City Council
Staff Report
From: City Manager
Report Type: INFORMATION REPORTS
Lead Department: City Manager
Meeting Date: August 10, 2026
Report #:2607-6586
TITLE
City Council Summer Recess Report
RECOMMENDATION
Informational Report Only.
EXECUTIVE SUMMARY
This informational report provides a brief update on notable activities and work throughout the City Council’s July 2026 recess.
BACKGROUND
The annual Summer Recess Report share updates, organized by department, on activities accomplished during the City Council recess. This report is not an exhaustive list of staff work.
The updates are to inform the City Council and public about items completed since the last City Council meeting of the fiscal year and other efforts underway.
ANALYSIS
Administrative Service Department
End of Fiscal Year and New Fiscal Year Activities
Staff focused on transitioning into the next fiscal year. Closing FY 2026 is underway. The annual inventory of both warehouses, the Municipal Services Center and Regional Water Quality Control Plant, are complete.
Revenue Collection
Staff assisted permit customers with the transition to the new residential Parking Permit Program that launched in mid-June.
Office of Management and Budget
Staff kicked off the budget system upgrade project and worked towards publications in August of the FY 2027 Municipal Fee Schedule and both the FY 2027 Adopted Operating and Capital Budget books.
Procurement
Staff closed year-end purchase orders and began encumbrances for FY27. Staff continued efforts to update the Palo Alto Municipal Code, as recommended by the Policy and Services Committee, to increase the thresholds for solicitation of goods and services, increase contract approval and settlement authority and to make other technical changes. This will be considered by Council in August.
Real Estate
Staff continued the inter-departmental partnership to advance the Cubberley Community Campus Project.
In accordance with Council direction on November 17, 2025, Staff completed the acquisition of a 3.25-acre parcel from the Sobrato Organization by grant deed recorded on June 17. The site is adjacent to Matadero Creek, near the former Fry's building.
Treasury
Staff worked towards finalizing the Regional Water Quality Control Plant line of credit and refunding of the 2009 Water revenue bonds. Staff advocated to the State on behalf of the City for SB 762 to increase the sales tax cap by 0.5% or half-cent. Staff advocated to the State on behalf of the City to protect the parcel transfer tax revenues.
Roth Building
Staff met with the Palo Alto Museum ("Museum") in June to continue addressing the water intrusion in the Roth Building. In addition, City staff collaborated with the Museum staff to review parameters that guide the planned basement repair work and address water flow from Heritage Park. Plans are being developed by the Museum for this work and the City will review plans once received.
CalPERS Update
Staff made the $20 million disbursement from the Section 115 Trust to CalPERS for the pension ADP (additional discretionary payment), per Council FY 2027 Adopted Budget, which will reduce the City’s unfunded pension liability.
Staff anticipate transmitting the June 30, 2025, CalPERS valuations of the City's pension plans to the Finance Committee this fall, along with a review of the Retiree Benefit Funding Policy.
CalPERS completes valuations using member data two years in arrears and issues annual reporting each August. As of July 2026, CalPERS provided the following preliminary investment returns as compared to a 6.8% target:
14.8% for the period ending June 30, 2026 (impact in FY 2029) 11.6% for the period ending June 30, 2025 (impact in FY 2028) 9.3% for the period ending June 30, 2024 (impact in FY 2027) Consistent with past practice, staff will incorporate these results in financial planning, including the Long-Range Financial Forecast (LRFF) and annual budget development. Additionally, staff continue to use a lower discount rate than the 6.8% used by CalPERS to calculate the employer's normal cost and transmit the difference as an additional contribution to the City's Pension Trust. As part of the FY 2027 Adopted Budget, the City Council approved continuing to use a discount rate of 5.3% in FY 2027.
City Manager’s Office
Palo Alto Homekey Progress
Palo Alto Homekey reached an important operational milestone with staff and clients completing the move from the Sunnyvale hotel bridge program to the Palo Alto site over a four- day period in late June/early July. Families are settling into the new location, and children are participating in summer camp activities, helping provide structure, stability and a positive transition during the summer months.
LifeMoves shared that the move was meaningful for many families, and described the site as offering a renewed sense of peace and safety. Additionally, Homekey clients shared with LifeMoves that the setting provides peace of mind as they continue to seek permanent housing, with nearby nature and open space contributing to a therapeutic environment. LifeMoves staff observed a growing sense of community and rapport unfolding with shared meals and 4th of July celebrations together.
Oversized Vehicles Discussion Planned for Council in August Staff continue regular street sweeping, enforcement and responding to constituent concerns regarding oversized vehicles. A City Council discussion is anticipated on August 24, presenting two pilot programs intended to address ongoing neighborhood, business, public health and safety impacts associated with OSVs used for habitation while balancing and providing a more structured and humane response for individuals living in those vehicles.
Human Services
Human Services staff continued supporting community needs this summer through the FY 2026 Emerging Needs Fund and direct service coordination. The City received 11 Emerging Needs Fund applications and made 8 awards totaling $50,000, fully allocating the available funding.
Awards supported vision and health services, food assistance, senior nutrition, equipment needs, youth mental health programming, outreach and referral coordination, community event support, seasonal operating costs and early intervention services for students. Staff also supported a resource fair for unhoused residents, attended by approximately 32 unhoused neighbors and 16 service providers and community partners, creating opportunities for direct service connections, meals, resource sharing and continued coordination among local organizations.
Nobu License Agreement
On July 14, the City and Nobu executed a License Agreement to provide Nobu 20 dedicated parking stalls in Lot Q for their valet service. The pilot program was developed to attract more parking users to downtown garages where demand and occupancy is low and to generate revenue. The Nobu License Agreement will result in at least $268K in revenues in the next few years (not including CPI increases).
Thursday Live/Entertainment Zone
Over the summer recess, there were two Thursday Live on Cal Ave events that activated the Entertainment Zone following its implementation in early June 2026. The first event in June featured a Taste of California Avenue theme, while the second in July was a Wine Walk. Each event offered a vibrant mix of live music and local artists, giveaways, a photo booth experience and a family activity zone. With the Entertainment Zone activation, visitors had the opportunity to enjoy alcoholic beverages purchased from local businesses, creating a lively and welcoming atmosphere that supported local merchants and encouraged visitors to experience Cal Ave.
FIFA World Cup
Staff developed promotional materials to help drive patrons to University Avenue/Downtown and California Avenue restaurants and bars to watch World Cup games locally. Restaurants and bars showing World Cup matches included Cafe Pro Bono, iTalico, La Bodeguita, Terun, Ramen Kowa, Curry Pizza House, La Corneta Taqueria, Local Union 271, Nola Palo Alto, The Patio, The Pro, and The Rose & Crown.
Destination Marketing
Through a partnership between the City and the Chamber of Commerce, and feedback from local hotel representatives, a Destination Marketing website is under development to promote the City of Palo Alto as a visitor destination. The website will showcase a variety of businesses and experiences, providing visitors with resources to explore and discover what the city has to offer.
Annual Community Survey
Staff finalized the annual Community Survey to be conducted by Polco/National Research Center starting August 14. Survey goals include gaining insight into resident perspectives about community services and existing programs and unmet service needs. Consistent with previous years, the survey will initially be mailed to a statistically significant population and offered in English, Spanish and Chinese. The survey will open to all residents on September 15 with results anticipated to be presented to the Council this winter.
Community Services Department
Summer Camps
This summer, Community Services offered 320 camps with $1,846,301 in total revenue generated as of July 21, 2026. A total of 3,747 campers enrolled with 2,108 on waitlists.
Summer Camp 2026 season ends August 8. The highest demand camps this year include Zoo Camp, Woodworking Camp, Two-Week Theatre Academy, Jurassic Camp, Camp Kinetic and Camp Palo Alto.
Recreation Special Events
This year’s Family Movie Night series has been a great success, with each movie night welcoming 300–400 attendees. The summer series ends on August 14 with “The Super Mario Galaxy Movie.” The continued success and strong attendance highlight the community’s support of family-oriented events throughout the summer.
Eleven teams competed in this year’s 4th of July Chili Cook Off & Summer Festival, including four returning and seven new teams. Chili teams vied for several prizes including People’s Choice, Best Vegetarian Chili, Best Decorations and Most Spirit. First place went to Veterinary Emergency Group (VEG) E.R. for Pets and the Klemens Family won the People’s Choice award.
Attendance was estimated at around 3,000.
Aquatics
Rinconada Aquatics continues to provide opportunities for residents of all ages to learn how to swim, stay active, enjoy recreational swimming and pursue employment through lifeguard certification. Throughout the summer, the facility welcomed numerous families and offered day camps. From June through mid-July, aquatic camps hosted 502 campers, a 25% increase over the same period last year. Staff have certified 109 lifeguards year-to-date, helping support both facility operations and the broader aquatics community. Summer certification activity has been particularly strong, with 57 certifications completed June through mid-July, a 63% increase compared to the same period in 2025.
Public Art Program
The Public Art Program hosted nine ArtLift events activating Downtown, California Avenue and Cubberley, engaging over 200 residents and visitors. The Public Art Commission approved the final design for a temporary artwork at the Sherman Avenue Garage, which is planned for installation in August.
Cubberley Artist Studio Program
Four of the artists from the Cubberley Artist Studio Program (CASP) held free workshops and events at the Cubberley campus engaging dozens of residents of all ages in art making.
Palo Alto Art Center
The Art Center sold 772 summer camp sessions, generating $262,732 in revenue with 95 teens participating in as either our Counselor in Training or Ceramics Apprentice teen leadership programs, with a revenue increase of 21% over last year. There were 89 teens who supported summer camps as Counselors in Training (CIT) and Lead CITs, serving almost 1,600 hours.
Members of the Art Center Teen Leadership group are planning the Open Call Teen Art Exhibition, which will take place in September, showcasing local teen artwork.
A new glaze washing station was installed in the adult ceramics studio to reduce the volume of Rinsate produced by keeping clay waste and glaze waste separate. Using funds from the Ceramics Program CIP, a down payment was made on a custom kiln, which is currently being fabricated with installation scheduled for summer 2027. Summer quarter is usually the quietest season for Adult Studios, but there are currently 339 people enrolled in classes and workshops, generating $79,294 in revenue, an 11% increase over last year.
The year-long series “Centering: Clay and Community” celebrating the Art Center’s role as a resource for ceramic art and education, concluded.
The Art Center hosted over 7,500 people at the annual Clay and Glass festival on July 11 and 12.
Children’s Theatre
This summer the Children’s Theatre welcomed 246 campers, generating $151,000 in revenue.
Assisted by 14 interns, the camps were at capacity with 344 waitlisted.
The Children Theatre produced the annual Summer Hot Dog Season, featuring “Tales of the Arabian Nights” and “Wheels on the Bus.” Performed before sold out audiences, the productions were seen by more than 6,000 community members and included Magical Series Spectrum Friendly and ASL-Interpreted performances.
This summer, the theatre launched a new audio play series, featuring a June 2026 summer intensive class that recorded The Wizard of Oz (an original Children’s Theatre adaptation for young actors), and in July, the theatre took up residence at Cubberley Theatre for two weeks to record an audio book of their upcoming publication of Monologues for Young Actors.
The Teen Arts Council closed out the school year with WaveFest, an outdoor music and art festival for teens. This year’s festival included teen bands, dance companies, student vendors and clubs, local community groups, plus Palo Alto’s Teen Library Advisory Board (TLAB) and Art Center Teen Leadership.
The Twilight Concert Series kicked off in June, with the first three concerts attracting more than 3,000 community members. The lineup included “Heartless,” “Summer Night City” and “Fleetwood Mask.” The concert series concluded on August 8 with blues band “Legally Blue.” Palo Alto Junior Museum & Zoo (JMZ)
The Palo Alto Junior Museum & Zoo hosted 937 campers in nine science camps. Thanks to donations from the Friends of the Palo Alto Junior Museum & Zoo, 43 campers received a full scholarship to cover the cost of participation. Forty-two (42) middle and high school interns supported JMZ summer camps through the JMZ Science Camp Assistant Program. The search for the next Executive Director began in June, attracting a highly competitive pool of candidates. The City is in the final stages of the recruitment process.
A new flamingo chick was born on June 22 to parents Ruby and Sal. Remarkably, the chick hatched on the same date as Rio, the Zoo's flamingo chick born in 2025. The new arrival brings the flamingo flock to 8 birds. Producing chicks in consecutive years is a significant achievement for a flock of this size and reflects the exceptional care provided by the animal care team, as well as the health and well-being of the colony. The JMZ also introduced two new public programs this summer: a Teen Night and a World Snake Day celebration.
Therapeutic Recreation & Accessibility
Staff established a new partnership with the Stanford Autism Center to support future inclusive community events, including a "Meet the First Responder" event for individuals with disabilities and their families planned for late August. In preparation for summer camp season, camp staff across CSD received specialized training on supporting campers with disabilities. Staff provided accommodations for 13 summer camp/class participants, helping ensure inclusive access across CSD programs.
In June, we hosted a Downtown Hangout for young adults with disabilities. Additional fall offerings are planned for all ages including cooking classes, gym time and family socials.
Accessibility continued expanding with the addition of a sensory tent at the Fourth of July Chili Cook-Off.
Open Space, Parks and Golf
Rangers have increased their frequency of patrols in the Baylands Nature Preserve following the attack and robbery in the Baylands on July 23. Midpeninsula Regional Open Space District has also increased patrols of the section of the Bay Trail in Ravenswood Preserve.
The Pearson-Arastradero Preserve Gateway exhibits were refreshed for the first time in nearly 20 years, including interpretive panels, updated exhibit elements, new display models, and enhancements to the visitor center experience.
The Rangers have been performing annual fire fuel mitigation work totaling over 400 acres of fuel breaks and ignition prevention mowing and maintaining clearance on 25 miles of fire roads and trails.
Golf Course Second Deck Driving Range Financial Feasibility Study Staff presented the financial feasibility study to the Parks and Recreation Commission and are evaluating their input and determining appropriate next steps.
Greer Park Skate Bowl Maintenance
Maintenance improvements began at the Greer Park Skate Bowl, including removal of unauthorized paint and crack repairs. The project is expected to be complete with the skate bowl reopening by late August.
Park Sign Replacement
Staff replaced park signs at Greer and Heritage Parks, installed two memorial plaques at Bol Park, upgraded Bowden, Peers, Eleanor Pardee and Johnson Park pedestrian/playground gate hardware to improve accessibility and safety, and repaired the backstop at Baylands Athletic Center baseball field. Additionally, staff partnered with Kiwanis to repair wooden playground fencing at Mitchell Park and repaint benches at Bowden Park. Kiwanis also started repainting playground structure posts at Briones Park and will continue through August/September.
Mitchell Park and Bowden Park playground fencing were also repainted.
Parks Asset Management
With funding support from Friends of Palo Alto Parks, a Parks Asset Management Intern is developing a digital inventory of Open Space, Parks, and Golf assets within the City's Maintenance Connection system, creating the foundation for future condition assessments and more strategic asset management.
Community Gardens Workdays
A total of 5 community workdays with over 100 participants took place throughout June and July to remove weeds, maintain pathways and perform other work including creating a new pollinator garden. Staff coordinated with gardeners and partnered with Hands on Bay Area to conduct the work.
Cubberley Community Center Project
Staff continued to explore public-private partnership opportunities with community organizations to support advancement of the Cubberley project. As mentioned previously, free workshops and events at the Cubberley campus engaged dozens of residents of all ages in a variety of artmaking experiences, including community mural workshops, sculptural fortune cookie making workshops using reclaimed canvas, stop-motion animation with a Cubberley Artist Studio Program (CASP) artist, portrait drawing, cyanotype printing, a gathering for artists and makers working with thread and yarn and a quilting basics workshop.
Fire Department
Vegetation Fire Response
Palo Alto experienced three significant vegetation fires this summer at Pearson-Arastradero Preserve (~3.5 acres) on June 22, Coyote Hill/Page Mill (~6.7 acres) on July 1, and Byxbee Park (~ 3 acres) on July 11. All are suspected to have been caused by illegal fireworks.
Fleet Update
The Department purchased two used reserve Type 1 fire engines from the City of Mountain View, restoring critical backup capacity for routine maintenance and unexpected repairs.
Fire Station 8 Activation & Wildfire Prevention and Wildland-Urban Interface (WUI) Inspections Fire Station 8 has remained fully staffed through the shared staffing model with Santa Clara County Fire, supported by Los Altos Hills County Fire Protection District. Palo Alto Fire will continue to provide staffing during August; Santa Clara County Fire will provide staffing in September and Palo Alto Fire again in October. By November, staff monitor the weather and fuel moisture to determine staffing levels.
The Fire Department hosted a Wildfire Prevention Workshop at the end of June to provide residents with information on wildfire risk reduction, defensible space and preparedness measures. The workshop was recorded and is available on the City’s YouTube channel for residents who missed the workshop.
All initial Wildland-Urban Interface (WUI) inspections conducted by Engine companies for homes in the Foothills have been completed. Staff are now working to complete the required re-inspections to confirm progress on identified wildfire mitigation measures and support continued community preparedness.
Human Resources Department
54 summer seasonal hires were onboarded in June to lead or assist in this year’s Community Services camps and recreational programs.
231 interest cards were received for the new Fire Department “Single-Role” classification with over 6,000 job posting views. Interviews are anticipated to start in late August.
Preparations for this year’s benefits open enrollment period are underway to ensure employees stay informed and educated about employee benefits. 22 Summer Interns were hired from various universities including Cal Berkeley, San Jose State University, UC Davis, Oregon State, Ohio State University, and several others. The interns are fully engaged in work assignments throughout City departments as well as learning opportunities to expand their interest in future public service careers. The summer intern program continues through mid-August, with a Commencement & Reception to recognize their accomplishments.
Library Department
Summer Reading Program
The Library hosted its annual Summer Reading Program June 1 – August 1. The theme, Oceans of Possibilities, invited participants to dive into new adventures and explore the depths of their imagination by reading and/or listening daily, whether it’s books, articles, audiobooks or storytimes. All-ages events took place all summer long, and participants tracked their reading online or on a paper log. Prize pickups will be at Children’s, Mitchell Park, and Rinconada Libraries through August 31, while supplies last. The Library thanks the Friends of the Palo Alto Library and all other donors.
Pride & Other Events
The Library hosted a series of Pride events in June and July, including an exciting performance by the SF Pride Band and a karaoke night; a new Tech Class series for basic computing needs and interests; and a Juneteenth storytime and craft. Staff tabled at the unhoused resource fair at the Opportunity Center and issued library cards and promoted library services.
Vintage Media Lab
During summer recess, the Vintage Media Lab (VML) – which provides community access to tools that help residents preserve, digitize and share personal and family history – booked a total of 194 hours at Mitchell Park and Rinconada Libraries in 97 appointments.
Mitchell Park Library Wall Repair
The Mitchell Park Library wall repair project began in July and is scheduled for completion by fall 2026. The Library and Public Works Department are working closely together to oversee the repairs. During this time, the Teen Space will remain closed for safety. Library staff are coordinating limited access to Teen Collection materials upon request when it is safe to access the area.
Children’s Library Closure on Mondays Began
Starting July 20, the Library closed the Children’s Library on Mondays as part of the impacts of the FY27 reductions to Library’s budget and the loss of 4.0 FTE positions.
Office of Emergency Services
Staff conducted numerous trainings for City staff, community members and Emergency Services Volunteer (ESV) program participants.
OES continued participating in regional emergency planning, particularly around the FIFA soccer matches in our area.
4th of July Safety Watch
The City lead a multi-agency coordination and deployment for the 4th of July to facilitate rapid response in the event of a wildfire, terrorist event or other threat to safety. Some partners included the Midpeninsula Regional Open Space District, CAL FIRE, CHP, San Mateo County, Santa Clara County, Valley Water and other allied agencies. OES also deployed Emergency Services Volunteers at various locations to spot fires and other potentially unsafe conditions.
Office of Transportation
East Bayshore Repaving, Bike Facilities & Transportation Funds for Clean Air Transportation and Public Works staff have been collaborating to ensure that scheduled repaving efforts on East Bayshore Road incorporate required upgrades or planned safety improvements wherever feasible. Given the requirements of SB 1216, shared lane markings (sharrows) are prohibited on roads with a posted speed limit of over 30 miles per hour, except as specified. To reflect this change and ensure safe access for students traveling from East Palo Alto and new housing north of US-101, staff plan to upgrade bike facilities along East Bayshore from sharrows to dedicated bicycle lanes when the roadway is repaved in fall 2026. In July, staff worked with Valley Transportation Authority (VTA) staff to secure a $83,000 Transportation Funds for Clean Air (TFCA) grant to cover the additional expense associated with design and construction of new bike lanes on East Bayshore Road north of Embarcadero Road. This request was successful and will be recommended to the Air District. By aligning this work on bike facility upgrades with scheduled repaving, the community will benefit from reduced costs and construction impacts and higher quality improvements.
TFCA Grant for Citywide Bike Parking
Transportation staff also secured a $49,932 grant for 140 new bicycle parking spaces including racks and corrals. This application was submitted in June, and staff were informed that the application was successful and will be recommended to the Air District for funding.
One Bay Area Grant Cycle 4 (OBAG 4) Application
In July, Transportation staff submitted a grant application requesting $1,817,000 in OBAG 4 funding to support the Design phase of the South Palo Alto Bike/Pedestrian Caltrain Crossing (aka Connectivity) Project. This request will be reviewed initially for potential recommendation at the County-level by VTA before consideration at the regional level by Metropolitan Transportation Commission (MTC).
Railroad Safety and Quiet Zones
In June, the City completed work outlined by the Federal Railroad Administration (FRA) for implementation of a quiet zone at the Palo Alto Avenue (Alma Street) crossing of the Caltrain tracks. Caltrain also implemented safety enhancements that include a RailSentry system using LiDAR and cameras to observe and alert railroad operators about safety concerns. Based on observations from the RailSentry system, Caltrain requested that the City implement additional enforcement and evaluate additional design options to encourage drivers to refrain from illegally stopping on the tracks in advance of FRA issuing the Notice of Establishment. The City has implemented additional Police enforcement, and continues to work closely with Caltrain, the CPUC, and the FRA to address these requests and advance implementation of the Quiet Zone at this crossing. These additional reviews and evaluations have extended the implementation timeline for the Quiet Zone while the City works collaboratively with the regulatory agencies to address the requested safety enhancements.
Automated Parking Guidance System (APGS) Installation and Testing The City completed installation of new Automated Parking Guidance Systems (APGS) in Downtown garages. Over the summer, staff worked to test the systems and ensure that all display units are working as intended in advance of full activation, anticipated this fall.
Embarcadero Road Improvements
The City has been advancing construction on the north side of Embarcadero Road between Emerson and High streets. Improvements along this school access route include squaring up side street approaches, installing a raised crosswalk at Emerson Street, eliminating the slip lane at Kingsley Avenue and widening the sidewalk to include a separated bike lane on Embarcadero Road from Emerson to High Street. This work will reduce the speed of turning vehicles and increase pedestrian and bicycle visibility, including many school students who use this as a route to school. Saturday work in early August will help expedite work before school begins on August 13.
Churchill Avenue Enhanced Bikeways
The City is also advancing construction of pedestrian and bicycle improvements along Churchill Avenue between Mariposa Street and El Camino Real. Improvements along this school access route include extending the bike path from Castilleja to El Camino Real, high visibility crosswalks at Castilleja/Churchill, restriping and repaving Churchill and slip lane removal at El Camino Real. Improvements at Castilleja/Churchill intersection are being accelerated during the summer to enhance the safety of student access in fall 2026.
Planning & Development Services Department
Accessory Dwelling Unit (ADU) Plans Gallery
The City’s ADU Plans Gallery has its first two pre-approved ADU plan sets available online. With the use of these plans, homeowners can expect a 24- to 48-hour turnaround for review, in comparison to the 14-day review of standard ADU/JADU permits. Staff are working on two more pre-approved designs in the Gallery by the end of the calendar year.
Automated Permitting System Federal Grant
In July, Planning and Development Services applied for a U.S. Department of Housing and Urban Development (HUD) funding opportunity supporting jurisdictions to evaluate and deploy automated permitting technology. If awarded, the $620,000 grant would fund a 12- to 18- month subscription to AI plan review software to assess its effectiveness. The 36-month project would proceed in stages: software proposal solicitation, selection, prototyping and implementation. The evaluation would measure the technology's impact on consistency in applying codes and standards, plan review timelines and reliance on outside contractors and consultants. HUD will notify applicants of awards by August 31, 2026.
Senate Bill (SB) 79 Applications Received
Between July 1 and July 15, the City received nine SB 79 pre-applications proposing a total of 341 housing units and approximately 395,310 square feet of development. Application addresses and initial project information are provided below.
SB 330 Pre-Applications Received July 1-15, 2026
PLN Address Units Floor Area
(Sq Ft)
Zoning
District
Ground Floor
Commercial
Proposed
26PLN-00160 2455 EL Camino
Real
76 90,000 CC(2) 0
26PLN-00162 525 Hamilton Ave. 21 27,430 CD-C(P) 5,775
26PLN-00163 414 California Ave. 39 66,080 CC(2)(R)(P) 10,724 26PLN-00164 555 College Ave. 70 70,475 CN 8,291
26PLN-00166 127 Lytton Ave. 24 20,925 CD-C(P) 4,650
26PLN-00173 135 University Ave. 17 14,491 CD-C(GF)(P) 3,000 26PLN-00179 340 Palo Alto Ave. 6 17,545 R-1 0
26PLN-00180 2497 High St. 19 19,250 RM-30 0
26PLN-00181 332 Forest Ave. 69 69,114 RM-40 SOFA 1 0
A new zoning map is now available online showing the areas covered by the new local zoning ordinances adopted by Council on June 15.
Community Development Block Grant (CDBG) Annual Action Plan The FY 2026-2027 Annual Action Plan was submitted to the Department of Housing and Urban Development on June 24– and is currently under review. Once approved, about $613,000 in CDBG funds will be allocated to eligible grantees to support low-income households and vulnerable populations.
Local Housing Trust Fund (LHTF) Report
City staff submitted the Local Housing Trust Fund (LHTF) report to the Department of Housing and Community Development by July 31. LHTF funds were allocated to the Mitchell Park Place and 3001 El Camino Real projects to support the development of affordable multi-family housing.
Recent Housing Development Application Resubmittals
In July, the City received resubmittals for two housing projects and one new formal application.
The revised application for 3400 El Camino Real (Creekside Inn) includes demolition of existing hotels and development of a mixed-use project with approximately 3,000 square feet of retail, 42 townhomes and 249 rental units. The applicant for 4103 Old Trace Road withdrew their previous development application and submitted new applications for a Tentative Map and Streamlined Housing Development Review for a 13-lot development with 16 total units (including ADUs). The revised application submittal for 531 Stanford Avenue includes 20-unit housing with substantive modifications to reconfigure the site access in response to staff comments. Staff is evaluating all revised plans.
Transit Oriented Communities (TOC) Policy Compliance
City staff have been working to finalize documentation for compliance with Metropolitan Transportation Commission (MTC)'s Transit Oriented Communities (TOC) policy, submitted by July 30. While One Bay Area Grant (OBAG) funds will not be tied to TOC compliance in 2026, extra funds are set aside for jurisdictions that achieve an 85% compliance rate. The documentation process will confirm which areas the City is currently compliant, and what steps are needed should the City seek the 85% compliance level in the future.
Certified Local Government (CLG) Grant
On July 22, the California Office of Historic Preservation announced a $10,500 grant to the City to support our historic preservation program, specifically the Historic Inventory and Public Outreach/Education.
Police Department
Recruitment
Two new police officer trainees graduated the basic police academy and began the Field Training Program. One new officer joined our ranks from another police agency as well.
National Night Out
The Police Department is hosting National Night Out at Bol Park on Tuesday, August 4. This annual event is a great way for first responders (including the Police Department, Fire Department and Office of Emergency Services) to get to know the community in a fun environment featuring games, emergency vehicles on display and more. Police and Fire staff also visiting resident-hosted block parties.
Another Rivian Patrol Vehicle
The Police Department added a second all-electric Rivian patrol vehicle, which will be driven by field supervisors, to its fleet.
Public Works Services Department
Newell Road Bridge
Even though the Newell Road Bridge work started three weeks late due to nesting birds, the contractor made great progress on the bridge work including demolition of the old bridge and installation of the new bridge piles and abutments. The project remains on target to complete the work in the creek by October 15.
Fire Station #4
Fire Station #4 construction continues with the completion of structural steel, relocated temporary power and ongoing installation of the exterior metal studs. This project remains on schedule with completion anticipated in June 2027.
Embarcadero Road Improvements – Phase 1 Project Updates Work started on Embarcadero Road Improvement Project – Phase 1 on June 8. Grading and storm drain work was completed, widened sidewalk work is underway. Work is anticipated to be completed prior to school starting on August 13.
Regional Water Quality Control Plant (RWQCP) Update
The staff team welcomed a record seven interns, and is excited to provide them with meaningful, hands-on experiences. Staff hopes they will carry their positive experiences into their careers and help strengthen the wastewater industry.
Staff completed several major plant shutdowns to accommodate the two largest construction projects currently underway at the plant, the Secondary Treatment Upgrades and Local Advanced Water Purification System projects, both of which are on track for 2028 completion.
The work completed without any major compliance issues.
The plant continued providing public and private tours, and received positive feedback from attendees.
Staff safely managed an unusual sea foam event during King Tides in early July, which did not result in any major compliance concerns. Sea foam began billowing out of the final effluent box—the structure where treated water leaves the plant and flows to the Bay. Staff believes seawater carried organic material into the effluent box during a period of low plant flow in the middle of the night. A subsequent high tide from the Bay, combined with increased flow from the plant mixing within the relatively small area of the effluent box, appears to have created the sea foam.
A new project to build a local workforce pipeline by creating awareness and generating enthusiasm for career pathways in the wastewater industry began this summer. Work completed by this year’s summer intern includes a new careers webpage with employee interviews, development of a Wastewater Treatment Plant Careers Tour for teens and research on existing programs to inform a 3-year workplan.
Zero Waste City Facility Audit
A second annual comprehensive review of City facilities continued this summer through a friendly competition between City workgroups to highlight the City’s Zero Waste requirements and enhance staff awareness of responsible waste practices. Audits were conducted by the Zero Waste summer intern who reviewed all common areas. All facilities and work areas received educational materials, fliers, stickers, posters, and information including photos, missing requirements, and what needed to be updated. A trophy to be presented to the winning workgroup in August.
Household Hazardous Waste Station Outreach and Video
This summer, the City developed new outreach materials on how to safely dispose of household hazardous waste (HHW) items. The social media messages, Zero Waste Minute eNews and advertisement will include specific images of HHW examples to be taken to the City’s HHW Station for safe disposal. In addition, a new promotional video of the HHW Station was filmed by the Zero Waste summer intern about how the HHW program works and what type of materials are accepted. The promotional video will support Zero Waste’s new HHW outreach efforts and incorporate the new campaign slogan: “We Make It Easy to Do the Right Thing” with the goal of increasing resident participation at HHW events.
Youth Climate Advisory Board (YCAB) and E-Bike Training The Office of Sustainability concluded recruitment for the 2026-2027 YCAB term during the Summer Recess. A total of 31 students applied, four of whom were previous YCAB members who were selected to serve on the Board again. The summer intern is helping prepare the next Youth Climate Advisory Board (YCAB) term and began outreach to former YCAB members to gain insights from their experiences to inform future programming.
Staff also organized an in-person e-bike training for staff to gain safety information and experience on the pilot program fleet of e-bikes. 33 staff participated in the training.
Utilities Department
Fiber-to-the-Premises (FTTP) and Palo Alto Fiber
Following completion of the fiber hut and FTTP Phase 1 pilot infrastructure earlier this year, Palo Alto Fiber internet service is rolling out to residents in the pilot area. Staff completed the first early adopter installation at the end of April and are planning to start broader marketing efforts to all homes in the pilot area in August. Early adopters will help staff validate contractor installation processes, service activation, customer service workflows and network support.
Staff will return to the Utilities Advisory Commission and Council with pilot data, financials and customer metrics by the end of 2026.
Gas Main Replacement Project Summer Progress
Crews working on the Gas Main Replacement Project 25 completed installation of 5,800 linear feet of gas main and 111 services. Crews and the contractor continued work through the end of July, subsequently moving into Matadero Creek and Barron Creek.
Foothills Wildfire Mitigation Project
The City’s contractor for the installation of underground conduit and utility boxes completed the last 10,000 feet of underground substructure installations in late June. Quickly following that work, City electric line workers began installing and splicing underground cable. This will allow all City-owned overhead high-voltage conductors within the CPUC’s designated High Fire Risk Districts to be de-energized ahead of 2026 peak wildfire season.
Annual Water Quality Report
Every year, per state regulations, Utilities produces a consumer confidence report on water quality conditions for the previous calendar year. The 2025 water quality report is now available online in English, Spanish and Traditional Chinese at paloalto.gov/waterresources and in print upon request. Postcards were mailed citywide to inform all water customers that this information is available.
California Renewables Portfolio Standard Program
On July 13, Governor Newsom signed Assembly Bill (AB) 34 into law, the California Renewables Portfolio Standard (RPS) Program for public utilities. AB 34 affirms that hydroelectric power generated for use by public utilities qualifies as renewable energy through the year 2045. AB 34 ensures municipal utilities continue to receive hydropower from projects which customers have already funded, protecting ratepayers, improving affordability and supporting California’s ambitious carbon emission reduction goals. For Palo Alto, this legislation protects public investments in carbon-free infrastructure and supports the City’s 100% carbon-neutral electric portfolio and goal to reduce greenhouse gas emissions 80%.
FISCAL/RESOURCE IMPACT
This report is informational only and items will be brought to the City Council independently, should they need additional fiscal or policy considerations.
STAKEHOLDER ENGAGEMENT
Community engagement continues. Work is underway planning for two Neighborhood Town Hall meetings over the next two quarters and the annual community survey begins on August 14 for a statistically significant population, opening for general participation on September 15.
There are two community workshops hosted through the City’s partnership with The Jed Foundation: Community Postvention Conversation (August 11) and It’s OK to Say Suicide (August 12). The annual State of the City address is scheduled for Wednesday, August 19 at the Palo Alto High School Performing Arts Theater. Later in August, there are two community meetings on the grade separation project (August 24 and 25) and one on the South Palo Alto Bike / Ped Connectivity project (August 26).
Website Statistics for January – July 27, 2026
- 3,488,130 total pageviews and 583,354 users
- Top 10 Webpages Visited
oHome page
oCareers
oContent search landing page
oMyCPAU Account Login
oUtilities Department
oMeeting Agendas and Minutes
oRegister for Activities & Classes
oPalo Alto Children’s Theatre
oCreek Monitor & Camera
oPalo Alto Art Center
Other communications shared during the Council recess include:
- City Budget – New Fiscal Year: Service Enhancements & Changes Ahead - Quick Tips: Stay Safe and Keep Cool During Extreme Heat - Every Drop Counts: Simple Ways to Save Water this Summer - The Clerk Chronicles – 2026 Palo Alto Municipal Election - Limited Time: Save $500 When You Switch to a Heat Pump Water Heater - Keep Your Home Safe During Summer Vacation
- Summer Awaits in Palo Alto
- Stay Safe Online: Internet Safety Tips for the Whole Family - Police Invite the Community to National Night Out Events on August 4 - Celebrate the Fourth Safely: Leave Fireworks to the Professionals
ENVIRONMENTAL REVIEW
This report is for informational purposes only with no action required by the Council and is therefore not a project subject to CEQA review.
ATTACHMENTS
No attachments.
APPROVED BY:
Ed Shikada, City Manager