City Council
Staff Report
From: City Manager
Report Type: CONSENT CALENDAR
Lead Department: City Manager
Meeting Date: October 19, 2026
Report #:2609-6714
TITLE
Adoption of an ordinance to amend PAMC Chapter 10.44 prohibiting overnight parking of oversized vehicles (OSVs) in residential areas, and a resolution to support implementation of the Embarcadero Road OSV parking permit pilot program and Approve Budget Amendments in the Capital Improvement Fund. CEQA status – categorically and statutorily exempt.
RECOMMENDATION
Staff recommend City Council:
1. Adopt an ordinance amending Chapter 10.44 to extend oversized vehicle (OSV) parking restrictions to all streets within 100 feet of a residential use and extend the hours of overnight OSV parking restrictions to the hours of 8:00 p.m. to 8:00 a.m.;
2. Adopt a resolution expanding the authorized area for the Embarcadero Road OSV parking permit pilot program area to allow for more flexible implementation; and
3. Approve amendments to the Fiscal Year 2027 budget appropriation for the Capital Improvement Fund (requires 2/3 vote) to:
a. Increase the Parking Infrastructure Improvements project (PL-12000) in the amount of $140,000; and
b. Decrease the infrastructure reserve ending fund balance by $140,000.
EXECUTIVE SUMMARY
This report implements part of the August 24, 2026 City Council motion related to Oversized Vehicle (OSV) parking restrictions in residential areas.1 The City Council directed staff to return to City Council with an ordinance prohibiting overnight OSV parking adjacent to any residential use in the City, including residential uses in planned community and mixed-use zones that are not covered by current restrictions on OSV parking.
Additionally, the City Council approved an OSV parking permit pilot program for two street segments in Palo Alto (Coyote Hill Road and Embarcadero Road). Staff recommends an adjustment to the adopted program for Embarcadero Road as the original district was overly narrow. This edit revises the area to either side of Embarcadero Road between Embarcadero Way and the ”T“ intersection, without changing the number of vehicles accommodated. This enables accommodation of construction activities (currently the Regional Water Quality Control Plant) in the area and any unforeseen conditions that might impact segments of the roadway.
BACKGROUND
On August 24, 2026, the City Council approved an OSV Parking Permit Pilot program creating two street segments, on portions of Coyote Hill Road and Embarcadero Road. Additionally, the City Council also provided direction to:
• Install red curbs on certain streets with a heavy OSV presence; • Expand current restrictions on OSV parking in residential areas to include residential uses in non-residentially zoned areas, including planned community and mixed-use districts;
• Explore data collection to better understand Palo Alto OSV dweller demographics; • Continue exploring future safe parking partnerships including safe parking solutions in collaboration with County, State, Federal, and public/private partners; • Explore major employers’ willingness to accommodate on-site OSV parking for their employees who reside in OSVs; and
• Explore other possible sites for OSV parking in the greater downtown area.
ANALYSIS
Expand Residential Parking Restrictions
The Municipal Code currently prohibits OSV parking in residential and public facility districts from 2:00 a.m. to 6:00 a.m. On August 24, the City Council directed staff to expand these restrictions to address a limited number of residential properties located outside of residential districts, including properties in planned community and mixed-use zones. Based on Council’s direction and input from the OSV Ad Hoc Committee, staff prepared amendments to Municipal Code Chapter 10.44 to implement Council’s direction.
The attached ordinance (Attachment A) expands overnight restrictions on OSV parking to include streets within 100 feet of any residential use. In addition, the ordinance expands the duration of overnight parking restrictions to the hours of 8:00 p.m. to 8:00 a.m. The extended hours of the parking restriction are intended to facilitate enforcement. Finally, the ordinance simplifies existing ordinance language by defining OSVs as any vehicle over 7 feet in height or width or over 20 feet in length.
In order for the proposed amendments to the ordinance to be enforceable, signage needs to be installed to notify the community of the restrictions in place. Signage will be installed at all entrances to the city, in lieu of on all residential streets. This provided an enforceable solution that had managed fiscal and staff workload impacts. Approximately 50 entrances to the city have been identified and will receive appropriate signage following approval. Additional signage will be ordered to utilize in areas that may experience greater issues with compliance to the amendment.
Correction for Permit Parking Pilot Program Area on Embarcadero Road On August 24, City Council also adopted a resolution authorizing a pilot permit parking program for OSVs on segments of Coyote Hill Road and Embarcadero Road. Following the August 24 City Council meeting, staff identified the mapping area of Embarcadero Road included in the resolution was overly constrained. For example, it currently conflicts with construction activities in the public right-of-way adjacent to the Regional Water Quality Control Plant and would have been a conflict with recent utility emergency repair work completed in the area. The proposed resolution would define the authorized area for OSV permit parking to either side of Embarcadero Road between Embarcadero Way and the “T“ intersection to the east. Previously, the resolution included only specific sections of east and west bound roadway of Embarcadero Road. This small change, on the same stretch of roadway but both sides, allows for flexibility in implementing the program during construction or other unforeseen interruptions. This will not result in a change in the number of vehicles accommodated in the Embarcadero Road OSV Permit Parking Pilot area.
FISCAL/RESOURCE IMPACT
As part of the abovementioned August 24, 2026 motion, City Council directed the City Manager to appropriate the funding needed for the associated scope of work. For expanding OSV parking restrictions to all residential areas, the costs related to updating previously installed signage and installing new signage is $140,000. It is anticipated to reduce the infrastructure reserve to cover this additional cost.
With the proposed adjustments to the ordinance expanding overnight restrictions, PAPD will need to rely on police overtime to support additional public education and enforcement activities, resulting in budgetary impacts. Additional staff time will be needed immediately following adoption of the expanded restrictions, with enforcement needs expected to taper over time. Police overtime costs during the first three months following adoption will be approximately $9,600, to be absorbed by the Department. In the unlikely event significantly more police officer time is required after the initial three months, the Department will include a budget modification at the mid-year budget.
STAKEHOLDER ENGAGEMENT
Staff continue to monitor and respond to correspondence submitted to City Council and have included input from residents in the drafting of the amended ordinance. Additionally, in response to City Council and community interest in more timely information on this topic, staff created a new webpage where individuals can stay informed by visiting www.paloalto.gov/OSV and signing up to receive updates.
Staff will do additional outreach as implementation progresses related to the red curbs as well as the Parking Permit Pilot program. Outreach information will be posted on the aforementioned website.
ENVIRONMENTAL REVIEW
The parking pilot programs as detailed in this staff report are exempt under CEQA regulation 15061(b)(3) (no possibility that the activity may have a significant effect on the environment), 15301 (existing facilities), 15304 (minor alterations to land), and Public Resources Code section 21080.10(c).
ATTACHMENTS
Attachment A: Ordinance of the City Council of the City of Palo Alto Amending PAMC Sections
10.44.15 and 10.44.020
Attachment B: Resolution of the City Council of the City of Palo Alto Amending the Embarcadero Road OSV Parking Permit District
APPROVED BY:
Ed Shikada, City Manager