CITY COUNCIL
Staff Report
From: City Manager
Report Type: INFORMATION REPORTS
Lead Department: City Manager
Meeting Date: April 13, 2026
Report #: 2603-6167
TITLE
Semiannual Update on 2000 Geng Road Recreational Vehicle Safe Parking Expansion and Summary of Financial Needs
RECOMMENDATION
This report is provided for informational purposes only and does not require Council action.
EXECUTIVE SUMMARY
This semiannual update summarizes program activity at the City-owned, County-operated 24- hour safe parking site at 2000 Geng Road for the period July 1–December 31, 2025 (fiscal year 2026 [FY26], quarters 1 and 2 [Q1 and Q2]). The program provides a safe place for households sheltering in vehicles and connects participants to services intended to support transitions to housing. A summary of funding for this program and other Council adopted draws on the same funding sources is included in this report. This is intended to provide context of the existing funding options and needs in advance of the FY 2027 Proposed Budget process and any new proposed draws on these funds.
Similar levels of households served in FY26 Q1 and FY26 Q2 indicate sustained need for safe parking and service connections in Palo Alto.
BACKGROUND
Safe parking programs provide safe, legal locations where households sheltering in vehicles can park and access services. Santa Clara County operates a 24-hour safe parking lot on City-owned land at 2000 Geng Road, which accepts both passenger vehicles and recreational vehicles (RVs).
The site was originally leased to Santa Clara County beginning September 2020.1 The County contracts with Move Mountain View to operate the program. The lease was amended 1 Council Staff Report, September 14, 2020, Item #9,
https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes-reports/reports/city-manager-reports-
September 18, 2023 to extend the term and prioritize Palo Alto–affiliated residents.3 In response to Council direction (June 18, 2024), the lease was further amended in September 2024 to expand capacity from 12 to 224 vehicles to mitigate displacement impacts related to Caltrans’ removal of parking on El Camino Real.5 On March 10, 2025, Council approved a revenue agreement with Santa Clara County through September 2026 for expanded operations.6 The County funds the original spaces; the City funds the additional spaces at approximately $266,162 annually. The prior update to Council was an information item on October 20, 2025.7
8 Program Model
The program is low-barrier9, meaning entry should not require extensive preconditions.
However, participants still must be willing to engage with program expectations and a basic service plan. A practical standard is that participation requires an acknowledgment of the program’s housing-focused intent10 and length-of-stay expectations11. If an individual explicitly states they do not want any housing pathway or do not want to be involved in services at all, staff may treat that as non-alignment with program purpose, which can limit enrollment or continued participation—while still offering alternative resources and referrals.
Participants receive case management and individualized plans addressing housing, employment, and service needs. The site provides showers, kitchen and laundry access, a children’s library and play area, and access to the Santa Clara County coordinated entry system. 3 Council Staff Report, September 18, 2023,
https://cityofpaloalto.primegov.com/meetings/ItemWithTemplateType?id=3115&meetingTemplateType=2 4 Note, while the agreement allows for expansion of up to 22 total RV spaces, site conditions can accommodate 21 RVs and two passenger vehicles.
5 Council Staff Report, August 19, 2024, Item #100,
https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=14361 6 Council Staff Report, March 10, 2025,
https://cityofpaloalto.primegov.com/meetings/ItemWithTemplateType?id=6846&meetingTemplateType=2&comp iledMeetingDocumentId=13423
7 Council Staff Report, October 20, 2025,
https://cityofpaloalto.primegov.com/api/compilemeetingattachmenthistory/historyattachment/?historyId=801baf 85-69ba-448c-892a-1fe602a85b13
cmrs/year-archive/2020-2/id-11513.pdf?t=58031.91; lease was included as a supplemental memo, https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes-reports/reports/city-manager-reports- cmrs/year-archive/2020-2/09142020-item-9-at-places-memo.pdf 9 Low-barrier is defined as an emergency housing model that minimizes requirements for entry to facilitate immediate access for individuals experiencing homelessness. The core goal is to remove obstacles—such as sobriety, income, or ID requirements—that often prevent people from seeking shelter, allowing them to enter "as they are".
10The Santa Clara County Office of Supportive Housing (OSH) provides a comprehensive housing goal sheet that case managers and clients work together to fill out and submit via a secure online database known as HMIS (Homeless Management Information System).
11 Length of stay expectations refer to the fact that safe parking is not meant to be a substitution for housing, but a temporary solution while a “positive solution” is found.
Eligibility includes living in a vehicle as a primary residence; valid vehicle documentation; and agreement to program rules and participation in case management20.
ANALYSIS
Operations continued at the 2000 Geng Road site as a 24-hour safe parking location with ongoing case management and service connections delivered by the County’s contracted operator (Move Mountain View). The site continued to serve both passenger vehicles and RV households and maintained program requirements related to vehicle documentation, adherence to site rules, and participation in case management.
High-Level Data (FY26 Q1–Q2: July 1–December 31, 2025)
Table #1: Participation
Measure FY26 Q1 (Jul 1 – Sep 30, 2025) FY26 Q2 (Oct 1 – Dec 31, 2025) Total households served 3021 2522
Total individuals served 43 44
Palo Alto-affiliated households 24 21
Palo Alto-affiliated individuals 37 36
Table #2: Exits 23 (Palo Alto-Affiliated Households)
Measure FY26 Q1 (Jul 1 – Sep 30, 2025) FY26 Q2 (Oct 1 – Dec 31, 2025) Total exits 5 6
Permanent housing situations 1 (20%) 2 (33%)
Temporary stay with family/friends 3 (60%) 1 (17%)
Place not meant for habitation 1 (20%) 3 (50%)
Table #3: Length of Stay (Palo Alto–Affiliated Households) Measure FY26 Q1 (Jul 1 – Sep 30, 2025) FY26 Q2 (Oct 1 – Dec 31, 2025) Average length of stay (days) 456 438 (currently enrolled) Median length of stay (days) 312 ---
Avg length of stay for exits (days) Included in Q1 summary 279 (exiting households) 20 Once enrolled, case management intensity may vary depending on acuity and participant needs, typically with a consistent minimum standard of engagement and documentation. Examples include use of a housing goal sheet and tracking service transactions.
21 Total number of households above the number of spaces can be explained by clients moving on from the program. One space may be filled by one household for half the quarter and another household might be served for the second quarter.
22 Total household decrease can be explained by higher length of stay and a lack of affordable housing options for clients to move into.
23In Santa Clara County, an exit from homelessness is defined primarily as a move from an unstable, temporary, or unhoused situation into permanent housing.
Program Utilization28
Prior reporting indicated utilization at or above 100% prior to expansion and 100% utilization achieved by June 2025 following expansion.
Table #4: Geng Rd. Utilization
Date Number of Vehicles Vacancies Occupancy Rate
July 2025 20 3 87%
August 2025 23 0 100%
September 2025 23 0 100%
October 2025 23 0 100%
November 2025 23 0 100%
December 2025 23 0 100%
Table #5: Intakes
Date Applications Approved Waitlist Not Eligible 29
July 2025 11 - 1 9
August 2025 11 2 4 6
September 2025 12 1 4 8
October 2025 8 2 4 4
November 2025 7 - 4 4
December 2025 10 - 6 6
Waitlist
When program capacity is reached, the program maintains an interest list30 (or waitlist) as a holding stage for prospective participants. The interest list functions as a structured “pipeline” to ensure that people who are not immediately able to enroll can still be tracked, contacted, and prepared for rapid entry when space opens. An intake team manages this list and works through it in order of the program’s established prioritization criteria, initiating outreach when a bed/space becomes available and confirming that the person still wants placement and can meet basic entry requirements. As outlined in the table, as of December 31, 2025, there were six households on the waitlist.
28 Utilization refers to the participants use the of program. 29 There are many reasons that a RV may not be eligible, including and not limited to; lack of proper documentation (registration, insurance etc.), size of trailer (Genge does not accept RVs over 30Ft), etc. 30 Geng Rd. interest list is facilitated through direct referral through an online portal.
Operationally, it’s common for interest lists to shrink naturally over time—some people will “drop off” if they learn the wait will be lengthy, if they self-resolve, or if they choose another option.
Service Connections
Participants are connected to case management, employment and medical resources, Santa Clara County coordinated entry, and VI-SPDAT assessments for housing prioritization.
System Context
Securing affordable housing in Santa Clara County remains challenging due to limited housing inventory, rising rents, strict housing eligibility requirements, and documentation barriers.
These conditions contribute to longer program stays despite participant progress toward housing readiness.
FISCAL/RESOURCE IMPACT
The budget for safe parking was $447,849 (for approximately 1.6 years (19.5 months, February 1, 2025-September 15, 2026)) or an approximate annual cost of $277,000. The following table summarizes amount remitted to the County for operations and costs expended to date, including City-absorbed utilities costs; there remain approximately 10 months in the program.
Operational costs include personnel (caseworkers, program coordinator, lot monitor, etc.), supplies, security services, portable toilets, and sinks. City utilities include electricity, gas, refuse, sewer, and water.
Table #6: City’s Financial Obligation and Costs to Date Total Maximum Financial Obligation Costs Through December 31, 2025 Operational Costs $392,849 $214,282
Utility Charges $55,000 $23,517
TOTAL $447,849 $237,799
Funding for program operations34 is appropriated through the FY 2026 Adopted Budget. Future funding remains subject to Council approval. Both the contract for the expanded operations and the contract that allows the County to lease the site for safe parking are due to expire in September 2026. Staff have identified constraints with ongoing resources for the expanded safe parking specifically and other homelessness initiatives more generally.
The current expanded safe parking is funded through two sources that are restricted to use for specific activities:
34 For reference, the County funds the original spaces and the City funds the expanded spaces, approximately $266,162 annually.
Permanent Local Housing Allocation (PLHA) funding from the State is restricted to particular named uses. The City must submit a five-year plan describing how it will spend PLHA. Our current five-year plan sets aside a portion of the funds explicitly for “Activity 6” assisting persons who are experiencing or at risk of homelessness, including supportive/case management services. Other efforts that PLHA funds are expended on, besides supportive/case management services for expanded Geng Road operations, are the Homeless Outreach Team and affordable housing.
The PLHA funds vary each year because they are based on the number of real estate transactions occurring in a jurisdiction. Recent years have trended downward.
Additionally, there are new formula requirements for the next PLHA five-year plan which will reduce the amount of the overall award which can go to Activity 6. Business Tax funding which has allocations specifically for “housing affordability”.
Business Tax funds are expended on a variety of efforts, including the San Antonio Road Area Plan, Palo Alto Homekey Operations, the rental registry program, oversized vehicle phased approach, and Geng Road Safe Parking expansion operations. While fund balances can support this current mix of expenses, and even cover some of the anticipated deficits (e.g., due to less PLHA funding), it would leave a very limited amount for any other purposes. This can be seen in the following table.
Table 7 provides a summary of the existing funding of current programs that pull from funds restricted to affordable housing and homelessness (i.e., PLHA and Business Tax) and projects how those programs could be funded going forward. It does not include consideration of proposed new programs and initiatives (e.g., an oversized vehicle pilot program) that could also draw on these funds.
Table 7: Identifying Potential Funding Constraints
FY 2024 FY 2025 FY 2026 FY 2027 FY 2028
PLHA Allocations (Total) $231,496 $359,817 $395,967 $208,383 $159,718 Homeless Outreach Team $138,898 $215,890 $237,580 $125,030 $95,831 Geng Road Safe Parking
Case Management
n/a $71,963 $79,193 $41,677 $31,944
Affordable Housing* $46,299 $71,963 $79,193 $41,677 $31,944 Typical Services Expensesa
Homeless Outreach Team ($164,682) ($185,218) ($226,301) ($236,076) ($243,158) Geng Rd Safe Parking
Exp. Ops - Case
Management
n/a ($31,616) ($75,682) ($77,952) ($80,291)
Difference
Homeless Outreach Team ($25,784) $30,672 $11,279 ($111,046) ($147,327) Geng Rd Safe Parking
Exp. Ops - Case
Management
n/a $40,347 $3,511 ($36,276) ($48,347)
TOTAL ($25,784) $71,020 $14,790 ($147,322) ($195,675)
Business Tax Uses (Housing Affordability)
Revenues $1,651,295 $1,981,933 $2,035,983 $2,091,467
Existing Expensesb
San Antonio CAP ($183,907) ($1,216,093) ($700,000) n/a
Homekey Operations n/a n/a n/a ($1,000,000)
Geng Rd Safe Parking Exp. Ops. Thru 9/26c ($71,611) ($191,000) Rental Registry n/a ($60,000) ($63,000) ($66,150)
Oversized Vehicle – admin/implementation n/a ($157,000) ($251,200)d ($167,467) Proposed (if used to fill funding gaps)
Geng Rd Safe Parking Exp. Ops. – Case
Management
($36,276) ($48,347)
Homeless Outreach Team ($111,046) ($147,327)
Geng Rd Safe Parking Exp. Ops. ($196,730) ($202,632)
Difference
TOTAL $1,395,777 $357,840 $677,731 $459,544
a For FY24-26, these are the total expenses the City is incurring. For FY27 onward, should the City continue to support these programs, these are the total projected expenses. b These are the expenses anticipated in the adopted budget through FY26 and projected for the long-range financial forecast in future years.
c The current approved budget and contract end on September 15, 2026. d There was an administrative error when the oversized vehicles administration and implementation was originally costed for the October 20, 2025 Council item. The proposed amounts in FY27 and FY28 correct that error.
These funding constraints and policy choices will be made during the annual budget process in the coming weeks.
STAKEHOLDER ENGAGEMENT
Stakeholder engagement continues to include regular and as-needed meetings between partners (i.e., Santa Clara County Office of Supportive Housing, Move Mountain View).
Additionally, City staff meets monthly with external stakeholders (e.g., the RV Dwellers group consisting of service providers, City staff, a representative of Stanford University, a representative from Palo Alto Unified School District, members of the faith-based community, people from the philanthropic community, and others who meet monthly and as-needed to discuss and share information relation to Palo Altans living in their vehicles) and bimonthly with other cities to review progress and discuss updates related to homelessness in general, as well as safe parking.
ENVIRONMENTAL REVIEW
This report is for informational purposes only with no action required by the Council and is there not a project subject to CEQA review.
ATTACHMENTS
None.
APPROVED BY:
Ed Shikada, City Manager