources such as project -specific grants and Gas Tax revenues. Although the Capital Improvement Fund is a useful tool for constructing the improvements in the Mobility Alternatives, all City projects compete for this funding. Therefore, additional revenues generated from within the Plan Area will likely be required.

In addition to existing funding sources for mobility improvements, development activity within the Plan Area can potentially contribute funding toward buildout of the Mobility Alternatives through several existing and potential mechanisms. Significant options include the following:
• Transportation Impact Fee (existing) : The City imposes a Transportation Impact Fee on new development that is used to fund mobility improvements. As with all impact fees subject to the State of California’s Mitigation Fee Act, the Transportation Impact Fee must be used to mitigate the impacts of development rather than address existing deficiencies. As of Fiscal Year 2025, the Citywide fee charges $10,103.99 per net new PM peak hour trip. Although new development in the Plan Area would generate fee revenues, the improvements in the Mobility Alternatives would need to compete with all other mobility improvement projects in the City for funding. Fee revenues are also a “pay as you go” source since they are too volatile to support issuance of bonds that would provide up-front funding for public improvements.

• Plan Area-Specific Impact Fee: The City of Palo Alto could also establish a new impact fee that applies within the Plan Area (and any other relevant part of the City) to specifically fund improvements within the Plan Area. A similar approach was used by the City when it established the Charleston Arastradero Traffic Impact Fee for targeted mobility and safety improvements. A Plan Area-specific impact fee would provide a dedicated stream of funding for implementing the selected Mobility Alternatives. However, the fee would also increase costs for new development, and the maximum fee amount may be limited by the legal requirement to prove the “nexus” between the cost of improvements and the impacts of new development projects.

• Revised Development Standards : Development standards include on -site and off-site improvements that must be met by new private development projects. Revisions to development standards in the Plan Area c ould require reasonable easements and improvements that help implement the Mobility Alternatives’ improvements. However, new development standards would be unable to address comprehensive corridor-wide mobility improvements since project-specific changes would result in a patchwork of conditions. The development standards also must be reasonably proportionate to the development projects’ impacts.

• Enhanced Infrastructure Financing District: An EIFD, as described in the Park Delivery Tools findings, would allow the City of Palo to issue bonds for construction o f improvements in the Mobility Alternatives. The bonds would be repaid by incremental growth of property tax revenue from within the EIFD. The EIFD provides up -front funding for construction of public Item 3
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improvements to support private investment in the Plan Area and grow permanent property tax revenues. However, the EIFD also temporarily diverts property tax revenue (until bond payment obligations are met) that would otherwise accrue to the City’s General Fund.

• Community Facilities District: A CFD—described earlier in the Parks Delivery Tools section of this memo—would ensure that properties within the Plan Area contribute funding for public improvements through a special assessment. The CFD also supports bond issuance for up - front construction of improvements. However, passage of a CFD covering much of the San Antonio Road corridor may be especially difficult. Since the area includes 12 or more registered voters, the CFD—and its annual special tax assessment —would need to be approved by two - thirds of registered voters. However, a smaller CFD could potentially be approved in areas of the corridor in which two -thirds of nonresidential property owners are interested in funding improvements so they can enhance the value of their properties and support future development opportunities.

Acquisition of easements or land to implement the MSA-2 and MSA-3 Mobility Alternatives will require individual purchases from affected property owners. The City of Palo Alto will need to purchase easements or land from property owners to implement any Mobility Alternative improvements requiring additional public access (except for new development projects subject to revised standards). These purchases are typically completed via voluntary negotiations. However, the City can also use eminent domain t o compe l property owners to provide land or easements in exchange for compensation.

Regardless, acquiring land or easements will become more expensive and time-consuming as the number of properties increases.

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Appendix
FIGURE 15: INDUSTRIAL PROPERTY SALES IN THE PLAN AREA, 2024-2026 Property Address Location
Year
Built Sale Price Sale Year $ / SF of Land $ / Acre of Land 4007-4009 Transport
St CTI Subarea 1965 $6,800,000 2025 $312.21

$13,600,000
947 Industrial Ave CTI Subarea 1957 $958,500 2025 $277.84 $12,102,273 940 Commercial St CTI Subarea 1956 $4,100,000 2024 $209.16 $9,111,111 868 San Antonio Rd CTI Subarea 1955 $4,365,000 2024 $263.70 $11,486,703 760 San Antonio Rd Plan Area 1975 $5,525,000 2025 $282.55 $8,246,325 Source: CoStar, 2024-2026; Strategic Economics, 2026.

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FIGURE 16: PARK DEVELOPMENT COST AND EXISTING POLICY CONTRIBUTION ASSUMPTIONS AND CALCULATIONS Assumptions Park Development Cost Existing Policy Cost and Calculations (4)

Park
Area
(Acres)
Townhome
Units (B)
Multifamily
SF (C) (1)
Office SF
(D)
Existing
Commercial
SF (E)
Land Cost
(Acquisition) (2)
Construction
Cost (3)
Parkland
Dedication
Requiremen
t (Acres) (F)
Parkland
Dedicated
(G) (5)
Land Cost
(Dedication) (2) Impact Fee (6)
Less: Fee
Credit (7)
Calculation N/A N/A N/A N/A N/A
A *
$11,000,000
A *
$2,372,950
(B * 531) /
43,560
Lesser of
A or F
G *
$11,000,000
(C * $44.20) +
(D * $19.71) E * $19.71
Maxar Site
Scenario 1A 2.0 260 612,000 0 683,000 $22,000,000 $4,745,880 3.2 2.0 $22,000,000 $26,436,564 $13,459,492 Scenario 1B 2.0 175 1,100,750 0 683,000 $22,000,000 $4,745,880 2.1 2.0 $22,000,000 $35,706,528 $13,459,492 Scenario 2A 4.5 200 663,000 0 683,000 $49,500,000 $10,678,230 2.4 2.4 $33,522,727 $15,421,329 $13,459,492 Scenario 2B 4.5 115 1,151,750 0 683,000 $49,500,000 $10,678,230 1.4 1.4 $32,348,485 $20,828,808 $13,459,492 CTI Subarea
Scenario 3A 1.0 0 1,142,400 0 528,800 $11,000,000 $2,372,940 0 0 $0 $50,494,080 $10,420,760 Scenario 3B 1.0 0 1,468,800 0 528,800 $11,000,000 $2,372,940 0 0 $0 $64,920,960 $10,420,760 Scenario 3C 1.0 0 1,213,800 675,000 528,800 $11,000,000 $2,372,940 0 0 $0 $66,951,800 $10,420,760 Scenario 3D 1.0 0 1,700,000 825,000 528,800 $11,000,000 $2,372,940 0 0 $0 $91,397,805 $10,420,760 Scenario 4A 3.0 0 982,600 0 528,800 $33,000,000 $7,118,820 0 0 $0 $43,430,920 $10,420,760 Scenario 4B 3.0 0 1,251,200 0 528,800 $33,000,000 $7,118,820 0 0 $0 $55,303,040 $10,420,760 Scenario 4C 3.0 0 996,200 675,000 528,800 $33,000,000 $7,118,820 0 0 $0 $57,333,880 $10,420,760 Scenario 4D 3.0 0 1,275,000 825,000 528,800 $33,000,000 $7,118,820 0 0 $0 $72,612,805 $10,420,760 SF: Square Feet
(1) Each scenario’s multifamily square footage is equal to the number of multifamily rental units identified in Figure 1 multiplied by the average unit size of multifamily developments based on market research (850 square feet).
(2) The land acquisition cost for the development of parks reflects the high-end value from Figure 10 as most of the properties in the studied subareas have existing improvements. (3) The Construction Cost category includes Park Construction, Planning & Design, and Administration. (4) Rates in the “Calculation” row of this section of the Figure refer either to conversions from acres to square feet or to Palo Alto’s existing policy rates, or both. (5) The parkland dedicated does not exceed the park area specified by the development scenario, even if the Parkland Dedication requirement does exceed the scenario (as in Scenarios 1A and 1B).
(6) The Impact Fee column combines both the multifamily rental impact fee and the commercial impact fee. (7) The Fee Credit each scenario receives for existing commercial development represents the maximum possible fee credit (i.e., the total replacement of exist ing structures in both subareas) as both a conservative estimate of each scenario’s ability to pay for parks improvements and due to a lack of knowledge about the rate of redevelopment in each subarea.

Source: City of Palo Alto, 2025; Raimi and Associates, 2026; Strategic Economics, 2026.

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FIGURE 17: TOTAL PARK DEVELOPMENT COST AND DEVELOPER CONTRIBUTIONS BY SCENARIO

Existing Policy
Developer
Contribution Cost
Park Development
Cost
Difference (Policy Cost -
Park Development Cost)
Maxar Site
Scenario 1A $35,590,908 $26,745,880 $8,845,028
Scenario 1B $57,193,658 $26,745,880 $30,447,778
Scenario 2A $42,663,290 $60,178,230 -$17,514,940
Scenario 2B $52,868,313 $60,178,230 -$7,309,917
CTI Subarea
Scenario 3A $40,073,320 $13,372,940 $26,700,380
Scenario 3B $54,500,200 $13,372,940 $41,127,260
Scenario 3C $56,531,040 $13,372,940 $43,158,100
Scenario 3D $80,977,045 $13,372,940 $67,604,105
Scenario 4A $33,010,160 $40,118,820 -$7,108,660
Scenario 4B $44,882,280 $40,118,820 $4,763,460
Scenario 4C $46,913,120 $40,118,820 $6,794,300
Scenario 4D $62,192,045 $40,118,820 $22,073,225
Source: Strategic Economics, 2026.

FIGURE 18: OWNERSHIP TOWNHOME PROTOTYPES' REVENUE ASSUMPTIONS Unit of Measure 3-Story Townhomes (Garage Parking)
3-Story
Townhomes
(Podium
Parking)
Average Sales Price per market-rate unit $2,252,500 $2,082,500

per below market-rate
unit $415,000 $415,000
Marketing Expense % of Sales Price 5% 5%
Net Revenue per Market-Rate Unit per unit $2,139,875 $1,978,375 Source: Strategic Economics, 2026.

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FIGURE 19: OWNERSHIP TOWNHOME PROTOTYPES' COST ASSUMPTIONS Unit of Measure
3-Story
Townhomes
(Garage Parking)
3-Story
Townhomes
(Podium Parking)
Hard Costs
Site Prep Site Square Feet $40 $40
Building Construction GSF Building (a) $285 $285
Parking
Podium Parking Space N/A $45,000

Soft Costs
Architecture, Engineering, and Consulting % of Hard Costs 5% 5% Taxes, Insurance, Legal and Accounting % of Hard Costs 10% 10% Municipal Fees % of Hard Costs 23% 23%
Other Soft Costs % of Hard Costs 3% 3%

Financing Assumptions
Amount Financed % of Hard + Soft Costs 55% 55%
Average Outstanding Balance % of Amount Financed 55% 55% Construction Loan Fee % of Amount Financed 1.0% 1.0%
Construction Interest 7.6% 7.6%
Term Months 18 22
Interest Costs 3.4% 4.2%
Amount Financed*Loan Fee 0.6% 0.6%
Total Financing Cost % of Hard + Soft Costs 4.0% 4.7%
Contingency % of Hard + Soft Costs 5% 5%

Land Acquisition Cost
Land Cost Site Square Feet $253 $253
(a) Gross Square Feet, which does not include parking
Source: Strategic Economics, 2026.

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FIGURE 20: OWNERSHIP TOWNHOME PROTOTYPES' PRO FORMA RESULTS

3-Story Townhomes (Garage
Parking)
3-Story Townhomes (Podium
Parking)
Revenues
Sales Values
Market Rate Units $450,500,000 $583,100,000
Below Market Rate Units $20,750,000 $29,050,000
Gross Revenue $471,250,000 $612,150,000
Less Marketing and Administration -$23,562,500 -$30,607,500 Total Sales Proceeds $447,687,500 $581,542,500

Hard Costs $142,905,000 $246,894,000
Demolition and Site Work $21,780,000 $21,780,000
Building Construction $121,125,000 $169,575,000
Parking $55,539,000
Soft Costs $58,591,050 $101,226,540
Architecture, Engineering, and
Consulting $7,145,250 $12,344,700
Taxes, Insurance, Legal and
Accounting $14,290,500 $24,689,400
Municipal Fees $32,868,150 $56,785,620
Other Soft Costs $4,287,150 $7,406,820
Financing Costs $8,421,260 $17,335,646
Contingency $10,074,803 $17,406,027
Land Costs $137,500,000 $137,500,000
Total Development Costs $357,492,113 $520,362,213

Feasibility
Total Revenue $447,687,500 $581,542,500
Target Return on Cost 15% 15%
Supportable Development Cost $389,293,478 $505,689,130 Total Development Costs (Excluding
Land) $219,992,113 $382,862,213
Residual Land Value $169,301,365 $122,826,918
Typical Land Cost $137,500,000 $137,500,000
Source: Strategic Economics, 2026.

FIGURE 21: MULTIFAMILY RENTAL PROTOTYPE REVENUE ASSUMPTIONS Unit of Measure 5-Story Multifamily 8-Story Multifamily Rent Assumptions
Average Unit Size Square Feet 850 850
Monthly Rent per Square Foot $5.50 $5.50
Average Monthly Rent per Unit $4,675 $4,675
Other Revenue Assumptions
Vacancy Rate % of Units 5% 5%
Operating Expenses % of Market Rate Revenue 30% 30%
Source: Strategic Economics, 2026.

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FIGURE 22: MULTIFAMILY RENTAL PROTOTYPE COST ASSUMPTIONS Unit of Measure 5-Story Multifamily 8-Story Multifamily Hard Costs
Site Prep Site Square Feet $40 $40
Building Construction
Residential - Type V GSF Building (a) $310 $310
Residential - Type III GSF Building (a) $330 $330
Residential - Type I GSF Building (a) $400 $400
Parking
Podium Parking Space $45,000 $45,000
Underground Parking Space $80,000 N/A

Soft Costs
Architecture, Engineering, and Consulting % of Hard Costs 5% 5% Taxes, Insurance, Legal and Accounting % of Hard Costs 5% 5% Municipal Fees % of Hard Costs 23% 23%
Other Soft Costs % of Hard Costs 3% 3%

Financing Assumptions
Amount Financed % of Hard + Soft Costs 55% 55%
Average Outstanding Balance % of Amount Financed 55% 55% Construction Loan Fee % of Amount Financed 1.0% 1.0%
Construction Interest 7.6% 7.6%
Term Months 28 30
Interest Costs 5.3% 5.7%
Amount Financed*Loan Fee 0.6% 0.6%
Total Financing Cost % of Hard + Soft costs 5.9% 6.3%
Contingency % of Hard + Soft Costs 5% 5%

Land Acquisition Cost
Land Cost Site Square Feet $253 $253
(a) Gross Square Feet, which does not include parking
Source: Strategic Economics, 2026.

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FIGURE 23: MULTIFAMILY RENTAL PROTOTYPES' PRO FORMA RESULTS 5-Story Multifamily 8-Story Multifamily
Net Operating Income
Annual Revenue $7,854,000 $17,952,000
Less Costs -$2,748,900 -$6,283,200
Vacancy -$392,700 -$897,600
Operating Expenses -$2,356,200 -$5,385,600
Net Operating Income $5,105,100 $11,668,800

Hard Costs $64,812,500 $138,566,667
Demolition and Site Work $2,600,000 $4,400,000
Building Construction $49,087,500 $116,166,667
Parking $13,125,000 $18,000,000
Soft Costs $23,332,500 $49,884,000
Architecture, Engineering, and Consulting $3,240,625 $6,928,333 Taxes, Insurance, Legal and Accounting $3,240,625 $6,928,333 Municipal Fees $14,906,875 $31,870,333
Parks Fee $5,259,800 $12,022,400
Other Soft Costs $1,944,375 $4,157,000
Financing Costs $5,447,718 $12,401,208
Contingency $4,407,250 $9,422,533
Land Costs $16,414,141 $27,777,778
Total Development Costs $114,414,109 $238,052,186

Feasibility
Total Net Operating Income $5,105,100 $11,668,800
Target Yield on Cost 5.5% 5.5%
Supportable Development Cost $92,820,000 $212,160,000
Total Development Cost Excl Land $97,999,968 $210,274,408 Residual Land Value -$5,179,968 $1,885,592
Typical Land Cost $16,414,141 $27,777,778
Source: Strategic Economics, 2026.

FIGURE 24: OFFICE PROTOTYPES' REVENUE ASSUMPTIONS
Five-Story Office Eight-Story Office

Vacancy 5.0% 5.0%
Operating Expenses (% of revenue) 6.00% 6.00%
Cap Rate 6.25% 6.25%
Minimum Yield on Cost 7.50% 7.50%
Annual Rent per Sq. Ft. (NNN) $80.00 $80.00
Net Operating Income per Sq. Ft. $71.20 $71.20
Note: Cap rate and yield on cost assumptions were based on review of applicable overall market cap rates and recent sales transaction data from CoStar, as well as input gathered in recent interviews with office developers in Palo Alto and nearby jurisdictions in Santa Clara County.

The assumptions incorporate consideration of the Plan Area’s current market positioning as a secondary office market location within Palo Alto (compared to locations such as Downtown, near Caltrain stations, and in/near Stanford Research Park).

Source: Strategic Economics, 2026.

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FIGURE 25: OFFICE PROTOTYPES' COST ASSUMPTIONS
Unit of Measure Five-Story Office Eight-Story Office
Hard Costs
Site Prep Site Square Feet $40 $40
Construction Costs GSF Building (a) $390 $390
Tenant Improvements (PNSF) NSF Building (b) $100 $100
Parking
Surface Parking Space $10,000 $10,000
Structured Garage Parking Space $45,000 $45,000
Underground Parking Space $80,000 $80,000

Soft Costs
Architecture, Engineering, and Consulting % of Hard Costs 5% 5% Taxes, Insurance, Legal and Accounting % of Hard Costs 3% 3% Developer Fee % of Project Budget 3% 3%
Municipal Fees % of Hard Costs 15% 15%
Other Soft Costs % of Hard Costs 3% 3%

Financing Assumptions
Amount Financed % of Hard + Soft Costs 65% 65%
Average Outstanding Balance % of Amount Financed 60% 60% Construction Loan Fee % of Amount Financed 1.0% 1.0%
Construction Interest 7.6% 7.6%
Term Months 24 30 Interest Costs 5.9% 5.9%
Amount Financed*Loan Fee 0.7% 0.7%
Total Financing Cost % of Hard + Soft Costs 6.5% 6.5%
Contingency % of Hard + Soft Costs 5% 5%

Land Acquisition Cost
Land Cost Site Square Feet $250 $250
(a) Gross Square Feet
(b) Net Square Feet
Source: Strategic Economics, 2026.

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FIGURE 26: OFFICE PROTOTYPES' PRO FORMA RESULTS
Five-Story Office Eight-Story Office
Revenues
Income $12,768,000 $20,428,800
Net Operating Income $11,363,520 $18,181,632
Total Capitalized Value $181,816,320 $290,906,112

Hard Costs $111,872,000 $170,210,000
Demolition and Site Work $3,812,000 $3,812,000
Building Construction $65,520,000 $104,832,000
Tenant Improvements $15,960,000 $25,536,000
Parking $26,580,000 $36,030,000
Soft Costs $33,803,768 $51,431,452
Architecture, Engineering, and Consulting $5,593,600 $8,510,500 Taxes, Insurance, Legal and Accounting $3,356,160 $5,106,300 Developer Fee $4,717,048 $7,176,852
Municipal Fees $16,780,800 $25,531,500
Parks Fee $3,310,680 $5,297,088
Other Soft Costs $3,356,160 $5,106,300
Financing Costs $9,228,285 $14,040,568
Contingency $7,047,936 $10,723,230
Land Costs $23,825,000 $23,825,000
Total Development Costs $185,776,990 $270,230,250

Feasibility
Minimum YOC 7.50% 7.50%
Total Supportable Value $151,513,600 $242,421,760
Total Development Costs (excluding land) $161,951,990 $246,405,250 Residual Land Value -$10,438,390 -$3,983,490
Typical Land Cost $23,825,000 $23,825,000
Source: Strategic Economics, 2026.

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City Council
Staff Report
Report Type: CONSENT CALENDAR
Lead Department: City Clerk
Meeting Date: April 6, 2026
Report #:2603-6158
TITLE
Approval of Minutes from March 16 and March 23, 2026 Meeting

RECOMMENDATION
Staff recommends that the City Council review and approve the minutes.

ATTACHMENTS
Attachment A: March 16, 2026 Draft Action Minutes
Attachment B: March 23, 2026 Draft Action Minutes
APPROVED BY:

Mahealani Ah Yun, City Clerk
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CITY COUNCIL

DRAFT ACTION MINUTES

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Special Meeting
March 16, 2026
The City Council of the City of Palo Alto met on this date in the Council Chambers and by virtual teleconference at 4:30 P.M.

Present In Person: Burt, Lauing, Lu, Lythcott-Haims, Reckdahl, Stone, Veenker Present Remotely:

Absent:

Call to Order

Special Orders of the Day

1. Recognition of Sister City Tsuchiura, Japan and Palo Alto Student Exchange Program Participants

NO ACTION

2. Proclamation Recognizing March 2026 as American Red Cross Month

NO ACTION

Agenda Changes, Additions and Deletions

Public Comment

Council Member Questions, Comments and Announcements

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DRAFT ACTION MINUTES

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Sp. City Council Meeting
Draft Action Minutes: 03/16/26
Consent Calendar
MOTION: Vice Mayor Stone moved, seconded by Council member Lythcott-Haims, to approve Agenda Item Numbers 3 – 10.

MOTION PASSED: 7-0

3. Approval of Minutes from March 2, 2026 Meeting

4. Adoption of a Resolution Making Necessary Findings and Approving a Lease -Purchase Agreement with Motorola Solutions, Inc for Multi -Band Portable and Mobile Radios and Accessories for all City Departments in an amount not to exceed $5,848,220 for a Term of

8.4 Years; CEQA Status – exempt under Regulation section 15601(b)(3).

5. Adoption of a Resolution Approving Edison Electric Institute Master Power Purchase and Sale Agreements with NRG Business Marketing LLC, DRW Energy Trading LLC, and Dynasty Power Inc., (collectively the “Master Agreements”), Delegating Authority to the City Manager to Transact Under the Master Agreements for Electricity-Related Commodities and Services, and Updating the City’s Standard Form Edison Electric Institute Master Power Purchase and Sale Agreement; CEQA status: not a project under CEQA Guidelines sections 15378(a)

6. Approval of Professional Services Contract Number C26193604 with GOVERNMENTJOBS.COM INC dba NEOGOV in an Amount Not to Exceed $686,277 for Full- cycle Recruitment and Applicant Tracking, Employee Development and Management Human Resource Platform for a Term of Five Years; CEQA Status - Not a Project.

7. Approval of Amendment No. 1 to Contract S23184208 with Flynn Resources Inc., in the Amount of $170,000 for a revised Total Not -to-Exceed Amount of $425,000 and Extending Term Two Years to Provide As -Needed Electric Engineering Consulting Services Related to Electric Transmission Line Expansion, Interconnection, Engineering Analysis and Regulatory Issues; CEQA Status: the Grid Modernization Project is Exempt Under CEQA Guidelines Sections 15302, 15303 and 15183

8. Authorization to Fully Encumber Legal Services Contract S26195211 with Atkinson Andelson Loya Ruud & Romo For a Total Not - to-Exceed Amount of $255,000; CEQA Status – Not a Project.

9. Accept the Single Audit Report audited by Macias Gini & O’Connell for the year ended June 30, 2025, Fiscal Year 2025; CEQA Status – Not a Project.

10. Approval of Professional Services Contract No. C26194015 with Geosyntec Consultants, Inc. in an Amount Not to Exceed $795,965 for Design and Outreach Services for the City Park- Green Stormwater Infrastructure Project for the period of March 16, 2026 through March 31, 2028; CEQA Status – Exempt Pursuant to CEQA Guidelines Section 15306 Item 4
Attachment A - March 16,
2026 Draft Action Minutes

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DRAFT ACTION MINUTES

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Sp. City Council Meeting
Draft Action Minutes: 03/16/26
City Manager Comments
Ed Shikada, City Manager

Action Items

11. Approval of an Employment Agreement and Adoption of a Resolution Appointing Christopher Jensen as City Attorney at an Annual Salary of $380,000.

MOTION: Councilmember Lauing moved, seconded by Council member Burt, to approve an employment agreement and adopt a resolution appointing Christopher Jensen to the position of City Attorney at an annual salary of $380,000, with additional compensation and benefits as provided in the employment agreement and applicable City compensation plan.

MOTION PASSED: 7-0

12. QUASI-JUDICIAL. 2100 -2400 Geng Road [24PLN -00356 & 24PLN -00357]: Request for Approval of Applications for Site and Design, a Conditional Use Permit, and a Vesting Tentative Map to Construct 145 For Sale Townhome Units. Thirteen Percent of the Units Would Be Deed Restricted to Low Income Households. The Project is Proposed in Accordance with Builder’s Remedy (California Government Code Section 65589.5(d)(5)). A Senate Bill 330 Pre-Application was Filed on July 8, 2024. The Project Also Includes Adoption of a Parkland Improvement Ordinance to Authorize Tree Removals in the Baylands Athletic Center, Which Would be Impacted by the Project. CEQA Status: Exempt from CEQA in Accordance with CEQA Guidelines Section 15183 (Comprehensive Plan Consistency).

MOTION: Councilmember Lu moved, seconded by Councilmember Lauing, to:

1. Consider the project exempt from CEQA in accordance with CEQA Guidelines Section 15183 (Comprehensive Plan Consistency) as documented in Attachment G;

2. Approve the Site and Design, Conditional Use Permit, and Vesting Tentative Map Applications based on findings and subject to conditions of approval in the Revised Draft Record of Land Use Action (RLUA) in Supplemental Attachment A; and

3. Adopt the Parkland Improvement Ordinance in Attachment C authorizing the proposed work and modifications in the Baylands Athletic Center within the City’s Baylands open space.

MOTION PASSED: 7-0

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DRAFT ACTION MINUTES

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Sp. City Council Meeting
Draft Action Minutes: 03/16/26

13. PUBLIC HEARING / QUASI -JUDICIAL. 4075 El Camino Way [23PLN -00202]: Adoption of an Amendment to a Planned Community Ordinance (PC -5116) to Allow for Modifications to an Existing 121-Unit Assisted Living and Memory Care Facility. CEQA Status: Exempt from the Provisions of the California Environmental Quality Act (CEQA) in Accordance with CEQA Guidelines Section 15301 (Modifications to Existing Facilities).

MOTION: Vice Mayor Stone moved, seconded by Council member Lauing, to approve the staff recommendation (#1 – #3) with the modification described in #4:

1. Find the project exempt from CEQA in accordance with CEQA Guidelines Section 15301;

2. Adopt the ordinance in Attachment B, amending Planned Community Ordinance 5116;

3. Approve the Record of Land Use Action in Attachment C based on findings and subject to conditions of approval; and

4. Allow the addition of only seven units (units labeled 1 -4 and 9 -11), consistent with the Planning and Transportation Commission’s September 2025 recommendation.

MOTION PASSED: 7-0

14. Adoption of an Ordinance Adding a New Section 18.40.280 (Bird-Friendly Design) to Chapter

18.40 (General Standards and Exceptions) of Title 18 (Zoning) of the Palo Alto Municipal Code; CEQA Status: Exempt Pursuant to CEQA Guidelines Section 15308 (Actions for Protection of the Environment)
AMENDMENT: Councilmember Lu moved, seconded by Mayor Veenker , to amend the motion to exempt portions of residential buildings above 75 feet.

AMENDMENT FAILED: 4-3, Reckdahl, Stone, Lauing, Burt, no

MOTION: Councilmember Reckdahl moved, seconded by Vice Mayor Stone , to move the staff recommendation to adopt an Ordinance adding a new Section 18.40.280 (Bird- Friendly Design) to Chapter 18.40 (General Standards and Exceptions) of Title 18 (Zoning) of the Palo Alto Municipal Code with the following modifications:

1. Allow portions of nonresidential buildings below 35 feet to use alternative safety measures such as films , decals or other products approved by the American Bird Conservatory or its equivalent; and

2. Direct staff to incorporate into the ordinance second reading a requirement that treatments occur within 15 feet of green roofs.

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Sp. City Council Meeting
Draft Action Minutes: 03/16/26
MOTION PASSED: 5-2, Lu, Lythcott-Haims, no

Closed Session

15. CONFERENCE WITH CITY ATTORNEY-POTENTIAL LITIGATION
Subject: Potential litigation regarding 156 North California Avenue, as set forth in letter(s) from Holland & Knight LLP dated September 3, 2025 Authority: Government Code Section 54956.9(d)(2)
Number of potential cases: 1, as Defendant
Agenda Item Number 15 Removed Off Agenda

Adjournment: The meeting was adjourned at 10:56 P.M.

ATTEST: APPROVED:
____________________ ____________________
City Clerk Mayor NOTE: Action minutes are prepared in accordance with Palo Alto Municipal Code (PAMC)

2.04.160(a) and (b). Summary minutes (sense) are prepared in accordance with PAMC Section

2.04.160(c). Beginning in January 2018, in accordance with Ordinance No. 5423, the City Council found action minutes and the video/audio recordings of Council proceedings to be the official records of both Council and committee proceedings. These recordings are available on the City’s website.

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CITY COUNCIL

DRAFT ACTION MINUTES

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Special Meeting
March 23, 2026
The City Council of the City of Palo Alto met on this date in the Council Chambers and by virtual teleconference at 5:00 P.M.

Present In Person: Burt, Lauing, Lu, Lythcott-Haims, Reckdahl, Stone, Veenker Present Remotely:

Absent:

Special Orders of the Day

1. Proclamation Recognizing March as Women's History Month

NO ACTION

Agenda Changes, Additions and Deletions

Consent Calendar
MOTION: Councilmember Lu moved, seconded by Council member Lauing to approve Agenda Item Numbers 2-5.

MOTION PASSED: 7-0

2. Approval of Minutes from March 9, 2026 Meeting

3. Approval of a Facility Agreement and Pet Addendum between the City of Palo Alto and the American Red Cross for the use of designated city facilities during disasters. CEQA Status – Not a Project

4. Approval of Purchase Order C26196995 with Insight Public Sector, Utilizing OMNIA Cooperative Contract No. 23 -6692-03 , to Procure Mimecast Subscription services, including vendor maintenance, updates, and technical support services, for a 3 -Year Term with an Annual Amount of $93,383 for a Total Not -To-Exceed Amount of $281,093; CEQA status - exempt under regulation 15601(b)(3).

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DRAFT ACTION MINUTES

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Sp. City Council Meeting
Draft Action Minutes: 03/23/2026

5. Approval of Contract Amendment Number 4 to Contract S18165157 with Smart Energy Water Inc. (SEW) in the Amount of $972,625 for an Additional Three Years and for a Revised Not -to-Exceed Total of $2,002,771 for Licensing and Upgrade of the Utilities MyCPAU Customer Portal; CEQA Status – Not a Project

City Manager Comments
Ed Shikada, City Manager

Action Items

6. FIRST READING: Adoption of an Ordinance to Amend Chapter 9.73 of the Palo Alto Municipal Code to Adopt a Local Policy to Implement the Foundational Principles of the United Nations Convention on the Elimination of all forms of Discrimination Against Women (CEDAW) as Recommended by the Policy and Services Committee; CEQA status – Not a Project
MOTION: Mayor Veenker moved, seconded by Council member Lythcott-Haims to adopt the attached CEDAW Ordinance and refer to the H uman Relations Commission to provide recommendations back to Council relating to advancing the ordinance inclusive of appropriate housing options for unhoused individuals and individuals who experience sexual or gender - based violence and childcare.

MOTION PASSED: 7-0

Special Orders of the Day – Boards, Commissions, and Committee Interviews

7. Interview Candidates for Vacancies on the Human Relations Commission (HRC), Planning & Transportation Commission (PTC), and Utilities Advisory Commission (UAC); CEQA Status - Not a Project

NO ACTION

Adjournment: The meeting was adjourned at 9:01 P.M.

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DRAFT ACTION MINUTES

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Sp. City Council Meeting
Draft Action Minutes: 03/23/2026

ATTEST: APPROVED:
____________________ ____________________
City Clerk Mayor NOTE: Action minutes are prepared in accordance with Palo Alto Municipal Code (PAMC)

2.04.160(a) and (b). Summary minutes (sense) are prepared in accordance with PAMC Section

2.04.160(c). Beginning in January 2018, in accordance with Ordinance No. 5423, the City Council found action minutes and the video/audio recordings of Council proceedings to be the official records of both Council and committee proceedings. These recordings are available on the City’s website.

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City Council
Staff Report
From: City Manager
Report Type: CONSENT CALENDAR
Lead Department: Community Services
Meeting Date: April 6, 2026
Report #:2511-5571
TITLE
Approval of Construction Contract No. C26196846 with FieldTurf USA, Inc. in an Amount Not- to-Exceed $878,919 for El Camino Park Turf Replacement PG-24000, Including Authorization to Execute Change Orders; and Amend the FY 2026 Budget Appropriation in the Capital Improvement Fund; CEQA status – categorically exempt under CEQA Guidelines sections 15301 (Existing Facilities) and 15302 (Replacement or Reconstruction).

RECOMMENDATION
Staff recommends that City Council:

1. Approve and authorize the City Manager or their designee to execute construction contract with FieldTurf USA, Inc. (Contract No. C26196846) in the amount not to exceed $799,017 for the purchase and installation of a synthetic field replacement for El Camino Park Turf Replacement Program project (PG-24000); and

2. Authorize the City Manager or their designee to negotiate and execute one or more change orders to contract No. C26196846 with FieldTurf USA, Inc. for related additional but unforeseen work which may develop during the project, the total value of which shall not exceed $79,902; and

3. Amend the Fiscal Year 2026 Budget Appropriation (requires a 2/3 approval) for the Capital Improvement Fund by:
a. Increasing the appropriation for El Camino Park Turf Replacement Project (PG- 24000) by $240,058; and
b. Decreasing the Capital Fund Infrastructure Reserve by $240,058.

EXECUTIVE SUMMARY
The synthetic turf field at El Camino Park, originally installed in 2015, has reached the end of its useful life and requires replacement. The project was previously included in the FY 2024 Capital Item 5
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Improvement Program (PG-24000) and was placed on hold pending completion of the City’s Study and Assessment of Turf Systems1.

Following extensive community engagement, Parks and Recreation Commission review, City Council deliberation, and additional Ad Hoc Committee review, City Council directed staff on January 12, 20262 to proceed with replacement of the existing synthetic turf at El Camino Park using improved synthetic turf with organic infill and enhanced risk mitigation measures.

Staff now brings forward a construction contract with FieldTurf USA, Inc. for installation of a FieldTurf Vertex Prime 2” synthetic turf system with sand and PureFill cork infill, consistent with Council direction and aligned with the Stanford Palo Alto Community Playing Fields project3.

Construction is targeted for Summer 2026 to minimize disruption to peak field use seasons.

BACKGROUND
El Camino Park (155 El Camino Real) is leased from Stanford University under an agreement valid through June 2042. The park’s 77,101-square-foot synthetic athletic field serves youth and adult sports organizations year-round, including soccer and lacrosse leagues and Castilleja School athletics. During peak fall, winter, and spring seasons, the field is fully programmed on weekdays from approximately 4:00 pm to 10:00 pm and on weekends from approximately 8:00 am to 10:00 pm.

The existing field was installed in 2015 using a 2” Edel Grass hybrid blend system with thermoplastic elastomer (TPE) infill and a Brock SP-14 pad. The infill required warranty replacement in 2019. The expected lifespan of a synthetic turf system is approximately 8–10 years; the current field is now 11 years old and has reached the end of its functional life.

In 2024, City Council directed staff to conduct a comprehensive Study and Assessment of Turf Systems to inform long-term surface decisions. After extensive review and community engagement, Council directed staff to proceed with replacement of the El Camino Park synthetic turf using improved materials and enhanced risk mitigation measures, and to pursue a natural grass pilot separately.

This staff report implements that direction through contract award. 1 2025 Study and Assessment of Turf Systems for the City of Palo Alto Playing Fields (Turf Study) Project Webpage, https://www.paloalto.gov/Departments/Community-Services/Parks-Open-Space-Golf-Division/Whats-Happening- in-Your-Parks/Turf-Study

2 City Council, January 12, 2026; Agenda Item #13; SR #2511-5568, https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=18508 3 City Council, June 9, 2025, Agenda Item #9, SR #2501-3998, https://portal.laserfiche.com/Portal/DocView.aspx?id=182834&repo=r-704298fc&searchid=66e11389-abaf-4d0d- a894-f154a76a7f05
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ANALYSIS
Synthetic turf systems experience gradual fiber degradation, reduced pile height, and infill displacement over time. The existing El Camino Park field, installed in 2015, exhibits wear consistent with end-of-life conditions, including diminished resiliency and performance.

Continued use without replacement would increase maintenance costs and compromise playability. Given El Camino Park’s critical role in the City’s athletic field system, maintaining safe and reliable field conditions is essential. As previously reported to Council, removal of the synthetic field without replacement would displace approximately 1,221 permitted players annually, with no available capacity elsewhere in the system.

Consistent with Council direction, staff proposes installation of a FieldTurf Vertex Prime 2” synthetic turf system with sand and PureFill cork organic infill, while retaining the existing base and spot pad replacement during construction. The cork infill replaces the prior thermoplastic elastomer (TPE) material, reducing plastic content and contributing to lower surface temperatures compared to earlier systems. The selected system aligns with the recently completed Stanford Palo Alto Community Playing Fields project, promoting consistency in maintenance practices and performance standards across City facilities.

Risk mitigation measures previously discussed with Council have been incorporated into this project. Stormwater inlet filtration has been installed onsite with 13 inlet hat filters and three (3) exterior sock filters, continued annual GMAX testing to monitor surface hardness, manufacturer material verification and documentation, and enhanced maintenance practices.

The installation includes an eight-year manufacturer warranty and specialized maintenance services for the duration of the warranty period. FieldTurf will provide one annual service visit for the first three years and two visits annually for the remaining five years. City staff will continue routine in-house maintenance five days per week, including debris removal and surface grooming.

Due to the composition of the existing TPE infill, staff has not identified a certified recycling facility for the removed material. FieldTurf is coordinating with staff to establish a documented chain of custody for disposal consistent with Zero Waste goals. The proposed new turf product is recyclable at the end of its lifecycle.

Procurement Process
The contract is being procured through a cooperative purchasing agreement with Sourcewell, which conducted a competitive solicitation process on behalf of public agencies. Pursuant to Palo Alto Municipal Code Section 2.30.360(j), the City may utilize cooperative purchasing agreements in lieu of conducting its own solicitation. Staff evaluated informal pricing outside cooperative agreements and found those estimates to be significantly higher. Industry feedback Item 5
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consistently supports cooperative procurement as a cost-effective and efficient method due to economies of scale. Staff issued a Request for Quotation under the Sourcewell agreement and received a proposal from FieldTurf USA, Inc., consistent with cooperative pricing terms.

FISCAL/RESOURCE IMPACT
The proposed construction contract with FieldTurf USA, Inc. is in the amount of $799,017. Staff recommends authorization of a 10% contingency in the amount of $79,902, for a total requested authorization of $878,919.

The Fiscal Year 2026 Adopted Capital Improvement Program includes funding for Project PG- 24000. The Turf Study, totaling $139,613, was funded from this project, which reduced the remaining available balance. To fully fund the construction contract, contingency, and associated project costs, staff recommends a budget amendment from the Capital Improvement Fund Infrastructure Reserve in the amount of $240,058, for a total adjusted project budget of $1,040,438. Construction is targeted for Summer 2026 to minimize disruption to peak field programming.

Advancing the replacement at this time avoids escalating costs associated with deferred maintenance and ensures continued field capacity during the City’s highest demand seasons.

STAKEHOLDER ENGAGEMENT
This contract award implements City Council direction following one of the most comprehensive community engagement processes undertaken for an athletic field capital project. The City’s Study and Assessment of Turf Systems engagement process included focus groups representing field users, environmental advocates, and the Parks and Recreation Commission Playing Fields Ad Hoc Committee, along with public comment opportunities, Parks and Recreation Commission review, and multiple City Council deliberations, including meetings of a City Council Ad Hoc Committee.

On January 12, 2026, City Council formally directed staff to proceed with replacement of the El Camino Park synthetic turf using improved materials and enhanced risk mitigation measures.

This contract award advances that direction.

ENVIRONMENTAL REVIEW
The El Camino Park Turf Replacement Project is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Sections 15301 (Existing Facilities) and 15302 (Replacement or Reconstruction), as the project consists of replacement of Item 5
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an existing athletic field facility with substantially the same use, capacity, and operational characteristics.

ATTACHMENTS:

Attachment A: C26196846 - FieldTurf USA - El Camino Park Turf Replacement - FINAL APPROVED BY:

Kristen O'Kane, Community Services Director
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Rev. June 24, 2025 1 PART 4 – CONSTRUCTION CONTRACT

CONSTRUCTION CONTRACT

Contract No. C26196846

City of Palo Alto

El Camino Park Turf Replacement Project

CONSTRUCTION CONTRACT

TABLE OF CONTENTS

SECTION 1 INCORPORATION OF RECITALS AND DEFINITIONS…………………………………….………….6

1.1 Recitals……………………………………………………………………………………………………………………...6

1.2 Definitions………………………………………………………………………………………………………………….6 SECTION 2 THE PROJECT………………………………………………………………………………………………………..6 SECTION 3 THE CONTRACT DOCUMENTS.……………………………………………………………………………...7

3.1 List of Documents.…………………………………………………………………………………………..............7 Item 5
Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
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Rev. June 24, 2025 2 PART 4 – CONSTRUCTION CONTRACT

3.2 Order of Precedence…………………………………………………………………………………………….......7 SECTION 4 CONTRACTOR’S DUTY…………………………………………………………………………………………..7

4.1 Contractor's Duties……………………………………………………………………………………………………..7 SECTION 5 PROJECT TEAM……………………………………………………………………………………………………..8

5.1 Contractor's Co-operation…………………………………………………………………………………………..8 SECTION 6 TIME OF COMPLETION………………………………………………………………………………………….8

6.1 Time Is of Essence……………………………………………………………………………………………………….8

6.2 Commencement of Work……………………………………………………………………………………………8

6.3 Contract Time…………………………………………………………………………………………………………….8

6.4 Liquidated Damages…………………………………………………………………………………………………..8

6.4.1 Other Remedies……………………………………………………………………………………………………….8

6.5 Adjustments to Contract Time……………………………………………………………………………………9 SECTION 7 COMPENSATION TO CONTRACTOR………………………………………………………………………9

7.1 Contract Sum………………………………………………………………………………………………………………9

7.2 Supplemental Unit Pricing……………………………………………………………………………………………9

7.3 Full Compensation………………………………………………………………………………………………………9 SECTION 8 STANDARD OF CARE……………………………………………………………………………………………..9

8.1 Standard of Care…………………………………………………………………………………..……………………9 SECTION 9 INDEMNIFICATION…………………………………………………………………………………………..……9

9.1 Hold Harmless……………………………………………………………………………………………………………9

9.2 Survival………………………………………………………………………………………………………………………10 SECTION 10 NON-DISCRIMINATION……..………………………………………………………………………………..10

10.1 Municipal Code Requirement…………….………………………………..……………………………………..10 SECTION 11 INSURANCE AND BONDS.……………………………………………………………………………………10

11.1 Evidence of Coverage…………………………………………………………………………………………………10 SECTION 12 PROHIBITION AGAINST TRANSFERS………………………………………………………………….….10

12.1 Assignment…………………………………………………………………………………………………………………10

12.2 Assignment by Law.……………………………………………………………………………………………………10 SECTION 13 NOTICES……………………………………………………………………………………………………………….10

13.1 Method of Notice ………………………………………………………………………………………………………10

13.2 Notice Recipents ……………………………………………………………………………………………………….11

13.3 Change of Address……………………………………………………………………………………………………..11 Item 5
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Park Turf Replacement -
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Rev. June 24, 2025 3 PART 4 – CONSTRUCTION CONTRACT
SECTION 14 DEFAULT…………………………………………………………………………………………………………......12

14.1 Notice of Default………………………………………………………………………………………………………..12

14.2 Opportunity to Cure Default………………………………………………………………………………………12 SECTION 15 CITY'S RIGHTS AND REMEDIES……………………………………………………………………………..12

15.1 Remedies Upon Default………………………………………………………………………………………….....12

15.1.1 Delete Certain Services…………………………………………………………………………………………..12

15.1.2 Perform and Withhold……………………………………………………………………………………………..12

15.1.3 Suspend The Construction Contract………………………………………………………………………..12

15.1.4 Terminate the Construction Contract for Default…………………………………………………….12

15.1.5 Invoke the Performance Bond…………………………………………………………………………………..12

15.1.6 Additional Provisions………………………………………………………………………………………………13

15.2 Delays by Sureties……………………………………………………………………………………………………….13

15.3 Damages to City………………………………………………………………………………………………………….13

15.3.1 For Contractor's Default………………………………………………………………………………………….13

15.3.2 Compensation for Losses………………………………………………………………………………………..13

15.4 Suspension by City……………………………………………………………………………………………………..13

15.4.1 Suspension for Convenience……………………………………………………………………………………13

15.4.2 Suspension for Cause…………………………………………………………………………………………......13

15.5 Termination Without Cause……………………………………………………………………………………….14

15.5.1 Compensation…………………………………………………………………………………………………………14

15.5.2 Subcontractors………………………………………………………………………………………………………….14

15.6 Contractor’s Duties Upon Termination………………………………………………………………...........14 SECTION 16 CONTRACTOR'S RIGHTS AND REMEDIES…………………………………………………………………15

16.1 Contractor’s Remedies……………………………………..………………………………………………………….15

16.1.1 For Work Stoppage……………………………………………………………………………………………………15

16.1.2 For City's Non-Payment……………………………………………………………………………………………..15

16.2 Damages to Contractor………………………………………………………………………………………………….15 SECTION 17 ACCOUNTING RECORDS………………………………………………………………………………….……….15

17.1 Financial Management and City Access………………………………………………………………………….15

17.2 Compliance with City Requests………………………………………………………………………………………16 SECTION 18 INDEPENDENT PARTIES…………………………………………………………………………………………….16

18.1 Status of Parties……………………………………………………………………………………………………………..16 Item 5
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Park Turf Replacement -
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Rev. June 24, 2025 4 PART 4 – CONSTRUCTION CONTRACT
SECTION 19 NUISANCE……………………………………………………………………………………………………….………..16

19.1 Nuisance Prohibited………………………………………………………………………………………………………..16 SECTION 20 PERMITS AND LICENSES…………………………………………………………………………………………..16 SECTION 21 WAIVER…………………………………………………………………………………………………………………….16 SECTION 22 GOVERNING LAW AND VENUE; COMPLIANCE WITH LAWS………………………………………..16

22.1 Governing Law…………………………………………………………………………………………………………………16

22.2 Compliance with Laws……………………………………………………………………………………………………..16

22.2.1 Palo Alto Minimum Wage Ordinance ………………………………………….…………………………………17 SECTION 23 COMPLETE AGREEMENT…………………………………………………………………………………………...17

23.1 Integration……………………………………………………………………………………………………………………….17 SECTION 24 SURVIVAL OF CONTRACT…………………………………………………………………………………………..17

24.1 Survival of Provisions……………………………………………………………………………………………………....17 SECTION 25 PREVAILING WAGES…………………………………………………………………………………………………..17 SECTION 26 NON-APPROPRIATION……………………………………………………………………………………………….18

26.1 Appropriation…………………………………………………………………………………………………………………..18 SECTION 27 AUTHORITY……………………………………………………………………………………………………………….18

27.1 Representation of Parties………………………………………………………………………………………………..18 SECTION 28 COUNTERPARTS……………………………………………………………………………………………….........18

28.1 Multiple Counterparts……………………………………………………………………………………………………18 SECTION 29 SEVERABILITY…………………………………………………………………………………………………………..18

29.1 Severability…………………………………………………………………………………………………………………….18 SECTION 30 STATUTORY AND REGULATORY REFERENCES ………………………………………………….........18

30.1 Amendments of Laws…………………………………………………………………………………………………….18 SECTION 31 WORKERS’ COMPENSATION CERTIFICATION………………………………………………….……….18

31.1 Workers Compensation…………………………………………………………………………………………………18 SECTION 32 DIR REGISTRATION AND OTHER REQUIREMENTS………………………………………..…………19

32.1 General Notice to Contractor……………………………………………………………………………………….19

32.2 Labor Code section 1771.1(a)……………………………………………………………………………………...19

32.3 DIR Registration Required……………………………………………………………………………………………19

32.4 Posting of Job Site Notices……………………………………………………………………………………………19

32.5 Payroll Records…………………………………………………………………………………………………………….19

32.6 Employment of Apprentices…………………………………………………………………………………………20 Item 5
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Park Turf Replacement -
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Rev. June 24, 2025 5 PART 4 – CONSTRUCTION CONTRACT

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Rev. June 24, 2025 6 PART 4 – CONSTRUCTION CONTRACT

CONSTRUCTION CONTRACT

THIS CONSTRUCTION CONTRACT entered into on April 13, 2026 (“Execution Date”) by and between the CITY OF PALO ALTO, a California chartered municipal corporation ("City"), and FIELDTURF USA, INC. ("Contractor"), is made with reference to the following:

R E C I T A L S:

A. City is a municipal corporation duly organized and validly existing under the laws of the State of California with the power to carry on its business as it is now being conducted under the statutes of the State of California and the Charter of City.

B. Contractor is a corporation duly organized and in good standing in the State of Florida, Contractor’s License Number 849044 and Department of Industrial Relations Registration Number 1000004625. Contractor represents that it is duly licensed by the State of California and has the background, knowledge, experience and expertise to perform the obligations set forth in this Construction Contract.

C. The City did not issue an Invitation for Bids (IFB) to contractors for the El Camino Park Turf Replacement Project (“Project”). Per PAMC 2.30.360(j) (coop), City is issuing a contract to FieldTurf USA, Inc. In response to the quote requested, Contractor submitted a quote dated January 15, 2026, incorporated herein.

D. City and Contractor desire to enter into this Construction Contract for the Project, and other services as identified in the Contract Documents for the Project upon the following terms and conditions.

NOW THEREFORE, in consideration of the mutual promises and undertakings hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, it is mutually agreed by and between the undersigned parties as follows:

SECTION 1 INCORPORATION OF RECITALS AND DEFINITIONS.

1.1 Recitals.

All of the recitals are substantive parts of this Construction Contract and are hereby incorporated herein by reference.

1.2 Definitions.

Capitalized terms shall have the meanings set forth in this Construction Contract (sometimes referred to herein as the “Contract”) and/or in the General Conditions. If there is a conflict between the definitions in this Construction Contract and in the General Conditions, the definitions in this Construction Contract shall prevail.

SECTION 2 THE PROJECT.

The Project is the El Camino Park Turf Replacement Project, located at 155 El Camion Real, Palo Alto, CA. ("Project").

/ /

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Rev. June 24, 2025 7 PART 4 – CONSTRUCTION CONTRACT
SECTION 3 THE CONTRACT DOCUMENTS.

3.1 List of Documents.

The Contract Documents (sometimes collectively referred to as “Agreement” or “Bid Documents”) consist of the following documents which are incorporated into this Construction Contract by reference.

1) Change Orders

2) Field Orders

3) Construction Contract, including any attached Exhibits

4) Notice to Proceed

5) Special Provisions

6) General Conditions

7) Contractor’s Proposal dated January 15, 2026

8) Project Plans and Drawings

9) Technical Specifications

10) Contractor's Non-Collusion Declaration

11) Reports listed in the Contract Documents

12) Public Works Department’s Standard Drawings and Specifications (most current version at time of Bid)

13) Utilities Department’s Water, Gas, Wastewater, Electric Utilities Standards (most current version at time of Bid) - Not Applicable

14) City of Palo Alto Traffic Control Requirements

15) City of Palo Alto Truck Route Map and Regulations

16) Notice Inviting Pre -Qualification Statements, Pre -Qualification Statement, and Pre -Qualification Checklist (if applicable)

17) Performance and Payment Bonds

3.2 Order of Precedence.

For the purposes of construing, interpreting and resolving inconsistencies between and among the provisions of this Contract, the Contract Documents shall have the order of precedence as set forth in the preceding section. If a claimed inconsistency canno t be resolved through the order of precedence, the City shall have the sole power to decide which document or provision shall govern as may be in the best interests of the City.

SECTION 4 CONTRACTOR’S DUTY.

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4.1 Contractor’s Duties

Contractor agrees to perform all of the Work required for the Project, as specified in the Contract Documents, all of which are fully incorporated herein. Contractor shall provide, furnish, and supply all things necessary and incidental for the timely performance and completion of the Work, including, but not limited to, provision of all necessary labor, materials, equipment, transportation, and utilities, unless otherwise specified in the Contract Documents.

Contractor also agrees to use its best efforts to complete the Work in a professional and expeditious manner and to meet or exceed the performance standards required by the Contract Documents.

SECTION 5 PROJECT TEAM.

5.1 Contractor’s Co-operation.

In addition to Contractor, City has retained, or may retain, consultants and contractors to provide professional and technical consultation for the design and construction of the Project. The Contract requires that Contractor operate efficiently, effectiv ely and cooperatively with City as well as all other members of the Project Team and other contractors retained by City to construct other portions of the Project.

SECTION 6 TIME OF COMPLETION.

6.1 Time Is of Essence.

Time is of the essence with respect to all time limits set forth in the Contract Documents.

6.2 Commencement of Work.

Contractor shall commence the Work on the date specified in City’s Notice to Proceed.

6.3 Contract Time.

Work hereunder shall begin on the date specified on the City’s Notice to Proceed and shall be completed not later than December 31, 2026.
within calendar days () after the commencement date specified in City’s Notice to Proceed. within working days () after the commencement date specified in City’s Notice to Proceed.

By executing this Construction Contract, Contractor expressly waives any claim for delayed early completion.

6.4 Liquidated Damages.

Pursuant to Public Contract Code Section 7203, if Contractor fails to achieve Final Completion of the entire Work within the Contract Time, including any approved extensions thereto, City may assess liquidated damages on a daily basis for each day of Unexc used Delay in achieving Final Completion, based on the amount of two thousand five- hundred dollars ($2,500.00) per day, or as otherwise specified in the Sp ecial Provisions. Liquidated damages may also be separately assessed for failure to meet milestones specified elsewhere in the Contract Documents, regardless of impact on the time for achieving Final Completion. The assessment of liquidated damages is not a penalty but considered to be a reasonable estimate of the amount of damages City will suffer by delay in completion of the Work.

The City is entitled to setoff the amount of liquidated damages ass essed against any payments otherwise due to Contractor, including, but not limited to, setoff against release of retention. If the total amount of liquidated damages assessed exceeds the amount of unreleased retention, City is entitled to recover the balance from Contractor or its sureties. Occupancy or use of the Project in whole or in part prior to Final Completion, shall not operate as a waiver of City’s right to assess liquidated damages.

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6.4.1 Other Remedies. City is entitled to any and all available legal and equitable remedies City may have where City’s Losses are caused by any reason other than Contractor’s failure to achieve Final Completion of the entire Work within the Contract Time.

6.5 Adjustments to Contract Time.

The Contract Time may only be adjusted for time extensions approved by City and memorialized in a Change Order approved in accordance with the requirements of the Contract Documents.

SECTION 7 COMPENSATION TO CONTRACTOR.

7.1 Contract Sum.

Contractor shall be compensated for satisfactory completion of the Work in compliance with the Contract Documents the Contract Sum of Seven Hundred Ninety-Nine Thousand Sixteen Dollars and Seventy-Two Cents ($799,016.72).

[This amount includes the Base Bid and Additive or Deductive Alternates.]

7.2 Supplemental Unit Pricing.

Intentionally omitted.

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7.3 Full Compensation.

The Contract Sum shall be full compensation to Contractor for all Work provided by Contractor and, except as otherwise expressly permitted by the terms of the Contract Documents, shall cover all Losses arising out of the nature of the Work or from the acts of the elements or any unforeseen difficulties or obstructions which may arise or be encountered in performance of the Work until its Acceptance by City, all reasonable risks connected with the Work, and any and all expenses incurred due to suspension or discontinuance of the Work, except as expressly provided herein. The Contract Sum may only be adjusted for Change Orders approved in accordance with the requirements of the Contract Documents.

SECTION 8 STANDARD OF CARE.

8.1 Standard of Care.

Contractor agrees that the Work shall be performed by qualified, experienced and well -supervised personnel. All services performed in connection with this Construction Contract shall be performed in a manner consistent with the standard of care under California law applicable to those who specialize in providing such services for projects of the type, scope and complexity of the Project.

SECTION 9 INDEMNIFICATION.

9.1 Hold Harmless.

To the fullest extent allowed by law, Contractor will defend, indemnify, and hold harmless City, its City Council, boards and commissions, officers, agents, employees, representatives and volunteers (hereinafter individually referred to as an “Indemnitee” and collectively referred to as "Indemnitees"), through legal counsel acceptable to City, from and against any and liability, loss, damage, claims, expenses (including, without limitation, attorney fees, expert witness fees, paralegal fees, and fees and costs of litigation or arbitration) (collectively, “Liability”) of every nature arising out of or in connection with the acts or omissions of Contractor, its employees, Subcontractors, representatives, or agents, in performing the Work or its failure to comp ly with any of its obligations under the Contract, except such Liability caused by the active negligence, sole negligence, or willful misconduct of an Indemnitee. Contractor shall pay City for any costs City incurs to enforce this provision. Except as pr ovided in Section 9.2 below, nothing in the Contract Documents shall be construed to give rise to any implied right of indemnity in favor of Contractor against City or any other Indemnitee.

Pursuant to Public Contract Code Section 9201, City shall timely notify Contractor upon receipt of any third -party claim relating to the Contract.

9.2 Survival.

The provisions of Section 9 shall survive the termination or expiration of this Construction Contract.

SECTION 10 NON-DISCRIMINATION.

10.1 Municipal Code Requirement.

As set forth in Palo Alto Municipal Code section 2.30.510, Contractor certifies that in the performance of this Agreement, it shall not discriminate in the employment of any person due to the race, skin color, gender, gender identity, age, religion, disability, national origin, ancestry, sexual orientation, pregnancy, genetic information or condition, housing status, marital status, familial status, weight or height of such person. Contractor acknowledges that it has read and understands the provisions of S ection 2.30.510 of the Palo Alto Municipal Code relating to Item 5
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Nondiscrimination Requirements , and the penalties for violation thereof, and will comply with all requirements of Section 2.30.510 pertaining to nondiscrimination in employment.

SECTION 11 INSURANCE AND BONDS.

11.1 Evidence of coverage.

Within ten (10) business days following issuance of the Notice of Award, Contractor shall provide City with evidence that it has obtained insurance and shall submit Performance and Payment Bonds satisfying all requirements in Article 11 of the General Conditions.

SECTION 12 PROHIBITION AGAINST TRANSFERS.

12.1 Assignment.

City is entering into this Construction Contract in reliance upon the stated experience and qualifications of the Contractor and its Subcontractors set forth in Contractor’s Bid. Accordingly, Contractor shall not assign, hypothecate or transfer this Construction Contract or any interest therein directly or indirectly, by operation of law or otherwise without the prior written consent of City. Any assignment, hypothecation or transfer without said consent shall be null and void, and shall be deemed a substa ntial breach of contract and grounds for default in addition to any other legal or equitable remedy available to the City.

12.2 Assignment by Law.

The sale, assignment, transfer or other disposition of any of the issued and outstanding capital stock of Contractor or of any general partner or joint venturer or syndicate member of Contractor, if the Contractor is a partnership or joint venture or syndicate or co-tenancy shall result in changing the control of Contractor, shall be construed as an assignment of this Construction Contract. Control means more than fifty percent (50%) of the voting power of the corporation or other entity.

SECTION 13 NOTICES.

13.1 Method of Notice.

All notices, demands, requests or approvals to be given under this Construction Contract shall be given in writing and shall be deemed received on the earlier of the following:
(i) On the date delivered if delivered personally;
(ii) On the third business day after the deposit thereof in the United States mail, postage prepaid, and addressed as hereinafter provided;
(iii) On the date sent if sent by facsimile transmission; (iv) On the date sent if delivered by electronic mail; or (v) On the date it is received by the recipient if sent by certified mail.

13.2 Notice to Recipients.

All notices, demands or requests (including, without limitation, Change Order Requests and Claims) from Contractor to City shall include the Project name and the number of this Construction Contract and shall be addressed to City at:

To City: City of Palo Alto
City Clerk
250 Hamilton Avenue
P.O. Box 10250
Palo Alto, CA 94303

Copy to: City of Palo Alto
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Public Works Administration
250 Hamilton Avenue
Palo Alto, CA 94301
Attn:

[Include Construction Manager, If Applicable.]

_______________________________
_______________________________
_______________________________
_______________________________

City of Palo Alto
Utilities Engineering
250 Hamilton Avenue
Palo Alto, CA 94301
Attn:

In addition, copies of all Claims by Contractor under this Construction Contract shall be provided to the following:

Palo Alto City Attorney’s Office
250 Hamilton Avenue
P.O. Box 10250
Palo Alto, California 94303

All Claims shall be sent by registered mail or certified mail with return receipt requested.

All notices, demands, requests or approvals from City to Contractor shall be addressed to Contractor at:

To Contractor:

FieldTurf USA, Inc
175 N Industrial Blvd NE.

Calhoun, GA 30701
Attn: Andrew Rowley

13.3 Change of Address.

In advance of any change of address, Contractor shall notify City of the change of address in writing. Each party may, by written notice only, add, delete or replace any individuals to whom and addresses to which notice shall be provided.

SECTION 14 DEFAULT.

14.1 Notice of Default.

In the event that City determines, in its sole discretion, that Contractor has failed or refused to perform any of the obligations set forth in the Contract Documents, or is in breach of any provision of the Contract Documents, City may give written notice of default to Contractor in the manner specified for the giving of notices in the Construction Contract, with a copy to Contractor’s performance bond surety.

14.2 Opportunity to Cure Default.

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Except for emergencies, Contractor shall cure any default in performance of its obligations under the Contract Documents within five (5) Days after receipt of written notice. However, if the breach cannot be reasonably cured within such time, Contractor will commence to cure the breach within five (5) Days and will diligently and continuously prosecute such cure to completion within a reasonable time, which shall in no event be later than ten (10) Days after receipt of such written notice.

SECTION 15 CITY'S RIGHTS AND REMEDIES.

15.1 Remedies Upon Default.

If Contractor fails to cure any default of this Construction Contract within the time period set forth above in Section 14, then City may pursue any remedies available under law or equity, including, without limitation, the following:

15.1.1 Delete Certain Services . City may, without terminating the Construction Contract, delete certain portions of the Work, reserving to itself all rights to Losses related thereto.

15.1.2 Perform and Withhold . City may, without terminating the Construction Contract, engage others to perform the Work or portion of the Work that has not been adequately performed by Contractor and withhold the cost thereof to City from future payments to Contractor, reserving to it self all rights to Losses related thereto.

15.1.3 Suspend the Construction Contract . City may, without terminating the Construction Contract and reserving to itself all rights to Losses related thereto, suspend all or any portion of this Construction Contract for as long a period of time as City determines, in its sole discretion, appropri ate, in which event City shall have no obligation to adjust the Contract Sum or Contract Time, and shall have no liability to Contractor for damages if City directs Contractor to resume Work.

15.1.4 Terminate the Construction Contract for Default . City shall have the right to terminate this Construction Contract, in whole or in part, upon the failure of Contractor to promptly cure any default as required by Section 14. City’s election to terminate the Construction Contract for default shall be communicated by giving Contractor a written notice of termination in the manner specified for the giving of notices in the Construction Contract. Any notice of termination given to Contractor by City shall be effective immediately, unless otherwise provided therein.

15.1.5 Invoke the Performance Bond . City may, with or without terminating the Construction Contract and reserving to itself all rights to Losses related thereto, exercise its rights under the Performance Bond.

15.1.6 Additional Provisions . All of City’s rights and remedies under this Construction Contract are cumulative, and shall be in addition to those rights and remedies available in law or in equity. Designation in the Contract Documents of certain breaches as material shall not waive t he City’s authority to designate other breaches as material nor limit City’s right to terminate the Construction Contract, or prevent the City from terminating the Agreement for breaches that are not material. City’s determination of whether there has been noncompliance with the Construction Contract so as to warrant exercise by City of its rights and remedies for default under the Construction Contract, shall be binding on all parties. No termination or action taken by City after such termination shal l prejudice any other rights or remedies of City provided by law or equity or by the Contract Documents upon such termination; and City may proceed against Contractor to recover all liquidated damages and Losses suffered by City.

15.2 Delays by Sureties.

Time being of the essence in the performance of the Work, if Contractor’s surety fails to arrange for completion of the Work in accordance with the Performance Bond, within seven (7) calendar days from the date of the notice of termination, Contractor’s surety shall be deemed to have waived its right to complete the Work under the Contract, and City may immediately make arrangements for the completion of the Work through use of its own forces, by hiring a Item 5
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replacement contractor, or by any other means that City determines advisable under the circumstances. Contractor and its surety shall be jointly and severally liable for any additional cost incurred by City to complete the Work following termination. In addition, City shall have the right to use any materials, supplies, and equipment belonging to Contractor and located at the Worksite for the purposes of completing the remaining Work.

15.3 Damages to City.

15.3.1 For Contractor's Default. City will be entitled to recovery of all Losses under law or equity in the event of Contractor’s default under the Contract Documents.

15.3.2 Compensation for Losses . In the event that City's Losses arise from Contractor’s default under the Contract Documents, City shall be entitled to deduct the cost of such Losses from monies otherwise payable to Contractor. If the Losses incurred by City exceed the amount payable, C ontractor shall be liable to City for the difference and shall promptly remit same to City.

15.4 Suspension by City

15.4.1 Suspension for Convenience . City may, at any time and from time to time, without cause, order Contractor, in writing, to suspend, delay, or interrupt the Work in whole or in part for such period of time, up to an aggregate of fifty percent (50%) of the Contract Time. The order shall be specifically identified as a Suspension Order by City. Upon receipt of a Suspension Order, Contractor shall, at City’s expense, comply with the order and take all reasonable steps to minimize costs allocable to the Work covered by the Suspension Order. During the Suspension or extension of the Suspension, if any, City shall either cancel the Suspension Order or, by Change Order, delete the Work covered by the Suspension Order. If a Suspension Order is canceled or expires, Contractor shall resume and continue with the Work on a date mutually agreed to by the Parties. A Change Order will be issued to cover any adjustments of the Contract Sum or the Contract Time necessarily caused by such suspension. A Suspension Order shall not be the exclusive method for City to stop the Work.

15.4.2 Suspension for Cause. In addition to all other remedies available to City, if Contractor fails to perform or correct work in accordance with the Contract Documents, City may immediately order the Work, or any portion thereof, suspended until the cause for the suspension has bee n eliminated to City’s satisfaction.

Contractor shall not be entitled to an increase in Contract Time or Contract Price for a suspension occasioned by Contractor’s failure to comply with the Contract Documents. City’s right to suspend the Work shall not give rise to a duty to suspend the Work, and City’s failure to suspend the Work shall not constitute a defense to Contractor’s failure to comply with the requirements of the Contract Documents.

15.5 Termination Without Cause.

City may, at its sole discretion and without cause, terminate this Construction Contract in part or in whole upon written notice to Contractor. Upon receipt of such notice, Contractor shall, at City’s expense, comply with the notice and take all reasonable steps to minimize costs to close out and demobilize. The compensation allowed under this Paragraph 15.5 shall be the Contractor’s sole and exclusive compensation for such termination and Contractor waives any claim for other compensation or Losses, inclu ding, but not limited to, loss of anticipated profits, loss of revenue, lost opportunity, or other consequential, direct, indirect or incidental damages of any kind resulting from termination without cause.

Termination pursuant to this provision does not relieve Contractor or its sureties from any of their obligations for Losses arising from or related to the Work performed by Contractor.

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15.5.1 Compensation. Following such termination and within forty -five (45) Days after receipt of a billing from Contractor seeking payment of sums authorized by this Paragraph 15.5.1, City shall pay the following to Contractor as Contractor’s sole compensation for performance of the Work:

.1 For Work Performed. The amount of the Contract Sum allocable to the portion of the Work properly performed by Contractor as of the date of termination, less sums previously paid to Contractor.

.2 For Close-out Costs. Reasonable costs of Contractor and its Subcontractors:
(i) Demobilizing and
(ii) Administering the close -out of its participation in the Project (including, without limitation, all billing and accounting functions, not including attorney or expert fees) for a period of no longer than thirty (30) Days after receipt of the notice of ter mination.

.3 For Fabricated Items. Previously unpaid cost of any items delivered , manufactured, or procured to the Project Site which were fabricated for subsequent incorporation in the Work.

.4 Profit Allowance. An allowance for profit calculated as four percent (4%) of the sum of the above items, provided Contractor can prove a likelihood that it would have made a profit if the Construction Contract had not been terminated.

15.5.2 Subcontractors. Contractor shall include provisions in all of its subcontracts, purchase orders and other contracts permitting termination for convenience by Contractor on terms that are consistent with this Construction Contract and that afford no greater rights of recov ery against Contractor than are afforded to Contractor against City under this Section.

15.6 Contractor’s Duties Upon Termination.

Upon receipt of a notice of termination for default or for convenience, Contractor shall, unless the notice directs otherwise, do the following:
(i) Immediately discontinue the Work to the extent specified in the notice; (ii) Place no further orders or subcontracts for materials, equipment, services or facilities, except as may be necessary for completion of such portion of the Work that is not discontinued; (iii) Provide to City a description in writing, no later than fifteen (15) days after receipt of the notice of termination, of all subcontracts, purchase orders and contracts that are outstanding, including, without limitation, the terms of the original price, any changes, payments, balance owing, the status of the portion of the Work covered and a copy of the subcontract, purchase order or contract and any written changes, amendments or modifications thereto, together with such other information as City ma y determine necessary in order to decide whether to accept assignment of or request Contractor to terminate the subcontract, purchase order or contract;
(iv) Promptly assign to City those subcontracts, purchase orders or contracts, or portions thereof, that City elects to accept by assignment and cancel, on the most favorable terms reasonably possible, all subcontracts, purchase orders or contracts, or portion s thereof, that City does not elect to accept by assignment; and
(v) Thereafter do only such Work as may be necessary to preserve and protect Work already in progress and to protect materials, plants, and equipment on the Project Site or in transit thereto.

Upon termination, whether for cause or for convenience, the provisions of the Contract Documents remain in effect as to any Claim, indemnity obligation, warranties, guarantees, submittals of as -built drawings, instructions, or manuals, or other such rights and obligations arising prior to the termination date.

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SECTION 16 CONTRACTOR'S RIGHTS AND REMEDIES.

16.1 Contractor’s Remedies.

Contractor may terminate this Construction Contract only upon the occurrence of one of the following:

16.1.1 For Work Stoppage . The Work is stopped for sixty (60) consecutive Days, through no act or fault of Contractor, any Subcontractor, or any employee or agent of Contractor or any Subcontractor, due to issuance of an order of a court or other public authority other than City having jurisdiction or due to an act of government, such as a declaration of a national emergency making material unavailable. This provision shall not apply to any work stoppage resulting from the City’s issuance of a suspension notice issued either for cause or for convenience.

16.1.2 For City's Non-Payment. If City does not pay Contractor undisputed sums within ninety (90) Days after receipt of notice from Contractor, Contractor may terminate the Construction Contract (30) days following a second notice to City of Contractor’s intention to terminate the Const ruction Contract.

16.2 Damages to Contractor.

In the event of termination for cause by Contractor, City shall pay Contractor the sums provided for in Paragraph 15.5.1 above. Contractor agrees to accept such sums as its sole and exclusive compensation and agrees to waive any claim for other compensation or Losses, including, but not limited to, loss of anticipated profits, loss of revenue, lost opportunity, or other consequential, direct, indirect and incidental damages, of any kind.

SECTION 17 ACCOUNTING RECORDS.

17.1 Financial Management and City Access.

Contractor shall keep full and detailed accounts and exercise such controls as may be necessary for proper financial management under this Construction Contract in accordance with generally accepted accounting principles and practices. City and City's acco untants during normal business hours, may inspect, audit and copy Contractor's records, books, estimates, take -offs, cost reports, ledgers, schedules, correspondence, instructions, drawings, receipts, subcontracts, purchase orders, vouchers, memoranda and other data relating to this Project. Contractor shall retain these documents for a period of three (3) years after the later of (i) Final Payment or (ii) final resolution of all Contract Disputes and other disputes, or (iii) for such longer period as may b e required by law.

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17.2 Compliance with City Requests.

Contractor's compliance with any request by City pursuant to this Section 17 shall be a condition precedent to filing or maintenance of any legal action or proceeding by Contractor against City and to Contractor's right to receive further payments under th e Contract Documents. City many enforce Contractor’s obligation to provide access to City of its business and other records referred to in Section 17.1 for inspection or copying by issuance of a writ or a provisional or permanent mandatory injunction by a court of competent jurisdiction based on affidavits submitted to such court, without the necessity of oral testimony.

SECTION 18 INDEPENDENT PARTIES.

18.1 Status of parties.

Each party is acting in its independent capacity and not as agents, employees, partners, or joint venture rs of the other party. City, its officers or employees shall have no control over the conduct of Contractor or its respective agents, employees, subconsultants, or subcontractors, except as herein set forth.

SECTION 19 NUISANCE.

19.1 Nuisance Prohibited.

Contractor shall not maintain, commit, nor permit the maintenance or commission of any nuisance in connection in the performance of services under this Construction Contract.

SECTION 20 PERMITS AND LICENSES.

Except as otherwise provided in the Special Provisions and Technical Specifications, the Contractor shall provide, procure and pay for all licenses, permits, and fees, required by the City or other government jurisdictions or agencies necessary to carry out and complete the Work. Payment of all costs and expenses for such licenses, permits , and fees shall be included in one or more Bid items. No other compensation shall be paid to the Contractor for these items or for delays caused by non-City inspectors or conditions set forth in the licenses or permits issued by other agencies.

SECTION 21 WAIVER.

A waiver by either party of any breach of any term, covenant, or condition contained herein shall not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant, or condition contained herein, whether of the same or a different character.

SECTION 22 GOVERNING LAW AND VENUE; COMPLIANCE WITH LAWS.

22.1 Governing Law and Venue.

This Construction Contract shall be construed in accordance with and governed by the laws of the State of California, without regard to conflict of law provisions, and venue shall be in a court of competent jurisdiction in the County of Santa Clara, California and no other place.

22.2 Compliance with Laws.

Contractor shall comply with all applicable federal and California laws and city laws, including, without limitation, ordinances and resolutions, in the performance of work under this Construction Contract.

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

SECTION 23 COMPLETE AGREEMENT.

23.1 Integration.

This Agreement represents the entire and integrated agreement between the parties and supersedes all prior negotiations, representations, and contracts, either written or oral. This Agreement may be amended only by a written instrument, which is signed by the parties.

SECTION 24 SURVIVAL OF CONTRACT.

24.1 Survival of Provisions.

The provisions of the Construction Contract which by their nature survive termination or expiration of the Construction Contract or Final Completion, including, without limitation, all warranties, indemnities, payment obligations, and City’s right to audit Contractor’s books and records, shall remain in full force and effect after Final Completion or any termination or expiration of the Construction Contract.

SECTION 25 PREVAILING WAGES.

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

Or

This Project is subject to prevailing wages and related requirements as a “public works” under California Labor Code Sections 1720 et seq. and related regulations. Contractor is required to pay general prevailing wages as defined in California Labor Code Section 1773.1 and Subchapter 3, Title 8 of the California Code of Regulations Section 16000 et seq., as amended from time to time. Pursuant to Labor Code Sec tion 1773, the City has obtained the general prevailing rate of per diem wages and the general rate for holiday and overtime work in this locality for each craft, classification, or type of worker needed to execute the contract for this Project from the State of California Department of Industrial Relations (“DIR”). Copies of these rates may be obtained at the City’s Purchasing Department office. The general prevailing wage rates are also available at the DIR, Division of Labor Statistics and Research, website (see e.g. http://www.dir.ca.gov/DLSR/PWD/index.htm) as amended from time to time. Contractor shall post a copy of the general prevailing wage rates at all Project job sites and shall pay the adopted prevailing wage rates as a minimum. Contractor shall comply with all applicable provisions of Division 2, Part 7, Chapter 1 of the California Labor Code (Labor Code Section 1720 et seq.) , including, but not limited to, Sections 1720, 1725.5, 1771, 1771.1, 1771.4, 1773.2, 1774, 1775, 1776, 1777.5, 1782, 1810, 1813 and 1815, and all applicable implementing regulations, including but not limited to Subchapter 3, Title 8 of the California Code of Regulations Section 16000 et seq. (8 CCR Section 16000 et seq.), as amended from time to time.

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SECTION 26 NON-APPROPRIATION.

26.1 Appropriations.

This Agreement is subject to the fiscal provisions of the Charter of the City of Palo Alto and the Palo Alto Municipal Code.

This Agreement will terminate without any penalty (a) at the end of any fiscal year in the event that the City does not appropriate funds for the following fiscal year for this event, or (b) at any time within a fiscal year in the event that funds are only appropriated for a portion of the fiscal year and funds for this Construction Contract are no longer available.

This section shall take precedence in the event of a conflict with any other covenant, term, condition, or provision of this Agreement.

SECTION 27 AUTHORITY.

27.1 Representation of Parties.

The individuals executing this Agreement represent and warrant that they have the legal capacity and authority to do so on behalf of their respective legal entities.

SECTION 28 COUNTERPARTS

28.1 Multiple Counterparts.

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

SECTION 29 SEVERABILITY.

29.1 Severability.

In case a provision of this Construction Contract is held to be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall not be affected.

SECTION 30 STATUTORY AND REGULATORY REFERENCES.

30.1 Amendments to Laws.

With respect to any amendments to any statutes or regulations referenced in these Contract Documents, the reference is deemed to be the version in effect on the date that the Contract was awarded by City, as may be amended from time to time, unless otherwise required by law.

SECTION 31 WORKERS’ COMPENSATION CERTIFICATION.

31.1 Workers Compensation.

Contractor shall secure the payment of workers’ compensation to its employees as provided in Labor Code Sections 1860 and 3700.

Pursuant to Labor Code Section 1861, by signing this Contract, Contractor thereby certifies as follows:

“I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with suc h provisions before commencing the performance of the Work on this Contract.”
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SECTION 32 DIR REGISTRATION AND OTHER REQUIREMENTS.

32.1 General Notice to Contractor.

City requires Contractor and its Subcontractors to comply with all applicable requirements of the California Labor Code including but not limited to Labor Code Sections 1720 through 1861, and all applicable related regulations, including but not limited to Subchapter 3, Title 8 of the California Code of Regulations Se ction 16000 et seq., as amended from time to time. Additional information regarding public works and prevailing wage requirements is available on the DIR website (see e.g. http://www.dir.ca.gov) as amended from time to time.

32.2 Labor Code section 1771.1(a)

City provides notice to Contractor of the requirements of California Labor Code section 1771.1(a), which reads:

“A contractor or subcontractor shall not be qualified to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or engage in the performance of any contract for public work, as defined in this chapter, unless currently registered and qualified to perform public work pursuant to Section 1725.5. It is not a violation of this section for an unregistered contractor to submit a bid that is authorized by Section 7029.1 of the Business and Professions Code or Section 10164 or 20103.5 of the Public Contract Code, provided the contactor is registered to perform public work pursuant to Section 1725.5 at the time the contract is awarded.”

32.3 DIR Registration Required.

City will not accept a bid proposal from or enter into this Construction Contract with Contractor without proof that Contractor and its Subcontractors are registered with the California Department of Industrial Relations (“DIR”) to perform public work, subject to limited exceptions.

32.4 Posting of Job Site Notices; Compliance Monitoring.

City gives notice to Contractor and its Subcontractors that Contractor is required to post all job site notices prescribed by law or regulation and Contractor is subject to compliance monitoring and enforcement by DIR.

32.5 Payroll Records.

Contractor shall furnish certified payroll records directly to the Labor Commissioner (DIR) in accordance with Subchapter 3, Title 8 of the California Code of Regulations Section 16461 (8 CCR Section 16461).

City requires Contractor and its Subcontractors to comply with the requirements of Labor Code section 1776, including but not limited to:

32.5.1 Keep accurate payroll records, showing the name, address, social security number, work classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice, worker, or other employee e mployed by, respectively, Contractor and its Subcontractors, in connection with the Project.

32.5.2 The payroll records shall be verified as true and correct and shall be certified and made available for inspection at all reasonable hours at the principal office of Contractor and its Subcontractors, respectively.

32.5.3 At the request of City, acting by its Project Manager, Contractor and its Subcontractors shall make the certified payroll records available for inspection or furnished upon request to the City’s Project Manager within ten (10) days of receipt of City’s request.

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City requests Contractor and its Subcontractors to submit the certified payroll records to the City’s Project Manager at the end of each week during the Project.

32.5.4 If the certified payroll records are not provided as required within the 10-day period, then Contractor and its Subcontractors shall be subject to a penalty of one hundred dollars ($100.00) per calendar day, or portion thereof, for each worker, and City shall withhold the sum total of penalties from the progress payment(s) then due and payable to Contractor. This provision supplements the provisions of Section 15 hereof.

32.5.5 Inform the City’s Project Manager of the location of Contractor’s and its Subcontractors’ payroll records (street address, city and county) at the commencement of the Project, and also provide notice to the City’s Project Manager within five (5) business days of any change of location of those payroll records.

32.6 Employment of Apprentices.

Contractor shall comply with the statutory requirements regarding employment of apprentices including without limitation Labor Code Section 1777.5. The statutory provisions will be enforced for penalties for failure to pay prevailing wages and for failure to comply with wage and hour laws.

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Rev. June 24, 2025 22 PART 4 – CONSTRUCTION CONTRACT

IN WITNESS WHEREOF, the parties have caused this Construction Contract to be executed the date and year first above written.

CITY OF PALO ALTO

____________________________
City Manager

APPROVED AS TO FORM:

____________________________
City Attorney or designee

APPROVED:

____________________________
Community Services Director

FIELDTURF USA, INC.

Officer 1

By:___________________________

Name:________________________

Title:__________________________

Officer 2

By:____________________________

Name:_________________________

Title:__________________________

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Invitation for Bids (IFB) Package 23 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

CITY OF PALO ALTO

GENERAL CONDITIONS

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GENERAL CONDITIONS

TABLE OF CONTENTS

ARTICLE 1 – PRELIMINARY PROVISIONS 26

1.1 DEFINITIONS .................................................................................................................................... 26

1.2 OWNERSHIP AND USE OF DOCUMENTS ......................................................................................... 32

1.3 INTERPRETATION OF CONTRACT DOCUMENTS .............................................................................. 32 ARTICLE 2 – CITY’S RIGHTS AND OBLIGATIONS 34

2.1 INFORMATION AND SERVICES PROVIDED BY CITY .......................................................................... 34

2.2 ACCESS TO PROJECT SITE ................................................................................................................ 35

2.3 CITY'S RIGHT TO STOP THE WORK ................................................................................................... 35

2.4 CITY’S RIGHT TO CARRY OUT THE WORK ........................................................................................ 35

2.5 ACCESS TO MUNICIPAL SERVICE CENTER ........................................................................................ 35

2.6 EMERGENCY TERMINATION OF CONTRACT .................................................................................... 35 ARTICLE 3 – CONTRACTOR’S RIGHTS AND OBLIGATIONS 36

3.1 REVIEW OF THE SITE, CONTRACT DOCUMENTS AND FIELD CONDITIONS ...................................... 36

3.2 SUPERVISION AND CONSTRUCTION PROCEDURES ......................................................................... 37

3.3 RESPONSIBILITY FOR THE WORK ..................................................................................................... 37

3.4 LABOR, WORKMANSHIP, MATERIALS AND MANUFACTURED ITEMS ............................................. 38

3.5 CONTRACTOR'S WARRANTY ............................................................................................................ 38

3.6 CONSTRUCTION METHODS AND PROCEDURES .............................................................................. 38

3.7 TAXES .......................................................................................................................................... …..39

3.8 LEGAL REQUIREMENTS .................................................................................................................... 39

3.9 PROJECT STAFF ................................................................................................................................ 39

3.10 SCHEDULES REQUIRED OF CONTRACTOR ....................................................................................... 40

3.11 DOCUMENTS AND SAMPLES AT PROJECT SITE ............................................................................... 42

3.12 SUBMITTALS .................................................................................................................................... 43

3.13 TRADE NAMES, SUBSTITUTIONS ..................................................................................................... 44

3.14 DAILY REPORTS BY CONTRACTOR ................................................................................................... 45

3.15 CUTTING AND PATCHING ................................................................................................................ 45

3.16 ACCESS TO THE WORK..................................................................................................................... 46

3.17 ROYALTIES AND PATENTS ................................................................................................................ 46

3.18 PERMITS AND LICENSES .................................................................................................................. 46 Item 5
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3.19 DIFFERING SITE CONDITIONS .......................................................................................................... 46

3.20 INSPECTIONS ................................................................................................................................... 47

3.21 STOP NOTICES ................................................................................................................................. 48

3.22 PARKING .......................................................................................................................................... 48

3.23 USE OF THE PROJECT SITE AND CLEAN UP ...................................................................................... 48

3.24 ENVIRONMENTAL CONTROLS ......................................................................................................... 49

3.25 TEMPORARY WATER, LIGHT AND POWER ...................................................................................... 55

3.26 CITY TRUCK ROUTE ORDINANCE ..................................................................................................... 55

3.27 UNFAIR BUSINESS PRACTICE CLAIMS .............................................................................................. 55

3.28 EXISTING UTILITIES .......................................................................................................................... 55 ARTICLE 4 – ADMINISTRATION OF THECONTRACT……………………………………………………………………………56

4.1 CONTRACT ADMINISTRATION BY CITY, DESIGN CONSULTANT AND CONSTRUCTION MANAGER ………………………………………....................................................56

4.2 CLAIMS……………………………………………………………………………………………………………………...57

4.3 RESOLUTION OF CONTRACT DISPUTES…………………………………………………………………………….61 ARTICLE 5 – SUBCONTRACTORS……………………………………………………………………………………………………………………...64

5.1 CONTRACTOR'S AWARD OF SUBCONTRACTS ..................................................................... .64

5.2 SUBCONTRACTOR RELATIONS ............................................................................................. 64

5.3 CONTINGENT ASSIGNMENT OF SUBCONTRACTS ................................................................ 66

5.4 CONTRACTOR AND SUBCONTRACTOR RESPONSIBILITY…………………………………………………………..66 ARTICLE 6 – CONSTRUCTION BY CITY OR BY SEPARATE CONTRACTORS………………………………………………………...66

6.1 CITY'S RIGHT TO PERFORM CONSTRUCTION AND TO AWARD SEPARATE CONTRACTS…………..66

6.2 MUTUAL RESPONSIBILITY ................................................................................................................. 67

6.3 CITY’S RIGHT TO CLEAN UP ............................................................................................................... 67 ARTICLE 7 – CHANGES…………………………………………………………………………………………………………………………………….67

7.1 CHANGES ........................................................................................................................................... 67

7.2 CHANGE ORDER REQUESTS AND CHANGE ORDERS ......................................................................... 69

7.3 FIELD ORDERS ................................................................................................................................... 73

7.4 DISPUTES REGARDING CHANGES .................................................................................................... 74 ARTICLE 8 – CONTRACT TIME …………………………………………………………………………………………………………………………74

8.1 COMMENCEMENT OF THE WORK ................................................................................................... 74

8.2 PROGRESS AND COMPLETION ........................................................................................................ 74

8.3 CONSTRUCTION HOURS .................................................................................................................. 75 Item 5
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8.4 HOLIDAYS ........................................................................................................................................ 75

8.5 DELAY .............................................................................................................................................. 76 ARTICLE 9 – PAYMENTS AND COMPLETION………………………………………………………………………………………………..78

9.1 SCHEDULE OF VALUES ..................................................................................................................... 78

9.2 PROGRESS PAYMENT ....................................................................................................................... 78

9.3 APPLICATION FOR PAYMENT .......................................................................................................... 79

9.4 CERTIFICATE FOR PAYMENT ............................................................................................................ 80

9.5 Reserved. ........................................................................................................................................ 81

9.6 BENEFICIAL OCCUPANCY ................................................................................................................. 82

9.7 SUBSTANTIAL COMPLETION ............................................................................................................ 83

9.8 FINAL COMPLETION AND FINAL RETENTION .................................................................................. 83 ARTICLE 10 – PROTECTION OF PERSONS AND PROPERTY………………………………………………………………………………85

10.1 SAFETY PRECAUTIONS AND PROGRAMS ......................................................................................... 85

10.2 SAFETY OF PERSONS AND PROPERTY .............................................................................................. 85

10.3 EMERGENCIES ................................................................................................................................. 87

10.4 TRENCH SAFETY ............................................................................................................................... 87 ARTICLE 11 – INSURANCE AND BONDS …………………………………………………………………………………………………………87

11.1 CONTRACTOR'S INSURANCE ........................................................................................................... 87

11.2 BOND REQUIREMENTS .................................................................................................................... 89 ARTICLE 12 – DEFECTIVE WORK……………………………………………………………………………………………………………………90

12.1 UNCOVERING OF WORK ......................................................................................................... 90

12.2 CORRECTION OF DEFECTIVE WORK AND GUARANTEE TO REPAIR PERIOD ........................... 90

12.3 ACCEPTANCE OF DEFECTIVE WORK ........................................................................................ 92 ARTICLE 13 – STATUTORY REQUIREMENT………………………………………………………………………………………………………92

13.1 STATE LABOR LAW .................................................................................................................. 92

13.2 WORKDAY ............................................................................................................................... 92 ARTICLE 14 – JOB SITE NOTICES AND COMPLIANCE MONITORING ………………………………………………………………93

14.1 LABOR PROVISIONS ......................................................................................................................... 93

ATTACHMENTS:

A: FIELD ORDER
B: CHANGE ORDER REQUEST
C: CONTRACT CHANGE ORDER
D. REQUEST FOR INFORMATION (for Utilities Department projects only; RFI form provided by City’s Project Manager if required)
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Invitation for Bids (IFB) Package 27 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

ARTICLE 1 – PRELIMINARY PROVISIONS

1.1 DEFINITIONS

Terms appearing in the Contract Documents with initial capitalization shall have the meanings set forth below:

1.1.1 ACCEPTANCE: The point after Final Completion when Contractor has fully performed all of the requirements of the Contract Documents and the Work is accepted by City in writing.

1.1.2 ADDENDA, ADDENDUM: Written or graphic information (including, without limitation, Drawings or Special Provisions and Technical Specifications) prepared and issued by City Engineer prior to the deadline for submission of Bids, which modify or interpret th e Contract Documents by additions, deletions, clarifications or corrections

1.1.3 ALLOWABLE COSTS: Actual and direct costs for performing Extra Work, including labor, materials, supplies, and equipment, as further specified herein, in Article 7 – Changes.

1.1.4 ALLOWANCE: An amount included in the Bid for Work that may or may not be included in the Project, or for portions of Work where the amount or scope of the Work cannot be ascertained at the time of Bid submissions.

1.1.4 ALTERNATE(S): Those portions of the Bid setting forth the price(s) for optional or alternative items of Work not covered by the Base Bid.

1.1.5 APPLICABLE CODE REQUIREMENTS: All applicable federal, state and municipal laws, statutes, building codes, ordinances and regulations of governmental authorities having jurisdiction over the Project, Work, Site, Contractor or City.

1.1.6 APPLICATION FOR PAYMENT: An itemized application for payment prepared and submitted by Contractor for review and approval by City, which is prepared, submitted and accompanied by supporting documentation in accordance with the requirements of the Contrac t Documents.

1.1.7 APPROVE, APPROVED or APPROVAL: Whether capitalized or not capitalized, shall mean, unless otherwise stated, either an express approval contained in a written statement signed by the approving authorized individual or deemed approved in accordance with th e terms, conditions and procedures set forth in the Contract Documents. All such approvals by or on behalf of City (including, without limitation, approvals by Construction Manager) may be granted or withheld in the sole discretion of City.

1.1.8 AS-BUILT DOCUMENTS: The Contract Documents showing the condition of the Work as actually built, including, without limitation, the locations of mechanical, electrical, plumbing, HVAC or similar portions of the Work that are shown diagrammatically in the Contract Documents approved by City.

These documents are maintained by Contractor on the Site and delivered, along with an electronic version of the set, to City upon Final Completion.

1.1.9 BASE BID: The sum stated in the Bid to perform the Work, exclusive of any Alternate(s).

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1.1.10 BENEFICIAL OCCUPANCY: City's right, at its option and convenience, to occupy or otherwise make use of all or any part of the Work prior to either Substantial Completion, Final Completion, or Acceptance.

1.1.11 BID: A written bid proposal submitted to City for the Project in response to City’s Invitation for Bids.

1.1.12 BIDDER: An individual or entity that submits a Bid.

1.1.13 CERTIFICATE FOR PAYMENT: The form for approval by the Construction Manager of Contractor's Application for Payment.

1.1.14 CHANGE: Additions, deletions, or other modifications to the Work, which may or may not involve Extra Work and which may or may not involve an adjustment (increase or decrease) to the Contract Sum or the Contract Time under the terms of the Contract Documents.

1.1.15 CHANGE ORDER: A duly authorized written instrument signed by City, or by City and Contractor, which operates to amend the scope of Work, and which may also amend the Contract Sum or the Contract Time.

1.1.16 CHANGE ORDER REQUEST: Contractor's written request for a Change Order.

1.1.17 CITY: City of Palo Alto, a California chartered Municipal Corporation.

1.1.18 CITY ENGINEER: City Engineer of City of Palo Alto or its designee.

1.1.19 CLAIM: A separate demand by Contractor, submitted in writing by registered or certified mail with return receipt requested, for change in the Contract Time, including a time extension or relief from liquidated damages, or a change in the Contract Price, which has previously been submitted to City in accordance with the requirements of the Contract Documents, and which has been rejected or disputed by City, in whole or in part.

1.1.20 CLIENT DEPARTMENT: Department or Division of City of Palo Alto identified as the end user of the facilities.

1.1.21 CONSTRUCTION CONTRACT or CONTRACT: The written contract executed between City and Contractor for construction of the Project.

1.1.22 COMPENSABLE DELAY: A Delay for which Contractor may be entitled under the Contract Documents to both an extension of the Contract Time and an adjustment of the Contract Sum for additional compensation.

1.1.23 CONSTRUCTION MANAGER: The City designated employee, project manager or an individual, partnership, corporation, joint venture or other legal entity under contract with City to perform construction management services for the Project. The term "Construction Manager" means Construction Manager or Construction Manager's authorized representative.

1.1.24 CONSTRUCTION SCHEDULE: The Approved graphical representation of Contractor’s as - planned schedule for performance of the Work, and all Approved updates thereto, prepared in accordance with the requirements of the Contract Documents and that provides for Final Completion of the Work within the Contract Time.

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1.1.25 CONTRACT DISPUTE: A dispute arising out of or related to the Construction Contract or the interpretation, enforcement or breach thereof, except as specified in Article 4 herein.

1.1.26 CONTRACT DISPUTE RESOLUTION PROCESS: The process of resolution of Contract Disputes, and, upon election of City, disputes as set forth in Article 4 of these General Conditions.

1.1.27 CONTRACT DOCUMENTS: This term shall be as defined in Section 3 of the Construction Contract.

1.1.28 CONTRACT SUM: The total amount of compensation stated in the Construction Contract that is payable to Contractor for the performance of the Work in accordance with the Contract Documents, including adjustments made by Change Order.

1.1.29 CONTRACT TIME: The total number of days set forth in the Construction Contract within which Final Completion of the Work must be achieved by Contractor, including any adjustments of time (increases or decreases) made by Change Order.

1.1.30 CONTRACTOR: The individual or firm under contract with City to serve as the General Contractor for construction of the Project, including Contractor's authorized representative.

1.1.31 CONTRACTOR MARKUP: The markup that the Contractor or Subcontractor may make on Extra Work that it performs with its own forces. A fixed sum calculated as ten percent (10%) of applicable Allowable Costs incurred by Contractor or Subcontractor for performing Extra Work with its own forces, which is deemed to be full compensation for Contractor’s or Subcontractor’s indirect costs associated with Extra Work, including, overhead, profit, and other indirect costs not included in the Allowable Costs.

Contractor Markup is separate from and does not include Subcontractor Markup as defined herein.

1.1.32 DAY: Whether capitalized or not, unless otherwise specifically provided, means calendar day, including weekends and legal holidays.

1.1.33 DEFECTIVE WORK: Work by Contractor that is unsatisfactory, faulty, omitted, incomplete, deficient or does not conform to the Applicable Code Requirements, the Contract Documents, the directives of City or the requirements of any inspection, reference standard, test, code or approval specifi ed in the Contract Documents.

1.1.34 DELAY: Whether capitalized or not, includes any circumstances involving disruption, hindrance, or interference in the performance of the Work within the Contract Time.

1.1.35 DELETED WORK: Work that is eliminated due to a Change in the Work requested by City or Contractor for which City is entitled to a deductive adjustment in the Contract Sum.

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1.1.36 DESIGN CONSULTANT: The individual(s) or firm(s) under contract with City to provide design or engineering services for the Project and responsible for preparing the Contract Documents for the Project. The term "Design Consultant" means Design Consultant or Design Consultant's authorized representative.

1.1.37 DRAWINGS: The graphic and pictorial portions of the Contract Documents showing the design, location, and dimensions of the Work, generally including plans, elevations, subparagraphs, details, schedules and diagrams. The Drawings are outlined in the Draw ing Index. The term “Drawings” may be used interchangeably with "Plans."

1.1.38 ESCROW AGENT: A state or federally chartered bank in the State of California which holds securities pursuant to an escrow agreement as set forth in Section 9.5 of these General Conditions.

1.1.39 EXCUSABLE DELAY: A Delay for which Contractor may be entitled under the Contract Documents to an extension of time, but not compensation.

1.1.40 EXISTING IMPROVEMENTS: All improvements located on the Site as of the date of execution of the Construction Contract, whether above or below the surface of the ground, including but not limited to existing buildings, utilities, infrastructure improvements and other facilities.

1.1.41 EXTRA WORK: Additional Work or costs due to a Change in the Work that is not described in or reasonably inferable from the Contract Documents which may be the basis for an adjustment of the Contract Sum and/or the Contract Price under the terms of the Co ntract Documents. Extra Work shall not include additional Work or costs arising from Contractor’s failure to perform any of its duties or obligations under the Contract Documents.

1.1.42 FIELD ORDER: A written instrument signed by the City or its Construction Manager that authorizes and directs performance of the Work described therein, and which may or may not include adjustments (increase or decrease) to the Contract Sum and/or Contrac t Time.

1.1.43 FINAL COMPLETION: Full completion of all Work required by the Contract Documents, including all punch list items, and submission of Record Documents, all to City’s satisfaction.

1.1.44 FINAL PAYMENT: Final payment of the Contract Sum following Final Completion, including release of undisputed retention, less any amounts withheld or offset pursuant to the Contract Documents, including, but not limited to, liquidated damages, unreleased stop notices, amounts subject to setoff, and up to 150% of unresolved third -party claims for which Contractor is required to indemnify City, and up to 150% of any amounts in dispute as authorized by Public Contract Code Section 7107.

1.1.45 FRAGNET: A “Fragnet”, sometimes referred to as “time impact analysis,” is a contemporaneous, fragmentary scheduling network, which graphically identifies the sequencing of all critical and non -critical new activities and/or activity revisions affected by a Change O rder or Delay, with logic ties to all affected existing activities noted on the Construction Schedule. Its objective is to isolate and quantify any time impact of a specific issue, determine and demonstrate any such specific Delay in relation to past and/or other current Delays and to provide a method for incorporating adjustments to the Contract Time into the Construction Schedule.

1.1.46 GENERAL CONDITIONS: That portion of the Contract Documents relating to the administrative procedures to be followed by Contractor in carrying out the Work.

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1.1.47 HAZARDOUS SUBSTANCES: Refers to, without limitation, the following: any chemical, material or other substance defined as or included within the definition of hazardous substances, hazardous materials, hazardous wastes, extremely hazardous substances, to xic substances, toxic material, restricted hazardous waste, special waste, universal wastes or words of similar import under any Environmental Law.

1.1.48 LOSSES: Any and all losses, costs, liabilities, Claims, damages, liquidated damages, actions, judgments, settlements, expenses, fines and penalties. "Losses" do not include attorneys' fees.

1.1.49 NOTICE OF AWARD: Written notice issued by City notifying Contractor of issuance of the Construction Contract.

1.1.50 NOTICE TO PROCEED: Written notice issued by City to Contractor to begin the Work. The Notice to Proceed may also specify the date for the Pre -Construction Meeting or the date(s) for specified pre-construction submittals.

1.1.51 PERFORMANCE BOND, PAYMENT BOND: The performance and payment bonds to be provided by Contractor for the Project.

1.1.52 PLANS: The graphic and pictorial portions of the Contract Documents showing the design, location and dimensions of the Work, generally including plans, elevations, subparagraphs, details, schedules and diagrams. The term “Plans” may be used interchangeably with "Drawings."

1.1.53 PRE-CONSTRUCTION MEETING: A meeting held with the Project Team prior to beginning construction in order to review Contract Documents and any required pre -construction submittals and clarify roles, responsibilities and authority of the Project Team.

1.1.54 PROJECT: The total construction, of which the Work performed by Contractor under the Contract Documents may be the whole or part and which may include Work performed by City’s own forces or by Separate Contractors.

1.1.55 PROJECT TEAM: Collectively, the Contractor, City, Design Consultant, Separate Contractors, Construction Manager and other consultants and contractors providing professional and technical consultation for the design and construction of the Project.

1.1.56 RECORD DOCUMENTS: The term “Record Documents” refers to the As -Built Documents, warranties, guarantees and other documents required to be submitted by Contractor as a condition of Final Completion.

1.1.57 REQUEST FOR INFORMATION: A written instrument, prepared by Contractor, which requests an interpretation or clarification in the Work or a response to a question concerning the Work. A Request for Information does not entitle Contractor to an adjustment in the Contract Sum unless it requires Extra Work and Contractor requests and is entitled to such an adjustment in accordance with the provisions of the Contract Documents.

1.1.58 REQUEST FOR INFORMATION RESPONSE: A written instrument, usually prepared by the Design Consultant, provided in response to a Request for Information, setting forth an interpretation or clarification in the Work or a response to a Contractor question concerning the Work.

1.1.59 SCHEDULE OF VALUES: A detailed, itemized breakdown of the Contract Sum, which provides for a fair and reasonable allocation of the dollar values to each of the various parts of the Work.

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FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 32 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

1.1.60 SEPARATE CONTRACTOR: A person or firm under separate contract with City or other entity performing other Work at the Site.

1.1.61 SITE: The physical site located within City where the Project is to be constructed, including all adjacent areas for staging, storage, parking and temporary offices.

1.1.62 SPECIAL PROVISIONS AND TECHNICAL SPECIFICATIONS: The portions of the Contract Documents consisting of the written requirements for materials, equipment, standards, skill, quality for the Work and performance of related services. These provisions may also contain amendments, deletions or additions to the General Conditions.

1.1.63 STATEMENT OF CONTRACT DISPUTE: The Contractor’s written statement prepared in accordance with Article 4 of these General Conditions required as a condition of its initiating the Contract Dispute Resolution Process set forth in the Construction Contract.

1.1.64 SUBCONTRACTOR: A person or firm that has a contract with a Contractor to perform a portion of the Work. The term "Subcontractor" includes suppliers and vendors and is referred to throughout the Contract Documents as if singular in number and means a Subc ontractor or an authorized representative of the Subcontractor. “Subcontractor” includes Subcontractors of any tier.

1.1.65 SUBCONTRACTOR MARKUP: The markup the Contractor may make on Extra Work performed by a Subcontractor. A fixed sum calculated as fifteen percent (15%) of the Subcontractor’s Allowable Costs incurred by Subcontractor for performing Extra Work, which is deemed to be full compensation for Contractor’s indirect costs for having the Extra Work performed by the S ubcontractor, including, overhead, profit, and other indirect costs not included in Allowable Costs. Subcontractor Markup is made on the Subcontractor’s incurred Allowable Costs only, which is separate from and does not include Contractor Markup, as defined herein, made by the Subcontractor.

1.1.66 SUBMITTALS: All shop drawings, samples, exemplars, product data and other submittals required to be submitted by Contractor under the Contract Documents.

1.1.67 SUBSTANTIAL COMPLETION, SUBSTANTIALLY COMPLETE: As determined by City, the point at which the Work is sufficiently complete to be occupied and utilized by City for its intended purpose, and Contractor has fulfilled its obligations under the Contract Documents, except for minor punchlist items which do not impair City's ability to so occupy and utilize the Project.

1.1.68 SUPERINTENDENT: The person appointed by Contractor, subject to approval by City, to supervise and coordinate Contractor's own forces and Subcontractors in all aspects of the Work.

1.1.69 UNEXCUSED DELAY: Any Delay in the path of activities that is critical to Final Completion of the Work within the Contract Time and which Delay is not attributable to the City. An Unexcused Delay shall not entitle Contractor to either an extension of the Contract Time or an adjustment of the Contract Sum. To the extent an Unexcused Delay is concurrent with an Excused Delay, the Excusable Delay shall be conclusively deemed an Unexcused Delay.

1.1.70 WEATHER DELAY DAY: A day for which Work is scheduled as allowed by Sections 8.3 and

8.4, below, during which Contractor and its forces, including Subcontractors, are unable to safely or effectively perform at least four hours of scheduled critical path Wo rk based on actual (not forecast) weather or weather-related conditions that day during normal construction hours, as specified in Section

8.3. .

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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 33 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

1.1.71 WORK: All labor, materials, equipment, services, permits, fees, licenses and taxes, and all other things necessary for Contractor to perform its obligations and complete the Project, including, without limitation, any changes or additions requested by City, in accordance with the Contract Documents and all Applicable Code Requirements.

1.1.72 WORKING DAY: As applied to a Project awarded on the basis of completion within a specified number of working days, and only if specified in Section 5 of the IFB Summary and Section 6.3 of the Construction Contract, a working day, whether or not capitalize d, means a day during which the Work may be performed under the terms of the Contract Documents, including, but not limited to the provisions of Sections 8.3 and 8.4, below, but excluding Weather Delay Days.

1.2 OWNERSHIP AND USE OF DOCUMENTS

1.2.1 All originals, copies and electronic forms of Plans and Drawings, Technical Specifications, (including, without limitation, the Contract Documents) shall not be used by Contractor, or any Subcontractor, for any purpose other than performance of the Work. Contractor and Subcontractors are granted a limited license, revocable at will by City, to use and reproduce applicable portions of the Contract Documents appropriate to and for performing the Work under the Contract Documents; provided however, that such use shall not reduce Owner’s rights to use and ownership of the documents.

1.2.2 Contractor shall keep on the Site of the Project, at all times, a complete set of City approved, permitted Contract Documents for use by City.

1.2.3 Proposed Changes or refinements and clarifications will be provided to Contractor in the form of reproducible prints. Contractor shall, at its own expense and without adjustment to the Contract Sum, reproduce and distribute such prints as are necessary fo r the complete pricing of the Change and for performance of the Work.

1.2.4 Contractor shall include a provision in all contracts with Subcontractors who perform Work on the Project, protecting and preserving City’s rights to ownership and use of documents as set forth in this Section 1.2.

1.3 INTERPRETATION OF CONTRACT DOCUMENTS

1.3.1 The Contract Documents are complementary and what is required by one shall be as binding as if required by all.

1.3.2 In general, the Drawings will show dimensions, positions, and type of construction to be completed; and the Special Provisions and Technical Specifications will define materials, quality and standards. Any Work called for on the Drawings and not mentioned in the Special Provisions and Technical Specifications, or vice versa, shall be performed as though fully set forth in both. Work not particularly detailed, marked or specified, shall be the same as similar parts that are detailed, marked or specifi ed.

1.3.3 Unless otherwise stated in the Contract Documents, technical words and abbreviations contained in the Contract Documents are used in accordance with commonly understood construction industry meanings and non-technical words and abbreviations are used in accordance with their commonly understood meanings.

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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 34 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

1.3.4 The Contract Documents may omit modifying words such as "all" and "any," and articles such as "the" and "an." If a modifier or an article is not included in one statement and appears in another it is not intended to affect the interpretation of either st atement. The use of the word "including," when following any general statement, shall not be construed to limit such statement to specific items or matters set forth immediately following such word or to similar items or matters whether or not non -limiting language (such as "without limitation," "but not limited to," or words of similar import) is used with reference thereto, but rather shall be deemed to refer to all other items or matters that could reasonably fall within the broadest possible scope of such general statement.

1.3.5 Whenever the context so requires, the use of the singular number shall be deemed to include the plural and vice versa. Each gender shall be deemed to include the other gender, and each shall include corporation, partnership, trust, or other legal entity whenever the context so requires. The captions and headings of the various subdivisions of the Contract Documents are intended only as a matter of reference and convenience and in no way define, limit, or prescribe the scope or intent of the Contrac t Documents or any subdivision thereof.

1.3.6 Any cross -references indicated between various subparagraphs or Drawings and Documents are provided for the Contractor’s convenience and shall not be all -inclusive.

1.3.7 Unless specifically noted to the contrary, all Work, equipment, casework, mechanical, electrical and similar devices of whatever nature in the Contract Documents shall be completely installed, hooked-up, made operational and made functional for the purpos e such are intended, and all costs therefore are included in the Contract Sum.

1.3.8 Figured dimensions on scale Drawings and on full size Drawings shall govern over scale Drawings without figured dimensions. The Drawings shall not be scaled to determine dimensions, and (except in the case of diagrammatic Drawings) shall be calculated fro m figures shown on the Drawings.

Obvious discrepancies between scale and figured dimensions, unless marked "not to scale," must be brought to the Construction Manager's attention before proceeding with the Work affected by the discrepancy.

1.3.9 If there is a conflict between any of the Contract Documents, Contractor shall immediately bring such conflict to the attention of City, whose decisions regarding such conflict shall be final and binding as to the requirements of the Contract Documents. In the event of any conflicts between or among the Applicable Code Requirements, the more stringent shall govern. In the event a conflict between any of the Contract Documents is not resolved by the order of precedence established in the Contract Documents, the highest standard of quality and skill, the most stringent requirements, and the most specific provision of the Contract Documents shall govern and shall be required in the performance of the Work.

1.3.10 The general character of the Work is shown in the Contract Documents, but Changes, modifications, clarifications and refinements may be made in details when needed to more fully explain the Work. Provided that they are a logical evolution of the Contract Documents that were bid by Contractor or were reasonably inferable as necessary to provide a completed and fully operational system, facility or structure, the same shall be considered part of the scope of the Work to be performed without adjustment in the Contract Sum or the Contract Time.

1.3.11 Where on any Drawing a portion of the Work is drawn out and the remainder is indicated in outline, the drawn-out parts shall apply also to all other like portions of the Work.

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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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39 Packet Pg. 241 of 613

Invitation for Bids (IFB) Package 35 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

1.3.12 Contractor will provide all necessary labor, equipment, transportation and incidentals required to complete the Work, even if the Contract Documents do not describe the Work in complete detail.

1.3.13 Drawings and diagrams for mechanical, plumbing and electrical Work shall be considered as diagrammatic only and shall not to be used for any structural guidance or physical layout, unless specifically detailed or dimensioned, and Contractor shall be respo nsible to provide any and all numbers and lengths of mechanical, plumbing or electrical fittings, wire, conduit, connections, attachments or similar materials needed to complete the Work, at no adjustment to the Contract Sum or Contract Time, whethe r or not they exceed the numbers of such pieces or the lengths indicated by the Drawings.

1.3.14 City, in its sole discretion, will interpret the Contract Documents and make the determination of whether or not Contractor has fulfilled the requirements of the Contract Documents. Such interpretations and decisions of City shall be final and binding upo n Contractor.

ARTICLE 2 –CITY’S RIGHTS AND OBLIGATIONS

2.1 INFORMATION AND SERVICES PROVIDED BY CITY

2.1.1 Except as otherwise provided in the Special Provisions and Technical Specifications, Contractor shall obtain and pay for any permits, easements and governmental approvals, including City building and related permits, for the use or occupancy of permanent structures required in connection with the Work.

2.1.2 If Contractor becomes aware of any ambiguity, uncertainty, conflict, inconsistency, discrepancy, omission, or error in or among the Contract Documents, Contractor must promptly submit a Request for Information (“RFI”) requesting clarification, interpretati on, or direction. A Contractor RFI will be considered excessive or unnecessary if City determines that the explanation or response to the RFI is clearly and unambiguously discernable from the Contract Documents. City’s costs to review and respond to excessive or unnecessary RFIs may be deducted from payments otherwise due to Contractor.

2.1.3 A Request for Information Response providing clarification, interpretation or direction will be final and binding on Contractor. If Contractor proceeds with the related Work before obtaining City’s Request for Information Response, Contractor will be responsible for any resulting costs, including the cost of correcting any incorrect or defective Work that results. Timely submission of a clear and complete RFI is essential to avoiding delay. Delay resulting from Contractor’s failure to submit a timely and complete RFI is not Excusable Delay. If Contractor believes that City’s response to an RFI justifies a change to the Contract Sum or Contract Time, Contractor must perform the Work as directed, but may submit a timely Change Order request in accordance with the Contract Documents.

2.1.4 Unless otherwise specified in the Contract Documents, including the Notice to Proceed, Contractor must submit all required pre -construction submittals to City for review and acceptance no later than ten days following the Execution Date set forth in the f irst paragraph of the Construction Contract. City will schedule a mandatory Pre-Construction Meeting, which is a condition precedent to commencement of on the Project. Contractor’s primary representative and Superintendent must attend the Pre -Construction Meeting. Additional supervisory personnel and representatives of key Subcontractors may also attend the Pre-Construction Meeting, which is intended to address matters including the scope of Work, sequencing, and Project requirements. Contractor is sol ely responsible for any delay to Project commencement due to Contractor’s failure to timely or properly submit any required pre -construction submittals as specified in the Contract Documents, including the Notice to Proceed.

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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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40 Packet Pg. 242 of 613

Invitation for Bids (IFB) Package 36 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

2.2 ACCESS TO PROJECT SITE

City will make available, no later than the commencement date designated in the current construction Schedule accepted by City, the lands and facilities upon which the Work is to be performed, including such access and other lands and facilities designated in the Contract Documents, for use by Contractor.

2.3 CITY'S RIGHT TO STOP THE WORK

If Contractor fails to correct Defective Work as required by Section 12.2 of these General Conditions, fails to perform the Work in accordance with the Contract Documents, or violates any Applicable Code Requirement, City may, without terminating the Contr act, direct Contractor to stop the Work, or any portion thereof, until the cause for such order has been eliminated by Contractor. Contractor shall not be entitled to any adjustment of Contract Time or Contract Sum as a result of any such order. City sha ll have no duty or responsibility to Contractor or any other party to exercise the right to stop the Work.

2.4 CITY’S RIGHT TO CARRY OUT THE WORK

If Contractor fails to carry out the Work in accordance with the Contract Documents, fails to provide sufficient labor, materials, equipment, tools and services to maintain the Construction Schedule, or otherwise fails to comply with any requirement of the Contract Documents, and fails within the time specified in the Contract Documents, after receipt of notice from City to promptly commence and thereafter diligently continue to completion the correction of such failure, City may, without prejudice to other remedies City may have and without terminating the Contract, correct such failure at Contractor's expense.

In such case, City shall be entitled to deduct from payments then or thereafter due Contractor the cost of correcting such failure, including compe nsation for the additional services and expenses of City and City's consultants made necessary thereby. If payments then or thereafter due Contractor are not sufficient to cover such amounts, Contractor shall pay the additional amount to City.

2.5 ACCESS TO MUNICIPAL SERVICE CENTER

For all Projects which require Contractor access to City’s Municipal Service Center (MSC), all Contractors shall provide and all Contractor’s personnel shall at all times display, in the form of badges, identification which shall include the Contractor’s n ame, the employee’s name, City’s Project Managers name and telephone number, and the name and number of the Project being performed. Badge identification information shall correspond with information contained in the bearer’s driver license or with other City approved identification. Any discrepancies, or failure of Contractor’s personnel to display proper identification, will in result their removal from the Project, or in refusal of access to the MSC.

2.6 EMERGENCY TERMINATION OF CONTRACT

The Construction Contract is subject to termination as provided by Section 4410 and Section 4411 of the Government Code of the State of California, being portions of the Emergency Termination of Public Contract Act of 1949. In the event that the Construct ion Contract is terminated pursuant to said section, compensation to the Contractor shall be determined on the basis of the reasonable value of the Work done, including preparatory work. As an exception of the foregoing, in the case of any fully completed separate item or portion of the work for which there is a separate unit or contract price, the unit or contract price shall control.

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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
Pg.
41 Packet Pg. 243 of 613

Invitation for Bids (IFB) Package 37 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS
ARTICLE 3 – CONTRACTOR’S RIGHTS AND OBLIGATIONS

3.1 REVIEW OF THE SITE, CONTRACT DOCUMENTS AND FIELD CONDITIONS

3.1.1 Contractor warrants that it is satisfied as to character, quality, and quantities of surface and subsurface materials or obstacles to be encountered insofar as reasonably ascertainable from a careful inspection of the Site (including, without limitation, Existing Improvements on the Site) and from the geological investigation reports, data and similar information, if any, made available to Contractor by City.

Any failure by Contractor to take such information or conditions into consideration will not relieve Contractor from responsibility for estimating the difficulty and cost of successfully completing the Work within the Contract Sum and Contract Time.

3.1.2 Contractor warrants and represents that it has carefully reviewed the Bid and Contract Documents prior to submitting its Bid and executing the Contract. The Contractor shall not be entitled, and conclusively waives any right, to an adjustment in the Contr act Sum or Contract Time for any additional or unforeseen costs or Delay in the performance of Work due to conditions in Contract Documents constituting errors, omissions, conflicts, ambiguities, lack of coordination or noncompliance with Applicable Code Requirements, if such conditions were either discovered by Contractor or could have been reasonably discovered by Contractor or its Subcontractors in the exercise of care and diligence in the review of the Contract Documents, subject to the limitations of Public Contract Code Section 1104.

3.1.3 If Contractor discovers what it perceives to be errors, omissions, conflicts, ambiguities, lack of coordination or noncompliance with Applicable Code Requirements in the Contract Documents, then Contractor shall, within two (2) days of discovery, notify City or the Construction Manager in writing stating both of the following:

(i) A detailed description of the conditions discovered.

(ii) Contractor’s request for clarification, further details or correction of the Contract Documents.

Failure by Contractor to provide written notice within the period of time required shall result in Contractor waiving any right to adjustment in the Contract Sum or Contract Time on account thereof.

3.1.4 If Contractor believes it is entitled to an adjustment of the Contract Sum or Contract Time for Extra Work based upon additional written or verbal instructions, information, or direction from City, Design Consultant, or Construction Manager, it may submit a Change Order Request pursuant to Article 7 of the General Conditions within ten (10) days of receipt of such instructions, information, or direction.

3.1.5 The Contractor shall take field measurements of the existing field conditions verified.

Contractor shall carefully compare the field conditions with the Contract Documents and other information known to Contractor before commencing the Work. Contractor s hall promptly report in writing to the Construction Manager any errors, inconsistencies, or omissions the Contractor discovers.

Item 5
Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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42 Packet Pg. 244 of 613

Invitation for Bids (IFB) Package 38 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.1.6 If Contractor performs any portion of the Work which it knows, or in the exercise of care and diligence should have known, involves an error, omission, conflict, ambiguity, lack of coordination or noncompliance with Applicable Code Requirements, without n otifying and obtaining the written Approval of City or before obtaining a written clarification, interpretation, instruction or decision from Construction Manager, then any Work that is performed that is not in conformance with the clarifications, interpretation, instruction or decision of City, Design Consultant or Construction Manager shall be removed or replaced and Contractor shall be responsible for the resultant Losses with no adjustment in the Contract Sum or Contract Time.

3.1.7 Existing Improvements at the Site, for which no specific description is made on the Drawings, but which could be reasonably assumed to interfere with the satisfactory completion of the Work, shall be removed and disposed of by Contractor, but only upon th e specific direction and control of City. Without limitation to the foregoing, and notwithstanding any information provided by City pertaining to groundwater elevations and/or geological and soils conditions encountered, it is understood that it is Contractor’s responsibility to determine and allow for the elevation of groundwater, and the geological and soils conditions at the date of performance of the Work.

3.2 SUPERVISION AND CONSTRUCTION PROCEDURES

3.2.1 Contractor shall supervise, coordinate and direct the Work using Contractor's best skill and attention and shall provide supervision sufficient to assure proper coordination and timely completion of the Work. Contractor shall be solely responsible for and have control over construction means, methods, techniques, safety, sequences, procedures and the coordination of all portions of the Work.

3.2.2 Contractor shall be responsible for the accurate layout of all portions of the Work and shall verify all dimensions on the Drawings and shall report to City any discrepancies before proceeding with related Work.

3.2.3 Contractor may be assigned working space adjacent to the Site, and all field offices, materials and equipment shall be kept within this area. Contractor shall be responsible for leaving the space in as good condition as Contractor found it, or restoring i t to the condition it was in prior to Contractor commencing the Work.

3.2.4 Contractor shall be responsible to City for acts and omissions of Contractor's agents, employees, and of Contractor’s Subcontractors, and their respective agents and employees. Unless otherwise stated in or a contrary intention is reasonably inferable from the Contract Documents, references to Contractor, when used in reference to an obligation bearing upon performance of the Work, shall be deemed to include Contractor’s Subcontractors.

3.2.5 Contractor shall not be relieved of its obligation to perform the Work in accordance with the Contract Documents by the act(s) or omission(s) by City in the administration of the Contract, or by tests, inspections or Approvals required or performed by persons or firms other than Contractor.

3.3 RESPONSIBILITY FOR THE WORK

3.3.1 Contractor shall be in charge of and responsible for all portions of the Work of the Contract, and shall be responsible for conforming such portions to the requirements of the Contract Documents and readying such portions to receive subsequent Work.

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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 39 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.3.2 Contractor shall at all times maintain good discipline and order among its employees and Subcontractors. Contractor shall provide competent, fully qualified personnel to perform the Work, and shall ensure that each Subcontractor and Sub -subcontractor engaged on the Site arranges the storage of materials and equipment and performance of its Work so as to interfere as little as possible with Separate Contractors or other persons engaged in work for City on the Site.

3.3.3 During the installation of Work, Contractor shall insure that existing facilities, fences, and other structures are all adequately protected. Upon Final Completion of all Work, all facilities that may have been damaged shall be restored to a condition acceptable to City.

3.3.4 Contractor is responsible for the security of the Site and all Work provided under the terms of this Contract, as well as all Work provided by Separate Contractors that occurs on the Site at any time prior to Final Completion and Acceptance of the Work by City.

3.4 LABOR, WORKMANSHIP, MATERIALS AND MANUFACTURED ITEMS

Contractor shall provide and pay for all labor, materials, equipment, tools, construction equipment and machinery, water, heat, utilities, transportation and other facilities and services necessary for proper execution and completion of the Work, whether temporary or permanent and whether or not incorporated or to be incorporated in the Work. Unless otherwise provided in the Contract Documents or otherwise Approved by the Construction Manager, all articles, equipment and materials incorporated in the Work shall be new, of good quality, undamaged and not defective.

3.5 CONTRACTOR'S WARRANTY

3.5.1 In addition to the guarantee to repair referenced in Article 12 and any specific warranty mentioned in the Project specifications, Contractor warrants to City that all materials and equipment used in or incorporated into the Work will be of good quality, new and free of liens, Claims and security interests of third parties; that all labor, installation, materials and equipment used or incorporated into the Work will be of good quality and free from defects; and that the Work will conform with the req uirements of the Contract Documents and Applicable Code Requirements. If required by City, Contractor shall furnish satisfactory evidence as to the kind and quality of materials and equipment. Manufactured items installed in the Work and not specifically covered in the Contract Documents are to be installed in strict accordance with manufacturers' current printed instructions.

3.5.2 All materials to be incorporated in the Work shall be protected from damage during delivery, storage, and handling, and after installation until Acceptance of the Work, and Contractor shall, without charge to City, be responsible for all damage to the mat erials or the Work due to Contractor's failure to provide such proper protection.

3.6 CONSTRUCTION METHODS AND PROCEDURES

3.6.1 The methods and procedures adopted by Contractor shall be such as to secure a quality of Work satisfactory to City and to enable completion of the Work in the time agreed upon. If at any time such methods and procedures appear inadequate, City may order Contractor to improve the character or increase efficiency, and Contractor shall conform to such order; but the failure of City to order such improvement of methods or increase of efficiency will not relieve Contractor from its obligation to perform the Work in accordance with the Contract Documents or within the Contract Time.

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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 40 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.6.2 If the Contract Documents give specific instructions concerning construction means, methods, techniques, sequences or procedures, Contractor shall be fully and solely responsible for the Site safety for implementing such means, methods, techniques, sequenc es or procedures. If Contractor determines that such means, methods, techniques, sequences or procedures may not be safe, Contractor shall give written notice to City and shall not proceed with that portion of the Work without further written instruction by City.

3.7 TAXES

3.7.1 Contractor and Subcontractors are responsible for paying all sales, consumer, business license, use, income and payroll, and similar taxes for the Work or portions thereof provided by Contractor and Subcontractors.

3.7.2 All Contractors and Subcontractors for Construction Contracts equal to or greater than $5 million dollars shall be required to obtain a sub permit with the California Board of Equalization for a direct allocation of any and all applicable use tax to the City of Palo Alto, where the jobsite is located. Contractor and applicable Subcontractors shall apply for and comply with all of the conditions of the sub permit pursuant to Section 260.020 of the California State Board of Equalization, Chapter 2, “ Compliance Policy and Procedures Manual: Registration, subchapter Contractors,” as may be amended from time to time.

3.8 LEGAL REQUIREMENTS

3.8.1 Contractor shall perform the Work in accordance with all Applicable Code Requirements, even though such requirements are not specifically referenced in the Contract Documents.

3.8.2 When the Work required by the Contract Documents is in conflict with any Applicable Code Requirement, Contractor shall notify Construction Manager and shall not proceed with the Work until Construction Manager provides direction to the Contractor.

3.9 PROJECT STAFF

3.9.1 Contractor shall employ a complete and competent project staff for the duration of the Work, which shall include separate individuals designated to act as Superintendent, project manager, project engineer(s) and administrative assistant(s), plus such othe r persons necessary to diligently prosecute the Work. Contractor shall not replace the designated Superintendent or project manager without a minimum seven (7) Day written notice. Any Project staff member and any replacement member shall be subject to the approval of City, which may be granted or withheld in its sole discretion. Upon notice from City requesting replacement of any Project staff member who is unsatisfactory to City, Contractor shall in a timely manner, but in no event longer than three (3) Days after notification, replace such member with a competent member satisfactory to City. Failure by Contractor to comply with the provisions of this Paragraph shall entitle City, at its option exercised in its sole discretion, to terminate the Con tract or suspend the Work until Contractor complies with this Paragraph. All costs or damages associated with such termination or suspension shall be borne by Contractor, without adjustment in the Contract Sum or Contract Time.

3.9.2 The Superintendent shall be at the Site at all times during the performance of the Work.

The Superintendent shall represent Contractor and communications given to and acknowledged by the Superintendent shall be binding on Contractor. Further, communicat ions issued by or received from the Superintendent shall be deemed as binding on Contractor. The Superintendent must be able to read, write and communicate fluently in English.

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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 41 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.10 SCHEDULES REQUIRED OF CONTRACTOR

Unless otherwise specified in the Contract Documents, including the Notice to Proceed, Contractor shall submit a preliminary Construction Schedule to City in a form approved by the Construction Manager at the Pre-Construction Meeting.

3.10.2 Updated Construction Schedules shall be submitted in the form and frequency required by the Construction Manager.

3.10.3 The Construction Schedule and Construction Schedule updates shall meet the following requirements:

.1 Schedules must be suitable in format and clarity for monitoring progress of the Work and shall utilize the critical path method of scheduling.

.2 Schedules must provide necessary data about the timing for City's decisions and City-furnished items.

.3 Schedules must be in sufficient detail to demonstrate adequate planning and staffing for the Work.

.4 Schedules must represent a practical plan to complete the Work within the Contract Time, which includes factoring time for reasonably foreseeable Weather Delay Days . Based on historic rainfall records for the City, the Contractor’s schedule should assume the following number of Weather Delay Days for each month:*

Month # Normal Weather
Delay Days
January 7
February 7
March 6
April 3
May 2
June 0
July 0
August 0
September 0
October 2
November 4
December 7

*Weather Delay Days which do not occur during a given month based on the number of days allocated for that month (above) do not carry over to another month.

.5 If at any time during the Work, any activity is not completed by its latest scheduled completion date, Contractor shall notify the Construction Manager within five (5) Days of Contractor's plans to reorganize the work force to return to the schedule and prevent Delays on any other activity.

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Invitation for Bids (IFB) Package 42 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS
.6 An updated Construction Schedule shall be submitted with each progress payment request, but no less frequently than monthly, and shall include all of the following:

(i) A written narrative report detailing the actual progress of the Work as of the date of submission;

(ii) The expected progress of the Work as of such date according to the approved Construction Schedule;

(iii) The reasons for any variance between the approved Construction Schedule and the updated Construction Schedule; and

(iv) If required, Contractor’s plan for placing the Work back on Schedule, at Contractor’s expense.

Failure to timely comply with the above requirements may be grounds for rejection of a request for extension of time.

3.10.4 Contractor shall plan, develop, supervise, control and coordinate the performance of the Work so the progress, sequence and timing of the Work conform to the current accepted Construction Schedule. Contractor shall continuously obtain from Subcontractors information and data about the planning for and progress of the Work, the ordering and fabrication of materials, required Submittals, and the delivery of equipment, shall coordinate and integrate such information and data in updated Construction Schedules and Record Documents, and shall monitor the progress of the Work and the delivery of equipment. Contractor shall act as the expediter of potential and actual delays, interruptions, hindrances or disruptions for its own forces and those forces of S ubcontractors, regardless of tier. Contractor shall cooperate with City in the development of the Construction Schedule and updated Construction Schedules.

3.10.5 City's review, comments, requests for revisions, or acceptance of any schedule or scheduling data shall not:

(i) Relieve Contractor from its sole responsibility for the feasibility of the schedule and to plan for, perform, and complete the Work within the Contract Time;

(ii) Transfer responsibility for any schedule from Contractor to City; nor

(iii) Imply City’s agreement with any assumption upon which such schedule is based or any matter underlying or contained in such schedule.

3.10.6 Failure of City to discover errors or omissions in Construction Schedules that it has reviewed or Approved, or to inform Contractor that Contractor, Subcontractors, or others are behind schedule, or to direct or enforce procedures for complying with the Construction Schedule, shall not relieve Contractor from its sole responsibility to perform and complete the Work within the Contract Time and shall not be a cause for an adjustment of the Contract Time or the Contract Sum.

3.10.7 Contractor shall cooperate with and coordinate its Construction Schedule with work of City and City’s Separate Contractors.

3.10.8 Adverse conditions contributing to a Weather Delay Day may include rain, saturated soil, and site clean -up required due to adverse weather. Determination of what constitutes critical path Work scheduled for that day will be based on the most current, City -approved schedule. Contractor must take reasonable steps to anticipate and mitigate the consequences of Weather Delay Days, including prudent workforce management and protecting the Project site.

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Invitation for Bids (IFB) Package 43 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.11 DOCUMENTS AND SAMPLES AT PROJECT SITE

3.11.1 Contractor shall maintain one (1) set of As -Built Documents at the Site, which shall be kept up to date on a daily basis during the performance of the Work. All performed changes, deletions or additions in the Work from that shown in the Contract Document s shall be recorded accurately and completely in the Record Documents. Upon Final Completion and as a condition to Final Payment, each sheet of the As -Built Documents and other Record Documents shall be signed and attested to by the Contractor’s Superintendent as being complete and accurate.

3.11.2 Contractor shall, at all times during performance of the Work, also maintain the following at the Site:

(i) The latest updated Construction Schedule approved by City;

(ii) Shop Drawings, product data, and samples; and

(iii) All other required Submittals.

At all times during the course of the Project, these documents shall be available to City, the Construction Manager and the Design Consultant to audit, excerpt, or copy as they see fit. Upon Final Completion or termination of the Construction Contract, th ese documents shall be delivered to City in the format requested by the City.

3.11.3 It shall be the responsibility of Contractor to maintain a current and complete record of all Changes performed during the progress of the Project construction. The record shall be in the form of a complete set of prints of the As -Built Documents on whic h daily recordings are made by Contractor, indicating in detail and dimension each variation from the original set of Contract Documents for all of the Work. At the completion of construction, Contractor shall, as a requirement of the Final Completion of the Work, certify that to the best of its knowledge, the As-Built Documents are true and accurate, and that the indications thereon represent all Changes performed during the construction of the Project. At Final Completion, the As-Built and other Record Documents shall become the property of City.

3.11.4 Contractor, in concert with the Design Consultant and the Construction Manager, shall review Contractor's As -Built Documents for conformance with all current Changes prior to presenting its monthly Application For Payment. The monthly progress payment sta tement will not be accepted or processed by City unless the As-Built Documents are current and complete, and Approved by City.

3.11.5 At Final Completion, the Contractor shall provide the fully As-Built Documents to the City.

These As-Built Documents will become the permanent property of City at Final Completion. If the As -Built Documents are prepared on a computer, then the revised co mputer files shall also be provided to City in the file format specified by City.

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Invitation for Bids (IFB) Package 44 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.12 SUBMITTALS

3.12.1 Submittals are not Contract Documents. Their purpose is to demonstrate, for those portions of the Work for which Submittals are required, how Contractor proposes to conform to the information given and the design concept expressed in the Contract Documen ts. Prior to starting Work or as otherwise specified in the Contract Documents, including the Notice to Proceed, Contractor shall provide to City an initial schedule for submission of the Submittals for which shop drawings are required by the Contract Documents. For each required shop drawing, Contractor shall provide to City the date for the drawing's intended Submittal to the Design Consultant for review. The date required for its return to avoid Delay in any activity beyond the scheduled start date shall also be given. Contractor is solely responsible for any delay to Project commencement or to Final Completion resulting from Contractor’s failure to timely provide required Submittals as specified.

3.12.2 All shop drawings and other Submittals shall be provided at Contractor's expense, and at the time required by the Contract Documents or requested by the Construction Manager.

3.12.3 Contractor shall review, approve, and submit to the Construction Manager, all Submittals required by the Contract Documents to be submitted and reviewed by the Design Consultant. Submittals to the Construction Manager without evidence thereon of Contractor’s approval shall be returned, without review, for resubmission in accordance with these requirements. Submittals shall be provided within the time frame specified in the Special Provisions and Technical Specifications in accordance with the Construction Schedule, and in such sequence as to cause no Delay in the Work or in the activities of City or of Separate Contractors. Submittals made by Contractor which are not required by the Contract Documents, may be returned without action by the Construc tion Manager or Design Consultant. Submittal to the Construction Manager and Design Consultant must include a statement, in writing, identifying any deviations from the Contract Documents required due to manufacturing or installation limitations contained in the Submittal.

3.12.4 Unless otherwise specified, and excluding samples, a ll Submittals shall be submitted electronically, accompanied by letters of transmittal, and addressed to the Construction Manager for review. Unless otherwise specified in the Contract Documents, Submittals consisting of Drawings or Plans shall be submitted in PDF form via email to the Construction Manager at __________. . The Submittal must be prepared and submitted in accordance with all applicable provisions in the Contract Documents. If the Submittal involves a request for substitution of materials, the request shall be clearly identified on the Submittal that it is a "Request for Substitution." Unless so clearly marked, Submittals shall not be considered as a request for substitution. The Con struction Manager shall return to Contractor three (3) marked -up prints. Submittals shall include all relevant catalog sheets, material lists, manufacturer’s brochures, technical bulletins, specifications, diagrams, or product samples, necessary to descri be a system, product, or item. The letter of transmittal shall include a list of the accompanying documents and the numbers of the sheets submitted. All sheets shall be marked with the name of the Project and the name of Contractor, shall be numbered con secutively, and shall be referenced to the sheets or paragraphs of the Contract Documents, referenced by sheet or subparagraph affected. Submittals shall be combined for singular assemblies, items or materials.

3.12.5 No Work requiring a Submittal shall be performed by Contractor until the Submittal has been reviewed and approved by City, Construction Manager or Design Consultant, as appropriate, and the Design Consultant has documented the exceptions noted on the Subm ittal. Contractor shall allow twenty (20) Days for review of timely and complete Submittals. Once the Submittal is returned to Contractor by the Construction Manager with a statement that it has been reviewed and no exceptions are taken or further action requested, such Work shall be performed in accordance with the Submittal and the Contract Documents.

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Invitation for Bids (IFB) Package 45 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.12.6 Contractor's Submittals represent that Contractor has determined or verified materials and field measurements and conditions related thereto and that it has checked and coordinated the information contained within such Submittals with the requirements of the Contract Documents and Submittals for related Work.

3.12.7 If Contractor discovers any conflicts, omissions or errors in Submittals, Contractor shall notify the Construction Manager and receive instruction before proceeding with the affected Work.

3.12.8 Contractor shall remain solely responsible, notwithstanding City, Construction Manager or Design Consultant’s review or approval of Submittals, for deviations (including, without limitation, those arising from standard shop practice) from the Contract Doc uments, unless Contractor has specifically informed City, Construction Manager or Design Consultant in writing of such deviation at the time of transmitting the Submittal and City, Construction Manager or Design Consultant has given written approval of such deviation. No adjustment in the Contract Sum or Contract Time shall be permitted with respect to any such deviations that are noted in writing by Contractor and as to which City, Construction Manager or Design Consultant takes no exception or approves.

3.12.9 After review of Contractor's Submittals by City, Construction Manager or Design Consultant, as appropriate, the Construction Manager will transmit to Contractor one set of Submittals. If the Submittals are found to be incomplete or incorrect, Contractor shall resubmit after corrective action has been taken. Contractor shall reimburse City, or City may withhold from payments due Contractor, sums owing by City for any fees charged by City, Construction Manager or Design Consultant or City’s other consultants for more than two (2) reviews of a Submittal, or for accelerated review in a shorter time than set forth in the approved Construction Schedule, if requested by Contractor or caused by late Submittals by Contractor. The return of a Submittal due t o failure to comply with the Contract Documents or for correction or additional information shall be considered a review.

3.12.10 Review of Submittals by City, Construction Manager or Design Consultant will be general and for conformance with design intent, and shall not relieve Contractor from the responsibility for proper fitting and construction of the Work, nor from furnished materials and Work required by the Contract which may not be indicated on the reviewed Submittals.

3.12.11 Submittals shall be in English, be of good quality, and be of a size and scale to clearly show all necessary details. Submittals shall show in detail the size, sections and dimensions of all members; the arrangement and construction of all connections, j oints and other pertinent details; and all holes, straps and other fittings required by other Separate Contractors for attaching their Work. When required by City, Construction Manager or Design Consultant, engineering computations shall be submitted. Contractor shall be responsible for delivering duplicates of Submittals to all other persons whose Work is dependent thereon.

3.12.12 Contractor shall, at all times, maintain at the Site a complete file of all City, Construction Manager or Design Consultant-reviewed Submittals.

3.13 TRADE NAMES, SUBSTITUTIONS

3.13.1 Any request for substitution of “or equal” items by the Contractor shall be made within 35 days of award of the contract, unless otherwise specified in these Contract Documents, and shall be governed by Public Contract Code Section 3400.

3.13.2 If City accepts for use in the Project a substitute material or process which in the opinion of City, Construction Manager or Design Consultant is not the equal of that specified, a Change Order shall be issued issuing a credit to City for the difference in value.

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Invitation for Bids (IFB) Package 46 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.13.3 Substitutions by Contractor that are incorporated into the Work without the prior review and Approval by City, Construction Manager or Design Consultant in accordance with the requirements of the Contract Documents shall be deemed to be Defective Work.

3.13.4 The specified Construction Contract completion time shall not be affected by any circumstance developing from the substitution provisions of this Section.

3.14 DAILY REPORTS BY CONTRACTOR

3.14.1 At the end of each working day, Contractor shall submit a daily report to the Construction Manager (on a form provided by or accepted by the Construction Manager) listing:

(i) Labor - Names of workers, classification, hourly rates and hours worked.

(ii) Material - Description and list of quantities of materials used.

(iii) Equipment - Type of equipment, size, identification number, and hours of operation, including loading and transportation, if applicable.

(iv) Inspection and Testing Activities - Name, City or company and items involved.

(v) Areas of Work - The areas of the Site on which Work was performed and a detailed description of the stage, status and progress of the Work in each such area at the beginning and end of the day.

(vi) Accidents, Delays, Defective Work - Description in detail of any injuries to workers, accidents, Delays, or Defective Work that were encountered.

(vii) Other Services and Expenditures - Description in such detail as City may require of other services and expenditures.

3.14.2 Reports by Subcontractors that comply with the requirements of this Section 3.14 shall also be submitted to the Construction Manager through Contractor at the end of each working day

3.14.3 Submission of daily reports by Contractor and Subcontractors performing Work on the Site shall be a condition precedent to Contractor's right to payment under the Contract.

3.14.4 Facts, notice or information contained in daily reports of Contractor or its Subcontractors, whether known or not known to City or Construction Manager, shall under no circumstances be considered evidence of compliance by Contractor with any of the specif ic written notice requirements of the Contract Documents.

3.15 CUTTING AND PATCHING

3.15.1 Contractor shall do all cutting, fitting, or patching of the Work required to make all parts of the Work join properly and to allow the Work to join the work of Separate Contractors shown in, or reasonably implied by, the Contract Documents.

3.15.2 Contractor shall not endanger the Work, the Project, Existing Improvements, or adjacent property by cutting, digging, or otherwise. Contractor shall not cut or alter the work of any Separate Contractor without the prior written consent of City.

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Invitation for Bids (IFB) Package 47 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.15.3 In all cases, cutting shall be performed under the supervision of competent workers skilled in the applicable trade and shall cause the openings to be cut as small as possible to minimize unnecessary damage.

3.16 ACCESS TO THE WORK

3.16.1 City, Construction Manager, Design Consultant, their consultants and other persons authorized by City shall at all times have access to the Work wherever it is in preparation or progress.

Contractor shall provide safe and proper facilities for such access and for inspection.

3.16.2 City may, at any time, and from time to time during the performance of the Work, enter the Project for the purpose of installing any necessary other work by City labor or other contracts or for any other purpose. Contractor shall cooperate with City and not interfere with other work being done by or on behalf of City.

3.17 ROYALTIES AND PATENTS

Contractor shall pay all royalties and license fees required for the performance of the Work. Contractor shall immediately notify City if it learns of any circumstances that may constitute an infringement of patent rights and shall defend and indemnify Ci ty and the members of the Project Team in accordance with the indemnity provision in the Construction Contract against Losses, liabilities, suits or Claims resulting from Contractor's or any Subcontractor's or Sub-subcontractor’s infringement of patent rights.

3.18 PERMITS AND LICENSES

The Contractor shall comply with all provisions of any permits necessary to accomplish the Work as presented in this Contract. Contractor shall obtain and be responsible for the cost of all permits and applications related to the construction of the Project.

3.19 DIFFERING SITE CONDITIONS

3.19.1 This provision is applicable if the Project involves digging trenches or other excavations that extend deeper than four (4) feet below the surface. Contractor shall promptly, and before the following conditions are disturbed, provide written notice to City if the Contractor finds any of the following conditions:

.1 Material that Contractor believes may be a hazardous waste, as defined in Section 25117 of the Health and Safety Code, that is required to be removed to a Class I, Class II, or Class III disposal site in accordance with the provisions of existing law.

.2 Subsurface or latent physical conditions at the site differing from those indicated by information about the site made available to bidders prior to the deadline for submitting bids.

.3 Unknown physical conditions at the site of any unusual nature, differing materially different from those ordinarily encountered and generally recognized as inherent in work of the character provided for in the Contract Documents.

.4 Except as otherwise provided in this Section 3.19, and as specified under law, including Public Contract Code Section 7104, Contractor is responsible for performing the Work subject to existing site conditions, without adjustment to the Contract Sum or Contract Time.

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Invitation for Bids (IFB) Package 48 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.19.2 City shall promptly investigate any of the above the conditions and if City finds that the conditions do materially so differ, or do involve hazardous waste, and cause a decrease or increase in Contractor’s cost of, or the time required for, performance o f any part of the Work, shall issue a Change Order under the procedures described in the Contract Documents. The City may, acting in its sole discretion, extend the applicable deadline for submitting a Change Order Request when it is based upon differing conditions subject to Public Contract Code Section 7104.

3.19.3 In the event that a dispute arises between the City and the Contractor regarding any of the matters specified in subsection 3.19.1, above, Contractor shall not be excused from any scheduled completion date provided for in the Contract Documents, but shall proceed with all Work to be performed under the Contract. Contractor shall retain any and all rights provided either by the Contract or by law which pertain to the resolution of disputes between Contractor and City.

3.20 INSPECTIONS

3.20.1 In order to allow for inspection by City and other agencies, or any inspection required elsewhere in the Special Provisions and Technical Specifications, Contractor shall notify City in writing three (3) Days in advance of the permanent concealment of any materials or Work.

3.20.2 Whenever Contractor desires to carry on the Work of this Construction Contract at hours other than those specifically required by the City or 8:00 AM to 6:00 PM, Monday through Friday or from 9:00 AM to 5:00 PM on Saturdays, it shall request authorization in writing from City for such Work at least twelve (12) Days in advance and, if approved to proceed, Contractor agrees to pay the costs incurred by the City to provide inspectors during these times and the costs incurred for the Construction Manager, Desig n Consultant and/or other City consultants whose presence at the Site is necessary. City offices are closed on alternate Fridays commencing January 12, 2001, and every other Friday thereafter. Inspections by City Building Department may not be available on these days.

3.20.3 If any Work is concealed or performed without the prior notice specified above, then the Work shall be subject to such tests or exposure as may be necessary to prove to City that the materials used and the Work done are in conformity with the Contract Documents. All labor and equipment necessary for exposing and testing shall be furnished by Contractor at its expense. Contractor shall replace, at its own expense and without reimbursement by City, any materials or Work damaged by exposure and any f aulty materials or work evidenced by such exposure or testing, and shall be responsible for any Delay caused thereby.

3.20.4 When, in order to comply with the intent of the Contract Documents, inspection must be made at the plant or mill of the manufacturer or fabricator of material or equipment, Contractor shall notify City a sufficient length of time in advance to allow for a rrangements to be made for such inspection. If required testing and/or inspection must be conducted at a location more than one hundred (100) miles from the Site, Contractor shall be responsible for the additional travel costs required for testing a nd/or inspection at such location.

3.20.5 Any inspection or approval by any representative or agent of City will not relieve Contractor of the responsibility of incorporating into the Work only those materials which conform to the Contract Documents, and any nonconforming materials shall be remov ed from the Site whenever identified, at Contractor’s sole expense.

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Invitation for Bids (IFB) Package 49 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.20.6 When Contractor believes it has achieved either Substantial or Final Completion of the Work, Contractor shall notify City and the Construction Manager in writing and request a Substantial or Final Completion inspection of the Work. City, Design Consultant and Construction Manager will make such inspection as soon thereafter as possible.

3.21 STOP NOTICES

Contractor must promptly pay its Subcontractors in accordance with the subcontract requirements and California prompt payment statutes. If any stop notice or other claim is served, filed or recorded in connection with the Work, City shall have the option, in its sole discretion, to permit Contractor immediately and at its own expense obtain a bond executed by a good and sufficient surety, in accordance with Civil Code section 9364, in a sum equal to one hundred twenty -five percent (125%) of the amount of such stop notice or claim. Such bond shall guarantee the payment of any amounts which the claimant may recover on the stop notice or claim, together with the claimant’s costs of suit in any action to enforce such stop notice or claim if the claimant recovers therein. This remedy shall be in addition to all other rights and remedies of City under the Contract Documents and applicable law, including, without limitation, the right to withhold funds from sums due to Contractor. Contractor shall timely notify City of Contractor's receipt of any stop notice or other third-party claim, valid or invalid, relating to the Contract Documents.

3.22 PARKING

Contractor shall provide and maintain suitable parking areas, for use by all construction workers and others performing work or furnishing services in connection with the Project, as required to avoid any need for parking personal vehicles where they may i nterfere with public traffic, construction activities or public parking. The Construction Manager shall approve the location of all off -site parking in the City.

3.23 USE OF THE PROJECT SITE AND CLEAN UP

3.23.1 Contractor shall confine operations at the Site to areas permitted by Applicable Code Requirements and the Contract Documents. Contractor shall not encumber the Site with materials or equipment so that Separate Contractors' work is hindered or impeded du e to such encumbrances.

3.23.2 Contractor shall, during performance of the Work, keep the Site and surrounding area free from the accumulation of excess dirt, dust, waste materials, water and rubbish caused by Contractor or any Subcontractors. Contractor shall continuously and daily remove all excess dirt, waste material, water and rubbish caused by Contractor and all tools, equipment, machinery and surplus materials from the Site and surrounding area at end of each day. Adequate cleanup will be a condition for progress payments.

3.23.3 Personnel of Contractor shall not occupy, live upon, or otherwise make use of the Site during any time that Work is not being performed at the Site, except as otherwise provided in the Contract Documents.

3.23.4 Upon Final Completion of the Work, Contractor shall remove all construction facilities, appurtenances, tools, material and other articles from the Site. The entire area, including all fixed equipment, floors, surfaces and hardware shall be cleaned and re stored to their original condition in accordance with the Special Provisions and Technical Specifications.

3.23.5 In addition to water sprinkling, temporary enclosures and anti-dust sweeping compounds should be used to limit dust and dirt rising and to keep the Site clean.

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Invitation for Bids (IFB) Package 50 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.23.6 Construction materials shall be neatly stacked by Contractor when not in use. Loose materials, whether on the Site or in transit, shall be covered to prevent dust. Contractor shall promptly remove splattered concrete, asphalt, oil, paint, corrosive liqui ds and cleaning solutions from the affected surfaces to prevent marring or other damage to the Work.

3.23.7 Volatile wastes shall be properly stored in covered metal containers and removed daily.

All other trash receptacles shall be promptly emptied when full.

3.23.8 Contractor shall promptly and legally transport and dispose of removed and demolished items and waste materials not identified to be recycled or reused in compliance with local ordinances and anti-pollution laws. No rubbish or waste materials shall be burned, buried, or otherwise disposed of on the Site.

3.23.9 The Contractor shall provide sanitary facilities at the Site, which shall be of reasonable capacity, properly maintained throughout the construction period, and obscured from public view to the greatest practical extent. Contractor shall require all pers onnel to use the sanitary facilities. Sanitary facilities shall be on a portable trailer and shall be removed from the Site at the end of each workday. For sewer lining projects, Contractor shall provide additional sanitary facilities on a portabl e trailer to be used by the residents during lining installation (one sanitary facility per each 30 meters [100 feet]). Contractor shall remove the sanitary facilities as soon as relief holes are cut and notices of completion are delivered.

3.24 ENVIRONMENTAL CONTROLS

Full compensation for conforming to the requirements of this Section shall be considered as included in the prices paid for the various contract items of Work involved and no additional compensation will be allowed.

3.24.1 AIR POLLUTION CONTROL. Contractor shall comply with all air pollution control rules, regulations, ordinances and statutes which apply to any work performed pursuant to the Contract, including rules promulgated by the Bay Area Air Quality Management Distr ict, the California Department of Public Health or any other applicable agency. In the absence of any applicable air pollution control rules, regulations, ordinances or statutes governing solvents, all solvents, including but not limited to the solvent portions of paint thinners, curing compounds, parts cleaners and degreasers and liquid asphalt used on the Project shall comply with the applicable material requirements of the Bay Area Air Quality Management District. All containers of paint thinner, curing compound parts cleaners and degreasers or liquid asphalt shall be labeled to indicate that the contents fully comply with said requirements. Material to be disposed of shall not be disposed of onsite (i.e. used up inappropriately or burned). Comp ressed gases contained within cylinders or aerosol cans shall never be released for any purpose other than that intended by the manufacturer.

.1 Mold. The Contractor shall take steps to prevent mold from developing on the Site, or being released into the air and shall promptly decontaminate any areas of mold that develop.

.2 VOC’s. Only construction materials that emit low levels of volatile organic compounds (VOC) shall be used within indoor areas. Adequate ventilation of packaged dry products shall be used prior to installation. Contractor is responsible to ventilate the building during the application of wet products (e.g., paints, glues, sealants), which release their highest levels of VOC's during the curing period immediately after the application. Also, wet products shall be applied before installing materials that act as "sinks" such as carpets, fabric, ceiling tiles, movable partitions, furniture, etc. in order to reduce the chance of the "sinks" absorbing contaminants and slowly releasing them into the building over time.

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Invitation for Bids (IFB) Package 51 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

.3 Off-Gassing. Contractor is responsible for identifying specific materials that require more complex ventilation to accelerate off -gassing. In addition to paints, glues and sealants, those materials that generally require temporary ventilation include, without limitation: composite wood products, plastics, waterproofing, insulation, fireproofing, caulking, acoustical ceilings, resilient flooring and wood preservatives.

.4 Barriers. Barriers shall be used to prevent the migration of airborne pollutants from areas under construction and to mitigate any construction noise that may disrupt occupant activities. If effective controls for pollution emissions cannot be practically implemented, activities involving significant airborne pollutants shall be scheduled during off -hours at Contractor’s expense. The Site shall be ventilated with fresh outside air during and immediately after the noxious activity.

.5 Exhaust. Contractor shall install temporary exhaust systems in construction areas to prevent contaminated air from entering the building's return -air system, including, without limitation:

(i) Removing windows in a space.

(ii) Using available or dedicated exhaust systems (e.g., kitchen or toilet exhaust) that are not tied into the building's overall return-air system.

.6 Treated wood waste (TWW). TWW is any wood treated with preserving chemicals that protect the wood from insect attack or fungal decay (typically railroad ties, power poles, or bollards) shall be managed by Contractor to minimize dust generation. Contractor shall never grind TWW and shall be properly dispose TWW at a permitted TWW disposal facility. If Contractor size -reduces the TWW then Contractor shall collect all dust generated for proper offsite disposal.

.7 Contaminated Soil Removal . Unless approved by the City, contaminated soils that are being removed shall be loaded directly into truck trailers that shall transport the soils directly to disposal facilities and not stockpiled onsite or elsewhere. If the City approves the temporary stockpiling of soils onsite, then Contractor shall cover the soil with visqueen (or other suitable material) within 1 hour.

The building shall be flushed with full outdoor air for seven (7) Days prior to occupancy.

Full capacity of the HVAC system shall be used for at least 2.5 ACH (air changes per hour), provided by temporary fans. During this time, the interiors shall be t horoughly cleaned, the HVAC ducts vacuumed, and air and HVAC system filters replaced.

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Invitation for Bids (IFB) Package 52 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.24.2 WATER POLLUTION CONTROL.

.1 Contractor shall at a minimum use applicable Best Management Practices listed in the California Stormwater Quality Association Construction Handbook http://www.cabmphandbooks.com/Construction.asp to prevent the pollution of storm drains and watercourses b y discharges of materials other than uncontaminated storm water. Prohibited discharges include storm water runoff discharges that may threaten to cause pollution, contamination or nuisance, sanitary waste, sediment and debris from erosion and other substances resulting from construction activities. Sanitary wastes will not be permitted to enter any storm drain or watercourse and must be routed to the sanitary sewer system. No sediment, debris or construction materials will be permitted to enter sanitary sewers.

.2 Contractor shall provide effective and continuous control of water pollution, including Work in small or multiple units, on an out of phase schedule or with modified construction procedures. Contractor shall determine which methods are most effective in achieving control of water pollution as a result of Contractor's operations. Contractor shall coordinate water pollution control work with all other Work performed by Contractor and Separate Contractors.

.3 Before starting any Work on the Project, Contractor shall submit to the Construction Manager for acceptance a Storm Water Pollution Prevention Plan (SWPPP) for effective control of storm water pollution. Such plan shall show the schedule and detailed description for the storm water pollution prevention and erosion control work or practices included in the Construction Contract and for all storm water pollution control measures which Contractor proposes to employ in connection with construction of the Project to minimize the effects of their operations upon storm drains, adjacent streams, and other bodies of water. Contractor shall not perform any clearing and grubbing or earthwork on the Project, other than that specifically authorized in writing by the Construction Manager, until such SWPPP has been approved by a City representative or the Construction Manager. Contractor shall revise and bring up to date said SWPPP at any time the Construction Manager makes written request for such revisions.

.4 City shall not be liable to Contractor for failure to accept all or any portion of any originally submitted or revised SWPPP, or for any Delays to the Work due to Contractor's failure to submit an acceptable SWPPP. Contractor assumes sole responsibility for all costs associated with treatment of storm water polluted as a result of Contractor’s Site activities, whether treatment is initiated by Contractor or City.

.5 Contractor may request the Construction Manager to waive the requirement for submission of a written SWPPP when the nature of Contractor's operation is such that pollutant discharge or soil erosion is not likely to occur. Waiver of this requirement will not relieve Contractor from responsibility for compliance with the other provisions of this Section. Waiver of the requirement for a written SWPPP will not preclude City requiring submittal of a SWPPP at a later time if the Construction Manager dee ms it necessary because of the effect of Contractor's operations.

.6 Where erosion damage which will cause storm water pollution is probable due to the nature of the material or the season of the year, Contractor's operation shall be so scheduled that permanent erosion control features will be installed concurrently with or immediately following grading operations.

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Invitation for Bids (IFB) Package 53 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS
.7 All storm water pollution control work required elsewhere in the Contract Documents which may be accomplished under the various contract items of Work will be measured and paid for as provided in said items of Work elsewhere in these Contract Documents.

3.24.3 URBAN RUNOFF. At a minimum, the following specific Best Management Practices which address the potential pollution impacts of urban runoff shall apply to all projects undergoing construction in City. The Best Management Practices listed below (in addition to those listed in the Technical Specifications) are required by City, and shall apply at the time of demolition of an existing structure or commencement of construction until receipt of a certificate of occupancy or certificate of completion:

.1 Sediment and construction waste from construction sites and parking areas shall not leave the Site.

.2 Any sediments or other construction materials which are tracked off the Site shall be removed the same day. Straw wattles or another temporary sediment barrier shall be installed around the perimeter of the Site to prevent the sediment from leaving the Site.

.3 On an emergency basis only, plastic covering may be utilized to prevent erosion of an otherwise unprotected area, along with runoff devices to intercept and safely convey the runoff.

.4 Excavated soil shall be located on the Site in a manner that eliminates the possibility of sediment running into the street, storm drains, water bodies, or adjoining properties.

Material stockpiles shall be covered within 1 hour of stockpiling the material until the material is either used or removed.

.5 No washing of construction vehicles shall be allowed on or adjacent to the Site.

.6 Drainage controls shall be utilized as needed, depending on the extent of proposed grading and topography of the Site, including, but not limited to the following: (i) detention ponds or sedimentation ponds; and (ii) dikes, berms or ditches; and (iii) down drains, chutes or flumes.

3.24.4 STORM WATER POLLUTION PREVENTION DURING ROADWORK. To avoid storm water pollution, Contractor shall plan roadwork and pavement construction as follows:

.1 Apply concrete, asphalt, and seal coat during dry weather to prevent contaminants from contacting storm water runoff.

.2 Cover storm drain inlets and manholes when paving or applying seal coat, slurry seal, fog seal, etc.

.3 Always park paving machines over drip pans or absorbent materials.

.4 When making saw-cuts in pavement, use as little water as possible. Cover each catch basin completely with filter fabric during the sawing operation. Shovel or vacuum the slurry residue from the pavement and remove from the Site.

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Invitation for Bids (IFB) Package 54 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.24.5 STORMWATER POLLUTION. To avoid stormwater pollution, Contractor shall plan roadwork and pavement construction as follows:

.1 Apply concrete, asphalt, and seal coat during dry weather to prevent contaminants from contacting stormwater runoff.

.2 Cover storm drain inlets and personnel access holes when paving or applying seal coat, slurry seal, fog seal, etc.

.3 Always park paving machines over drip pans or absorbent materials, since they tend to drip continuously.

.4 When making saw-cuts in pavement, use as little water as possible. Cover each catch basin completely with filter fabric during the sawing operation and contain the slurry by placing straw bales, sand bags, or gravel dams around the catch basin. After the liquid drains or evaporates, shovel or vacuum the slurry residue from the pavement or gutter and remove from the Site.

3.24.6 DRAINAGE CONTROL. Contractor shall provide for the drainage of storm water and such water as may be applied or discharged on the Site in performance of the Work. Drainage facilities shall be adequate to prevent damage to the Work, Site and adjacent prope rty. Also drainage facilities shall be constructed to minimize the potential pollution to the ocean.

Existing drainage channels and conduits shall be cleaned, enlarged or supplemented as necessary to carry all increased runoff attributable to Contractor's operations. Dikes shall be constructed as necessary to divert increased runoff from entering adjacen t property (except in natural channels), to protect City's private property and utility owner's facilities and the Work, and to direct water to drainage channels or conduits. Retention of drainage on the Site shall be provided as necessary to prevent downstream flooding.

3.24.7 DUST CONTROL. As elsewhere provided herein, the Contractor shall be responsible for all dust alleviation and control measures necessary and required for the public safety and convenience during the life of the contract. The Contractor shall use reclaimed water to control dust from unpaved surfaces as needed on a daily basis or as directed by the Construction Manager. The water shall be applied at a limited rate so as to avoid the creation of runoff from the site. The Contractor shall not use water to flush down paved or impervious surfaces as a means of dust control. Paved or impervious surfaces shall be swept with a street sweeper as needed to control dust on the site. Compensation for water applied as alleviation and/or prevention of dust nuisa nce and street sweeping shall be considered as included in the prices paid for the various contract items of work and no additional allowance will be made therefore.

3.24.8 SPECIAL HAZARDOUS SUBSTANCES AND PROCESSES. Contractor shall comply with the provisions of all applicable hazardous materials Standards including but not limited to California Code of Regulations (CCR) Title 8, Chapter 4, Group 16 (CalOSHA Control of Ha zardous Substances), CCR Title 22, Division 4.5, (hazardous waste management standards), California Health & Safety Code Division 20, Section

6.5 (hazardous waste control), California Fire Code, Code of Federal Regulations (CFR) 49 (DOT regulations), CFR 40, Part 60 (U.S. hazardous waste standards) and applicable sections of the Palo Alto Municipal Code. Contractor shall at all times maintain an inventory of hazardous materials stored onsite and all applicable Material Safety Data Sheets (MSDSs) available for review by the City.

For City -generated hazardous waste removal, the City will take full generator status for the hazardous wastes as described under CCR 22. The City will obtain any EPA Identification numbers for the project and will sign each manifest as the generator befor e the material is transported. Contractor shall fully manage the hazardous wastes for the City including the removing, storing, transporting and disposing of the hazardous wastes. For construction activities that remove existing hazardous wastes, such as , Item 5
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asbestos removal, contaminated soil removal, lead paint removal or other contamination abatement projects, Contractor shall develop a hazardous materials management plan (HMMP). The HMMP shall contain sufficient information that shall demonstrate how the Contractor will remove, secure and store, transport to a permitted disposal facility. Contractor shall submit the HMMP to the City for approval. At a minimum, the HMMP shall include:
• Project map that shall show hazardous waste removal areas, storage areas (including all fencing, gates, locks, structures etc.;
• Hazardous waste expected inventory including quantities and types of wastes; • Security program – how the Contractor will keep hazardous materials secure from public contact;
• Monitoring and inspection program;
• Inventory of emergency equipment onsite;
• Transportation Plan includes how the Contractor plans to package and transport the hazardous wastes;
• Disposal facility name and location;
• Any other information that would reasonably describe Contractor hazardous waste removal, storage and disposal plans.

City has the sole right to reject the hazardous waste transporter and/or disposal facility from Contractor’s consideration.

Hazardous wastes that are generated from Contractor’s activities while completing the project (i.e. equipment maintenance fluids, empty oil or solvent drums, etc. shall be the sole responsibility of the Contractor who is the generator of the wastes under the Hazardous Waste Generator Regulations CCR Title

22. Wastes must be handled, recycled or disposed of in the United States.

3.24.09 ENVIRONMENTAL PURCHASING POLICY. The Contractor shall comply with the City of Palo Alto’s Environmental Purchasing Policy, as amended from time to time. A copy is available at the City’s Purchasing Division.

3.24.10 ZERO WASTE REQUIREMENTS. The Contractor shall comply with waste reduction, reuse, recycling and disposal requirements of the City’s Zero Waste Program. Zero Waste best practices include first minimizing and reducing waste; second, reusing waste and third, recycling or composting waste. In particular, Contractor shall comply with the following zero waste requirements:
• All printed materials provided by Contractor to City generated from a personal computer and printer including but not limited to, proposals, quotes, invoices, reports, and public education materials, shall be double -sided and printed on a minimum of 30% or greater post-consumer content paper, unless otherwise approved by the City’s Project Manager.

Any submitted materials printed by a professional printing company shall be a minimum of 30% or greater post-consumer material and printed with vegetable-based inks. • Goods purchased by Contractor on behalf of the City shall be purchased in accordance with the City’s Environmental Purchasing Policy including but not limited to Extended Producer Responsibility requirements for products and packaging. A copy of this polic y is on file at the Purchasing Office.
• Reusable/returnable pallets shall be taken back by the Contractor, at no additional cost to the City, for reuse or recycling. Contractor shall provide documentation from the facility accepting the pallets to verify that pallets are not being disposed.

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Invitation for Bids (IFB) Package 56 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

3.24.11 SOUND CONTROL.

.1 Contractor shall comply with the City’s Noise Ordinance set forth in Chapter 9.10 of the Palo Alto Municipal Code, except as modified in the Special Provisions and Technical Specifications. Copies of the Noise Ordinance are available in the Purchasing Di vision.

.2 Each internal combustion engine used for any purpose on the Site or otherwise within the City of Palo Alto shall be equipped with a muffler of a type recommended by the manufacturer. No internal combustion engine shall be operated on the Project without said muffler. This requirement in no way relieves Contractor from responsibility for complying with local ordinances regulating noise level.

.3 The noise level requirement shall apply to all equipment on the Work or related to the job, including but not limited to trucks, transit mixers or transient equipment that may or may not be owned by Contractor. The use of loud sound signals shall be avoid ed in favor of light warnings except those required by safety laws for the protection of personnel.

.4 Prior to starting construction, all equipment to be used on the Project shall be inspected and tested for compliance with the requirements of this Project. Sound blankets or other sound mitigation equipment approved by the Construction Manager shall be r equired to bring equipment into compliance with the requirements of this Project.

3.25 TEMPORARY WATER, LIGHT AND POWER

Water for any purpose shall be obtained by Contractor, at its expense, from City. Contractor is to contact the Construction Manager for a phone number and contact person. In no case may Contractor obtain water from unmetered fire hydrants. The costs of o btaining water shall be included in the prices paid for the various contract items of work included and no additional compensation will be allowed therefore, unless otherwise specified in the Contract Documents. The City imposes a penalty for taking water from an unmetered fire hydrant. The penalty shall be deducted from the payment due Contractor. Contractor shall purchase power from the City, at Contractor’s expense.

3.26 CITY TRUCK ROUTE ORDINANCE

The Contractor and any subcontractors or suppliers shall at all times comply with the requirements of the City of Palo Alto Truck Route Ordinance set forth in Chapter 10.48 of the Palo Alto Municipal Code.

3.27 UNFAIR BUSINESS PRACTICES CLAIMS

Contractor offers and agrees to assign to City all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. Sec. 15), or under the Cartwright Act (Chapter 2 (commencing with Section 16700) of Part 2 of Division 7 of the Business and Professions Code) arising from purchases of goods, services, or materials pursuant to the Contract Documents. This assignment shall be made and become effective at the time City tenders Final Payment to Contractor, with out further acknowledgment by the parties. Contractor shall incorporate this provision in all Subcontractor contracts.

3.28 EXISTING UTILITIES

3.28.1 Prior to the start of any grinding or any excavation, the Contractor shall be responsible for notifying Underground Services Alert (USA) 800 -642-2444 at least five ( 5) days prior to beginning underground work so that existing utilities can be marked in the field. The Contractor is responsible for the location of all utilities, both public and private. Contractor shall give specific address for grinding or excavation location. Each location shall be marked by the Contractor in the field with white pa int.

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3.28.2 The Contractor shall acknowledge that the marking of underground utilities is only approximate, and shall take all necessary precautions to avoid damaging these utilities.

3.28.3 All Underground Services Alert marking shall be removed by the Contractor. Any utilities damaged or altered in any way during the performance of the work under this Contract shall be promptly reported to the Engineer, and shall be restored to their original condition at the Contractor's expense.

3.28.4 If the Contractor comes into contact with any existing utilities during its operations, the Contractor shall notify the Engineer before proceeding with the work involved.

3.28.5 Pursuant to Government Code Section 4215, if, during the performance of the Work, Contractor discovers utility facilities not identified by City in the Contract Documents, Contractor shall immediately provide written notice to City and the utility. City assumes responsibility for the timely removal, relocation, or protection of existing main or trunkline utility facilities located on the Project site, if such utilities are not identified in the Contract Documents. Contractor shall be compensated in accordance with the provisions of the Contract Documents for the costs of locating, repairing damage not due to Contractor’s failure to exercise reasonable care, and removing or relocating such utility facilities not indicated in the plans or specificatio ns with reasonable accuracy and for equipment on the Project necessarily idled during such work. Contractor shall not be assessed liquidated damages for delay in completion of the Work, to the extent such delay was caused by City’s failure to provide for removal or relocation of such utility facilities.

ARTICLE 4 – ADMINISTRATION OF THE CONTRACT

4.1 CONTRACT ADMINISTRATION BY CITY, DESIGN CONSULTANT AND CONSTRUCTION MANAGER

4.1.1 City and the Construction Manager will provide administration of the Construction Contract as provided in the Contract Documents.

4.1.2 No actions taken by City, Construction Manager or Design Consultant shall relieve Contractor of its obligations described in the Contract Documents.

4.1.3 The Construction Manager will be present on the Site during the performance of the Work primarily for the purposes of providing administration, inspection and expediting communications between City, Design Consultant and Contractor.

4.1.4 Neither City, Design Consultant nor Construction Manager will have control over, will be in charge of, or will be responsible for construction means, methods, techniques, safety, sequences or procedures or for safety precautions and programs in connection with the Work, all of which are the sole responsibility of Contractor.

4.1.5 Unless otherwise provided in the Contract Documents or when direct communications have been specifically authorized, communications between Contractor and City or Design Consultant shall be in writing through Construction Manager. Communications by Contra ctor or Subcontractors and with Separate Contractors shall be through the Construction Manager. Contractor shall not rely on oral or other non-written communications.

4.1.6 Based on the Construction Manager’s Site visits and evaluations of Contractor's Applications For Payment, the Construction Manager will review and recommend to City for City approval the amounts, if any, due Contractor.

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4.1.7 Construction Manager will make recommendations to City to reject the Work, or any portion thereof, which does not conform to the Contract Documents. City alone shall have the authority to stop the Work or any portion thereof. Whenever City considers it necessary or advisable, City will have the authority to require additional inspection or testing of the Work in accordance with the Contract Documents, whether or not such Work is fabricated, installed or completed. However, no authority of City conferred by the Contract Documents nor any decision made in good faith either to exercise or not exercise such authority, nor any recommendation by the Construction Manager, shall give rise to a duty or responsibility of City or the Construction Manager to Contractor or its Subcontractors.

4.1.8 Construction Manager’s authority includes, but is not limited to the following:

.1 Conduct or direct inspections to determine suitability of the Project or portion thereof for Beneficial Occupancy.

.2 Assist City in determining the dates of Substantial Completion and Final Completion;

.3 Review any records, written warranties and related documents required by the Contract Documents and assembled by Contractor; and

.4 Make recommendations to City for issuance of Final Payment upon Contractor's compliance with the requirements of the Contract Documents.

4.1.9 City, with the assistance of recommendations from the Design Consultant and/or Construction Manager, shall be the ultimate interpreter of the requirements of the Contract Documents and the judge of performance thereunder by Contractor. Such decisions by C ity will be final and binding upon Contractor.

4.2 CLAIMS

4.2.1 Public Contract Code Section 9204. Public Contract Code Section 9204 (“Section 9204”) sets forth certain pre-litigation claims procedures for public works projects that City is required to include in its Contract Documents. In summary, Section 9204 requires public entities to respond to claims within 45 days, to meet and confer if requested by the contractor, to promptly pay undisputed amounts, and to mediate unresolved claims prior to litigation, absent a mutual waiver of mediation. It expressly provides for the submission of subcontractor “pass -through” claims, and allows public entities to prescribe reasonable additional change order, claim, and dispute resolution procedures and requirements, so long as the additional provisions do not conflict with or otherwise impair the timeframes and procedures set forth in Section 9204. The requirements of Section 9204 are incorporated and included in the following provisions, which also include reasonable additional procedures.

4.2.2 Scope and Authority. This Section 4.2 applies to any Claim, as defined in Section 1.1.19, above, arising from or related to the Contract or performance of the Work. It is intended to provide the exclusive procedures for submission and resolution of Claims of any amount, and applies in addition to the provisions of Public Contract Code Section 9204, and Public Contract Code Sections 20104 et seq., which are incorporated by reference herein and included in these provisions.

4.2.3 Accrual of Claim. A Claim accrues and arises upon issuance of a written decision by the City or Construction Manager denying, in whole or in part, a Change Order Request, which was previously submitted in compliance with these Contract Documents. A Clai m that demands an extension of time or an increase in the Contract Sum does not accrue unless Contractor has previously submitted such demand(s) in a Change Order Request.

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Invitation for Bids (IFB) Package 59 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

4.2.4 Claims Submission Requirements and Deadlines. All Claims must be submitted in writing by registered mail or certified mail with return receipt requested. Except for Claims disputing the amount of Final Payment, all Claims and all supporting documentation and certifications, as further detailed below, must be received by the City Clerk’s office within twenty-one (21) Days following the date that City notified Contractor in writing that a request for a change in the Contract Time or Contract Price, du ly submitted in compliance with the Contract Documents, has been rejected in whole or in part; any Claim which is not submitted prior to Final Payment is deemed waived. A Claim disputing the amount of Final Payment must be submitted within fourteen (14) Days of the effective date of Final Payment. Strict compliance with these Claim submission deadlines is necessary to ensure that any dispute may be mitigated as soon as possible, and to facilitate cost -efficient administration of the Project. Any Claim that is not submitted within the specified deadlines will be deemed waived by Contractor.

4.2.5 Supporting Documentation. A Claim submittal must include the following:

.1 A statement that it is a Claim, clearly specifying the amount requested (with respect to Claims for payment), and/or the number of days requested (with respect to Claims for an extension of the Contract Time);

.2 A detailed description of the act, error, omission, Differing Site Condition, event or other circumstance giving rise to the Claim; and

.3 A statement demonstrating that a Change Order Request was submitted in a timely manner as required by Section 7.2 of these General Conditions, along with a copy of the Change Order Request and the City’s written rejection of the subject Claim.

.4 All documents necessary to substantiate the Claim, including, without limitation:

(i). A detailed cost breakdown in the form required for submittal of Change Order Requests, and subject to the limitations described in Article 7, below.

(ii). Copies of actual job cost records demonstrating that the costs have been incurred.

(iii). If the Claim is based on an error, omission, conflict or ambiguity in the Contract Documents: (i) a sworn statement by Contractor and any Subcontractor involved in the Claim, to the effect that the error, omission, conflict or ambiguity was not discovered prior to submission of the Bid, and (ii) if not discovered, a sworn statement demonstrating that the error, omission, conflict or ambiguity could not have been discovered by Contractor, its Subcontractor(s) or in exercise of the degree of care requi red of them under the Contract Documents for review of the Contract Documents prior to submission of the Bid.

.5 If the Claim involves a request for adjustment of the Contract Time, written documentation demonstrating that Contractor has complied with the requirements of the Contract Documents pertaining to proving the right to an extension of time and demonstrating that Contractor is entitled to an extension of time under the Contract Documents.

.6 A written certification signed by a responsible managing officer of Contractor’s organization, who has the authority to sign subcontracts and purchase orders on behalf of Contractor and who has personally investigated and confirmed the truth and accuracy of the matters set forth in such certification, in the following form:

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I hereby certify under penalty of perjury under the laws of the State of California that I am a managing officer of and that I have reviewed the Claim presented herewith on Contractor’s behalf and/or on behalf of and that the following statements are true and correct.

(i) The facts alleged in or that form the basis for the Claim are true and accurate; and,

(ii) Contractor does not know of any facts or circumstances, not alleged in the Claim, that by reason of their not being alleged render any fact or statement alleged in the Claim materially misleading; and,

(iii) Contractor has, with respect to any request for money or damages alleged in or that forms the basis for the Claim, reviewed the job cost records (including those maintained by Contractor and by any Subcontractor of any Tier, that is asserting all or any portion of the Claim) and confirmed with reasonable certainty that the Losses or damages suffered by Contractor and/or such Subcontractor were in fact suffered in t he amounts and for the reasons alleged in the Claim; and,

(iv) Contractor has, with respect to any request for extension of time or claim of Delay, disruption, hindrance or interference alleged in or that forms the basis for the Claim, reviewed the job schedules (including those maintained by Contractor and by any Subcontractor involved in the Claim) and confirmed on an event -by-event basis that the delays or disruption suffered by Contractor and /or such Subcontractor were in fact experienced for the durations, in the manner, and with the consequent effects on the time and/or sequence of performance of the Work, as alleged in the Claim; and,

(v) Contractor has not received payment from City for, nor has Contractor previously released City from, any portion of the Claim; and

(vi) Contractor understands that submission of a Claim which has no basis in fact or which Contractor knows to be false may violate the False Claims Act (Government Code Section 12650 et seq.).

Signature: ___________________________

Name: ______________________________

Title: _______________________________

Company: ___________________________

Date: _______________________________

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4.2.6 Strict Compliance Required. No Claim may be asserted unless Contractor has strictly complied with the requirements of Section 4.2 of these General Conditions, which shall be considered conditions precedent to Contractor’s rights to assert the Claim and to initiate the Contract Dispute Resolution Process set forth below with respect to such Claim.

4.2.7 No Work Delay. Notwithstanding the submission of any Claim or the existence of any dispute regarding any Claim, unless otherwise directed by City, Contractor shall not delay, slow or stop performance of the Work, but shall diligently proceed with performa nce in accordance with the Contract Documents and City will continue to make payments as required by the Contract Documents.

4.2.8 City Response. City shall respond in writing within forty -five (45) Days of receipt of the Claim with a written statement identifying which portion(s) of the Claim are disputed or undisputed, unless the 45 Day period is extended by mutual agreement of Cit y and Contractor or as otherwise allowed under Public Contract Code Section 9204. However, if City determines that the Claim is not adequately documented, City may first request in writing, within thirty (30) days of receipt of the Claim, additional information or documentation supporting the Claim, or relating to defenses to the Claim that City may have against the Claim, in which case City shall respond to the Claim within forty-five 45 Days after receipt of the further information or documentation . If Contractor fails to submit the additional documentation to City within fifteen (15) Days of receipt of City’s request, the Claim will be deemed waived. If City Council authorization is necessary for City to respond to a Claim, City will respond within three (3) Days following the Council’s consideration of the Claim, which shall be scheduled in accordance with Section 9204.

4.2.9 Non-Waiver. Any failure by City to respond within the times specified above may not be construed as acceptance of the Claim in whole or in part, or as a waiver of any provision of these Contract Documents.

4.2.10 Payment on Undisputed Portion. Any payment due on an undisputed portion of the Claim shall be paid within 60 Days after the City issues its written response.

4.2.11 Meet and Confer. If Contractor disputes City’s response, or if City fails to respond within the prescribed time set forth above, Contractor may so notify City and demand a meet and confer conference for settlement of the issues in dispute, in writing sent by registered mail or certified mail, return receipt requested, within fifteen (15) Days of City’s response or within fifteen (15) Days of City’s failure to respond. If Contractor fails to dispute City’s response within the specified time, Contrac tor’s Claim shall be deemed waived.

.1 Schedule Meet and Confer. Upon receipt of the demand to meet and confer, City will schedule the meet and confer conference to be held within 30 days, or later if needed to ensure the mutual availability of each of the individuals that each party requires to represent its interests at the meet and confer conference.

.2 Location for Meet and Confer. The meet and confer conference will be scheduled at a location at or near City’s principal office.

.3 Written Statement After Meet and Confer. Within ten (10) working days after the meet and confer has concluded, City will issue a written statement identifying which portion(s) of the Claim remain in dispute, if any.

.4 Submission to Mediation. If the Claim or any portion remains in dispute following the meet and confer conference, within ten (10) working days after the City issues the written statement identifying any portion(s) of the Claim remaining in dispute, the d isputed portion(s) will be submitted for nonbinding mediation, as set forth below.

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4.2.12 Mediation. Within ten (10) working days after the City issues the written statement identifying any portion(s) of the Claim remaining in dispute following the meet and confer, City and Contractor will mutually agree to a mediator and mediation process, consistent with and as provided under Public Contract Code section 9204. Mediation will be scheduled to ensure the mutual availability of the selected mediator and all of the individuals that each party requires to represent its interests. All discussions that occur during the mediation and all documents prepared solely for the purpose of the mediation shall be confidential and privileged pursuant to California Evidence Code Sections 1119 and 1152. The parties will share the costs of mediation equally, except costs incurred by each party for its representation by legal counsel or any other consultants.

4.2.13 The Claim procedures set forth herein do not apply to the following:

(i) Penalties or forfeitures prescribed by statute or regulation imposed by a governmental agency.
(ii) Tort claims for personal injury or death.
(iii) False claims liability under California Government Code Section 12650, et seq. (iv) Defects in the Work first discovered by City after Final Payment by City to Contractor.
(v) Stop notices.
(vi) The right of City to specific performance or injunctive relief to compel performance of any provision of the Contract Documents.

4.2.14 If the Claim is not fully resolved during the meet and confer conference or through mediation, as to those portions of the Claim which remain in dispute, Contractor may commence the Contract Dispute Resolution Process set forth below by filing a Statement of Contract Dispute with the City within thirty (30) Days following the meet and confer conference if the parties have mutually waived mediation, or within thirty (30) Days following the mediation result. If Contractor fails to submit a Statement of Contract Dispute within the applicable thirty (30) Day period, City’s last written response will become final and binding upon Contractor, and Contractor shall be deemed to have waived and release any further right to pursue the Claim.

4.3 RESOLUTION OF CONTRACT DISPUTES.

Contract Disputes shall be resolved by the parties in accordance with the Contract Dispute Resolution Process set forth in this Section 4.3 of the General Conditions in lieu of any and all rights under the law that either party have its rights adjudged by a trial court or jury. All Contract Disputes shall be subject to the Contract Dispute Resolution Process set forth in this Section 4.3, which shall be the exclusive recourse of Contractor and City for such Contract Disputes.

4.3.1 Non-Contract Disputes. Contract Disputes shall not include any of the following:

(i) Penalties or forfeitures prescribed by statute or regulation imposed by a governmental agency;
(ii) Third party tort claims for personal injury, property damage or death relating to any Work performed by Contractor or its Subcontractors or Sub-subcontractors of any tier; (iii) False claims liability under California Government Code Section 12650, et. seq.; (iv) Defects in the Work first discovered by City after Final Payment by City to Contractor; (v) Stop notices; or
(vi) The right of City to specific performance or injunctive relief to compel performance of any provision of the Contract Documents.

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4.3.2 Litigation, City Election . Matters that do not constitute Contract Disputes shall be resolved by way of an action filed in the Superior Court of the State of California, County of Santa Clara, and shall not be subject to the Contract Dispute Resolution Process. However, the City res erves the right, in its sole and absolute discretion, to treat such disputes as Contract Disputes. Upon written notice by City of its election as provided in the preceding sentence, such dispute shall be submitted by the parties and finally decided purs uant to the Contract Dispute Resolution Process in the manner as required for Contract Disputes, including, without limitation, City’s right under Paragraph 4.3.5 to defer resolution and final determination until after Final Completion of the Work.

4.3.3 Submission of Contract Dispute.

.1 By Contractor.

Contractors may commence the Contract Dispute Resolution Process upon conclusion of the Claims process set forth in Section 4.2 above. Contractor shall submit a written Statement of Contract Dispute (as set forth below) to City within thirty (30) Days afte r conclusion of the meet and confer process or mediation, as applicable, set forth in Section

4.2. Failure by Contractor to submit its Statement of Contract Dispute in a timely manner shall result in City’s decision by City on the Claim becoming final and binding. Contractor’s Statement of Contract Dispute shall be signed under penalty of perjury and shall state with specificity the events or circumstances giving rise to the Contract Dispute, the dates of their occurrence and the asserted effect on the Con tract Sum and the Contract Time.

The Statement of Contract Dispute shall include adequate supporting data to substantiate the disputed Claim, in compliance with the Change Order Request requirements set forth herein.

.2 By City.

City's right to commence the Contract Dispute Resolution Process shall arise at any time following City's actual discovery of the circumstances giving rise to the Contract Dispute.

City may also assert a Contract Dispute in response to a Contract Dispute asserted by Contractor. A Statement of Contract Dispute submitted by City shall state the events or circumstances giving rise to the Contract Dispute, the dates of their occurrence and the damages or other relief claimed by City as a result of such events .

.3 Contract Dispute Resolution Process.

The parties shall utilize each of the following steps in the Contract Dispute Resolution Process in the sequence they appear below. Each party shall participate fully and in good faith in each step in the Contract Dispute Resolution Process, and good fait h effort shall be a condition precedent to the right of each party to proceed to the next step in the process.

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Invitation for Bids (IFB) Package 64 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

4.3.4 Direct Negotiations. Designated representatives of City and Contractor shall meet as soon as possible (but not later than ten (10) Days after receipt of the Statement of Contract Dispute) in a good faith effort to negotiate a resolution to the Contract Dispute. Each party shal l be represented in such negotiations by an authorized representative with full knowledge of the details of the Claims or defenses being asserted by such party in the negotiations, and with full authority to resolve such Contract Dispute then and there, subject only to City’s obligation to obtain administrative and/or City Council approval of any agreed settlement or resolution. If the Contract Dispute involves the assertion of a right or claim by a Subcontractor against Contractor that is in turn being asserted by Contractor against City (“Pass -Through Claim”), then the Subcontractor shall also have a representative attend the negotiations, with the same authority and knowledge as described above. Upon completion of the meeting, if the Contract Dispute is not resolved, the parties may either continue the negotiations or any party may declare negotiations ended.

All discussions that occur during such negotiations and all documents prepared solely for the purpose of such negotiations shall be confidential and privileged pursuant to California Evidence Code Sections 1119 and 1152.

4.3.5 Deferral of Contract Disputes . Following the completion of the negotiations required by Paragraph 4.3.4, above, all unresolved Contract Disputes shall be deferred pending Final Completion of the Project, subject to City’s right, in its sole and absolute discretion, to require that the C ontract Dispute Resolution Process proceed prior to Final Completion. All Contract Disputes that have been deferred until Final Completion shall be consolidated within a reasonable time after Final Completion and thereafter pursued to resolution pursua nt to this Contract Dispute Resolution Process. The parties can continue informal negotiations of Contract Disputes; provided, however, that such informal negotiations shall not be alter the provision for deferring final determination and resolution of unr esolved Contract Disputes until after Final Completion.

4.3.6 Mediation. If the Contract Dispute remains unresolved after negotiations pursuant to Paragraph 4.3.4, above, the parties may choose, by mutual agreement, to conduct further mediation, however they shall be under no obligation to do so.

4.3.7 Binding Arbitration . Any remaining Contract Dispute shall be submitted for binding arbitration.
.1 Process. Any Claim submitted for binding arbitration, as set forth above, shall be determined by arbitration at the San Francisco JAMS’ offices, and administered by JAMS pursuant to its Engineering and Construction Arbitration Rules & Procedures for Expedited Arbi tration. Judgment on the Award may be entered in any court having jurisdiction. This clause shall not preclude parties from seeking provisional remedies in aid of arbitration from a court of appropriate jurisdiction within Santa Clara County, an d no other place.
.2 Waiver of Jury Trial. Contractor and City each voluntarily waives its right to a jury trial with respect to any Contract Dispute that is subject to binding arbitration in accordance with the provisions of this Paragraph 4.3. Contractor shall include this provision in its contracts with its Subcontractors who provide any portion of the Work.

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4.3.8 Non-Waiver. Participation in the Contract Dispute Resolution Process shall not waive, release or compromise any defense of City, including, without limitation, any defense based on the assertion that the rights or Claims of Contractor that are the basis of a Contract Dispute were previously waived by Contractor due to Contractor’s failure to comply with the Contract Documents, including, without limitation, Contractor’s failure to comply with any time periods for providing notice of requests for adjustments of the Contract Sum or Contract Time or for submission of Claims or supporting documentation of Claims.

ARTICLE 5 – SUBCONTRACTORS

5.1 CONTRACTOR'S AWARD OF SUBCONTRACTS

5.1.1 Contractor shall comply with the Subletting and Subcontracting Fair Practices Act, Public Contract Code Sections 4100 through 4114. Nothing herein shall be deemed to entitle Contractor, without the written approval of City, to substitute other Subcontrac tors for those named in Contractor's List of Subcontractors contained in the completed Bid; and, except with such approval, no such substitution shall be made. Should Contractor violate any of the provisions of the Subletting and Subcontracting Fair Practices Act, such violation shall be deemed a violation of the Construction Contract, entitling City, without limitation to any other rights or remedies under the law, to suspend or terminate the Construction Contract.

5.1.2 Except as hereinafter provided, any increase in the cost of the Work or Contract Time resulting from the replacement or substitution of a Subcontractor, shall be borne solely by Contractor and without any adjustment in Contract Sum or Contract Time.

5.1.3 Where a hearing is held pursuant to the provisions of Chapter 2, Division 5, Title 1 of the Public Contract Code (commencing with Subparagraph 4100), by the awarding authority or a duly appointed hearing officer, City’s representative shall prepare and certify a statement of all costs incurred by City for investigation and conduct of the hearing, including the costs of any hearing officer and reporter appointed. The statement shall then be sent to Contractor who shall reimburse City for such costs. If not paid separately, such reimbursement may be deducted from any money due and owing to Contractor.

5.2 SUBCONTRACTOR RELATIONS

5.2.1 Prior to the execution of each subcontract agreement, Contractor shall make available to each proposed Subcontractor, copies of the Contract Documents. Contractor must incorporate the terms of these Contract Documents into each subcontract, so that each Subcontractor will be bound by the terms of these Contract Documents, including, but not limited to, the provisions for dispute resolution. Within thirty (30) Days of the Notice To Proceed, Contractor shall provide City with a complete listing of a ll Subcontractors, which shall include, but not be limited to, the Work contracted for, Subcontractor’s name, address, telephone and facsimile numbers, form for doing business (i.e, sole proprietor, corporation, partnership), point-of-contact and Subcontractor’s license classification and number.

5.2.2 Any part of the Work performed for Contractor by a first Tier Subcontractor shall be pursuant to a written subcontract. Each such subcontract shall require that the Subcontractor:

(i) Perform the Work in accordance with the terms of the Contract Documents.

(ii) Assume toward Contractor all the obligations and responsibilities which Contractor assumes towards City by the Contract Documents.

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(iii) Preserve and protect the rights of City under the Contract Documents with respect to the Work to be performed by the Subcontractor so that subcontracting thereof will not prejudice such rights.

(iv) Waive all rights that the Subcontractor may have against City for damages caused by fire or other perils covered by builder's risk property insurance carried by Contractor or City, except for such rights Subcontractor may have to the proceeds of such insurance held by City under Article 11 of these General Conditions.

(v) Afford City and entities and agencies designated by City the same rights and remedies with respect to access to and the right to audit and the right to copy at City's cost all of the Subcontractor's books, records, contracts, correspondence, instructions, drawings, receipts, vouchers, purchase orders and memoranda relating to the Work and requiring the Subcontractor to preserve all such records and other items for a period of at least three (3) years after Final Completion.

(vi) Recognize the rights of City under Section 5.3 of the General Conditions, Contingent Assignment of Subcontracts, including, without limitation, City’s right to elect to accept assignment of the subcontract and to retain Subcontractor pursuant to the terms of the subcontract, to complete the unperformed obligations under the subcontract and, if requested by City, to execute a written agreement on terms acceptable to City confirming that the Subcontractor is bound to City under the same terms as the subc ontract.

(vii) Submit Applications for payment, requests for Change Orders and extensions of time and Claims, and to comply with all other notice and submission requirements of the Contract Documents, sufficiently in advance to allow Contractor time to comply with its obligations under the Contract Documents.

(viii) Purchase and maintain insurance in accordance with the requirements of the Contract Documents and reserving the right to Owner to purchase, in its sole discretion, such insurance pursuant to an Owner Controlled Insurance or other form of wrap-up program.

(ix) Provide the same defense indemnification of the City as is required of the Contractor.

(x) Agree to participate in the dispute resolution procedures specified in the Construction Contract, at the election of City.

5.2.3 Contractor shall promptly, after execution, furnish to City true, complete, and executed copies of all subcontracts, and any change orders and modifications thereto. Progress payments shall not be made for items of Work for which City has not received executed subcontracts and, if applicable, Change Orders.

5.2.4 Nothing contained in the Contract Documents shall create any contractual relationship between any Subcontractor and City, except when, and only to the extent that, City elects to accept the assignment of the subcontract with such Subcontractor pursuant to Section 5.3, Contingent Assignment of Subcontracts. Notwithstanding the foregoing, City is deemed a third-party beneficiary of each subcontract agreement.

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5.2.5 City and the Construction Manager shall have the right to communicate with Contractor’s Subcontractors with respect to matters that are related to Contractor’s performance of its obligations under the Contract Documents. Contractor shall be provided with a copy of all such written communications. Such communications shall not create or be interpreted as creating any contractual relationship between City or the Construction Manager and any such Subcontractor.

5.3 CONTINGENT ASSIGNMENT OF SUBCONTRACTS

In the event of any suspension or termination of the Construction Contract, Contractor is hereby deemed to have offered to assign to City all its interest in contracts with Subcontractors now or hereafter entered into by Contractor for performance of any p art of the Work. The assignment will be effective upon acceptance by City in writing and only as to those contracts which City designates in writing. City may accept, at its sole election, said assignment at any time during the course of the Work and prio r to Final Completion in the event of a suspension or termination of Contractor's rights under the Contract Documents. Such assignment is part of the consideration to City for entering into the Contract with Contractor and may not be withdrawn prior to Final Completion.

5.4 CONTRACTOR AND SUBCONTRACTOR RESPONSIBILITY

Contractor shall be responsible to City for acts and omissions of Contractor's agents, employees, and of Contractor’s Subcontractors, and their respective agents and employees. Unless otherwise stated in or a contrary intention is reasonably inferable from the Contract Documents, references to Contractor, when used in reference to an obligation bearing upon performance of the Work, shall be deemed to include Contractor’s Subcontractors.

ARTICLE 6 – CONSTRUCTION BY CITY OR BY SEPARATE CONTRACTORS

6.1 CITY'S RIGHT TO PERFORM CONSTRUCTION AND TO AWARD SEPARATE CONTRACTS

6.1.1 City reserves the right to award separate contracts for, or to perform with its own forces, construction or operations related to the Work or other construction or operations at or affecting the Site, including portions of the Work which have been deleted by modification. Contractor shall cooperate with City's forces and Separate Contractors.

6.1.2 City shall provide coordination of the activities of City forces and of each Separate Contractor with the Work of Contractor. Contractor shall participate with City and Separate Contractors in joint review of construction schedules and Project requirement s when directed to do so. Contractor shall make necessary revisions to the Construction Schedule after such joint review.

6.1.3 Without limitation upon any of the rights or remedies of City under the Contract Documents or under law arising from a default by Contractor, in the event that Contractor fails to have personnel on Site to supervise the Work, City shall have the right, in its sole discretion, but not the responsibility, upon twenty -four (24) hours’ telephonic notice to Contractor, to provide such supervision on a temporary basis. Contractor shall, notwithstanding City’s providing such temporary supervision, remain solely responsible for all actions of its personnel and Subcontractors and shall defend and indemnify City in accordance with the Construction Contract against any Losses arising therefrom. City shall have the right, in its discretion, to deduct from the sums owing to Contractor the reasonable cost of such temporary supervision.

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6.2 MUTUAL RESPONSIBILITY

6.2.1 Contractor shall be responsible for affording Separate Contractors reasonable opportunity for introduction and storage of their materials and equipment and performance of their activities. Contractor shall schedule and coordinate its construction and ope rations with the construction and operations of Separate Contractors as required by the Contract Documents.

6.2.2 If a portion of the Work is dependent upon the proper execution or results of other construction or operations by Separate Contractors, Contractor shall inspect such other construction or operations before proceeding with its portion of the Work. Contract or shall promptly report to City apparent discrepancies or defects which render the other construction or operations unsuitable to receive the Contractor’s Work. Unless otherwise directed by City, Contractor shall not proceed with the portion of the Work affected until apparent discrepancies or defects have been corrected. Failure of Contractor to so report within a reasonable time after discovering such discrepancies or defects shall constitute an acknowledgment that the other construction or operat ions by City or Separate Contractors is suitable to receive the Work, except as to defects not then reasonably discoverable.

6.2.3 In the event of Delays, improperly timed activities or Defective Work by the Contractor or the Separate Contractors, the costs of such occurrences shall be borne by the party responsible therefor.

6.2.4 If Contractor wrongfully causes damage to completed or partially completed construction or to property of City or Separate Contractors, Contractor shall promptly remedy damage as provided in Paragraph 12.2 of these General Conditions.

6.2.5 If a dispute, or other matters in question arise between Contractor and a Separate Contractor, these occurrences shall be subject to the provisions of Section 4.2 and 4.3 of the General Conditions. Contractor shall immediately notify the Construction Man ager in writing of such occurrences.

6.3 CITY’S RIGHT TO CLEAN UP

If a dispute arises between Contractor and Separate Contractors as to the responsibility under their respective contracts for maintaining the Site and surrounding areas free from waste materials and rubbish, City may clean up and allocate the cost between those firms it deems, in its sole discretion, to be responsible.

ARTICLE 7 – CHANGES

7.1 CHANGES

7.1.1 City may, at any time and without notice to Contractor’s sureties, order Changes in the Work without invalidating the Construction Contract and without relieving Contractor’s sureties of their obligations to City.

7.1.2 City shall receive a deductive adjustment in the Contract Sum for Changes that result in a reduction in the cost to perform the Work and shall be entitled to an adjustment reducing the Contract Time for Changes that enable the Contractor to complete the Work earlier than the Contract Time.

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Invitation for Bids (IFB) Package 69 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

7.1.3 Unless such rights have been waived and provided that Contractor has complied with the requirements of the Contract Documents with respect to, without limitation, complete and timely submission of all notices, requests and supporting documentation, Contra ctor shall receive an additive adjustment to the Contract Sum for Changes that increase the cost to perform the Work and/or an adjustment extending the Contract Time for Excusable Delay (subject to offset for concurrent Unexcused Delay).

7.1.4 Contractor shall not be entitled to an adjustment of the Contract Sum or Contract Time for Changes that are not authorized by an Approved Change Order or Field Order signed by City or Construction Manager. All Changes in the Work that are the basis of an adjustment to the Contract Sum or Contract Time must be authorized in advance, in writing, by City or Construction Manager. Accordingly, no verbal directions, course of conduct between the parties or express or implied Acceptance of Changes or Work, and no claim that the Owner has been unjustly enriched (whether or not there has been such enrichment) shall be the basis for an adjustment to the Contract Sum or Contract Time if Contractor has not obtained advance written authorization to perform the Change in the manner required herein.

7.1.5 City or the Construction Manager may authorize and direct Changes by requesting that Contractor submit a Change Order Request or by issuing a Field Order. A Field Order may be issued to direct performance of Work under the following circumstances:

.1 When there is a dispute as to whether or not the Work described therein constitutes or includes a Change or Extra Work,
.2 When there is a dispute regarding the basis or amount of compensation for Changed or Extra Work,
.3 When there is a dispute regarding whether or how the Contract Time should be adjusted, or
.4 As otherwise deemed necessary by City to ensure the timely performance of the Work and timely completion of the Project.

The purpose of a Field Order is to ensure the timely performance of the Work and timely completion of the Project, and issuance of a Field Order shall not be construed as an acknowledgment by City that the Work described constitutes a Change or Extra Work if that is in fact not the case.

7.1.6 City can make whatever Changes that it determines in its sole discretion are necessary and in its best interests and under no circumstances shall the number (individual or cumulative value) or scope of Changes become a basis for Contractor to claim that the Construction Contract has been rescinded, terminated, abandoned or should be reformed nor shall such circumstances be the basis for Contractor, or any Subcontractor to recover any compensation or damages not permitted by, or in excess of that all owed under, the Contract Documents.

7.1.7 City shall have authority to order minor Changes in the Work that do not increase the cost or time to perform the Work, and which are consistent with the intent of the Contract Documents. Such changes may be directed by a Field Order, and shall be bindin g on City and Contractor. Contractor shall carry out such written orders promptly.

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7.2 CHANGE ORDER REQUESTS AND CHANGE ORDERS

7.2.1 Contractor may request adjustments to the Contract Sum or Contract Time or the terms of a Field Order by submitting a written Change Order Request if, and only if, Contractor follows the procedures specified in the Contract Documents, including, without l imitation, the procedures set forth in this Section 7.2. A Change Order Request must be submitted within ten (10) Days after the occurrence of the circumstances giving rise thereto. At the City’s election, the Contractor shall submit all Change Ord er requests on a form prepared by the City. The Change Order Request must clearly describe the circumstances that are the basis of the Change, with reference, to the particular provisions of the Contract Documents involved, and also to all other directly r elevant documents, including, but not limited to, related Requests for Information and responses thereto, and Field Orders. A Change Order Request seeking an adjustment to the Contract Sum must identify the proposed basis of compensation, the amount of th e requested adjustment, and a detailed breakdown of the amount requested. A Change Order Request seeking an adjustment to the Contract Time must include all information required by the Contract Documents, including, but not limited to strict compliance wi th Section 8.5 of the General Conditions pertaining to requests for extension of Contract Time. A request for an extension of Contract Time must be accompanied by a "Fragnet" or “time impact analysis," which identifies all critical and non -critical activities affected by the Change Order Request and showing logic ties into all existing affected activities noted on the latest approved, updated Construction Schedule. Change Order Requests must be submitted to the Construction Manager. Incomplete Change Ord er Requests or requests that are not submitted on the City’s Change Order Request Form will be returned without review.

7.2.2 Adjustments to the Contract Sum, whether increases or decreases, shall be computed at City's sole election on the basis of one or more of the following methods:

.1 Unit Pricing: Unit prices stated in the Contract Documents or agreed upon by City and Contractor, which shall be deemed to include all Allowable Costs, Contractor Markup and Subcontractor Markup.

.2 Lump Sum Pricing: A lump sum agreed upon by City and Contractor, based on the estimated Allowable Costs, Contractor Markup, and Subcontractor Markup computed in accordance with this Section.

.3 Time and Materials: Work performed on a time and materials basis shall be calculated as the sum of Allowable Costs, plus applicable Contractor Markup, as set forth herein.

The above methods are the exclusive methods for calculating adjustments to the Contract Sum. Under no circumstances will adjustment to the Contract Sum be based upon any methodology such as total cost or modified total cost methodologies that purports to calculate Contractor’s additional costs based on the difference between Contractor’s total actual Project or line item costs and its original bid estimate for the Project or any original bid estimate line item.

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7.2.3 Changes involving Extra Work that City elects to have performed on a time and material basis, whether performed by Contractor's forces or the forces of Subcontractors, shall be compensated by an increase in the Contract Sum based on actual Allowable Costs and applicable Markup, as set forth herein.

When Work is performed on a time and material basis, by Contractor or any of its Subcontractors, Contractor shall submit on a daily basis to the Construction Manager daily time and material tickets which include the identification number assigned to the Change; the location and description of the Change; the classification of labor employed (and names and social security numbers if requested); the materials used; the equipment rented (not tools); and such other re ceipts, invoices, or other evidence of cost as the Construction Manager may require. The Construction Manager may require authentication of all time and material tickets and invoices by persons designated by the Construction Manager for such purpose. The failure of Contractor to provide any required authentication shall, if City elects to treat it as such, constitute a waiver by Contractor of any right to adjustment of the Contract Sum for the cost of all or that portion of the Extra Work covered by a non -authenticated ticket or subsequent invoice. The adjustment to the Contract Sum for the Extra Work will be based on the total sum of Allowable Costs for performance of that Extra Work and applicable Markup as provided herein.

.1 Minimum Shift Payment. This provision applies for each day that (1) the time during which the Extra Work is performed is less than a full day’s work based on normal working hours for the Project, and (2) an applicable DIR wage determination would result in the Contractor or any of its Subcontractors having to pay a worker assigned Extra Work for more time than spent actually performing the Extra Work. Under those circumstances, once the Extra Work has been completed for the day, the worker will be reassigned to perform other Work for the duration of the shift that day unless the City reassignment is impractical.

7.2.4 Allowable Costs include and are limited to the sum of direct, actual costs necessarily incurred by Contractor and any Subcontractors that actually perform Extra Work, and are strictly limited to the following:

.1 Labor. The actual costs for straight -time (and the premium time portion of overtime, if approved in writing in advance by City or the Construction Manager) wages or salaries for employees performing the Extra Work, whether at the Site, or at fabrication sites off the Site, plus employer payments collectively referred to as "Fringe Benefits and Payroll Taxes," of payroll, taxes and insurance, health and welfare pension, vacation, apprenticeship funds, and other direct costs required by Federal, State or local laws, as well as assessments or benefits required by lawful collective bargaining agreements. The use of employees with a labor classification, which would increase the Allowable Costs will not be permitted unless Contractor establishes the necessity for such additional costs.

Labor costs for equipment operators and helpers shall be payable under this Paragraph only when such costs are not included in the invoice for equipment rental.

.2 Material. The actual cost of materials, supplies and consumable items which are required for the Work at invoice or lowest current price at which such materials are locally available and delivered to the Site in the quantities involved, including sales tax, freig ht and delivery. City reserves the right to approve materials and sources of supply, or to supply materials to Contractor, if necessary, for the Work. No Markup shall be applied to any material provided by City. Material re -stocking charges s hall be limited to 5% of the amount of material. All discounts, rebates and refunds from the sale of surplus materials and consumable items shall accrue to City, and Contractor shall make provision so that they may be obtained.

.3 Tool and Equipment Rental . Rental charges actually incurred for necessary machinery and equipment, whether owned or hired, as authorized in writing by City or the Construction Manager, exclusive of hand tools. No payment will be made for the use of Item 5
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tools that have a replacement value of $500 or less. When the equipment is owned by Contractor, the rental rate shall be as listed for such equipment in the California Department of Transportation publication entitled "Labor Surcharge and Equipment Rental Rates," which is in effect on the date the Work is accomplished. When equipment is not listed in said publication, the rate to be paid shall be as herein defined, or a suitable rental rate for such equipment will be established by the Construction Manage r.

Regardless of ownership, the rates to be used in determining equipment rental cost shall not exceed listed rates prevailing locally at equipment rental agencies or distributors at the time the work is performed. The rental rates paid shall include the cost of fuel, oil, lubrication, supplies, small tools, necessary attachments, repairs and maintenance of any kind, depreciation, storage, insurance and all incidentals. If equipment is used intermittently, when not in use it shall be returned to its rent al source unless Contractor elects to keep it at the Site at no expense to City. The reported rental time for equipment already at the Site shall be the duration of its use on the Extra Work, commencing at the time it is first put into actual operation on the Extra Work, plus the time required to move it from its previous site and back, or to a closer site.

.4 Royalties and Permits . Costs of royalties and permits solely related to the Extra or Deleted Work.

.5 Insurance and Bonds. Additional costs of insurance and bonds, not to exceed two percent (2%) of the total of Parts .1 through .4, above.

7.2.5 Allowable Costs shall not include any of the following, which are deemed to be included in the Contractor Markup:

(i) Superintendent(s)

(ii) Assistant Superintendent (s)

(iii) Project Engineer(s), Assistant Project Engineer(s).

(iv) Project Manager(s), Assistant Project Manager(s).

(v) Scheduler(s), Administrative Assistant(s), Health and Safety personnel.

(vi) Estimator(s), Clerk(s), Secretary(s), Accountant(s) or any Home Office personnel.

(vii) Drafting or detailing.

(viii) Small tools (with a replacement value under $500).

(ix) Home or field office expenses, including staff, materials, and supplies.

(x) Trailer or storage rental and expense, whether on the Site or off the Site.

(xi) Data processing personnel and equipment.

(xii) Site fencing.

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(xiii) Utilities, including, without limitation, gas, electric, sewer, water, telephones.

(xiv) Telephone, cell phone, radios, computer, tablet devices, facsimile, e -mail and copier.

(xv) Overhead, administrative, or general expenses of any kind.

(xvi) Loss of efficiency or productivity, or other impact cost due to the effect of the Extra Work on the performance of other Work or the Work of other trades on the Project.

(xvii) Capital expenses, including interest on capital employed in connection with Extra Work.

(xviii) Legal costs.

(xix) Federal, State, or local income and franchise taxes.

(xx) Profit.

(xxi) Costs incurred more than twenty (20) Days prior to submission of a Change Order Request seeking compensation for those costs.

(xxii) Cost of any item not specifically and expressly included in Allowable Costs.

7.2.6 Contractor Markup for Extra Work is to be calculated as ten percent (10%) of the Allowable Costs the Contractor or Subcontractor actually incurred to perform the Extra Work with its own forces. Subcontractor Markup by Contractor for Extra Work performed by Subcontractor is to be calculated as fifteen percent (15%) of the total Allowable Costs the Subcontractor incurred for Extra Work. The total amount of markup for Extra Work may not exceed twenty-five percent (25%) of the total Allowable Costs.

7.2.7 Change Order Requests or requests for payment for time and material work directed by a Field Order must include a complete breakdown of actual costs, including credits, and shall itemize all Allowable Costs, subcontract costs if applicable, Contractor Mar kup, and Subcontractor Markup if applicable. All claimed costs must be fully documented and objectively verifiable. In connection with the foregoing, Contractor must generate and maintain complete and accurate cost accounting records that will reflect:

.1 The actual Allowable Costs incurred or saved for each individual item of Extra Work or Deleted Work, and

.2 On an event-by-event basis, the effect of each Delay that forms the basis of any request for extension of time, regardless of scope, number, complexity, cumulative effect or time of issuance or occurrence.

7.2.8 The Contract Sum will be adjusted for direct Allowable Costs incurred due to Excusable Delay only if and to the extent allowed by the Contract for Compensable Delay. Such adjustments in the Contract Sum shall be Contractor’s sole and exclusive remedy an d recovery for Excusable Delay, including any alleged disruption, hindrance, interference, loss of productivity, labor or material cost escalations, inefficiency, acceleration, impact costs, extended or extraordinary overhead (direct or indirect), h ome office overhead, or other Losses or damages due to Delay, of any kind.

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FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 74 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

7.2.9 City has the right to increase or decrease the quantity of any unit price item for which an estimated quantity is stated in the Contract Documents, and the Contract Sum will be adjusted accordingly.

7.2.10 Allowance Adjustments: An Allowance is an amount included in the Bid for Work that may or may not be included in the Project, depending on conditions that will not become known until after Bid time. If the Contract Sum includes an Allowance and the cost of performing the Work covered by that Allowance is greater or less than the stated amount, the Contract Sum shall be increased or decreased accordingly by the amount of the difference. The Contract Sum shall also be adjusted by the amount of any unused Allowance that was specifically and expressly included in the original Contract Sum.

7.2.11 Change Orders: Approved Change Order Requests and Changes directed by a Field Order, including adjustments to Contract Sum and Contract Price, shall be incorporated into a Change Order for approval by the City. City shall prepare each Change Order for execution by Contractor and the City. Change Orders shall be in substantially the same form as Attachment B to the General Conditions. An Approved Change Order becomes binding upon City and Contractor when fully executed by both parties. Full execution of a Change Order is deemed full resolution, settlement, accord and satisfaction with respect to any and all pending or future Claims for cost and extensions of time that were asserted, or that could have been asserted, in connection with the Work covered by the Change Order, whether known or unknown at the time of execution of the Change Order, and that are related to the subject matter of the Change Order, including, without limitation, all Claims, costs or damages for Delay, disruption, hindrance, interfer ence, extended or extraordinary direct and indirect overhead, multiplicity of Changes, loss of productivity, labor or material cost escalations, inefficiency, the impact of the Change on the Work, legal expenses, consultant costs, interest, lost profits or revenue, bond or insurance costs, currency fluctuations, changes in taxes or other related Claims, costs or damages. Change Orders shall be executed by Contractor within ten (10) days after issuance by City, in the form approved by the City Council or its authorized designee, and without any express reservation of rights by Contractor to reserve for the future the right to assert or recover from City any such Claims, costs or damages.

7.2.12 If Contractor refuses or fails to timely execute a Change Order, upon receipt of Contractor’s written refusal or if Contractor fails to execute the Change Order within ten (10) days following issuance, the City may unilaterally approve the Change Order to increase the Contract Sum and/or to extend the Contract Time. Contractor may dispute the terms of a unilaterally-approved Change Order, in whole or in part, by submitting a Claim in accordance with the Dispute Resolution Procedures set forth herein within fourteen (14) days after the Change Order is approved by the City. If Contractor fails to submit a Claim within that 14 -day period, with respect to all or part of the unilaterally -approved Change Order, those portions of the Change Order which h ave not been disputed by timely submission of a Claim shall be deemed to have the same effect as if the Change Order was fully executed by both parties as set forth above.

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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 75 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

7.3 FIELD ORDERS

A Field Order will include a description of the Work to be performed, and the selected basis for adjusting the Contract Sum (increase or decrease) as set forth herein (i.e., unit pricing if applicable, lump sum, or time and materials). A Field Order may o r may not include the total amount of the City’s proposed adjustment to the Contract Sum or Contract Time, and may also include a not -to-exceed limit for any increases to the Contract Sum. Upon receipt of a Field Order, Contractor shall sign the Field Order to acknowledge receipt of the Field Order and , within a reasonable time, proceed with the Work described in the Field Order.

Contractor’s signature acknowledging receipt of the Field Order will not operate to impair Contractor’s right to dispute the Field Order as set forth herein. If Contractor disputes the proposed basis or amount of adjustment to the Contract Sum or Contract Time, it may request to change the disputed portions of the Field Order by submitting a Change Order Request within ten (10) Da ys following issuance of the disputed Field Order. Failure by Contractor to submit a timely Change Order Request seeking modification of the terms of the Field Order shall be deemed full acceptance of and agreement to all of the terms of the Field Order, and a release and waiver of any right to subsequently dispute any or all of the terms of that Field Order. Field Orders shall be in substantially the same form as Attachment A to the General Conditions.

7.4 DISPUTES REGARDING CHANGES

No dispute, disagreement, nor failure of the parties to reach agreement regarding the amount, if any, of any adjustment to the Contract Sum or Contract Time, shall relieve Contractor from the obligation to proceed with performance of the Work, including, w ithout limitation, performance of Work directed by a Field Order or as modified by a Change Order, promptly and expeditiously.

ARTICLE 8 – CONTRACT TIME

8.1 COMMENCEMENT OF THE WORK

Commencement of the Work shall begin on the date specified in the Notice to Proceed.

8.2 PROGRESS AND COMPLETION

8.2.1 Contractor agrees that the Contract Time is reasonable for performing the Work and that Contractor is able to perform the Work within the Contract Time.

.1 The Construction Schedule may reflect a period of performance that is shorter than the Contract Time; provided however, that the difference shall be deemed as float and nothing in this Paragraph or in any other provision of the Contract Documents shall be construed as creating any contractual right, express or implied, on the part of Contractor to finish the Project earlier than the Contract Time and under no circumstances shall City be liable to Contractor for any costs, damages or compensation due to t he inability of Contractor to complete the Work earlier than the Contract Time, regardless of the cause, including, without limitation, acts or omissions (intentional or negligent) of City.

.2 Contractor has included in its Bid price the costs of all Contractor and Subcontractor overhead (direct and indirect) for the entire duration of the Contract Time. The above costs are included in Contractor’s Bid notwithstanding Contractor's anticipation of completion in fewer days than established by the Contract Time.

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FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 76 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS
.3 No increase in the Contract Sum shall be made or granted for Delay if Contractor completes the Work before expiration of the Contract Time.

.4 No reduction in the Contract Sum shall be made nor will Contractor be required to remain on the Project Site if the Work is completed before expiration of the Contract Time.

.5 The Construction Manager will schedule and hold weekly progress meetings and other meetings to be required by progress of the Work as determined by the Construction Manager. Contractor and/or Contractor's designee shall be present at each meeting.

Contractor may also be required to request attendance by representatives of Contractor’s suppliers, manufacturers and Subcontractors.

8.2.2 Except by agreement or instruction of City in writing, Contractor shall not commence operations on the Site or elsewhere prior to the effective date of insurance required by Article 11 to be furnished by Contractor. Contractor’s obligations to commence the Work and to complete the Work within the Contract Time shall not be changed by the effective date of such insurance.

8.2.3 Contractor shall proceed expeditiously with adequate forces and shall achieve Final Completion within the Contract Time. If City determines and notifies Contractor that Contractor’s progress is such that Contractor will not complete the Work within the Contract Time, Contractor shall, immediately and at no additional cost to City, take all measures necessary, including working such overtime and additional shifts (other than City’s normal working hours of 8:00 AM to 6:00 PM, Monday through Friday and 9:00 AM to 6:00 PM on Saturday), to ensure that the Work is Substantially Completed within the Contract Time. Upon receipt of such notice from City, Contractor shall immediately respond in writing setting forth a detailed plan for accelerating the Work in a manner acceptable to City. Contractor shall not be entitled to any reimbursement or payment of costs, expenses or damages incurred as a result of an acceleration of the Work. City may also take all necessary measures to prevent the need for subsequen t accelerations of the Work. Contractor shall reimburse City, or City may withhold from payment due to Contractor, sums expended by City to perform such measures.

8.2.4. During unfavorable weather, wet ground or other unsuitable construction conditions, Contractor shall confine the operations to Work that will not be affected adversely by such conditions. No portion of the Work shall be constructed under conditions which would affect adversely the quality thereof or be detrimental to the quality of water discharges, unless special means or precautions are taken by Contractor to perform the Work in a proper and satisfactory manner.

8.3 CONSTRUCTION HOURS

Based on the Citywide noise ordinance and normal City business hours, Contractor is limited to performing the Work during an eight-hour period between the hours of 8:00 AM to 6:00 PM Monday through Friday, excluding holidays as set forth in Section 8.4 below, unless otherwise specified in the Special Provisions or authorized by Change Order. A Change Order Request to work beyond the authorized working hours will not be approved unless Contractor agrees to be solely responsible for any and all additional costs, including overtime payments for workers or for City staff or consultants, inspection costs, and additional traffic control costs.

8.4 HOLIDAYS

No work may be performed on the City holidays identified:

January 1 (New Year’s Day)
Third Monday in January (Martin Luther King Day)
Third Monday in February (Washington’s Birthday)
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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 77 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS
Last Monday in May (Memorial Day)
July 4 (Independence Day)
First Monday in September (Labor Day)
Second Monday in October (Columbus Day)
November 11 (Veteran’s Day)
Fourth Thursday in November (Thanksgiving Day)
Day after Thanksgiving
December 25 (Christmas Day)

In the event that any of the aforementioned days falls on a Sunday, the following Monday shall be considered a holiday. In the event that any of the above days falls on a Saturday, then the preceding Friday shall be considered a holiday.

8.5 DELAY

8.5.1 Contractor may request an extension of the Contract Time for an Excusable Delay or a Compensable Delay, subject to the following:

.1 In order to avoid double counting concurrent Delays, if an Excusable Delay and a Compensable Delay occur concurrently, the maximum extension of the Contract Time shall be the number of days from the commencement of the first Delay to the cessation of the Delay which ends last.

.2 If an Unexcused Delay occurs concurrently with either an Excusable Delay or a Compensable Delay, the maximum extension of the Contract Time shall be the number of Days, if any, by which the Excusable Delay or the Compensable Delay exceeds the Unexcused Delay.

.3 If an Unexcused Delay occurs concurrently with both an Excusable Delay and a Compensable Delay, the maximum extension of the Contract Time shall be the number of Days, if any, by which the number of Days of Excusable Delay, as determined pursuant these General Conditions, exceeds the number of Days of the Unexcused Delay.

8.5.2 As a condition precedent to Contractor's right to an extension of Time adjusting the Contract Time and the Contract Sum for Compensable Delay, Contractor must provide written notice to City within ten (10) Days of the date that Contractor learned of the Delay or should have learned of the Delay in exercise of diligence and reasonable care, setting forth:

(i) A description of the Delay;

(ii) A statement that the Delay is critical to completion; and

(iii) The probable effect of the Delay in terms of the number of Days' extension Contractor believes are required to the Contract Time.

The written notice required by this Paragraph is necessary for City to adequately monitor the progress of the Work, to differentiate between critical and non -critical Delays, and to prioritize its actions in a manner that is appropriately targeted to mitig ate the effect of Delays. Accordingly, Contractor’s failure to provide written notice in the manner required by this Paragraph 8.5.2 shall constitute Contractor’s waiver of the right to an adjustment of the Contract Sum and Contract Time on account thereb y, regardless of whether the circumstances of the Delay may have been known or suspected by City or the Construction Manager and that no other form of notice (including, without limitation, meeting minutes, log entries or schedule updates) shall suffice as constituting notice to City in accordance with this Paragraph 8.5.2.

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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 78 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

8.5.3 Adequate supporting data for a request for extension of time shall include both of the following:

(i) All relevant scheduling data including a Fragnet, and (ii) A detailed, event -by-event description of the impact of each event on completion of Work. Documentary support for any related increase in the Contract Sum must include both of the following:
(a) A detailed cost breakdown, and
(b) Supporting cost data in such form and including such information and other supporting data as required for submission of Change Order Requests.

8.5.4 City may order Changes, whether or not resulting in Extra Work and regardless of the extent and number of Changes, or may suspend the Work.

8.5.5 The determination of whether a Delay is an Excusable Delay, Compensable Delay or Unexcused Delay shall not be affected by the fact that any earlier Delay occurred, regardless of fault or causation.

8.5.6 All time limits stated in the Contract Documents are of the essence.

8.5.7 Excusable Delay means any Delay to the path of activities that is critical to Substantial Completion of the Work within the Contract Time caused by conditions beyond the control or foreseeability, and without the fault or negligence of Contractor or its S ubcontractors, such as, but not limited to: war, embargoes, fire, unavoidable casualties, unusual delays in transportation, national emergency, and stormy and inclement weather conditions that are unusual and unseasonable and in which the Work cannot continue. Without limitation to the foregoing, the financial inability of Contractor or any Subcontractor, shall not be deemed conditions beyond Contractor's control or foreseeability. Contractor may claim an Excusable Delay only if it is unable to perform at least four (4) hours of scheduled critical path Work during a normal eight (8) hour work day., even with reasonable mitigation measures..

8.5.7.1 Excusable Delay does not include Delay caused by rainfall which is normal for that month in the City as specified in Section 3.10.3.4.

8.5.7.2 Excusable Delay does not include Delay caused by Contractor’s failure to order equipment and materials sufficiently in advance of the time needed for the Work.

8.5.7.3 Excusable Delay does not include Delay caused by Contractor’s failure to provide adequate notification to utility companies for connections or services necessary for the timely performance and completion of the Work.

8.5.7.4 Excusable Delay does not include Delay caused by foreseeable conditions Contractor could have ascertained from reasonably diligent inspection of the Site and/or review of the Contract Documents.

8.5.8 Compensable Delay means any Excusable Delay to the path of activities that is critical to Contractor’s Substantial Completion of the Work within the Contract Time, which Delay is all of the following:

(i) Solely due to acts or omissions within the City’s control, including but not limited to Changes requested by City that involve Extra Work;

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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 79 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS
(ii) Not due, in whole or in part, to the fault or negligence or breach of Contractor or any Subcontractor; and

(iii) Not concurrent with another Excusable Delay or any Unexcused Delay.

8.5.9 Compensation for delay shall be limited to actual, direct, reasonable, and substantiated Project costs, and shall not include home office overhead, or markup for overhead and profit.

ARTICLE 9 – PAYMENTS AND COMPLETION

9.1 SCHEDULE OF VALUES

Within thirty (30) Days after signing the Contract, but in any event not later than fourteen (14) Days following receipt of the Notice to Proceed, Contractor shall submit to City through the Construction Manager a Schedule of Values reflecting cost breakd own of the Contract Sum in a form approved by the Construction Manager. The Schedule of Values shall itemize as separate line items the cost of each scheduled Work activity and all other costs, including warranties, Record Documents, insurance, bonds, overhead and profit, the total of which shall equal the Contract Sum and shall be made out in a form approved by the Construction Manager. The Schedule of Values, when approved by City, shall become the basis for determining the cost of Work requested on Con tractor's Applications For Payment. Contractor shall submit a statement based upon this breakdown, and if required, itemized in such form and supported by such evidence as the Construction Manager may direct, showing Contractor's right to the payment claimed.

9.2 PROGRESS PAYMENT

9.2.1 City shall retain five percent (5%) of the undisputed amount due on each progress payment, or the percentage stated in the Notice Inviting Bids, whichever is greater, as retention to ensure full and complete performance of the Work. Subject to City’s right of withholding under Paragraph 9.4.2 of these General Conditions, City agrees to pay to Contractor within thirty (30) Days of receipt of a properly submitted Application for Payment an amount equal to ninety -five percent (95%), or a lesser amount if corresponding to a higher retention percentage, if applicable, of the sum of the following, excepting therefrom any amounts which are disputed by City:

(i) Construction Manager’s determination of the value, expressed as a percentage of the Contract Sum, of the Work in permanent place that has been tested and accepted as of the end of the preceding month.

(ii) Construction Manager’s determination of the value of materials suitably stored but not yet incorporated into the Work, subject to Paragraph 9.3.6 of these General Conditions.

(iii) Less amounts previously paid.

9.2.2 At any Time after fifty percent (50%) of the Work has been determined by Construction Manager to be completed, City may in its sole discretion, make any of the remaining progress payments in accordance with the calculation in Paragraph 9.2.1 of these Gene ral Conditions based on one hundred percent (100%) of City’s determination of the value of the Work in place and of stored materials not yet incorporated into the Work.

9.2.3 Progress payments shall not be construed as City's Acceptance of any or all of the Work and shall not be a waiver of any or all rights City has under the Contract Documents.

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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 80 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

9.3 APPLICATION FOR PAYMENT

9.3.1 At the end of each month, Contractor shall submit to City an itemized Application for Payment, requesting payment for Work as of the end of that month that is calculated in accordance with the formula for payment set forth in Paragraph 9.2.1 of these Gene ral Conditions. The Application for Payment shall be prepared:

(i) Utilizing the format as designated by City or the Construction Manager.

(ii) Itemized in accordance with the Approved Schedule of Values.

(iii) Showing the results of a successful system test (for example a pressure test for gas project) of the system installed or completed in the pay period covering the Application for Payment.

(iv) Including such data substantiating Contractor's right to payment as City may reasonably require, such as invoices, payrolls, daily time and material records, and, if securities are deposited in lieu of retention pursuant to Section 9.5, a certification of the market value of all such securities as of a date not earlier than five (5) Days prior to the date of the Application for Payment.

(v) Showing itemized amounts for Change Orders, Modifications and retention.

9.3.2 Applications for Payment shall not include requests for payment on account of increases to the Contract Sum which have not been authorized by Change Orders or amounts Contractor does not intend to pay a Subcontractor because of a dispute or other reason.

9.3.3 If required by City, an Application for Payment shall be accompanied by all of the following:

(i) A summary showing payments that Contractor will make to Subcontractors covered by such application.

(ii) Conditional waivers and releases of claims and stop notices from Contractor and each Subcontractor and Sub -subcontractor, of every Tier, listed in the current Application for Payment covering sums requested in the current Application for Payment.

(iii) Unconditional waivers and releases of claims and stop notices, from Contractor and each Subcontractor and Sub -subcontractor, of every Tier, listed in the preceding Application for Payment covering sums disbursed pursuant to that preceding Application for Payment.

9.3.4 Contractor warrants that, upon submittal of an Application for Payment, all Work for which Certificates for Payment have been previously issued and payment has been received from City, shall be free and clear of all claims, stop notices, security interest s and encumbrances in favor of Contractor or Subcontractors or other persons or firms entitled to make claims by reason of having provided labor, materials or equipment relating to the Work.

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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 81 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS

9.3.6 At the sole discretion of City, the Construction Manager may approve for inclusion in Contractor’s Application for Payment the cost of materials to be incorporated in the Work but not yet incorporated in the Work and already delivered and suitably stored either at the Site or at some other appropriate location acceptable to City. In such case, Contractor shall furnish evidence satisfactory to City:

(i) Of the cost of such materials.

(ii) That such materials are under the exclusive control of Contractor, or if not, that title to the materials is in City’s name, free of any lien or encumbrance and that the materials are safely and suitably stored in a bonded warehouse with appropriate insura nce coverage satisfactory to City to cover any Loss.

(iii) Photographs of such materials if requested by the City.

Any payment pursuant to this Paragraph shall not be construed as an inspection or acceptance of the materials nor shall it relieve Contractor of its continuing and sole responsibility for the care and protection of such materials nor shall it relieve Contr actor from sole responsibility for any loss or damage to the materials from any cause whatsoever nor act as a waiver of the right of City to require strict fulfillment by Contractor with all terms of the Contract Documents.

9.3.7 City shall have the right, in its sole discretion, to make payments of monies owing to Contractor by means of direct payment to Subcontractors of any unpaid work performed by any Subcontractor or by joint payment to Contractor and to Subcontractors. The making of such payments shall not be construed as the assumption of any obligation on the part of City or as creating any contractual relationship between City and any Subcontractor and shall not relieve Contractor of any of its obligations under the Contract Documents.

9.3.8 If the Contract Sum includes an Allowance from the Bid and the cost of performing the Work covered by that Allowance is greater or less than the amount of that Allowance, the Contract Sum shall be increased or decreased accordingly.

9.4 CERTIFICATE FOR PAYMENT

9.4.1 Approval of all or any part of an Application for Payment may be withheld, a Certificate For Payment may be withheld or all or part of a previous Certificate For Payment may be nullified and that amount withheld from a current Certificate For Payment in o rder to protect City against actual or threatened loss as a result of any of the following:

(i) Defective Work not remedied or failure to pass required system tests.

(ii) Third-party claims against Contractor or City arising from the acts or omissions of Contractor, or Subcontractors.

(iii) Stop notices.

(iv) Failure of Contractor to make timely payments due Subcontractors for material or labor.

(v) A reasonable doubt that the Work can be completed for the balance of the Contract Sum then unpaid.

(vi) Damage to City or Separate Contractor for which Contractor is responsible.

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FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 82 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS
(vii) Reasonable evidence that the Work will not be completed within the Contract Time.

(viii) Failure of Contractor to maintain and update As-Built or Record Documents.

(ix) Failure of Contractor to timely submit Construction Schedules, reports, Submittals or their updates as required by the Contract Documents.

(x) Performance of Work by Contractor without Approved Submittals.

(xi) Liquidated or actual damages assessed in accordance with the Construction Contract.

(xii) Any other failure of Contractor to perform an obligation under the Contract Documents.

9.4.2 Subject to the withholding provisions of Paragraph 9.4.2 and when any or all of the noted deficiencies or others have been removed, City shall pay Contractor the amount set forth in the Certificate for Payment in accordance with its normal disbursement procedures.

9.4.3 Neither City nor the Construction Manager shall have an obligation to pay or to see to the payment of money to a Subcontractor, except as may otherwise be required by Law.

9.4.4 Neither a Certificate for Payment nor any payment (progress or final) shall be construed as a waiver of any rights arising from Defective Work.

9.4.5 City may, at any time, require that payment of any undisputed amount is contingent upon Contractor furnishing City with a release of all claims against City which are related to those undisputed payments. Any disputed amount may be expressly excluded fro m such release.

9.4.6 The City may require a tri -party agreement among the City, the Contractor, and the Contractor's surety as a condition to making full progress payments if the Work is behind schedule, in order to avoid exoneration of the surety bond or impairment of the su rety's security.

9.6 BENEFICIAL OCCUPANCY

9.6.1 City reserves the right, at its option and convenience, to occupy or otherwise make use of all or any part of the Work, at any time prior to issuing the Certificate of Substantial Completion, upon seven (7) Days’ notice to Contractor. Such occupancy or use is herein referred to as "Beneficial Occupancy." Beneficial Occupancy shall be subject to the following conditions:

.1 City, Design Consultant and Construction Manager will make an inspection of the portion of the Work to be beneficially occupied and prepare a list of items to be completed or corrected prior to issuing the Certificate of Substantial Completion.

.2 Beneficial Occupancy by City shall not be construed by Contractor as Acceptance by City of that portion of the Work which is to be occupied. City may, however, at its sole option, relieve Contractor of Contract requirements to protect Work being beneficially occupied by City where such relief is specifically designated by City in writing.

.3 Beneficial Occupancy by City shall not constitute a waiver of City’s right to assess liquidated damages as otherwise provided in these Contract Documents.

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Attachment A - C26196846 -
FieldTurf USA - El Camino
Park Turf Replacement -
FINAL

Item 5: Staff Report
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Invitation for Bids (IFB) Package 83 Rev. June 24, 2025 PART 5 – GENERAL CONDITIONS
.4 Contractor shall provide, in the areas beneficially occupied and on a continual basis (if required), utility services, heating, and cooling for systems which are in operable condition at the time of Beneficial Occupancy. All responsibility for the operation and maintenance of equipment shall remain with Contractor while the equipment is so operated. Contractor shall submit to City an itemized list of each piece of equipment so operated with the date operation commences.

.5 The Guarantee to Repair Periods, as defined in Section 12.2 of these General Conditions, will commence upon the first dates of actual occupancy or use of portions of the Work to which the City has taken Beneficial Occupancy and to equipment or systems fully utilized.

.6 City shall pay all normal operating and maintenance costs resulting from its use of equipment in areas beneficially occupied.

.7 City shall pay all utility costs which arise out of the Beneficial Occupancy.

.8 Contractor shall not be responsible for providing security in areas beneficially occupied.

.9 City shall use its best efforts to prevent its Beneficial Occupancy from interfering with the conduct of Contractor's remaining Work.

.10 Contractor shall not be required to repair damage caused by City in its Beneficial Occupancy.

.11 Except as provided in this Section 9.6 of these General Conditions, there shall be no added cost to City due to Beneficial Occupancy.

.12 Contractor shall continue to maintain all insurance required by the Contract in full force and effect.

9.7 SUBSTANTIAL COMPLETION

9.7.1 When Contractor gives notice to City that the Work, or portion thereof designated by City for separate delivery, is Substantially Complete, unless City determines that the Work or designated portion thereof is not sufficiently complete to warrant an inspec tion to determine Substantial Completion, Design Professional or Construction Manager will inspect the Work, or such designated portion thereof, and prepare and give to Contractor a comprehensive list of items, if any, to be completed or corrected before establishing Substantial Completion. Contractor shall promptly proceed to complete and correct items on the list. Failure to include an item on such list does not alter the responsibility of Contractor to complete all Work in accordance with the Contract Documents. City will then make a further inspection to determine whether the Work or such designated portion thereof is Substantially Complete. If City's inspection discloses any item, whether or not included on the list, which must be completed or correc ted before Substantial Completion, Contractor shall, before City’s issuance of the Certificate of Substantial Completion, complete or correct such item. Contractor shall then submit a request for another inspection by City to determine Substantial Completion.

9.7.2 When City determines that the Work or such designated portion thereof is Substantially Complete, City will prepare a Certificate of Substantial Completion on City's form, which when signed by City shall establish the date of Substantial Completion and the responsibilities of City and Contractor for security, maintenance, heat, utilities, insurance, completion of minor items and correction or repair of the Work or such designated portion thereof. Unless otherwise provided in the Certificate of Subst antial Completion, the Guarantee To Repair Period for the Work (which is defined in Article 12, Section 12.2.1), Item 5
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or such designated portion thereof covered by the Certificate of Substantial Completion, excluding any systems provided by Separate Contractors which are not yet fully operational or accepted by City, shall commence on the date of Substantial Completion of the Work or such designated portion thereof. The Guarantee To Repair Period for systems which become fully operational or Accepted subsequent to Substantial Completion will begin on the later of the date they are operational or Acceptance of the Project by City.

9.8 FINAL COMPLETION AND FINAL PAYMENT

9.8.1 Upon receipt of notice from Contractor that the Work is ready for final inspection, City will make such inspection. City will file a notice of completion with the County Clerk within fifteen (15) Days after Acceptance by City. Thirty-five (35) Days after filing the notice of completion, the City may release the final retention provided the requirements in this paragraph are met.

9.8.2 Without limitation to any other provisions of the Contract Documents, before Final Payment (including release of undisputed retention) for Work under this Construction Contract is authorized, the Contractor shall have completed the Work in accordance with the Contract Documents and all applicable standards of care and the following requirements of the Contract Documents must be fulfilled by Contractor:

(i) The submittal of an application for Final Payment, together with supporting documentation, as required by Section 9.3 of these General Conditions. By submitting an application for final payment, Contractor warrants that all workers and persons employed, all firms supplying the materials, and all Subcontractors have been paid in full with the exception of any Subcontractor retention payments that are not yet due pursuant to Public Contract Code section 7107(d) or (e), and that there are no bills outstanding against the Work for either labor or materials, except certain items, documented as disputed claims or pending stop payment notices.

(ii) Completion and delivery by Contractor to City of all required written guarantees, warranties, operation and maintenance manuals, As -Built Documents and other Record Documents, drawings, schedules, certificates and such other documents as required by the Contract Documents. All approvals and acceptances shall have been made pursuant to Applicable Code Requirements.

(iii) Completion of all construction Work, including corrective and punch list items, in a manner acceptable to City. All rubbish, tools, scaffolding and surplus materials and equipment have been removed from the Site. Notwithstanding, payment for elected future maintenance or testing programs shall be due and payable with Contractor’s final pay application.

(iv) Submission of conditional releases of claims and stop notices from Contractor and its Subcontractors with no reservation of rights for disputed claims or amounts.

(v) If a Stop Notice(s) is received by the City after the Notice of Completion has been filed and prior to Final Payment, the City may, at its election, withhold the amount specified in the Stop Notice plus reasonable cost of any litigation pursuant to Civil Code Section 9358 from the Final Payment or permit the Contractor to supply a stop notice release bond in the amount of 125% of the stop notice amount from a Surety acceptable to the City.

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9.8.3 For purposes of determining the last day for submission of a Claim pursuant to Article 4, the date of Final Payment is deemed to be the date that the City acts to release undisputed retention as part of Final Payment, either by transmitting a written requ est to the retention Escrow Agent or by transmitting a payment directly to Contractor, whichever occurs first. Acceptance of Final Payment by Contractor shall constitute a complete waiver of all Claims, except those previously made in writing and identified by Contractor as unsettled at the time of the Application for Final Payment.

9.8.4 Contractor shall pay or cause to be paid to Subcontractors, the amount stated in the conditional releases within five (5) Days after receipt of the Final Payment, and shall promptly thereafter furnish evidence of such payment to City.

ARTICLE 10 – PROTECTION OF PERSONS AND PROPERTY

10.1 SAFETY PRECAUTIONS AND PROGRAMS

10.1.1 Contractor shall be solely and completely responsible for initiating, maintaining and supervising all safety precautions and programs on the Site in connection with the performance of the Construction Contract, including safety of all persons for the duration of the Work, on a 24-hour day, 7-day week basis.

10.1.2 Prior to the start of construction, Contractor shall submit to Construction Manager a copy of Contractor's safety program for the Project. A copy of this program shall be maintained on Site at all times. The safety program shall include, at a minimum:

(i) Management policy, illness and injury prevention program (as described below).

(ii) Safety meetings.

(iii) Accident investigation.

(iv) Basic accident causes.

(v) Safety inspection check list.

(vi) Fire prevention and control.

(vii) Report forms.

(viii) Employee safety manual.

10.2 SAFETY OF PERSONS AND PROPERTY

10.2.1 The Contractor shall be solely and completely responsible for job site conditions and safety during the life of the contract. This obligation shall include the safety of all persons within or affected by the line of construction and all private property affected by the work

10.2.2 At its sole expense, Contractor shall furnish, erect and maintain such temporary fences, barricades, signs, lights, ramps, and temporary construction of whatever nature as may be necessary to provide access to abutting properties and to warn the public of the work in progress and of any dangerous conditions as may exist due to the work in progress. The Contractor's responsibility shall be continuous and Item 5
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not be limited to working hours or days, and shall not cease until formal acceptance of the work by the City except that if the City should make partial acceptance of the work, the Contractor's responsibility for the portion of the work so accepted shall t hereupon cease, except for latent errors in the work or faulty construction.

10.2.3 The duty of the Construction Manager, its agents, or employees, to conduct construction review of the Contractor's performance and operations is not intended to, and does not include review of or responsibility for the adequacy of the Contractor's safety m easures and procedures in, on, or adjacent to the site of the Work.

10.2.4 Contractor shall protect persons and property on the Site at all times. Contractor shall have available at the Site copies or suitable extracts of "Construction Safety Orders" and "General Industrial Safety Orders" issued by the California Division of Industrial Safety. Contractor shall comply with provisions of these and all other applicable laws, ordinances, and regulations.

10.2.5 Contractor shall immediately respond to notice from City of unsafe conditions, shall take adequate precautions for safety of persons on the Site, and shall provide adequate protection to prevent injury or Loss to the following:

(i) Employees involved in the Work and other persons who may be affected thereby.

(ii) The Work in place and materials and equipment to be incorporated therein, whether in storage on or off the Site, under care, custody, or control of Contractor or Subcontractors.

(iii) Other property at the Site and adjoining property(ies).

10.2.6 Contractor shall promptly remedy damage and Loss (other than damage or Loss insured under property insurance required by the Contract Documents) to property caused in whole or in part by Contractor or its Subcontractors or anyone for whose acts they may b e liable and for which Contractor is responsible.

10.2.7 Contractor shall erect and maintain, as required by existing conditions and performance of the Work, adequate safeguards for safety and protection of persons and property, including providing adequate lighting and ventilation, posting danger signs and oth er warnings against hazards, promulgating safety regulations and notifying owners and users of adjacent sites and utilities.

10.2.8 When use or storage of hazardous materials, equipment, or unusual methods are necessary for execution of the Work, Contractor shall exercise the utmost care and carry on such activities only under the supervision of properly qualified personnel.

10.2.9 Contractor shall be required to provide at the Site a member of Contractor's organization, typically the Superintendent, whose responsibility it shall be to provide instruction to persons present on the Site about prevention of accidents and overall jobsi te safety. Contractor shall notify City in writing if Contractor replaces the person responsible for safety.

10.2.10 Contractor shall be responsible for locating, providing, and coordinating the storage and staging of materials and equipment on -Site and off-Site and shall not load/store or permit any part of the Work on the Site to be loaded/stored so as to endanger the safety of persons or property.

10.2.11 Contractor shall protect its materials and the Work from damage in a manner satisfactory to City and shall make good, without charge to City, all damage due to negligence in providing proper protection.

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10.2.12 Contractor shall take necessary precautions to guard against and eliminate possible fire hazards and to prevent damage to the Work, building materials, equipment, temporary field offices, storage sheds and public and private property.

10.2.13 Contractor shall not permit the possession or use of alcohol or controlled substances on the Site.

10.2.14 Explosives may be used only when authorized in writing by City. Explosives shall be handled, used and stored in accordance with applicable regulations.

10.3 EMERGENCIES

In an emergency affecting the safety of persons or property, Contractor shall immediately act to prevent or minimize damage, injury or loss. Contractor shall immediately notify the Construction Manager and City, which notice may be oral, followed within twenty-four (24) hours after occurrence of the incident by written confirmation, of the occurrence of such an emergency and Contractor's action.

10.4 TRENCH SAFETY

In accordance with the California Labor Code, where the work will involve trenches five feet or more in depth and the estimated or bid cost of excavation is in excess of $25,000, the Contractor shall submit to and receive from the City of Palo Alto, or its designee, the acceptance of a detailed plan showing design of shoring, bracing, sloping, or other provisions to be made for worker protection from the hazards of caving ground. Such plan shall be submitted at least five (5) days before the Contractor int ends to begin work on the trenches.

If such plan varies from the shoring system standards established by the Construction Safety Orders of the State of California Division of Industrial Safety, the plan shall be prepared by a registered civil or structural engineer.

The Contractor shall not use shoring, sloping, or protective systems less effective than that required by the Construction Safety Orders of the Division of Industrial Safety.

The City shall not be responsible or liable for the safety of such trenching or trenching plans.

Whenever the work called for on these plans or contract documents involves the construction of a pipeline, sewer, sewage disposal system, boring and jacking pits, or similar trenches or excavations, which are five feet or deeper, bidder shall include as a bid item, the cost of design and construction of adequate sheeting, shoring, and bracing, or equivalent method, for the protection of life or limb, which shall conform to applicable safety orders.

ARTICLE 11 – INSURANCE AND BONDS

11.1 CONTRACTOR'S INSURANCE

11.1.1 Contractors to the City, at their sole expense, shall for the term of the Contract obtain and maintain insurance in the amounts for the coverage specified below, or as modified by the Special Provisions (if applicable), afforded by companies with AM Best’s Key Rating of A -:VII, or higher, licensed or authorized to transact insurance business in the State of California.

REQUIRED TYPE OF COVERAGE REQUIREMENT MINIMUM LIMITS
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EACH

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

STATUTORY

STATUTORY

YES

GENERAL LIABILITY, INCLUDING

PERSONAL INJURY, BROAD

FORM PROPERTY DAMAGE

BLANKET CONTRACTUAL, AND

FIRE LEGAL LIABILITY

BODILY INJURY

PROPERTY DAMAGE

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

$1,000,000

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

$1,000,000

$1,000,000

YES AUTOMOBILE LIABILITY,

INCLUDING ALL OWNED, HIRED,

NON-OWNED

BODILY INJURY
- EACH PERSON
- EACH OCCURRENCE

PROPERTY DAMAGE

BODILY INJURY AND PROPERTY

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

$1,000,000

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

$1,000,000

$1,000,000

PROFESSIONAL LIABILITY,

INCLUDING, ERRORS AND

OMISSIONS, MALPRACTICE
(WHEN APPLICABLE), AND

NEGLIGENT PERFORMANCE

ALL DAMAGES $1,000,000

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

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

RESULTANT AGREEMENT, THE INSURANCE COVERAGE HEREIN DESCRIBED, INSURING NOT ONLY CONTRACTOR AND ITS SUBCONTRACTORS, IF ANY, BUT ALSO, WITH THE EXCEPTION OF WORKERS’ COMPENSATION, EMPLOYER’S

LIABILITY AND PROFESSIONAL INSURANCE, NAMING AS ADDITIONAL INSUREDS CITY, ITS COUNCIL MEMBERS, OFFICERS, AGENTS, AND EMPLOYEES.

I. INSURANCE COVERAGE MUST INCLUDE:

A. A CONTRACTUAL LIABILITY ENDORSEMENT PROVIDING INSURANCE COVERAGE FOR CONTRACTOR’S AGREEMENT TO INDEMNIFY CITY.

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

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

A. PRIMARY COVERAGE

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

AS AFFORDED BY THIS POLICY IS PRIMARY AND IS NOT ADDITIONAL TO OR CONTRIBUTING WITH ANY OTHER INSURANCE CARRIED BY OR FOR THE BENEFIT OF THE ADDITIONAL INSUREDS.

B. CROSS LIABILITY

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

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

ANOTHER, BUT THIS ENDORSEMENT, AND THE NAMING OF MULTIPLE INSUREDS, SHALL NOT INCREASE THE TOTAL LIABILITY OF THE COMPANY UNDER THIS POLICY.

C. NOTICE OF CANCELLATION

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1. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR ANY REASON OTHER THAN THE NON-PAYMENT OF PREMIUM, THE CONTRACTOR SHALL PROVIDE CITY AT LEAST A THIRTY (30) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION.

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

EVIDENCE OF INSURANCE AND OTHER RELATED NOTICES ARE REQUIRED TO BE FILED WITH THE CITY OF PALO ALTO AT THE FOLLOWING EMAIL: [email protected]

11.1.2 Contractor shall furnish City with the certificates of insurance and with original endorsements affecting coverage required under this Contract within ten (10) business days following issuance of the Notice of Award. The certificates and endorsements for each insurance policy shall be signed by a person who is authorized by that insurer to bind coverage on its behalf.

11.1.3 Subcontractors: Contractor shall include all Subcontractors and as insureds under its policies, or shall furnish separate certificates and endorsements for each Subcontractor in compliance with this Article. All coverages for Subcontractors shall be subject to all of the requirements stated herein.

11.1.4 At the request of City, Contractor shall submit to City copies of the policies obtained by Contractor. In the event Contractor does not comply with these insurance requirements, City may, at its option, provide insurance coverage to protect City; and the c ost of such insurance shall be paid by Contractor and may be deducted from the Contract Sum.

11.1.5 The requirements of this Section may only be modified in writing by the City’s Risk Manager.

11.2 BOND REQUIREMENTS

11.2.1 Within ten (10) Days after the issuance of the Notice of Award and prior to commencing Work on the Project, Contractor shall file with City good and sufficient Labor and Material Payment and Performance Bonds each in the amount of 100% of the Contract Sum . The bonds shall be in substantially the same form as contained in this IFB Packet or such other form as required by City and shall be signed by both Contractor and Surety and properly notarized. Should any bond required hereunder or any surety on such bond become or be determined by City to be insufficient, it shall be replaced within ten (10) Days by a bond that fully complies with the requirements of this Section 11.2. No further payments to Contractor for Work performed shall be made or due until Contractor has fully complied with the requirements of this Section 11.2.

11.2.2 The Payment Bond shall remain in effect at least until the time for filing a claim on a stop notice has expired pursuant to the California Civil Code. The Performance Bond provided by Contractor shall remain in effect for the duration of the period of al l warranties required by the Contract Documents and shall assure faithful performance of all Contractor’s obligations under the Contract Documents, including, without limitation, all obligations that survive Final Completion or termination or expiration, such as, but not limited to Contractor’s warranty and indemnity obligations.

11.2.3 Contractor shall promptly furnish such additional security as may be required by City to protect its interests and those interests of persons or firms supplying labor or materials to the Work.

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11.2.4 Surety companies used by Contractor shall be, on the date the Contract is signed by City and at all times while the bonds are in effect, either California Admitted Sureties or listed in the latest published United States Treasury Department list of Compan ies Holding Certificates of Authority as Acceptable Sureties on Federal Bonds and as Acceptable Reinsuring Companies and either have a current A.M. Best A VIII rating or be an admitted surety that meets the requirements of Code of Civil Procedure Section 995.660.

11.2.5 The premiums for all Bonds are included in the Contract Sum and shall be paid by Contractor.

11.2.6 The bonds shall name City as obligee.

11.2.7 Change Orders, Field Orders, Modifications, Changes in the Work and adjustments in the scope of Work Contract Sum or Contract Time shall in no way release or exonerate Contractor or its sureties from their obligations and notice thereof shall be waived by such sureties.

11.2.8 City and the Construction Manager shall have the right to communicate with Contractor’s sureties with respect to matters that are related to Contractor’s performance of its obligations under the Contract Documents. Contractor shall be provided with a cop y of all such written communications. Such communications shall not create or be interpreted as creating any contractual relationship between City or the Construction Manager and any such surety.

11.2.9 In the event of a significant (15% or more) increase in Contract Sum, replacement bonds totaling the new Contract Sum may be required by City.

ARTICLE 12 – DEFECTIVE WORK

12.1 UNCOVERING OF WORK

12.1.1 If a portion of the Work is covered contrary to Construction Manager’s request or direction, or contrary to the requirements of the Contract Documents, it must, if required in writing by City, be uncovered for City's observation and be replaced at Contrac tor's expense without adjustment of the Contract Time or the Contract Sum.

12.1.2 If a portion of the Work has been covered, which is not required by the Contract Documents to be observed or inspected prior to its being covered and which City has not specifically requested to observe prior to its being covered, City may request to see such Work and it shall be uncovered and replaced by Contractor. If such Work is in accordance with the Contract Documents, the costs of uncovering and replacing the Work shall be added to the Contract Sum by Change Order; and if the uncovering and replacing of the Work extends the Contract Time, an appropriate adjustment of the Contract Time shall be made by Change Order. If such Work is not in accordance with the Contract Documents, Contractor shall pay such costs and shall not be entitled to an adjustment of the Contract Time or the Contract Sum.

12.2 CORRECTION OF DEFECTIVE WORK AND GUARANTEE TO REPAIR PERIOD

12.2.1 In addition to any specific warranty mentioned in these Contract Documents, the Contractor shall guarantee that all material, apparatus, equipment, and workmanship used, installed, or incorporated in the work is free from defects, and agrees to replace at no expense to the City any and all defective Work or materials which become evident within one (1) year (“Guarantee To Repair Period”), Item 5
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unless a longer period of time is specified in the Special Provisions and Technical Specifications, commencing as follows:

(i) For any Work not described as incomplete in the Certificate of Substantial Completion, on the date of Substantial Completion.

(ii) For space beneficially occupied or for separate systems fully utilized prior to Substantial Completion pursuant to Section 9.6, from the first date of such Beneficial Occupancy or actual use, as established an appropriate written authorization for Beneficial Occupancy.

(iii) For all Work other than (I) or (ii) above, from the date of filing of notice of completion pursuant to Section 9.8 above.

12.2.2 Contractor shall (i) correct Defective Work that becomes apparent during the progress of the Work or during the Guarantee To Repair Period and (ii) replace, repair, or restore to City's satisfaction any other parts of the Work and any other real or person al property which is damaged or destroyed as a result of Defective Work or the correction of Defective Work, without any expense whatsoever to City. City will give notice of observed Defective Work with reasonable promptness, and Contractor shall promptly commence such correction, replacement, repair or restoration upon notice from City, but in no case later than seven (7) Days after receipt of such notice. Contractor shall diligently and continuously prosecute such correction to completion. Contra ctor shall bear all costs of such correction, replacement, repair, or restoration and all Losses resulting from such Defective Work, including additional testing, inspection and compensation for City's or City's services and expenses. Contractor shall per form corrective Work at such times that are acceptable to City and in such a manner as to avoid, to the extent practicable, disruption to City's activities. Ordinary wear and tear, unusual abuse or neglect are excepted from this guarantee.

Contractor shall notify City upon completion of repairs.

12.2.3 If immediate correction of Defective Work is required for life safety or the protection of property or, if in the opinion of City, Defective Work creates a dangerous condition or requires immediate corrections or attention to prevent further Loss to City or to prevent interruption of operations of City, City will attempt to give immediate notice to Contractor. If Contractor cannot be contacted or does not comply with City's request for correction within a reasonable time as determined by City, City or Separate Contractors under City's direction, may, notwithstanding the provisions of this Article, proceed to make such corrections or provide such attention; and the costs of such correction or attention shall be charged against Contractor. Such action by City will not relieve Contractor of the guarantees provided in this Article or elsewhere in the Construction Contract. Contractor shall replace, repair or restore to City's satisfaction any other parts of the Work and any other real or personal prope rty, which is damaged or destroyed as a result of such Defective Work or the correction of such Defective Work.

12.2.4 Contractor shall promptly remove from the Site those portions of the Work and materials which are not in accordance with the Contract Documents and which are neither corrected by Contractor nor accepted by City.

12.2.5 If Contractor fails to commence correction of Defective Work within seven (7) Days as required in Section 12.2.3 after notice from City or fails to diligently prosecute such correction to completion, City may correct the Defective Work in accordance with Section 2.4; and, in addition, City may remove the Defective Work and store salvageable materials and equipment at Contractor's expense.

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12.2.6 If Contractor fails to pay the costs of such removal and storage as required by Paragraphs

12.2.4 and 12.2.5 within seven (7) Days after written demand, City may, without prejudice to other remedies, sell such materials at auction or at private sale or otherwise dispose of such material. Contractor shall be entitled to the proceeds of such sale, if any, in excess of the costs and damages for which Contractor is liable to City, including compensation for City's services and expenses. If such proce eds of sale do not cover costs and damages for which Contractor is liable to City, the Contract Sum shall be reduced by such deficiency. If there are no remaining payments due Contractor or the remaining payments are insufficient to cover such deficiency, Contractor shall promptly pay the difference to City.

12.2.7 Contractor's obligations under this Article are in addition to and not in limitation of its warranty under Section 3.5 or any other obligation of Contractor under the Contract Documents.

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