HomeMy WebLinkAboutStaff Report 14836 (2)
City of Palo Alto (ID # 14836)
City Council Staff Report
Meeting Date: 12/19/2022 Report Type: INFORMATION REPORTS
City of Palo Alto Page 1
Title: Update on the Fiscal Year 2022 Implementation of the Deconstruction
and Construction Materials Management Ordinance (Ordinance 5472/ Palo
Alto Municipal Code Title 5, Chapter 5.24)
From: City Manager
Lead Department: Public Works
Recommendation
This is an informational report only and no Council action is required.
Background
In August 2018, Council accepted the 2018 Zero Waste Plan1. The plan contained 48 initiatives
to help the City meet its sustainability and climate action goals, including salvage and diversion
of deconstruction and construction materials. In June 2019, Council approved the
Deconstruction and Construction Materials Management Ordinance2 (Deconstruction
Ordinance, Ordinance 5472/ PAMC Title 5, Chapter 5.24,) with the effective date of July 1,
2020. The ordinance aligns with the 2018 Zero Waste Plan and implements key provisions
including
x Initiative #1, Require Deconstruction and Source Separation of Construction Materials;
x Initiative #2, Direct Mixed Construction Materials to High Diversion Construction
Materials Recycling Facilities; and
x Initiative #4, Construction Project Recycling Technical Assistance.
In addition, implementing and expanding the Deconstruction Ordinance is a key action
identified in the Sustainability and Climate Action Plan Goals and Key Actions accepted by
Council in October 20223.
1 2018 Zero Waste Plan https://www.cityofpaloalto.org/files/assets/public/zero-waste/zero-waste-website-
files/2018-zero-waste-plan.pdf
2 City Council, June 10, 2019; Agenda Item #10; CMR #10148
https://www.cityofpaloalto.org/files/assets/public/agendas-minutes-reports/reports/city-manager-reports-
cmrs/year-archive/2019/10148.pdf
3 City Council, September 27, 2022; Agenda Item #10; CMR #14606
https://www.cityofpaloalto.org/files/assets/public/agendas-minutes-reports/reports/city-manager-reports-
cmrs/2022/id.-14606-scap-update-reach-code-changes-and-advanced-hpwh-program.pdf
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The Deconstruction Ordinance applies to all residential and commercial projects undergoing a
whole structure demolition and requiring a deconstruction permit on or after July 1, 2020. The
objectives of the ordinance are to 1) increase salvage/reuse to the highest extent possible and
2) increase the amount and quality of recyclable materials for all construction and demolition
projects, beginning with whole structure deconstruction projects.
Palo Alto’s Deconstruction Ordinance is the first of its kind in the United States that covers all
commercial and residential projects undergoing whole structure removal regardless of the age
of the buildings. Although some deconstruction projects were occurring voluntarily in the City
prior to the ordinance, the requirements and process were new to most permit applicants and
contractors and, consequently, require contractors to learn the new process. During the
development of the ordinance, staff estimated based on historical data that it would affect
approximately 114 projects annually (100 residential and 14 commercial). Outreach and
education were developed explaining the ordinance requirements and resources were made
available and sent to stakeholders prior to the ordinance’s July 1, 2020 effective date.
Discussion
Staff continues to conduct outreach and educate homeowners, general contractors, and
architects when building permit applications are submitted to provide information on the newly
enacted ordinance requirements. Staff proactively schedules video conference calls to explain
the ordinance and answer questions from the applicants and their contractors. When the
deconstruction permits are issued, staff reaches out again to meet the general contractors and
subcontractors hired for deconstruction onsite to review the requirements, walk through the
property together, and ensure expectations are communicated. During deconstruction, staff
inspects each project site multiple times to document progress, reiterates requirements for
source separation and hauling of single stream materials, and addresses any concerns
observed.
In Fiscal Year 2022, the City’s Development Center received 74 building permit applications for
projects that involved whole structure demolition (74 residential and 0 commercial) covered
under the Deconstruction Ordinance, compared to 44 permit applications in Fiscal Year 2021
(41 residential and 3 commercial). As summarized in Graph 1, of the total building permit
applications in Fiscal Year 2022, the City issued 60 deconstruction permits (59 residential and 1
commercial), and 57 buildings were removed (55 residential and 2 commercial). This is an
increase from Fiscal Year 2021 when the City issued 18 deconstruction permits and 16 buildings
were removed (15 residential and 1 commercial). Staff expects the number of building permit
applications to continue to increase in Fiscal Year 2023 while the economy and the
development industry continue to slowly recover from the COVID-19 pandemic, which
postponed some projects. Additionally, it is expected that some permit applications received in
Fiscal Year 2022 will have permits issued in Fiscal Year 2023.
Graph 1: Fiscal Year 2022 Deconstruction Permit Application and Project Status
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Table 1 below summarizes the tonnages generated from 32 residential projects that completed
permit documentation, and had the whole structures removed. The tonnages of materials were
documented in the Green Halo Systems, a waste management tracking tool for development
projects required by the Planning and Development Services Department. Graph 2 provides a
visual of the percentage of material categories from these projects. In summary, the salvaged
materials recovered for reuse (mostly lumber, cabinets, doors, and windows) accounted for
seven percent of the materials from the 32 complete residential projects, and only eight
percent (8%) of the materials were landfilled. Examples of materials landfilled included
insulation and painted wood. Materials recovered for recycling included clean wood debris and
drywall aside from concrete. This is an increase from Fiscal Year 2021, when there were 15
complete residential projects creating approximately 1,582 tons of materials with 3 percent
(3%) salvaged for reuse.
Table 1: Fiscal Year 2022 Residential Deconstruction Tonnage
Tonnage Percentage (%)
Salvaged for Reuse 238 7%
Recycled 795 23%
Concrete Recycled 2,168 62%
Landfilled 274 8%
Total 3,475
Graph 2: Fiscal Year 2022 Residential Deconstruction Tonnage Percentages
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Staff emphasizes continuous communication, outreach, and education with the stakeholders
involved in each covered project. Staff also performs oversight and documents and addresses
instances of noncompliance. The most common form of noncompliance is improper sorting of
waste into single material type. Staff will continue to emphasize better onsite source separation
for all active and upcoming deconstruction projects in Fiscal Year 2023.
Staff will continue to implement requirements, monitor qualifying projects and will explore how
to potentially expand the Deconstruction Ordinance to include more projects through a future
Council action. Due to the lack of reuse and salvage infrastructure, staff began working on
expanding the list of approved reuse organizations to encourage reuse and salvage, as well as
collaborating with San Francisco and other Bay Area jurisdictions to research the potential for
reuse market development.
Resource Impact
The primary resource impact is staff time for project site visits, documentation, and
communication with stakeholders including virtual meetings and onsite meetings with project
owners and contractors. Staff spends approximately 9 staff hours for each project. Staff also
spends time and resources on collaboration across different City departments and with industry
representatives. In Fiscal Year 2022, this effort totaled approximately 0.4 full time equivalents
of staff time or 832 hours annually.
Stakeholder Engagement
Outreach and education were conducted during Fiscal Years 2021 and 2022 as the
Deconstruction Ordinance was implemented and included communicating directly with
stakeholders with upcoming and active deconstruction projects. Staff is also involved in
regional and statewide efforts via working groups that focus on deconstruction, reuse, market
development, and construction, demolition, and deconstruction debris management.
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Environmental Review
This report is for informational purposes only with no action required by the Council.
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