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HomeMy WebLinkAbout2025-12-15 City Council Agenda PacketCITY COUNCIL Special Meeting Monday, December 15, 2025 Council Chambers & Hybrid 4:30 PM Amended Agenda Amended agenda items appear below in RED   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 city.council@PaloAlto.gov 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. PowerPoints, videos, or other media to be presented during public comment are accepted only by email to city.clerk@PaloAlto.gov 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 December 15, 2025 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 (4:35 - 4:45 PM)   1.Proclamation Expressing Appreciation to Molly S. Stump Upon Completion of Her Public Service as City Attorney. CLOSED SESSION (4:45 - 5:30 PM)   2.CONFERENCE WITH CITY ATTORNEY-POTENTIAL LITIGATION Subject: Initiation of litigation in one case Authority: Potential Exposure to Litigation Under Government Code Section 54956.9(d) (4) Number of potential cases: 1, as Plaintiff.   AGENDA CHANGES, ADDITIONS AND DELETIONS   PUBLIC COMMENT (5:30 - 6:00 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 (6:00 - 6:15 PM) Members of the public may not speak to the item(s).   STUDY SESSION (6:15 - 7:15 PM)   3.Receive an update on the Cubberley project and second polling results, and discuss next steps. Late Packet Report added   CONSENT CALENDAR (7:15 - 7:20 PM) Items will be voted in one motion unless removed from the calendar by three Council Members.   4.Approval of Minutes from December 1, 2025 Meeting 5.Adoption of a Resolution appointing Caio Arellano as Interim City Attorney  2 December 15, 2025 Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas. 6.Adoption of a Resolution Approving and Attesting to the Veracity of the City's 2024 Power Source Disclosure and Power Content Label Reports. CEQA Status: Not a project 7.Approval of a Surveillance Use Policy for Security Cameras at the Palo Alto Museum at the Roth Building (300 Homer Avenue); CEQA Status - Not a Project 8.Approve Policy & Services Committee Recommendation to Continue the Nonprofit Partnership Workplan Phase I funding process for FY 2027 Budget Cycle, with Additional Refinements to be Developed by the and refer refinement of the program to the Policy & Services Committee in January 2026 and Return to Council for Approval per their recommendation Title Updated, Late Packet Report added 9.Policy and Services Committee Recommends Council Amend the Procedures and Protocols Handbook to Allow January Committee Meetings and Schedule Procedures and Protocols Handbook Review Every Other Year: CEQA - Not a Project 10.Reaffirmation of the Carbon Neutral Plan and the Renewable Energy Credit Exchange Program as Recommended by the Utilities Advisory Commission; CEQA Status: Not a project 11.QUASI-JUDICIAL. 3150 El Camino Real [25PLN-00273]: Request for a Final Map to Merge Three Contiguous Parcels to Create a 111,030-Square-Foot Parcel. The Final Map Would Facilitate Construction of a 368-Unit Rental Development Project (24PLN-00230) Previously Approved on July 11, 2025. Zone District: CS (Commercial Services). CEQA Status: Exempt in Accordance with CEQA Guidelines Section 15183. 12.Approval of Partnership Agreement with Metropolitan Transportation Commission, in an Amount Not to Exceed $108,888 to Provide Unlimited Transit Access Available Through the Clipper BayPass Pilot Program for City of Palo Alto Employees Through December 31, 2026; CEQA Status - Not a Project. 13.Accept the City of Palo Alto’s Audited Financial Statements as of June 30, 2025, and the Macias, Gini & O’Connell Management Letter; Approve the FY 2025 Annual Comprehensive Financial Report (ACFR)and Amendments to the FY 2025 Budget in Various Funds; CEQA Status – Not a Project. 14.Approval for the City Manager or Designee to Execute Purchase Order with Zoll Medical Corporation, utilizing a Sourcewell Cooperative Contract to Procure Replacement Pre- hospital Monitors/Defibrillators and ancillary equipment for Emergency Responses for a Total Not-To-Exceed amount of $1,129,138. CEQA Status – Not a Project.  3 December 15, 2025 Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas. 15.Approval of Professional Services Agreement No. C26193655 with Canopy to Support the City of Palo Alto's Urban Forestry Programs for a Term of Three Years and a Not-To- Exceed Amount of $1,236,366, and Approval of a Budget Amendment in the General Fund; CEQA Status - Not a Project 16.Adoption of a Resolution Approving Conduit Financing for Charities Housing Development Corporation, on behalf of El Camino PA, L.P., for the 130-Unit Affordable Multifamily Housing Rental Project Located at 3001 El Camino Real, and Approving the Issuance of Revenue Bonds not to exceed $80 Million by the California Municipal Finance Authority (CMFA) for the Purpose of Financing and Refinancing the Acquisition, Development, Construction and Equipping of Project; CEQA Status: Not a Project 17.Approval of General Services Contract No. C26195803 with Genuine Parts Company dba Napa Auto Parts for an Amount Not-to-Exceed $6,238,832 for an On-Site Fleet Parts and Inventory Program for a Six-Year Term Utilizing Pricing Set by Cooperative Sourcewell Contract No. 090624-GPC, and Approval of a Budget Amendment in the Vehicle ​ Replacement and Maintenance Fund; CEQA Status - Not a Project 18.Approval of Professional Services Contract Number C26194283 with Keyser Marston Associates, Inc. in the Amount Not-to-Exceed $371,415 to Conduct Development Impact and In-Lieu Fee Study. CEQA Status: Exempt Under CEQA Guidelines Sections 15061(b) (2) and (b)(3). 19.Approval of a Professional Services Contract Number C26196324 with Santa Clara County Communications in an Amount Not to Exceed $100,000 for Public Safety Radio Maintenance and Support for a Period of Five (5) Years; CEQA Status - Not a Project 20.Approval of Professional Services Contract No. C26190778A with Turbo Data LLC, in an Amount Not to Exceed $989,138 to Provide Development, Implementation, Support and Maintenance of a Comprehensive Parking Permit and Citation Management System for five years; CEQA status - not a project. 21.Approval of a Purchase Order with Golden State Fire Apparatus in an Amount Not to Exceed $3,378,458, for the Purchase of One Hybrid Electric Pierce Enforcer Volterra 1500 GPM Pumper and One Diesel Pierce Enforcer 1500 GPM Pumper, Utilizing a Cooperative Purchase Agreement, as Part of the Scheduled Vehicle and Equipment Replacement Capital Improvement Fiscal Year 2025 and 2026 Projects (VR-25000 and VR-26000); CEQA Status – Not a Project Item Removed Off Agenda  4 December 15, 2025 Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas. 22.Approval of Amendment #1 for Professional Services Contract No. C26195143 in the Amount of $101,292 with Peninsula Healthcare Connection to continue the Downtown Food Closet Operations for a Revised Total Amount Not-to-Exceed $268,521 including the Provision of Outreach, Mental and Physical healthcare to Unhoused and Low- Income Members of the Community for a Period of Two Years; CEQA status – not a project. 23.Approval of Amendment No. 2 to Contract S20176706 with FolgerGraphics, Inc. to Reduce the Scope of Services for Professional Printing and Distribution Services of the Enjoy! Activity Guide through March 2026; CEQA Status – not a project. 24.Adoption of an Ordinance Amending the Fiscal Year 2026 Municipal Fee Schedule to Implement Technical Corrections. CEQA Status: Not a Project CITY MANAGER COMMENTS (7:20 - 7:35 PM)   BREAK (15 MINUTES) ACTION ITEMS (Item 25: 7:50 - 9:05 PM, Item 26: 9:05 - 10:20 PM) Include: Report of Committees/Commissions, Ordinances and Resolutions, Public Hearings, Report of Officials, Unfinished Business and Council Matters.   25.PUBLIC HEARING/QUASI-JUDICIAL. 1680 Bryant Street [25PLN-00204]. Approval of a Record of Land Use Action to Reclassify the Historic Building Located at 1680 Bryant Street From a Category 2 Resource on the Local Historic Inventory to a Category 3 Resource. 26.Review and Selection of the Locally Preferred Alternative (LPA) to proceed with 15% design and Prepare CEQA and NEPA Documentation for the Grade Separations at Churchill Avenue, Meadow Drive, and Charleston Road Crossings; CEQA status – CEQA and NEPA will be conducted on this project as part of the upcoming scope of work. This item is a continuation of Agenda Item Number 1 on the City Council December 10, 2025 agenda. The report for this item can be found here under Agenda Item Number 1 here: https://cityofpaloalto.primegov.com/Portal/Meeting? meetingTemplateId=18178 On December 10, 2025, Council will receive staff presentation(s) and Public Testimony; this item continued to the December 15, 2025 City Council meeting is for, as needed, Council discussion, deliberation and action – No Public Testimony will be  5 December 15, 2025 Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas. heard on December 15, 2025. ADJOURNMENT INFORMATION REPORTS Information reports are provided for informational purposes only to the Council and the public but are not listed for action and discussion during this meeting’s agenda.   A.Feasibility of Marketing Different Housing Typologies without On-Site Parking (2023-2031 Housing Element Program 3.9(B)). CEQA Status: Exempt under CEQA Guidelines Section 15378. B.Informational Report on the Annual Review of the City’s Renewable Procurement Plan, Renewable Portfolio Standard Compliance, and Carbon Neutral Electric Supplies for 2024 C.Surveillance Technology Report for Fiscal Year 2025; CEQA Status – Not a Project D.Semiannual Update on the Status of Capital Improvement Program Projects; CEQA Status – Not a Project OTHER INFORMATION Standing Committee Meetings this week Finance Committee December 16, 2025 CANCELED Retail Committee December 17, 2025 CANCELED Public Comment Letters Schedule of Meetings   AMENDED AGENDA ITEMS   3.Receive an update on the Cubberley project and second polling results, and discuss next steps. Late Packet Report added    6 December 15, 2025 Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas. 8.Approve Policy & Services Committee Recommendation to Continue the Nonprofit Partnership Workplan Phase I funding process for FY 2027 Budget Cycle, with Additional Refinements to be Developed by the and refer refinement of the program to the Policy & Services Committee in January 2026 and Return to Council for Approval per their recommendation Title Updated, Late Packet Report added   21.Approval of a Purchase Order with Golden State Fire Apparatus in an Amount Not to Exceed $3,378,458, for the Purchase of One Hybrid Electric Pierce Enforcer Volterra 1500 GPM Pumper and One Diesel Pierce Enforcer 1500 GPM Pumper, Utilizing a Cooperative Purchase Agreement, as Part of the Scheduled Vehicle and Equipment Replacement Capital Improvement Fiscal Year 2025 and 2026 Projects (VR-25000 and VR-26000); CEQA Status – Not a Project Item Removed Off Agenda   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 city.council@PaloAlto.gov. 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  7 December 15, 2025 Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas. 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 ada@PaloAlto.gov. Requests for assistance or accommodations must be submitted at least 24 hours in advance of the meeting, program, or service.   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.  8 December 15, 2025 Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas. City Council Staff Report Report Type: SPECIAL ORDERS OF THE DAY Lead Department: City Clerk Meeting Date: December 15, 2025 Report #:2511-5428 TITLE Proclamation Expressing Appreciation to Molly S. Stump Upon Completion of Her Public Service as City Attorney. ATTACHMENTS Attachment A: Proclamation Expressing Appreciation to Molly S. Stump Upon Completion of Her Public Service as City Attorney APPROVED BY: Mahealani Ah Yun, City Clerk Item 1 Item 1 Staff Report        Item 1: Staff Report Pg. 1  Packet Pg. 9 of 637  EXPRESSING APPRECIATION TO MOLLY S. STUMP UPON COMLPETION OF HER PUBLIC SERVICE AS CITY ATTORNEY WHEREAS, Molly S. Stump has dedicated her professional career to public service, leading a generation of public-law attorneys and staff with her intelligence, integrity, and empathy; and WHEREAS, Molly first served as a Law Clerk to the Honorable Marilyn Hall Patel of the U.S. District Court in San Francisco after graduating Order of the Coif from UC Berkeley Law; and WHEREAS, Molly exhibited her legal skill and leadership ability in the San Francisco City Attorney’s Office, eventually ascending to General Counsel for the San Francisco International Airport; and WHEREAS, Molly has served the City of Palo Alto as its City Attorney since her appointment in 2011 as one of four Council-appointed officers; and WHEREAS, after nearly 15 years of service to Palo Alto, Molly leaves behind a legacy of sound advice, calm judgement, a commitment to public service, and a department of nine attorneys and three professional staff who embody these same qualities; and NOW, THEREFORE, BE IT RESOLVED, that I, Ed Lauing, Mayor of the City of Palo Alto on behalf of the entire City Council do hereby recognize Molly S. Stump upon completion of her public service as City Attorney. APPROVED AND PRESENTED: December 15, 2025 ______________________ Mayor Ed Lauing ______________________ ______________________ Vice Mayor Vicki Veenker Councilmember Pat Burt ______________________ ______________________ Councilmember George Lu Councilmember Julie Lythcott-Haims ______________________ ______________________ Councilmember Keith Reckdahl Councilmember Greer Stone cÜÉvÄtÅtà|ÉÇ Item 1 Attachment A - Proclamation Expressing Appreciation to Molly S. Stump Upon Completion of Her Public Service as City Attorney        Item 1: Staff Report Pg. 2  Packet Pg. 10 of 637  City Council Staff Report From: City Manager Report Type: STUDY SESSION Lead Department: Community Services Meeting Date: December 15, 2025 Report #:2512-5636 TITLE Receive an update on the Cubberley project and second polling results, and discuss next steps. This report will be a late packet report published on December 11, 2025. Item 3 Item 3 Staff Report        Item 3: Staff Report Pg. 1  Packet Pg. 11 of 637  City Council Staff Report Report Type: CONSENT CALENDAR Lead Department: City Clerk Meeting Date: December 15, 2025 Report #:2512-5632 TITLE Approval of Minutes from December 1, 2025 Meeting RECOMMENDATION Staff recommends that the City Council review and approve the minutes. ATTACHMENTS Attachment A: December 1, 2025 Draft Action Minutes APPROVED BY: Mahealani Ah Yun, City Clerk Item 4 Item 4 Staff Report        Item 4: Staff Report Pg. 1  Packet Pg. 12 of 637  CITY COUNCIL DRAFT ACTION MINUTES Page 1 of 5 Regular Meeting December 1, 2025 The City Council of the City of Palo Alto met on this date in the Council Chambers and by virtual teleconference at 5:32 P.M. Present In Person: Burt, Lauing, Lythcott-Haims, Reckdahl, Stone, Veenker Present Remotely: Absent: Lu Agenda Changes, Additions and Deletions Public Comment Council Member Questions, Comments and Announcements Study Session 1. Receive an update and provide feedback on the City Council’s priority Implementing Neighborhood Town Halls. NO ACTION 2. Bicycle and Pedestrian Transportation Plan (BPTP) Update: Draft Plan and Near-Term Projects. CEQA Status: Exempt Pursuant to Public Resources Code Section 21080.20. NO ACTION Item 4 Attachment A - December 1, 2025 Draft Action Minutes        Item 4: Staff Report Pg. 2  Packet Pg. 13 of 637  DRAFT ACTION MINUTES Page 2 of 5 City Council Meeting Draft Action Minutes: 12/01/2025 Consent Calendar Councilmember Stone requested to pull Agenda Item Number 12. MOTION: Councilmember Burt moved, seconded by Councilmember Reckdahl to approve Agenda Item Numbers 3-13, 15-17 (Agenda Item Number 14 Removed Off Agenda). MOTION PASSED ITEMS 3-11, 13, 15-17: 6-0-1, Lu absent MOTION PASSED ITEM 12: 5-1-1, Stone abstain, Lu absent 3. Approval of Minutes from November 10 and November 17, 2025 Meetings 4. Policy & Services Committee Recommendation to Adopt Updates to the Advocacy Process Manual; CEQA Status - Not a Project 5. PUBLIC HEARING: Finance Committee Recommends City Council Adopt a Resolution Approving the 2026 Natural Gas Cost of Service Analysis Report, Amending Rate Schedules G-1 (Residential Gas Service), G-2 (Residential Master-Metered and Commercial Gas Service), G-3 (Large Commercial Gas Service) and repealing G-10 (Compressed Natural Gas Service). CEQA Status: Not a Project under Public Resources Code Section 21065. 6. Approval of Purchase Order C26196043 with Carahsoft, Utilizing a General Services Administration Cooperative Agreement, to Procure S/4 Hana Implementation Services, for a term of Twelve Months and a Total Amount Not-To-Exceed of $5,839,230, including $4,399,300 for Basic Services and $439,930 for Additional Services, and Approval of Budget Amendments to the Information Technology; CEQA Status – Not a Project. 7. Approval of Two Contracts: 1) Blanket Purchase Order with Minsait Advanced Control Systems (ACS) in an Amount Not-to-Exceed $1,000,000 to Purchase As-Needed Hardware and Software Components, 2) Professional Services Contract No. C26195119 with Minsait ACS in an Amount Not-to-Exceed $439,450 for SCADA System Software Licensing and Support for a Period of Five Years in an Combined Contracts Amount Not- to-Exceed $1,439,450; CEQA Status – Not a Project 8. Approval of Two Blanket Purchase Orders with S&S Trucking in the Amount of $2,543,677 and with Zanker Road Resource Management LLC in the Amount of $1,090,753 for On-Call Off Hauling Services for a Total Amount Not-to-Exceed of $3,634,430 for a Five Year Term. CEQA Status: Exempt. Pursuant to CEQA Guideline 15302(c) – Maintenance of Existing Utility Systems. 9. Approval of Amendment No. 1 to Contract No. C22181106 with Universal Site Services Inc., to Provide Additional High Pressure Steam Cleaning Services for Downtown Item 4 Attachment A - December 1, 2025 Draft Action Minutes        Item 4: Staff Report Pg. 3  Packet Pg. 14 of 637  DRAFT ACTION MINUTES Page 3 of 5 City Council Meeting Draft Action Minutes: 12/01/2025 University and California Ave Business Districts, and to Extend the Contract for Six Months for an Additional Amount Not-to-Exceed $239,832; CEQA Status - Not a Project 10. Adoption of (Corrected) Resolution Amending Five Rate Schedules Setting Forth Utility Connection Fees and Other Charges: Utilities Rate Schedule E-15 (Electric Service Connections), W-5 (Water Service Connections), G-5 (Gas Service Connections), S-5 (Sewer Service Connections) and C-1 (Utility Miscellaneous Charges); CEQA Status: Not a Project Under CEQA Guidelines Sections 15378(b)(4) and (5) and Exempt Under Section 15273(a). 11. Approval of Amendment No. 2 to Contract C09124501A with GreenWaste of Palo Alto to Extend the Term for an Additional Four Years Through June 30, 2030, for an Estimated Average Annual Compensation of $24,840,211, including an Estimated $1,400,589 in Additional Expenses; Approval of Replacement of Aging Collection Vehicles for an Estimated $5,900,000 in Additional Expenses; Approval of a Budget Amendment in the Refuse Fund; and Approval of Amendment No. 1 to the Revocable Non-Exclusive License For Use of a Portion of the Former Los Altos Treatment Plant Located at 1237 San Antonio Road by GreenWaste of Palo Alto Through June 30, 2030; CEQA Status - Not a Project 12. Approval of Seven Items to Support the Automated Weather Observation System Project, AP-19000, at Palo Alto Airport: 1) Approval of Construction Contract No. C26194026 with Vellutini Corporation DBA Royal Electric Company, in an Amount Not to Exceed $1,699,810; 2) Authorization for the City Manager or Designee to Negotiate Change Orders Up to a Not-to-Exceed Amount of $254,971; 3) Approval and Authorization for the City Manager or Designee to Execute Contract Amendment 3 to Contract No. C21178372C with C&S Engineers, Inc. for a Not-to-Exceed Amount of $464,613 and a Contract Extension Through December 31, 2026; 4) Authorization and Approval for the City Manager or Designee to Execute Contract Amendment 1 to Contract No. C21178372B with Burns & McDonnell for a Contract Extension Through December 31, 2026; 5) Approval and Authorization for the City Manager or Designee to Execute Contract Amendment 1 to Contract No. C211783782A with Centurion Planning & Design LLC to extend the contract term through December 31, 2027; 6) Adoption of a Resolution Authorizing the Submittal of Applications and Execution of Grant Agreements with the California Department of Transportation for Airport Improvement Program Matching Grants; and 7) Approval of a Budget Amendment in the Airport Enterprise Fund; CEQA Status - Exempt Under CEQA Guidelines Section 15302 13. Approval for the City Manager or their Designee to Execute Contract No. C26195084 with SCA of CA, LLC, to Procure Services for the Sweeping of City Parking Garages, Parking Lots and an Underpass for a Period of Five Years for a Total Not to Exceed Amount of $581,852; CEQA Status – Not a Project Item 4 Attachment A - December 1, 2025 Draft Action Minutes        Item 4: Staff Report Pg. 4  Packet Pg. 15 of 637  DRAFT ACTION MINUTES Page 4 of 5 City Council Meeting Draft Action Minutes: 12/01/2025 14. FIRST READING: Adoption of an ordinance to Amend Chapters 4.54 and 4.56 of the Palo Alto Municipal Code to Amend the Regulation of Massage Establishments and Hot Tub/Sauna Establishments as Recommended by the Policy & Services Committee; and Adoption of a Resolution to Amend the Administrative Penalty Schedule to Amend Related Penalties; CEQA status - not a project. Item Removed Off Agenda 15. SECOND READING: Ordinance Repealing Chapter 15.04 of the Palo Alto Municipal Code and Adopting a New Chapter 15.04, the California Fire Code (2025 Edition) With Local Amendments and Related Findings (FIRST READING: 11/3/2025, PASSED 6-0-1, Veenker absent) 16. SECOND READING: Ordinance of the Council of the City of Palo Alto Amending Sections of Chapter 10.56 (“Special Speed Zones”) of Title 10 (Vehicles and Traffic) to Reflect the 2025 Traffic Survey (FIRST READING: November 10, 2025, PASSED 5-0-2, Stone, Veenker absent) 17. SECOND READING: Ordinance of the Council of the City of Palo Alto Amending Section 18.08.040 of the Palo Alto Municipal Code (The Zoning Map) to Change the Classification of Property Located at 511 Byron St, 660 University Ave, and 680 University Ave/500 Middlefield Rd from RM-20 Low Density Multiple-Family Residential (RM-20) to Planned Community (PC) (FIRST READING: November 10, 2025, PASSED: 4-1-2, Lu no, Stone, Veenker absent) City Manager Comments Ed Shikada, City Manager Action Items 18. Recommendation from Rail Committee for City Council on the South Palo Alto Bike/Ped Connectivity: Initial Review of Conceptual Design Alternatives and Elimination of Alternatives from Further Consideration; CEQA Status - Not a Project as Defined by CEQA Guidelines Section 15378(b)(4) MOTION: Councilmember Burt moved, seconded by Vice Mayor Veenker to direct staff to continue to focus evaluations on option A, with a preference for A2. MOTION PASSED: 5-1-1 Reckdahl recused, Lu absent Item 4 Attachment A - December 1, 2025 Draft Action Minutes        Item 4: Staff Report Pg. 5  Packet Pg. 16 of 637  DRAFT ACTION MINUTES Page 5 of 5 City Council Meeting Draft Action Minutes: 12/01/2025 19. Approval of Amendments to the Employment Agreements between the City of Palo Alto and Council Appointed Officers, specifically the City Manager, City Attorney, and City Clerk. CEQA Status - Not a Project MOTION: Vice Mayor Veenker moved, seconded by Councilmember Burt to approve and authorize the Mayor to execute the following contract amendments for Council Appointed Officers: 1. Amendment No. 13 to Employment Agreement between the City of Palo Alto and Molly S. Stump (Attachment A); 2. Amendment No. 7 to Employment Agreement between the City of Palo Alto and Ed Shikada (Attachment B); and 3. Amendment No. 2 to Employment Agreement between the City of Palo Alto and Mahealani Ah Yun (Attachment C). MOTION PASSED: 6-0-1, Lu absent Adjournment: The meeting was adjourned at 10:12 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. Item 4 Attachment A - December 1, 2025 Draft Action Minutes        Item 4: Staff Report Pg. 6  Packet Pg. 17 of 637  8 7 1 5 City Council Staff Report Report Type: CONSENT CALENDAR Lead Department: Human Resources Meeting Date: December 15, 2025 Report #:2511-5573 TITLE Adoption of a Resolution appointing Caio Arellano as Interim City Attorney RECOMMENDATION The Chair of the Council Appointed Officers Committee recommends that the City Council adopt a resolution appointing Caio Arellano as Interim City Attorney until Council completes its active and ongoing recruitment process and appoints a new City Attorney, and the new City Attorney begins service in Palo Alto. BACKGROUND City Attorney Molly Stump Informed Council earlier this year of her intention to retire at the end of the 2025 calendar year1. Stump’s advance notice to the Council allowed for an ample planning process which included review and selection of an executive recruitment firm, one on one stakeholder engagement meetings, as well as input from the public through the meetings of the Council Appointed Officers Committee2. The application period for the City’s next City Attorney opened on Friday November 14, 2025, and will close on Sunday December 14, 2025. After the application period closes, Council will be presented with candidates for consideration and is expected to invite highly qualified applicants to interview in January 2026. ANALYSIS Executive recruitments of this level and nature routinely take 6 months to complete. This timeframe includes the initial planning phase, active recruitment and selection, as well as onboarding. Even with the ample noticed provided and the head start achieved, Council likely will not appoint a new City Attorney until the end of February or early March of 2026, with the new appointee beginning their service several weeks after that. This gap requires Council to appoint a qualified attorney to serve as City Attorney on an interim basis. 1 Stump’s service will formally conclude on January 9, 2026, but she will be on leave beginning December 27, 2025. 2 Sept. 9 meeting: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=17948 and Sept. 22 https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=18033 Item 5 Item 5 Staff Report        Item 5: Staff Report Pg. 1  Packet Pg. 18 of 637  8 7 1 5 Caio Arellano joined the City of Palo Alto in February of 2022, serving as an Assistant City Attorney for 10 months before being promoted to Chief Assistant City Attorney in December of 2022. The Chief Assistant City Attorney is a practicing attorney who also assists the City Attorney in managing and directing the operations of the City Attorney’s Office. The Chief Assistant handles complex and high-consequence matters, and also acts as the designee and representative of the City Attorney as needed and in the City Attorney’s absence. Arellano has practiced municipal law for 17 years. Before joining the Palo Alto City Attorney’s Office, he served as an Assistant City Attorney in the cities of Santa Clara and San Mateo. Prior to that, as an Associate in the firm of Atchison, Barisone, Condotti and Kovacevich, Arellano provided legal services to Half Moon Bay and a number of other Northern California cities and special districts. Arellano has experience and expertise in a wide variety of areas, including planning and development, municipal finance, utilities, and public works/construction. The resolution before Council will appoint Arellano as City Attorney on an interim basis, effective December 27, 2025, consistent with the last in-office day of retiring City Attorney Stump. Consistent with standard City practice as outlined in the Management and Professional Compensation Plan, the Interim appointment will provide Arellano with working out of classification pay of 10% above his Chief Assistant salary for the duration of the working out of classification assignment. This assignment/pay is within the current salary range of the Chief Assistant City Attorney approved by City Council and the assignment/pay will be in effective from December 27, 2025 through and until the first day of employment of the City’s next City Attorney, or future action by Council specific to this interim assignment. FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 5 Item 5 Staff Report        Item 5: Staff Report Pg. 2  Packet Pg. 19 of 637  NOT YET APPROVED Item 5 Attachment A - Resolution Interim Appointment C.Arellano        Item 5: Staff Report Pg. 3  Packet Pg. 20 of 637  Introduced and passed: Item 5 Attachment A - Resolution Interim Appointment C.Arellano        Item 5: Staff Report Pg. 4  Packet Pg. 21 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Utilities Meeting Date: December 15, 2025 Report #:2509-5220 TITLE Adoption of a Resolution Approving and Attesting to the Veracity of the City's 2024 Power Source Disclosure and Power Content Label Reports. CEQA Status: Not a project RECOMMENDATION Staff recommends that the City Council adopt a resolution (Attachment A) approving and attesting to the veracity of the City’s Power Source Disclosure reports and Power Content Labels for 2024. BACKGROUND Senate Bill 13051 was approved in 1997 to ensure that all retail suppliers of electricity disclose to consumers the sources of energy used to provide the electric service in an accurate, consistent, and easy to understand manner. The SB 1305 Report is commonly referred to as the Power Source Disclosure (PSD) report. The City of Palo Alto is required to submit an annual PSD report to the California Energy Commission (CEC) by June 1st of each year. The information contained in this report is used to prepare the annual Power Content Label (PCL), which is mailed to City of Palo Alto Utilities customers and posted on the City’s website each year at www.cityofpaloalto.org/powercontentlabel and on the CEC’s website at energy.ca.gov/power- content-label. ANALYSIS CEC regulations governing the Power Source Disclosure Program2 require retail electricity sellers to engage a third-party certified public accountant to perform an audit to verify the specific purchases, resales, and self-consumption of energy by fuel type.3 However, publicly owned 1 Senate Bill 1305: http://www.leginfo.ca.gov/pub/97-98/bill/sen/sb_1301- 1350/sb_1305_bill_19971009_chaptered.html 2 California Code of Regulations, Title 20, Sections 1391-1394. 3 California Code of Regulations Title 20, Section 1394(a)(2). Item 6 Item 6 Staff Report        Item 6: Staff Report Pg. 1  Packet Pg. 22 of 637  electric utilities are exempt from the audit requirement if the governing board of the utility “submits to the Energy Commission an attestation of the veracity of each annual resource report for the previous year.”7 8 Although the power sourced out-of-state remains renewable and carbon-neutral, the CEC categorizes such power as “unspecified power” on the PSD and PCL documents. 9. Of this amount, $2.83 million was attributable to the REC Exchange Program, and per Council’s direction in 2022, an amount equivalent to this level of net revenue will be set aside in the City’s Cap and Trade Program Reserve and used to fund investments in local decarbonization initiatives (Staff Report 14735). 10), and the City remained in compliance with the state’s Renewable Portfolio Standard (RPS) mandate. 7 California Code of Regulations Title 20, Section 1394(a)(2). 8 The City Council approved the REC Exchange Program in August 2020 (Staff Report 11556): https://www.paloalto.gov/files/assets/public/v/1/agendas-minutes-reports/reports/city-manager-reports- cmrs/year-archive/2020-2/id-11566.pdf. 9 There is typically a lag of up to 12 months before the City receives the funds from these transactions, due to the time required for the RECs to be registered and transferred, as well as the time required for the billing and settlements process to transpire. 10 Staff Report 11556: https://www.paloalto.gov/files/assets/public/v/1/agendas-minutes-reports/reports/city- manager-reports-cmrs/year-archive/2020-2/id-11566.pdf Item 6 Item 6 Staff Report        Item 6: Staff Report Pg. 2  Packet Pg. 23 of 637  A to Attachment A) to the CEC in May 2025, along with the associated attestation form. The City’s 2024 PCLs (Exhibit B to Attachment A) were mailed to each electric utility customer as a bill insert in November 2025, in accordance with the Power Source Disclosure Program regulations.15 They are also posted on the City’s website. The attached resolution (Attachment A) approves the annual PSD reports and PCLs for both the standard power mix and the PaloAltoGreen product and provides for Council’s attestation to the veracity of these four documents as required for exemption from the third-party audit requirement. FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: 15 California Code of Regulations Title 20, Section 1393.1: “The power content label shall be provided to customers in written promotional materials by the end of the first complete billing cycle for the fourth quarter of the year.” Item 6 Item 6 Staff Report        Item 6: Staff Report Pg. 3  Packet Pg. 24 of 637  *NOT YET APPROVED*Attachment A Resolution No. ____ Resolution of the Council of the City of Palo Alto Approving and Attesting to the Veracity of the City’s 2024 Power Source Disclosure and Power Content Label Reports R E C I T A L S A.The California Legislature adopted Senate Bill 1305 in 1997 to ensure that all retail suppliers of electricity, including the City of Palo Alto, disclose to consumers the sources of energy used to provide electric service in an accurate, reliable and easy to understand manner. B.The SB 1305 Report is commonly referred to as the Power Source Disclosure (PSD) report, which shows the City’s electric portfolio purchases for the prior calendar year, as well as the fuel mix for the City’s retail electricity sales for the prior calendar year. C.The information contained in the PSD report is used to prepare the City’s annual Power Content Label (PCL), which discloses the fuel mix of the City’s retail electricity sales during the prior calendar year, as well as the fuel mix for the state as a whole, and which is mailed to the City’s electric utility customers via a bill insert every year. D.California Code of Regs., title 20, section 1394(a)(2) allows the City Council to approve and attest to the veracity of each PSD report for the previous year, including the reports for Palo Alto’s voluntary PaloAltoGreen product, which is provided to commercial customers who participate in the PaloAltoGreen program. E.The PSD report submissions for both the City’s standard carbon neutral power portfolio, and the City’s PaloAltoGreen product are prepared by the Northern California Power Agency (NCPA), a joint powers agency of which Palo Alto is a member. The draft PSD reports are then checked by City staff against the City’s account in the Western Renewable Energy Generation Information System (WREGIS), where the City tracks its renewable and carbon-free energy. The PaloAltoGreen renewable energy supplies are then verified by a third-party verifier, in order to achieve Green-e certification for that program. F.In May 2025, Utilities Department staff submitted the 2024 Annual PSD reports for both the City’s standard carbon neutral portfolio and the PaloAltoGreen program, to the Energy Commission in accordance with the applicable regulations. G.California Code of Regs., title 20, section 1393.1(b)(2) states that the power content label shall be provided to customers in written promotional materials by the end of the first complete billing cycle for the fourth quarter of the year. For the City, this means the October billing cycle, which is provided to customers in November. Item 6 Attachment A - Resolution Approving 2024 Annual PSD and PCL Reports        Item 6: Staff Report Pg. 4  Packet Pg. 25 of 637  *NOT YET APPROVED*Attachment A The Council of the City of Palo Alto RESOLVES as follows: SECTION 1. The City Council approves the submission and attests to the veracity of the 2024 Annual Power Source Disclosure reports for the City’s standard carbon neutral portfolio and the City’s voluntary PaloAltoGreen program (attached as Exhibit A to this resolution), which staff submitted to the California Energy Commission in May 2025. SECTION 2. The City Council approves and attests to the veracity of the 2024 Annual Power Content Label reports for the City’s standard carbon neutral portfolio and the City’s voluntary PaloAltoGreen program (attached as Exhibit B to this resolution), which staff distributed to Utilities customers as an insert in their November Utilities bills. SECTION 3. The Council finds that the adoption of this resolution is not subject to California Environmental Quality Act (CEQA) review because it is an administrative government activity that will not result in any direct or indirect physical change to the environment (CEQA Guidelines section 15378(b)(5)). INTRODUCED AND PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: City Clerk Mayor APPROVED AS TO FORM: APPROVED: City Attorney or Designee City Manager Director of Utilities Director of Administrative Services Item 6 Attachment A - Resolution Approving 2024 Annual PSD and PCL Reports        Item 6: Staff Report Pg. 5  Packet Pg. 26 of 637  Submit the Annual Report and signed Attestation in PDF format with the Excel version of the Annual Report to PSDprogram@energy.ca.gov. Remember to complete the Retail Supplier Name and contact information above. California Energy Commission's website. If you have questions, contact Power Source Disclosure (PSD) staff at PSDprogram@energy.ca.gov or (916) 639-0573. WEBSITE URL FOR PCL POSTING www.paloalto.gov/powercontentlabel CITY, STATE, ZIP Palo Alto, CA 94301 PHONE (650) 329-2314 EMAIL james.stack@paloalto.gov CONTACT INFORMATION NAME James Stack TITLE Senior Resource Planner MAILING 250 Hamilton Ave. 2024 POWER SOURCE DISCLOSURE ANNUAL REPORT For the Year Ending December 31, 2024 Retail suppliers are required to use the posted template and are not allowed to make edits to this format. Please complete all requested information. GENERAL INSTRUCTIONS RETAIL SUPPLIER NAME City of Palo Alto Utilities Exhibit AItem 6 Attachment A - Resolution Approving 2024 Annual PSD and PCL Reports        Item 6: Staff Report Pg. 6  Packet Pg. 27 of 637  Annual Data Instructions: 1. Enter the electricity portfolio name in cell O25 and additional electricity portfolio names as needed in cells P25-V25. Facility Name Fuel Type State or Province WREGIS ID of REC source source EIA ID of delivered energy Gross MWhs Procured Specified Resales MWhs GOLDEN FIELDS SOLAR III Solar CA W10886 64555 63859 66476 WAPA - NIMBUS Eligible Hydroelectric CA W1161 61045 444 8176 WAPA - STAMPEDE Eligible Hydroelectric CA W1177 61046 7066 452 NEW SPICER MEADOWS Eligible Hydroelectric CA W1260 61580 54554 762 HIGH WINDS WIND CA W229 60726 56075 5408 KETTLEMAN SOLAR Solar CA W4695 62422 59633 36702 Solar CA W4719 62744 59009 42003 FRONTIER SOLAR - CROW CREEK SOLAR I Solar CA W4962 62248 60039 34253 ELEVATION SOLAR Solar CA W5298 63192 59964 92129 WESTERN ANTELOPE BLUE SKY RANCH B Solar CA W5300 61518 59961 40708 Solar CA W7382 63983 P232 132 HP INC.Solar CA W7686 64036 62732 2002 445 BRYANT ST. PARKING GARAGE Solar CA W5647 63610 P229 327 520 Webster St. Parking Garage Solar CA W5648 63611 P231 560 275 CAMBRIDGE AVE. PARKING GARAGE Solar CA W5649 63982 P228 322 475 CAMBRIDGE AVE. PARKING GARAGE Solar CA W5650 63981 P230 461 WAPA - FOLSOM Large Hydroelectric CA 441 47865 WAPA - GIANELLI Large Hydroelectric CA 448 9592 WAPA - J.F. CARR Large Hydroelectric CA 442 20318 WAPA - KESWICK Large Hydroelectric CA 443 28373 WAPA - NEW MELONES Large Hydroelectric CA 6158 43083 WAPA - O'NEILL Large Hydroelectric CA 446 120 WAPA - SHASTA Large Hydroelectric CA 445 184106 WAPA - SPRING CREEK Large Hydroelectric CA 450 26242 WAPA - TRINITY Large Hydroelectric CA 451 31879 COLLIERVILLE Large Hydroelectric CA 54555 121008 Item 6 Attachment A - Resolution Approving 2024 Annual PSD and PCL Reports        Item 6: Staff Report Pg. 7  Packet Pg. 28 of 637  2. Enter information about all power procurements and retail sales. Insert additional rows as needed. All fields in white should be filled out. Fields in grey auto-populate as needed and should not be filled out. 3. For all specified purchases, enter the facility name, fuel type, state or province, WREGIS ID of REC source, RPS ID of REC source, EIA ID of delivered energy, gross MWhs procured, and specified resales MWhs. 4. For firmed-&-shaped procurements specifically, enter all fields from step 3. Additionally, enter the EIA ID of the substitute power in the "EIA ID of delivered energy" field and select "Yes" in the "Firmed-&-Shaped Resource?" field. If the associated GHG emissions are eligible for firmed-&-shaped grandfathering, select "Yes" in the relevant field. 5. Proxy EIA IDs for unspecified power and specified system mixes from asset-controlling suppliers have been provided. Enter "Unspecified Power", "BPA", or "Tacoma Power" as applicable. 6. Proxy EIA IDs for aggregated reporting of WAPA CVP or PCIA resoures; Enter "CVP", "PCIA Solar", "PCIA Wind", "PCIA Eligible Hydro", or "PCIA Large Hydro" as applicable. 7. Procurements of unspecified power must not be entered as line items below; unspecified power will be calculated automatically in the individual electricity portfolio tables to the right after all specified resources have been allocated. 8. Allocate net MWhs procured to each electricity portfolio until the loads are balanced across each portfolio. If the total Net MWhs Procured exceeds the total retail sales of all portfolios, allocate only enough MWh to meet the retail sales of each portfolio. Over allocation check ✓ Under allocation check ✓ Coal check ✓ Negative oversupply check ✓ Retail Sales 29142 863115 Unmet Load 29142 19656 Procured Firmed & Shaped Resource? Firmed & Shaped Grandfath ering? Total EF (MT CO2e/MWh) Total GHGs PCL EF (MT CO2e/MW h) Palo Alto Green Standard Rate Remain der/Ove rsupply 66476 0.0000 0.0000 66476 8176 0.0000 0.0000 8176 452 0.0000 0.0000 452 762 0.0000 0.0000 762 5408 0.0000 0.0000 5408 36702 0.0000 0.0000 36702 42003 0.0000 0.0000 42003 34253 0.0000 0.0000 34253 92129 0.0000 0.0000 92129 40708 0.0000 0.0000 40708 132 0.0000 0.0000 132 2002 0.0000 0.0000 2002 327 0.0000 0.0000 327 560 0.0000 0.0000 560 322 0.0000 0.0000 322 461 0.0000 0.0000 461 47865 0.0000 0.0000 47865 9592 0.0000 0.0000 9592 20318 0.0000 0.0000 20318 28373 0.0000 0.0000 28373 43083 0.0000 0.0000 43083 120 0.0000 0.0000 120 184106 0.0000 0.0000 184106 26242 0.0000 0.0000 26242 31879 0.0000 0.0000 31879 121008 0.0000 0.0000 121008 #N/A #N/A #N/A Item 6 Attachment A - Resolution Approving 2024 Annual PSD and PCL Reports        Item 6: Staff Report Pg. 8  Packet Pg. 29 of 637  Palo Alto Green Portfolio Totals PCL Data Retail Sales 29142 Total Specified 0 Biomass & Biogas 0 0% Geothermal 0 0% Eligible Hydroelectric 0 0% Solar 0 0% Wind 0 0% Large Hydroelectric 0 0% Nuclear 0 0% Emerging Technologies 0 0% Other 0 0% Natural Gas 0 0% Coal & Petroleum 0 0% Unspecified Power - ACS 0 Unspecified Power - Spot Market 29142 Unspecified Power - Total 29142 100% Total PCL GHGs (MT CO2e)12472.8 Emissions intensity (MT CO2e/MWh)0.428 PCL GHG Intensity (lbs CO2e/MWh)944 Unbundled REC %96% Palo Alto Green Facility Name Fuel Type Net Procurement Annual PCL GHGs (MT CO2e) - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 - - - 0 Item 6 Attachment A - Resolution Approving 2024 Annual PSD and PCL Reports        Item 6: Staff Report Pg. 9  Packet Pg. 30 of 637  Standard Rate Portfolio Totals PCL Data Retail Sales 863115 Total Specified 843459 0 0 Eligible Hydroelectric 9390 Solar 316075 Wind 5408 Large Hydroelectric 512586 Nuclear 0 Emerging Technologies 0 Other 0 Natural Gas 0 Coal & Petroleum 0 Unspecified Power - ACS 0 Unspecified Power - Spot Market 19656 Unspecified Power - Total 19656 Total PCL GHGs (MT CO2e)8412.8 Emissions intensity (MT CO2e/MWh)0.010 PCL GHG Intensity (lbs CO2e/MWh) Unbundled REC %15% Standard Rate Facility Name Fuel Type Net Procurement Annual PCL GHGs (MT CO2e) GOLDEN FIELDS SOLAR III Solar 66476 0 WAPA - NIMBUS Eligible Hydroelectric 8176 0 WAPA - STAMPEDE Eligible Hydroelectric 452 0 NEW SPICER MEADOWS Eligible Hydroelectric 762 0 HIGH WINDS WIND 5408 0 KETTLEMAN SOLAR Solar 36702 0 HAYWORTH SOLAR Solar 42003 0 Solar 34253 0 ELEVATION SOLAR Solar 92129 0 Solar 40708 0 Solar 132 0 HP INC.Solar 2002 0 445 BRYANT ST. PARKING GARAGE Solar 327 0 520 Webster St. Parking Garage Solar 560 0 Solar 322 0 Solar 461 0 WAPA - FOLSOM Large Hydroelectric 47865 0 WAPA - GIANELLI Large Hydroelectric 9592 0 WAPA - J.F. CARR Large Hydroelectric 20318 0 WAPA - KESWICK Large Hydroelectric 28373 0 WAPA - NEW MELONES Large Hydroelectric 43083 0 WAPA - O'NEILL Large Hydroelectric 120 0 WAPA - SHASTA Large Hydroelectric 184106 0 WAPA - SPRING CREEK Large Hydroelectric 26242 0 WAPA - TRINITY Large Hydroelectric 31879 0 COLLIERVILLE Large Hydroelectric 121008 0 ---0 Item 6 Attachment A - Resolution Approving 2024 Annual PSD and PCL Reports        Item 6: Staff Report Pg. 10  Packet Pg. 31 of 637  28,014 RETIRED UNBUNDLED RECS Facility Name Fuel Type State or Province RPS ID Retired (in MWh) TB Flats Wind II Wind WY 64941 28014 Palo Alto Green Unbundled RECs Item 6 Attachment A - Resolution Approving 2024 Annual PSD and PCL Reports        Item 6: Staff Report Pg. 11  Packet Pg. 32 of 637  130,000 RETIRED UNBUNDLED RECS Facility Name Fuel Type State or Province RPS ID Total Retired (in MWh) Crossing Trails Wind CO 65038 35000 Dunlap I Wind WY 61188 19100 Elkhorn Valley Wind Farm Wind OR 61034 5880 Goodnoe Hills Wind WA 60819 6600 Cedar Creek Wind CO 60822 18000 Grand View 2 West Solar ID 61595 3312 Granite Mountain Solar East, LLC Solar UT 63670 21300 Project 10a Solar CA 64788 188 Project 3 Solar CA 64785 180 Townsite Project Solar NV 64813 20440 Standard Rate Unbundled RECs Item 6 Attachment A - Resolution Approving 2024 Annual PSD and PCL Reports        Item 6: Staff Report Pg. 12  Packet Pg. 33 of 637  2024 POWER SOURCE DISCLOSURE ANNUAL REPORT ATTESTATION FORM For the Year Ending December 31, 2024 City of Palo Alto Utilities I, James Stack, Senior Resource Planner, declare under penalty of perjury, that the information provided in this report is true and correct and that I, as an authorized agent of City of Palo Alto Utilities, have authority to submit this report on the retail supplier's behalf. I further declare that all of the electricity claimed as specified purchases as shown in this report was sold once and only once to retail customers. Name: James Stack Representing: City of Palo Alto Utilities Signature: __________________ Dated: 5/28/2025 Executed at: Palo Alto, CA Item 6 Attachment A - Resolution Approving 2024 Annual PSD and PCL Reports        Item 6: Staff Report Pg. 13  Packet Pg. 34 of 637  C O M M E R C I A L P O W E R C O N T E N T L A B E L 2 0 2 4 Persons with disabilities who require materials in an appropriate alternative format, auxiliary aids, or modifications to policies or procedures to access City meetings, programs, or services should contact the City’s ADA Coordinator George Hoyt at (650) 329-2550 or by emailing ADA@paloalto.gov.org. 12/25 Printed on 100% post-consumer recycled paper, bleached without chlorine. WHERE DOES OUR ELECTRICITY COME FROM? POWER SOURCES IN 2024 CPAU power sources include: six solar PV projects, one wind project, five landfill gas-fired projects, the Calaveras hydroelectric project, and the Western Area Power Administration contract, which is sourced from Central Valley Project hydroelectric facilities. All of these resources are located in California. Power supply percentages vary annually based on the available output from our contracted generators. In 2024, CPAU’s hydroelectric generation was significantly higher than long-term average levels due to favorable weather conditions, so CPAU had a large surplus of renewable generation that it was able to sell to other utilities, which helped lower CPAU’s rates. 100% CARBON NEUTRAL ELECTRICITY SINCE 2013 Carbon neutral electricity comes from a variety of sources, including renewable resources like solar, wind and small hydroelectric plants. Large hydroelectric sources are also carbon-free, but the state of California doesn’t consider them renewable. PaloAltoGreen’s a Prospective Product Content Labelb for 2025 Consists of 100% Wind Energy c a PaloAltoGreen is a voluntary renewable energy program from City of Palo Alto Utilities that matches up to 100% of your estimated monthly electricity usage with Green-e® certified Renewable Energy Credits (RECs) from new renewable energy resources, specifically from generation facilities that first began commercial operation in the last 15 years. b Prospective Product Content Label: These figures reflect the renewables that we have contracted to provide. Actual figures may vary according to resource availability. We will annually report to you before October 1st of next year in the form of a Historical Product Content Label the actual resource mix of the electricity you purchased. c Sourced from wind energy RECs located in the western U.S. (CA, OR, WA, ID, NV, UT, AZ, MT, WY, CO, or NM) or Canada (BC or AB). Green-e Energy C E R T I F I E D PaloAltoGreen™ PaloAltoGreen is Green-e® Energy certified and meets the environmental and consumer- protection standards set forth by the nonprofit Center for Resource Solutions. For more information on Green-e® Certified Energy, call 1-888-63-GREEN or visit green-e.org PaloAltoGreen 2024 Historical Product Content Label (reflected in the “Palo Alto Green” column of the table on page 2): These figures reflect the power delivered to PaloAltoGreen’s customers in 2024. ‘Unspecified Power’ was sourced from wind energy facilities in Montana and Wyoming. Find more details at paloalto.gov/PowerContentLabel and paloalto.gov/CarbonNeutral ●LARGE HYDROELECTRIC—59% ●SOLAR—37% ●WIND—1% ●ELIGIBLE HYDROELECTRIC—1% ●UNSPECIFIED POWER—2% Like a nutrition facts label that shows the ingredients in food, the Power Content Label shows the sources of electricity purchased by City of Palo Alto Utilities to power local homes and businesses. Exhibit B Item 6 Attachment A - Resolution Approving 2024 Annual PSD and PCL Reports        Item 6: Staff Report Pg. 14  Packet Pg. 35 of 637  Item 6 Attachment A - Resolution Approving 2024 Annual PSD and PCL Reports        Item 6: Staff Report Pg. 15  Packet Pg. 36 of 637  C H E C K O U T PA LO A LTO ’ S P OW E R C O N T E N T L A B E L F O R 2 0 2 4 WHERE DOES OUR ELECTRICITY COME FROM? Find more details at paloalto.gov.org/PowerContentLabel and paloalto.gov/CarbonNeutral Persons with disabilities who require materials in an appropriate alternative format, auxiliary aids, or modifications to policies or procedures to access City meetings, programs, or services should contact the City’s ADA Coordinator George Hoyt at (650) 329-2550 or by emailing ADA@cityofpaloalto.org. 12/25 Printed on 100% post-consumer recycled paper, bleached without chlorine. ● LARGE HYDROELECTRIC—59% ● SOLAR—37% ● WIND—1% ● ELIGIBLE HYDROELECTRIC—1% ● UNSPECIFIED POWER—2% Like a nutrition facts label that shows the ingredients in food, the Power Content Label shows the sources of electricity purchased by City of Palo Alto Utilities to power local homes and businesses. POWER SOURCES IN 2024 CPAU power sources include: six solar PV projects, one wind project, five landfill gas-fired projects, the Calaveras hydroelectric project, and the Western Area Power Administration contract, which is sourced from Central Valley Project hydroelectric facilities. All of these resources are located in California. Power supply percentages vary annually based on the available output from our contracted generators. In 2024, CPAU’s hydroelectric generation was significantly higher than long-term average levels due to favorable weather conditions, so CPAU had a large surplus of renewable generation that it was able to sell to other utilities, which helped lower CPAU’s rates. 100% CARBON NEUTRAL ELECTRICITY SINCE 2013 Carbon neutral electricity comes from a variety of sources, including renewable resources like solar, wind and small hydroelectric plants. Large hydroelectric sources are also carbon-free, but the state of California doesn’t consider them renewable. Item 6 Attachment A - Resolution Approving 2024 Annual PSD and PCL Reports        Item 6: Staff Report Pg. 16  Packet Pg. 37 of 637  Item 6 Attachment A - Resolution Approving 2024 Annual PSD and PCL Reports        Item 6: Staff Report Pg. 17  Packet Pg. 38 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Administrative Services Meeting Date: December 15, 2025 Report #:2510-5378 TITLE Approval of a Surveillance Use Policy for Security Cameras at the Palo Alto Museum at the Roth Building (300 Homer Avenue); CEQA Status - Not a Project RECOMMENDATION Staff recommend that the City Council approve the attached surveillance use policy (Attachment A) for the use of security cameras to enhance security and safety and deter unauthorized or criminal activity at the Palo Alto Museum at the Roth Building located at 300 Homer Avenue. BACKGROUND The Palo Alto Museum leases space from the City of Palo Alto to operate at the Roth Building. To prevent incidents of vandalism or theft in or around the property, security cameras have been installed on the exterior and in the interior of the building. The resulting footage will provide evidence to the Palo Alto Police Department (PAPD) and other relevant law enforcement personnel, if an incident should occur. ANALYSIS Palo Alto’s Surveillance Technology Ordinance, codified PAMC § 2.30.620, et seq., sets criteria and procedures to protect personal privacy in the acquisition and use of surveillance technology and provide for ongoing oversight. Security camera technology is “surveillance technology” as defined by the ordinance. The ordinance requires City Council approval of the acquisition of new surveillance technology and of a Surveillance Use Policy specific to each new approved technology. In approving new surveillance technology, the Council must determine that its benefits outweigh the associated costs and concerns. The ordinance sets forth specific elements that must be present in a Surveillance Use Policy, including limitations on use, access, and retention, as well as a description of compliance procedures. In coordination with the Palo Alto Museum, staff has prepared and attached a Item 7 Item 7 Staff Report        Item 7: Staff Report Pg. 1  Packet Pg. 39 of 637  surveillance Use Policy, which addresses each of these elements. 1) A description of the surveillance technology, including how it works and what information is captured; Information on the proposed purpose, use and benefits of the surveillance technology; The location or locations where the surveillance technology may be used; Existing federal, state and local laws and regulations application to the surveillance technology and the information it captures; the potential impacts on civil liberties and privacy; and proposals to mitigate and manage any impacts; personnel for law enforcement purposes. Item 7 Item 7 Staff Report        Item 7: Staff Report Pg. 2  Packet Pg. 40 of 637  5)The costs of the surveillance technology, including acquisition, maintenance, personnel and other costs, and current or potential sources of funding. All costs to purchase, install, and maintain the cameras and the data collected will be the responsibility of the Palo Alto Museum. FISCAL/RESOURCE IMPACT There is no cost to the city. The Palo Alto Museum will maintain all security cameras at the Roth Building. STAKEHOLDER ENGAGEMENT The Administrative Services Department coordinated with the Palo Alto Museum to develop the policy. ENVIRONMENTAL REVIEW Council action on this item is not a project as defined by CEQA because approval of this surveillance policy is an administrative activity that will not result in direct or indirect physical changes in the environment. CEQA Guidelines section 15378(b)(5). ATTACHMENTS Attachment A: Surveillance Use Policy for the Palo Alto Museum at the Roth Building APPROVED BY: Lauren Lai, Administrative Services Director Item 7 Item 7 Staff Report        Item 7: Staff Report Pg. 3  Packet Pg. 41 of 637  NOT YET APPROVED Page 1 of 2 Surveillance Use Policy for Security Cameras at the Palo Alto Museum at the Roth Building The Palo Alto Museum (“Museum”) leases space from the City of Palo Alto (“City”) at the Roth Building. Security cameras have been installed to deter vandalism, theft, and capture other incidents of criminal activities. The Palo Alto Museum is responsible for all costs associated with the use and maintenance of the cameras and will be responsible for complying with this policy. In accordance with the Palo Alto Municipal Code Section PAMC § 2.30.680(d), the Surveillance Use Policy for the use of security cameras by the Palo Alto Museum within and on City-owned property is as follows: 1. Intended Purpose. The intent of security cameras is to enhance the security and safety of Palo Alto Museum personnel and the public and deter and capture incidents of vandalism, theft, and other criminal activity at the Roth Building. 2. Authorized Uses. Authorized Museum staff (see list below) may only access surveillance video (“footage”) for official and legitimate security, safety, and law enforcement purposes consistent with this Policy. Upon request, the Museum shall disclose footage to Assistant Directors or Directors overseeing City staff who manage shared spaces within the Roth Building. The following uses of security cameras are specifically prohibited: a. Harssament or intimidation. It is a violation of this Policy to use the system to harass and/or intimidate any individual or group. b. Personal Use. It is a violation of this Policy to use the system for any personal purpose. c. First Amendment Rights. It is a violation of this Policy to use the system or data for the purpose or known effect of infringing upon First Amendment rights of any person. d. Invasion of Privacy. It is a violation of this Policy to use the system or data in any manner contrary to local, state, and federal privacy laws. 3. Information Collected. Security cameras will record video and audio (if permitted by law). Depending on the specific technology used, metadata such as time, date, and location of the cameras may be documented with the video. 4. Safeguards. All footage will be closely safeguarded and protected by both procedural and technological means. Persons with the Palo Alto Museum will observe the following safeguards regarding access to and use of stored data: Item 7 Attachment A - Surveillance Use Policy for the Palo Alto Museum at the Roth Building        Item 7: Staff Report Pg. 4  Packet Pg. 42 of 637  NOT YET APPROVED Page 2 of 2 a. All footage shall be accessible only through a login/password- protected system with multi-factor authentication (MFA). b. The following individuals from the Palo Alto Museum shall have access to the footage: Marguerite Gong Hancock (President and CEO), Nelson Ng (Board Chair), Diane Moon (COO), and Kitzi Tanner (Facilities Manager). Footage may be forwarded to relevant law enforcement personnel, including Palo Alto Police Department (PAPD), for investigation. Once forwarded, PAPD shall control footage under their own Department policies. c. Persons approved to access footage under this policy are permitted to access the data for legitimate safety, security, and law enforcement purposes only, such as when the footage relates to a specific incident or criminal investigation. 5. Retention. The Palo Alto Museum shall retain footage on a looping basis for thirty days. Footage will be retained longer than the retention period if it is reasonably believed it will become evidence in a specific criminal investigation or is subject to a discovery request or other lawful action to produce records. 6. Access by non-City Entities. The footage may be shared with law enforcement or prosecutorial agencies for official law enforcement purposes or as required by law or court order. 7. Compliance Procedures. Marguerite Gong Hancock (President and CEO), Nelson Ng (Board Chair), Diane Moon (COO), and Kitzi Tanner (Facilities Manager) are responsible for ensuring compliance with procedures, including, but not limited to: a. Ensuring only designated individuals are allowed access to footage when authorized by this policy. b. Ensuring the security and retention of the footage collected and compliance with applicable laws. c. Give written notice to the City if any of the persons listed in this policy are changed to other staff. Item 7 Attachment A - Surveillance Use Policy for the Palo Alto Museum at the Roth Building        Item 7: Staff Report Pg. 5  Packet Pg. 43 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: City Manager Meeting Date: December 15, 2025 Report #:2511-5587 TITLE Approve the Nonprofit Partnership Workplan Phase I funding process for FY 2027 Budget Cycle, and refer refinement of the program to the Policy & Services Committee per their recommendation This report will be a late packet report published on December 11, 2025. Item 8 Item 8 Staff Report        Item 8: Staff Report Pg. 1  Packet Pg. 44 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: City Manager Meeting Date: December 15, 2025 Report #:2511-5554 TITLE Policy and Services Committee Recommends Council Amend the Procedures and Protocols Handbook to Allow January Committee Meetings and Schedule Procedures and Protocols Handbook Review Every Other Year: CEQA - Not a Project RECOMMENDATION The Policy and Services Committee recommends that the City Council amend the Procedures and Protocols Handbook to reflect two changes: - In Procedures Section 1.2, update the language to allow for City Council committees to meet in January at the discretion of the committee chair, and - In Procedures Section 8.1, update the language to state that regular review of the City Council Procedures and Protocols Handbook will occur every other year with the process starting in the odd years. BACKGROUND AND ANALYSIS The City Council referred a discussion to the Policy and Services Committee focused on recurring items that regularly come to the City Council. The referral was intended to help assess how the City Council can best smooth agenda items throughout the calendar year to reduce the number of items coming to City Council and committees near the end of the calendar year and fiscal year. The Policy and Services Committee discussed this item at their September 9 meeting1 and their November 19 meeting.2 The discussion included a list of ‘recurring items’ that happen annually with the estimated time of year that those items come to City Council and where on the agenda the items are placed. The Committee noted the volume of recurring items and that those items are spaced out throughout the year. The Committee requested staff to 1 September 9, 2025 Policy and Services Meeting; Item #3. Link: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=16216 2 November 19, 2025 Policy and Services Committee Meeting, Item #5. Link: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=16308 Item 9 Item 9 Staff Report        Item 9: Staff Report Pg. 1  Packet Pg. 45 of 637  continue to try to spread out the non-recurring items that come to Council (for example items related to Council priority objectives, review of development applications, and other time sensitive items) throughout the year. FISCAL/RESOURCE IMPACT Item 9 Item 9 Staff Report        Item 9: Staff Report Pg. 2  Packet Pg. 46 of 637  STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW APPROVED BY: Item 9 Item 9 Staff Report        Item 9: Staff Report Pg. 3  Packet Pg. 47 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Utilities Meeting Date: December 15, 2025 Report #:2510-5281 TITLE Reaffirmation of the Carbon Neutral Plan and the Renewable Energy Credit Exchange Program as Recommended by the Utilities Advisory Commission; CEQA Status: Not a project RECOMMENDATION Staff and the Utilities Advisory Commission (UAC) recommend that the City Council: 1) Reaffirm the Carbon Neutral Plan, including the use of Renewable Portfolio Standard (RPS) eligible, unbundled RECs (Bucket 3 RECs) to neutralize any residual emissions resulting from the use of an hourly emissions accounting methodology; 2) Reaffirm the continuation of the “REC Exchange Program,” whereby the City exchanges bundled RECs from its long-term renewable resources (Bucket 1 RECs) for Bucket 3 RECs, to the maximum extent possible, while maintaining compliance with the state’s RPS regulations, in order to allocate additional revenues toward local decarbonization efforts; and 3) Direct staff to return to the UAC and City Council in 2028 to provide another review of the program’s impacts. EXECUTIVE SUMMARY In August 2020, the City Council approved amendments to the electric utility’s Carbon Neutral Plan that clarified and modified policies regarding the sales and exchanges of renewable energy credits (RECs) (Staff Report 115561). The amendments permitted the exchange of Bucket 1 (primarily in-state) RECs for Bucket 3 (primarily out-of-state) RECs, provided the City maintains compliance with State Renewable Portfolio Standard (RPS) regulations. A portion of the earnings from the program were directed to be used to offset electric operational costs and mitigate the economic impacts of the coronavirus pandemic, and the remainder were reserved for local decarbonization programs. Since then, staff has purchased and sold RECs for Calendar Years (CYs) 1 Staff Report 11556: https://www.paloalto.gov/files/assets/public/v/1/agendas-minutes-reports/reports/city- manager-reports-cmrs/year-archive/2020-2/id-11566.pdf Item 10 Item 10 Staff Report        Item 10: Staff Report Pg. 1  Packet Pg. 48 of 637  2020 through 2025 in accordance with the Carbon Neutral Plan amendments, resulting in net earnings of $27.3 million, or about $4.5 million per year. 3, of which about $10.1 million have been allocated toward local decarbonization efforts,4 while the remainder have been used to offset operational costs and provide for general customer rate reduction. BACKGROUND 5). The City has achieved its Carbon Neutral Plan objectives each year starting in 2013, primarily via purchases made through its long-term renewable energy contracts, which all provide the City with energy and Bucket 1 RECs. Due to its pursuit of these objectives, the City’s electric supply portfolio currently easily exceeds the state’s Renewable Portfolio Standard (RPS) procurement requirements. 6 to take advantage of the significant cost difference between Bucket 1 and Bucket 3 RECs7 to generate additional revenue for the City’s electric utility and to fund local decarbonization initiatives (Resolution 99138, Staff Report 115569). The Council directed that for 2020 and 2021, two-thirds of the proceeds from this program would go to electric operating cost reductions and one-third toward local GHG emission reduction programs, and that for 2022 onward all of the earnings, up 3 The remainder of the $27.3 million in net revenue from all REC transactions over this period was the result of sales of Bucket 1 RECs that exceeded the City’s total retail sales volumes, rather than for REC Exchange purposes. 4 These funds have been set aside for future local decarbonization spending, but to date the funding for these efforts has come solely from Public Benefits funds, Low Carbon Fuel Standard revenues, and Gas Cap & Trade allowance revenues. 5 Resolution 9322: https://www.paloalto.gov/files/assets/public/v/1/city-clerk/resolutions/reso-9322-33835.pdf 6 The exchange of bundled RECs from the City’s in-state, long-term renewable resources (Bucket 1 RECs) for RPS- eligible, unbundled RECs (Bucket 3 RECs), which usually come from out of state sources. 7 Due to limitations on the use of Bucket 3 RECs for compliance with the state’s RPS mandate (only 10% of a utility’s RPS procurement may consist of Bucket 3 RECs), a significant financial premium currently exists for in-state bundled renewable energy resources (Bucket 1 RECs). 8 Resolution 9913: https://www.paloalto.gov/files/assets/public/v/1/city-clerk/resolutions/reso- 9913.pdf?t=40151.26 9 Staff Report 11556: https://www.paloalto.gov/files/assets/public/v/1/agendas-minutes-reports/reports/city- manager-reports-cmrs/year-archive/2020-2/id-11566.pdf Item 10 Item 10 Staff Report        Item 10: Staff Report Pg. 2  Packet Pg. 49 of 637  to the amount of funds available in the Cap and Trade Reserve, would be devoted to emission reduction programs17. ANALYSIS Carbon Neutral Plan Review annual accounting of the City’s load and its carbon neutral electric resources: an electric supply portfolio with “annual net zero greenhouse gas (GHG) emissions, measured at the Citygate, in accordance with The Climate Registry’s Electric Power Sector protocol for GHG emissions measurement and reporting.” At the time this definition was adopted, this was the most granular accounting approach feasible (given the lack of hourly grid emissions data) or necessary (given the small amount of solar capacity installed at that point, and the resulting emissions profile of grid electricity). hourly carbon emissions accounting standard. This modification was made because: (a) hourly grid emissions data had recently become available, and (b) the large volume of solar generation on the grid at that point had yielded a wide variation in grid emissions intensities over the course of the year and any given day. REC Exchange Program Results (2020-2025) and Projections (2026-2030) 18 These REC Exchange transactions have yielded a total of $12.7 million in net revenue, or about $2.1 million per year. 17 The exact funding mechanism for the local decarbonization spending allocates all net revenues earned from the REC Exchanges to local decarbonization, up to the amount available in the City’s Cap and Trade Reserve. 18 The analysis in this report includes only the REC transactions that were the direct result of Council’s approval of the REC Exchange Program. Staff purchased additional Bucket 3 RECs and sold additional Bucket 1 RECs during this time period (96,198 additional RECs purchased and 49,814 additional sold); however, these transactions were Item 10 Item 10 Staff Report        Item 10: Staff Report Pg. 3  Packet Pg. 50 of 637  Table 1: Summary of REC Exchange Transactions and Revenue, CY 2020-202521 2020 2021 2022 2023 2024 2025 REC Exchange Volume22 (MWh)177,494 287,210 179,290 44,062 31,824 115,000 Bucket 1 REC Sales Revenue ($M)1.96 4.01 2.68 1.78 2.28 3.87 Bucket 3 REC Purchase Cost ($M)0.60 1.47 0.91 0.26 0.15 0.45 Net Revenue ($M)1.36 2.54 1.77 1.52 2.13 3.42 RPS Level (%)33.0%35.0%38.9%39.1%41.0%46.0% When presenting the REC Exchange Program to Council for approval in 2020, staff estimated that it would generate roughly $3.0 million per year in net revenue for CY 2021-2025, with a significant tapering off thereafter due to the steady increases in the statewide RPS requirement level. Actual net revenues from all REC transactions have thus far come in significantly higher than this initial estimate (largely due to a huge spike in Bucket 1 REC prices that occurred in 2024), although many of these REC sales were related to Bucket 1 RECs that exceeded the City’s retail sales totals, and thus are not counted in the REC Exchange Program totals. Over the next five years, staff estimates that the program will yield approximately $9.5 million in total net revenue, or $1.9 million per year, as shown in Table 2 below. The REC Exchange Program’s earnings are projected to decline sharply in future years, primarily due to the ramping up of the state’s RPS requirement levels, which reduces the volume of Bucket 1 supplies the City is able to sell. In addition, the City has begun to experience load growth in recent years (including a 12% increase from 2022 to 2024), and some of the City’s older renewable energy contracts are set to expire in the coming years; both factors further reduce the volume of Bucket 1 supplies available to exchange. Table 2: Projected REC Exchange Transactions and Revenue, CY 2026-2030 2026 2027 2028 2029 2030 REC Exchange Volume (MWh)155,000 177,000 130,000 48,000 8,000 Bucket 1 REC Sales Revenue ($M)3.87 4.43 3.25 1.20 0.19 Bucket 3 REC Purchase Cost ($M)0.93 1.15 0.91 0.36 0.06 Net Revenue ($M)2.94 3.28 2.34 0.84 0.13 RPS Level (%)50%52%55%57%60% necessary, either to satisfy the City’s Carbon Neutral Plan goals during a drought period (Bucket 3 REC purchases in 2021 and 2022), or because the City had an overall surplus of such supplies relative to its RPS procurement requirements (Bucket 1 REC sales). 22 The volume of PCC1 RECs that are sold and the volume of PCC3 RECs that are purchased, pursuant to the REC Exchange Program. Item 10 Item 10 Staff Report        Item 10: Staff Report Pg. 4  Packet Pg. 51 of 637  Impact on Palo Alto’s Supply Portfolio As discussed in Staff Report 1155624, although exchanging in-state RECs for out-of-state RECs has no real impact on the City’s total electricity-related carbon emissions, the downside of this strategy is that it has a negative impact on the City’s reported portfolio make-up and carbon emissions. California’s RPS law gives preferential treatment to in-state renewable resources over out-of-state resources, and the same is true of how such resources are reported to customers on the annual Power Content Label (PCL). The California Energy Commission’s (CEC’s) PCL regulations require that utilities report their out-of-state (Bucket 3) REC purchases as “unspecified sources of power” rather than under the appropriate renewable energy technology category. Furthermore, utilities are now required to report the annual average GHG emissions intensity of their electric supply on their PCLs—and again, rather than being treated as carbon- free resources like other forms of renewable energy, Bucket 3 RECs are treated as having an emissions intensity equivalent to generic market power purchases (944 lbs of CO2 per MWh, which is almost 20% greater than the average emissions intensity of natural gas generation). As a result, rather than reporting a supply mix that is over 60% renewable and nearly carbon-free,25 under the REC Exchange Program the City must report a portfolio mix that is less than 40% renewable and is responsible for a moderate amount of carbon emissions. Figure 1 below depicts the City’s projected electric supply portfolio mix in CY 2025, before and after accounting for the REC Exchange Program transactions. Meanwhile, the estimated annual average GHG emissions intensities that the City would report on its PCL for these two portfolios are 45 and 159 lbs CO2 per MWh, respectively.26 24 Staff Report 11556: https://www.paloalto.gov/files/assets/public/v/1/agendas-minutes-reports/reports/city- manager-reports-cmrs/year-archive/2020-2/id-11566.pdf 25 Although the City’s baseline portfolio mix is entirely comprised of renewables and hydroelectric resources, the CEC’s PCL regulations assign a small emission intensity to all biomass generation such as landfill gas generation, which currently accounts for about 9% of the City’s baseline electric supply mix. 26 For reference, the statewide average GHG emissions intensity for CY 2024 was 359 lbs CO2 per MWh, while the City’s average GHG emissions intensity as reported on its PCL (and accounting for the REC Exchange Program transactions) was 21 lbs CO2 per MWh. The City’s emissions intensity is projected to be higher for CY 2025 than for CY 2024 because of a significant decline in hydroelectric generation this year. Item 10 Item 10 Staff Report        Item 10: Staff Report Pg. 5  Packet Pg. 52 of 637  Figure 1: Projected Electric Supplies in CY 2025, with and without REC Exchange Transactions Use of REC Exchange Funds Of the $12.7 million in net revenue that the REC Exchange Program has yielded since 2020, approximately $2.6 million of it has been directed towards general electric operating cost reductions and the remaining $10.1 million has been set aside for future spending on local decarbonization programs.30 This split of the overall program funds reflects Council’s original direction that two-thirds of the net proceeds would be used to offset electric supply costs and the remainder would be used to fund local decarbonization efforts; then, when Council reauthorized the program in 2022, it directed that all of the net proceeds (up to the amount of funds available in the Cap and Trade Reserve) be used for local decarbonization. If the recommendation to continue the REC Exchange Program is approved, all of the net revenue from the program (whose estimates are shown in Table 2) would continue to be available for these decarbonization efforts. The programs that this funding is intended to support include the advanced heat-pump water heater (HPWH) pilot, the Home Efficiency Genie program, and multi- family building electrification efforts. However, to date the funding for these programs has been provided through other sources (e.g., Public Benefits funds, Low Carbon Fuel Standard credits, 30 Again, the mechanism for funding the local decarbonization programs is that an amount equivalent to the net revenues earned from the REC Exchanges would be allocated from the City’s Cap and Trade Reserve to local decarbonization efforts. Although, if the REC Exchange Program’s net revenues exceed the revenues from selling the electric utility’s Cap and Trade allowances in a given year, the local decarbonization funding allocation would be limited by the Cap and Trade allowance revenue amount. Item 10 Item 10 Staff Report        Item 10: Staff Report Pg. 6  Packet Pg. 53 of 637  and natural gas carbon allowances), leaving all of the REC Exchange Program funding that has been earmarked for local decarbonization efforts available to fund these programs in the future. Next Steps FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS: None APPROVED BY: Item 10 Item 10 Staff Report        Item 10: Staff Report Pg. 7  Packet Pg. 54 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Planning and Development Services Meeting Date: December 15, 2025 Report #:2511-5419 TITLE QUASI-JUDICIAL. 3150 El Camino Real [25PLN-00273]: Request for a Final Map to Merge Three Contiguous Parcels to Create a 111,030-Square-Foot Parcel. The Final Map Would Facilitate Construction of a 368-Unit Rental Development Project (24PLN-00230) Previously Approved on July 11, 2025. Zone District: CS (Commercial Services). CEQA Status: Exempt in Accordance with CEQA Guidelines Section 15183. RECOMMENDATION Staff recommends that City Council: 1. Approve the Final Map (Attachment A), which follows the approved Vesting Tentative Map, for the previously approved residential project at 3150 El Camino Real pursuant to Palo Alto Municipal Code Chapter 21.16 and the Subdivision Map Act. BACKGROUND On August 27, 2024, Acclaim Companies filed a Vesting Tentative Map application (24PLN- 00231) concurrently with a Streamlined Housing Development review application (24PLN- 00230). In accordance with the Vesting Tentative Map Code Chapter 21.13, the map application was deferred until all other entitlements were approved. The Planning and Transportation Commission (PTC) reviewed and recommended approval of the Vesting Tentative Map on May 14, 2025, and City Council approved the Vesting Tentative Map on August 11, 2025. The Record of Land Use Action (RLUA 2025-05) is included in Attachment A. On October 21, 2025, Acclaim Properties filed a Final Map application. The Final Map application is the second of a two-phased process to merge the three existing parcels into one 111,030-square-foot parcel. The Final Map is the official, legal document that is recorded with the County that establishes the property lines, streets, and easements within the subdivision. The Final Map must be prepared under the direction of a registered civil engineer or a licensed land surveyor and be based on a survey. Approval of a Final Map is ministerial if the Final Map is in substantive compliance with the approved Vesting Tentative Map and the subdivider has satisfied the conditions of approval attached to the Tentative Map. While many cities delegate Item 11 Item 11 Staff Report        Item 11: Staff Report Pg. 1  Packet Pg. 55 of 637  approval of the Final Map to the City Engineer, under Palo Alto Municipal Code (PAMC) Section 21.16.240, the City Council is responsible for the approval. ANALYSIS POLICY IMPLICATIONS FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 11 Item 11 Staff Report        Item 11: Staff Report Pg. 2  Packet Pg. 56 of 637  1 0160169_KB2_20250225_AY16 ACTION NO. 2025-04 RECORD OF THE COUNCIL OF THE CITY OF PALO ALTO LAND USE ACTION FOR 3150 EL CAMINO REAL: VESTING TENTATIVE MAP, 24PLN-00231 At its meeting on August 11, 2025, the City Council of the City of Palo Alto (“City Council”) approved the Vesting Tentative Map to merge five existing parcels to create one resulting parcel for a 368-unit apartment building, making the following findings, determinations and declarations: SECTION 1. Background. A. On August 27, 2024, Acclaim Properties submitted a subdivision map application for a Vesting Tentative Map to merge five parcels into one resulting parcel for 3150 El Camino Real (“The Project”). The project site is comprised of five existing lots: APN No. 148-20-079, approximately 8,250 square feet, an undeveloped parcel; APN No. 148-20-080, approximately 4,950 square feet, an undeveloped parcel; APN No. 148-20-035, approximately 52,250 square feet, developed with a commercial eating and drinking use; APN No. 148-20-054, approximately 27,225 square feet, developed with a commercial eating and drinking use; APN No. 148-20-055, approximately 18,425 square feet, developed with a commercial eating and drinking use. Uses abutting the site include a ten-story office building to the north, a two-story hotel to the west, various one and two-story commercial uses to the east across El Camino Real, and a two-story hotel to the south. B. Following staff review, the Planning and Transportation Commission reviewed the project and recommended approval on May 14, 2025, subject to conditions of approval. C. On August 11, 2025 the City Council held a public meeting in accordance with the City Council’s policies and procedures and approved the project subject to conditions of approval. SECTION 2. Environmental Review. The City, as the lead agency for the Project, has determined the project is eligible for a Streamlined review for consistency with the Comprehensive Plan and Comprehensive Plan EIR in accordance with California Environmental Quality Act (CEQA) Guidelines section 15183. Documentation to support the streamlined review is available as part of the public record on file with the Planning and Development Services Division. SECTION 3. Vesting Tentative Map Findings. A legislative body of a city shall deny approval of a Subdivision Map, if it makes any of the following findings (California Government Code Section 66474). The City Council cannot make these findings for the following reasons: Docusign Envelope ID: 982B71CF-15D1-4AB4-B33A-E91D5417FECF Item 11 Attachment A - Recod of Land Use Action for Vesting Tentative Map        Item 11: Staff Report Pg. 3  Packet Pg. 57 of 637  2 0160169_KB2_20250225_AY16 1. That the proposed map is not consistent with applicable general and specific plans as specified in Section 65451: There is no adopted specific plan for this project site. The site is consistent with the Comprehensive Plan as described below. 2. That the design or improvement of the proposed subdivision is not consistent with applicable general and specific plans: There is no adopted specific plan for this project site. The proposed Vesting Tentative Map and related improvements is consistent with the Comprehensive Plan in that it facilitates housing development on a site designated for multi-family use within the urban services area, consistent with Goal 2 of the Housing Element and Goal L1.2 of the Land Use Element. The project does not replace existing housing. The project includes 74 units that will be offered at a rate affordable to low-income households at 50%-80% area median income (AMI). The project improves the city’s jobs housing imbalance, consistent with the Transportation Element’s goals and policies. 3. That the site is not physically suitable for the type of development: The Project site is suitable for multi-family residential development in that it’s identified as a Housing Inventory Site in the Housing Element and is located within the City’s El Camino Real Focus Area, an area identified for high density housing within the City. The proposed parcel meets the minimum code requirements for the CS zone district with respect to lot area, width, and depth. The proposed number of apartment units created on the resulting parcel complies with the applicable densities set forth in the land use element and zoning code, consistent with the focus area standards. 4. That the site is not physically suitable for the proposed density of development: The proposed improvements include a total of 368 multi-family residential units and results in 144 dwelling units (DU) per acre across the resulting parcel. There is no maximum density for projects on El Camino Real and the improvements are consistent with the floor area and height allowances for the site as set forth in the zoning. The improvements also fall within the identified unit capacity of the site set forth in the adopted Housing Element. Therefore, it is physically suitable for the parcel. 5. That the design of the subdivision or the proposed improvements are likely to cause substantial environmental damage or substantially and avoidably injure fish or wildlife or their habitat: The project is located within the built environment that does not contain quality habitat for fish or other wildlife on the site or within the vicinity of the site. The nearest stream is a portion of Adobe Creek approximately 1,000 feet southeast from the project site. The adopted Palo Alto Docusign Envelope ID: 982B71CF-15D1-4AB4-B33A-E91D5417FECF Item 11 Attachment A - Recod of Land Use Action for Vesting Tentative Map        Item 11: Staff Report Pg. 4  Packet Pg. 58 of 637  3 0160169_KB2_20250225_AY16 2030 Comprehensive Plan includes Map N-1, which identified sensitive animal and plant species within the Palo Alto quadrangle, a large geographic area that includes the urban portions along the bay and within the foothills, based on information in the California natural Diversity Database (CNDDB). Based on this map, and the urban nature of the site, the subject property does not contain any habitat for endangered, rare, or threatened species and has not historically supported any of these species. 6. That the design of the subdivision or type of improvements is likely to cause serious public health problems: The subdivision of this parcel and associated improvements would not have the potential to result in serious health problems. The proposed multi-family use would not include use or storage of hazardous materials and the use is located within the urban environment adjacent to other commercial uses. The site is not located on a hazardous waste site pursuant to government code 65962.5. 7. That the design of the subdivision or the type of improvements will conflict with easements, acquired by the public at large, for access through or use of, property within the proposed subdivision. In this connection, the governing body may approve a map if it finds that alternate easements, for access or for use, will be provided, and that these will be substantially equivalent to ones previously acquired by the public. This subsection shall apply only to easements of record or to easements established by judgment of a court of competent jurisdiction and no authority is hereby granted to a legislative body to determine that the public at large has acquired easements for access through or use of property within the proposed subdivision. There are no public access easements over the property currently. Therefore, the design of the subdivision will not conflict with any public easements for access through, or use of, the property. New public utility easements will be provided to existing and proposed electrical utilities as part of this subdivision map as required in accordance with City of Palo Alto Utilities standards. New public access easements will be provided to provide the 12-foot effective sidewalk width along El Camino Real, consistent with approved plans and policies. SECTION 4. Vesting Tentative Map Approval Granted. Vesting Tentative Map Approval is filed and processed in accordance to PAMC Section 21.13.020 and granted by the City Council under PAMC Sections 21.12 and 21.20 and the California Government Code Section 66474, subject to the conditions of approval in Section 6 of this Record of Land Use Action. SECTION 5. Final Map. The Final Map submitted for review and approval by the City Council shall be in substantial conformance with the Vesting Tentative Map prepared by CBG titled “VESTING TENTATIVE PARCEL MAP FOR LOT MERGER” consisting of five pages, dated April 16, 2025 and submitted April 17, 2025, except as modified to incorporate the conditions of approval in Section 6. A copy of the Vesting Tentative Map is on file in the Department of Planning and Development Services, Current Planning Division. Prior to the expiration of the Docusign Envelope ID: 982B71CF-15D1-4AB4-B33A-E91D5417FECF Item 11 Attachment A - Recod of Land Use Action for Vesting Tentative Map        Item 11: Staff Report Pg. 5  Packet Pg. 59 of 637  4 0160169_KB2_20250225_AY16 Vesting Tentative Map approval, the subdivider shall cause the subdivision or any part thereof to be surveyed, and a Final Map, as specified in Chapter 21.08, to be prepared in conformance with the Vesting Tentative Map as conditionally approved, and in compliance with the provisions of the Subdivision Map Act and PAMC Title 21 and submitted to the City Engineer (PAMC Section 21.16.010[a]). SECTION 6. Conditions of Approval. Planning 1. PROJECT PLANS. The Vesting Tentative Map submitted for review and approval by the City Council shall be in substantial conformance with the Vesting Tentative Map titled “VESTING TENTATIVE PARCEL MAP FOR LOT MERGER – 3150 EL CAMINO REAL (24PLN- 00231)”, prepared by TALUS and submitted April 17, 2025, except as modified to incorporate the conditions of this approval. 2. FINAL MAP COVER PAGE. At such time as the Final Map is filed, the cover page shall include the name and title of the Director of Planning and Development Services. 3. DEVELOPMENT IMPACT FEES. The Property Owner or their designee shall pay all applicable development impact fees associated with the proposed development and subdivision prior to issuance of the building permit(s), as detailed in the Streamlined Housing Development Review Approval. Impact fees may be paid at occupancy in accordance with the requirements under PAMC 16.64.030. 4. INDEMNITY. To the extent permitted by law, the Applicant shall indemnify and hold harmless the City, its City Council, its officers, employees and agents (the “indemnified parties”) from and against any claim, action, or proceeding brought by a third party against the indemnified parties and the applicant to attack, set aside or void, any permit or approval authorized hereby for the Project, including (without limitation) reimbursing the City for its actual attorneys’ fees and costs incurred in defense of the litigation. The City may, in its sole discretion, elect to defend any such action with attorneys of its own choice. Public Works Engineering 5. PUBLIC WORKS APPLICATIONS, FORMS, AND DOCUMENTS: Applicant shall be advised that most forms, applications, and informational documents related to Public Works Engineering conditions can be found at the following link: https://www.cityofpaloalto.org/Departments/Public-Works/Engineering- Services/Forms-and-Permits 6. OVERVIEW AND GUIDELINES FOR THE REVIEW OF SUBDIVISION PROJECTS: Developer shall familiarize themselves with the guidelines described in the November 2007 Docusign Envelope ID: 982B71CF-15D1-4AB4-B33A-E91D5417FECF Item 11 Attachment A - Recod of Land Use Action for Vesting Tentative Map        Item 11: Staff Report Pg. 6  Packet Pg. 60 of 637  5 0160169_KB2_20250225_AY16 revision of the document titled “Overview and Guidelines for the Review of Subdivision Projects”. Particularly Section II (items 5 through 12) and Section V (items A through C). https://www.cityofpaloalto.org/files/assets/public/planning-amp-development- services/file-migration/current-planning/forms-and-guidelines/overview-and- guidelines-for-the-review-of-subdivision-projects.pdf 7. SUBDIVISION IMPROVEMENT AGREEMENT: The applicant shall execute a Subdivision Improvement Agreement and provide improvement securities (Bonds) for all proposed public improvements. THE AGREEMENT SHALL BE EXECUTED PRIOR TO MAP RECORDATION OR ISSUANCE OF ANY PERMITS FOR CONSTRUCTION, ONSITE AND OFFSITE. ADVISORY -- The applicant shall provide a detailed itemized stamped and signed engineer's estimate for all off-site public improvements which will be reviewed to determine the security amount. 8. FINAL MAP: This project is subject to, and contingent upon the approval of a tentative map and recordation of a Final Map. The submittal, approval and recordation of the Map shall be in accordance with the provisions of the California Subdivision Map Act and Palo Alto Municipal Code Title 21 Subdivision requirements. All existing and proposed property lines, easements, dedications shown on the tentative map are subject to City’s technical review and staff approval during the map process prior to issuance of any construction permits. 9. MAP THIRD-PARTY REVIEW: The City contracts with a third-party surveyor that will review and provide approval of the map’s technical correctness as the City Surveyor, as permitted by the Subdivision Map Act. The Public Works Department will forward a Scope & Fee Letter from the third-party surveyor and the applicant will be responsible for payment of the fee’s indicated therein, which is based on the complexity of the map. 10. STREETWORK PERMIT: The applicant shall obtain a Streetwork Permit from the Department of Public Works for all public improvements. 11. GRADING AND EXCAVATION PERMIT: A Grading Permit is required per PAMC Chapter 16.28. The permit application and all applicable documents (see Section H of application) shall be submitted to Public Works Engineering. Add the following note: “THIS GRADING PERMIT WILL ONLY AUTHORIZE GENERAL GRADING AND INSTALLATION OF THE STORM DRAIN SYSTEM. OTHER BUILDING AND UTILITY IMPROVEMENTS ARE SHOWN FOR REFERENCE INFORMATION ONLY AND ARE SUBJECT TO SEPARATE BUILDING PERMIT APPROVAL.” 12. ROUGH GRADING: provide a Rough Grading Plan for the work proposed as part of the Grading and Excavation Permit application. The Rough Grading Plans shall including the following: pad elevation, elevator pit elevation, ground monitoring wells, limits of over excavation, stockpile area of material, overall earthwork volumes (cut and fill), temporary shoring for any existing facilities, ramps for access, crane locations (if any), Docusign Envelope ID: 982B71CF-15D1-4AB4-B33A-E91D5417FECF Item 11 Attachment A - Recod of Land Use Action for Vesting Tentative Map        Item 11: Staff Report Pg. 7  Packet Pg. 61 of 637  6 0160169_KB2_20250225_AY16 tree protection measures, etc. 13. CIVIL ENGINEER CERTIFICATION: Upon completion of the rough grading work and at the final completion of the work, applicant shall provide an as-graded grading plan prepared by the civil engineer that includes original ground surface elevations, as-graded ground surface elevations, lot drainage patterns and locations and elevations of all surface and subsurface drainage facilities. The civil engineer shall certify that the work was done in accordance with the final approved grading plan. 14. SOILS ENGINEER CERTIFICATION: Upon completion of the rough grading work and at the final completion of the work, applicant shall provide a soil grading report prepared by the soils engineer, including locations and elevation of field density tests, summaries of field and laboratory tests and other substantiating data, and comments on any changes made during grading and their effect on the recommendations made in the soils engineering investigation report. The soils engineer shall certify as to the adequacy of the site for the intended use. 15. SHORING & TIEBACKS: Provide a shoring plan showing the existing utilities (if needed), to clearly indicate how the new structures will be constructed while protecting the existing utilities (if any). If tiebacks are proposed they shall not extend onto adjacent private property, existing easements or into the City’s right-of-way without having first obtained written permission from the private property owners and/or an encroachment permit from Public Works. 16. HYDRAULICS AND HYDROLOGY REPORT: This report compares the site’s pre-project and post-project conditions. Include a description of the existing site and how the proposed project works in terms of drainage. The report shall include calculations per the Santa Clara County Drainage Manual (2007) comparing 10-year versus 100-year storms (6 duration). 17. DIRECT CONNECTIONS TO STORM DRAIN SYSTEM: If the project proposes to replace and/or add connections to the City maintained storm drain system, then the applicant may be responsible for improvements to the system. These improvements may include, but not limited to, upsizing the storm drain facility, replacing or adding City standard catch basins, pipes and manholes. THIS MAY INCLUDE REPLACING BRICK AND MORTAR MANHOLES. The extent of required improvements will be at the public works staff discretion and shall be consistent with Storm Drain Master Plan and Public Works Construction Standards. Any work on the city's storm drain systems requires permits and inspection by Public Works inspectors. 18. CCTV OF STORM DRAIN SYSTEM: Post construction the applicant may be required to provide CCTV inspection of the City’s storm drain facilities to verify that any lines were not broken, cracked or damaged during construction. The video shall be high resolution and done by professional who is familiar with the process and meticulous. A CCTV Docusign Envelope ID: 982B71CF-15D1-4AB4-B33A-E91D5417FECF Item 11 Attachment A - Recod of Land Use Action for Vesting Tentative Map        Item 11: Staff Report Pg. 8  Packet Pg. 62 of 637  7 0160169_KB2_20250225_AY16 inspection video is required for new storm drain connection (s) to verify proper connections were made into the City’s system and that no construction material was left behind. Videos of storm drain system may also be required where construction occurred less than 5-ft from the city’s storm drain system. Videos shall be provided from structure to structure, such as manhole to manhole. Contractor may want to conduct their own inspection in advance of construction to verify the existing pipe integrity. If existing damages are located, they shall be reported to Public Works inspectors prior to the start of construction. If not reported, the contractor may be responsible to restore the pipe segment as determined by Public Works prior to final. 19. GEOTECHNICAL ENGINEER STATEMENT: The grading plans shall include the following statement signed and sealed by the Geotechnical Engineer of Record: “THIS PLAN HAS BEEN REVIEWED AND FOUND TO BE IN GENERAL CONFORMANCE WITH THE INTENT AND PURPOSE OF THE GEOTECHNICAL REPORT”. 20. CONSTRUCTION DEWATERING: This project may require a dewatering permit during construction due to the groundwater level relative to the depth of excavation. 21. SWPPP: This proposed development will disturb more than one acre of land. Accordingly, the applicant shall apply for coverage under the State Water Resources Control Board’s (SWRCB) NPDES general permit for storm water discharge associated with construction activity. A Notice of Intent (NOI) shall be filed for this project with the SWRCB in order to obtain coverage under the permit. The General Permit requires the applicant to prepare and implement a Storm Water Pollution Prevention Plan (SWPPP). The applicant is required to submit two copies of the NOI and the draft SWPPP to the Public Works Department for review and approval prior to issuance of the building permit. The SWPPP should include both permanent, post-development project design features and temporary measures employed during construction. 22. ENCROACHMENT PERMIT: Prior to any work in the public right-of-way, the applicant shall obtain an encroachment permit from the Public Works Department for any work that encroaches onto the City right-of-way. 23. LOGISTICS PLAN: A construction logistics plan shall be provided addressing all impacts to the public including, at a minimum: work hours, noticing of affected businesses, bus stop relocations, construction signage, dust control, noise control, storm water pollution prevention, job trailer, contractors’ parking, truck routes, staging, concrete pours, crane lifts, scaffolding, materials storage, pedestrian safety, and traffic control. All truck routes shall conform to the City of Palo Alto’s Trucks and Truck Route Ordinance, Chapter 10.48, and the route map. NOTE: Some items/tasks on the logistics plan may require an encroachment permit. 24. STORMWATER POLLUTION PREVENTION: All improvement plan sets shall include the “Pollution Prevention – It’s Part of the Plan” sheet. Docusign Envelope ID: 982B71CF-15D1-4AB4-B33A-E91D5417FECF Item 11 Attachment A - Recod of Land Use Action for Vesting Tentative Map        Item 11: Staff Report Pg. 9  Packet Pg. 63 of 637  8 0160169_KB2_20250225_AY16 25. C.3 THIRD-PARTY CERTIFICATION: Applicant shall provide certification from a qualified third-party reviewer that the proposed permanent storm water pollution prevention measures comply with the requirements of Provision C.3 and Palo Alto Municipal Code Chapter 16.11. 26. Submit the following: a. Provide a stamped and signed C.3 data form (April 2024 version) from SCVURPPP. https://scvurppp.org/2024/09/19/provision-c-3-data-form-2024/ b. Final stamped and signed letter confirming which documents were reviewed and that the project complies with Provision C.3 and PAMC 16.11. 27. C.3 STORMWATER AGREEMENT: The applicant shall enter into a Stormwater Maintenance Agreement with the City to guarantee the ongoing maintenance of the permanent storm water pollution prevention measures. The City will inspect the treatment measures yearly and charge an inspection fee. The agreement shall be executed by the applicant team prior to building permit final. 28. C.3 FINAL THIRD PARTY CERTIFICATION PRIOR TO OCCUPANCY: Within 45 days of the installation of the required storm water treatment measures and prior to the issuance of an occupancy permit for the building, the third-party reviewer shall submit to the City a certification verifying that all the permanent storm water pollution prevention measures were installed in accordance with the approved plans. 29. OUTSIDE AGENCY APPROVAL: A portion of the proposed work is within Caltrans right-of- way. Evidence of encroachment permit approval shall be submitted prior to issuance of City permits. 30. PRIOR TO PUBLIC WORKS FINAL/ACCEPTANCE (STORM DRAIN LOGO): The applicant is required to paint “No Dumping/Flows to Matadero Creek” in blue on a white background adjacent to all onsite storm drain inlets. The name of the creek to which the proposed development drains can be obtained from Public Works Engineering. Stencils of the logo are available from the Public Works Environmental Compliance Division, which may be contacted at (650) 329-2598. Include the instruction to paint the logos on the construction grading and drainage plan. SECTION 7. Term of Approval. Vesting Tentative Map. All conditions of approval of the Vesting Tentative Map shall be fulfilled prior to approval of a Final Map (PAMC Section 21.16.010[c]). Unless a Final Map is filed, and all conditions of approval are fulfilled within a two-year period from the date of Vesting Tentative Map approval, the Vesting Tentative Map shall expire and all proceedings shall terminate. A request for an extension of time may be granted by the city council after recommendation of the planning commission, after the written extension request of the subdivider is submitted, prior to the expiration of the Vesting Tentative Map approval, or Docusign Envelope ID: 982B71CF-15D1-4AB4-B33A-E91D5417FECF Item 11 Attachment A - Recod of Land Use Action for Vesting Tentative Map        Item 11: Staff Report Pg. 10  Packet Pg. 64 of 637  9 0160169_KB2_20250225_AY16 any previous extension granted. Such extension(s) shall be subject to the maximum limitations set forth in the Subdivision Map Act. // // // // // INTRODUCED AND PASSED: AUGUST 11, 2025 AYES: Burt, Lauing, Stone, Reckdahl NOES: ABSENT: Lythcott-Haims ABSTENTIONS: Lu, Veenker ATTEST: APPROVED: _________________________ ____________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED AS TO CONTENT: ___________________________ ___________________________ Assistant City Attorney City Manager ___________________________ Director of Planning and Development Services PLANS AND DRAWINGS REFERENCED: Those plans prepared by TALUS titled “VESTING TENTATIVE PARCEL MAP FOR LOT MERGER – 3150 EL CAMINO REAL (24PLN-00231)” consisting of five pages, dated April 16, 2025 and submitted April 17, 2025. Docusign Envelope ID: 982B71CF-15D1-4AB4-B33A-E91D5417FECF X Item 11 Attachment A - Recod of Land Use Action for Vesting Tentative Map        Item 11: Staff Report Pg. 11  Packet Pg. 65 of 637  If you need assistance reviewing the above documents, please contact the Project Planner or call the Planner-on-Duty at 650-617-3117 or email planner@cityofpaloalto.org Project Plans In order to reduce paper consumption, a limited number of hard copy project plans are provided to Councilmembers for their review. The same plans are available to the public, at all hours of the day, via the following online resources. Directions to review Project plans and environmental documents online: 1. Go to: bit.ly/PApendingprojects 2. Scroll down to find “3150 El Camino Real” and click the address link 3. On this project-specific webpage you will find a link to the project plans and other important information Direct Link to Project Webpage: https://www.cityofpaloalto.org/Departments/Planning-Development-Services/Current- Planning/Projects/3150-El-Camino-Real Item 11 Attachment B - Final Map and Link to Environmental Documents        Item 11: Staff Report Pg. 12  Packet Pg. 66 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Human Resources Meeting Date: December 15, 2025 Report #:2511-5412 TITLE Approval of Partnership Agreement with Metropolitan Transportation Commission, in an Amount Not to Exceed $108,888 to Provide Unlimited Transit Access Available Through the Clipper BayPass Pilot Program for City of Palo Alto Employees Through December 31, 2026; CEQA Status - Not a Project. RECOMMENDATION Staff recommends that Council approve and authorize the City Manager or their designee to execute the Partnership Agreement (Attachment B) with Metropolitan Transportation Commission to provide unlimited transit access available through the Clipper BayPass Pilot Program for eligible City of Palo Alto employees through December 31, 2026 and total not-to- exceed $108,888. BACKGROUND The City supports sustainable transportation efforts to meet Palo Alto’s environmental goals and reduce traffic. For decades, the City has provided commuter benefits for its employees who voluntarily use commute alternatives to and from work. As part of its employee benefits package, the City of Palo Alto offers a range of commuter benefits to support a variety of sustainable transportation options. These benefits include carpooling ($30/month), biking ($20/month), and a 25% discount on monthly vanpool, parking, and transit costs. In the past, the City also offered the Caltrain GO Pass. This benefit allowed employees to ride CalTrain unlimited times and in all zones at no cost. However, the GO Pass benefit was limited to City employees located in downtown Palo Alto at City Hall, the Development Center, and the Downtown Library. In order to expand and enhance commuter benefits for City employees working in facilities outside of Downtown Palo Alto, effective May 1, 2025, the City entered into Item 12 Item 12 Staff Report        Item 12: Staff Report Pg. 1  Packet Pg. 67 of 637  a partnership agreement with Metropolitan Transportation Commission (MTC) to provide a pilot Clipper BayPass program to all City benefited employees1. The Clipper BayPass provides participants with unlimited travel on Bay Area transit services. Attachment A provides list of all eligible Bay Area transit services under this program. Palo Alto and Menlo Park are the only two Bay Area cities participating in this pilot program. ANALYSIS In an effort to support the City’s commitment to environmental sustainability and emission reduction, and in addition expand and enhance the accessibility of commuter benefits, City staff engaged with representatives from the Metropolitan Transportation Commission (MTC) and launched the pilot Clipper BayPass program on May 1, 2025. The Clipper BayPass provides eligible participants with unlimited travel on Bay Area transit services, including bus, rail, and ferry routes such as Caltrain, BART, VTA, MUNI, Dumbarton Express, and other transit operators. Since the launch of Clipper BayPass seven months ago, the program has received positive reception. Approximately 50% of eligible participants have signed up for the Clipper BayPass benefit and approximately 32% of the eligible participants have used at least one of the transit services provided under the program to travel in calendar year 2025. An enhanced benefit of Clipper Baypass is the ability for participants to use multiple Bay Area transit services, which was not available under the GO Pass benefit as it limited travel to CalTrain only. Participants continue to use CalTrain, however they are also using BART, SF Muni and VTA. The availability of various transit options has provided employees who do not reside along the Caltrain corridor an opportunity to consider using public transportation for their commute. This more expansive offering creates more equity within our commute incentives program by expanding to the East Bay and by including bus systems which help shrink the “last mile gap.” Following a review of the Clipper BayPass program and its usage for a portion (7 months) of calendar year 2025, staff recommends that the City continue participating in the pilot Clipper BayPass program. The Clipper BayPass program has helped enhance the accessibility and equity of our commuter benefit and provides usage reports such as active participants, types of transits used for travel, and also the number of trips taken by participants. Employees outside of the downtown locations now have an option to use transit services to commute to work. Additionally, participants are also utilizing a key benefit of this program, the ability to ride various transit services to commute. 1 City Council, April 7, 2025; Agenda Item # 5; SR #2503-4369, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=83335 Item 12 Item 12 Staff Report        Item 12: Staff Report Pg. 2  Packet Pg. 68 of 637  FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 12 Item 12 Staff Report        Item 12: Staff Report Pg. 3  Packet Pg. 69 of 637  Atachment A: List of Transit Operators Included with Clipper BayPass • BART • SFMTA (Muni) • AC Transit • VTA • Caltrain • SamTrans • Golden Gate Transit • Golden Gate Ferry • San Francisco Bay Ferry • County Connec�on • Dumbarton Express • FAST • Marin Transit • Petaluma Transit • Santa Rosa CityBus • SMART • Soltrans • Sonoma County Transit • Tri Delta Transit • Union City Transit • Vacaville City Coach • VINE • WestCAT • Wheels Item 12 Attachment A - List of Transit Operators Included with Clipper BayPass        Item 12: Staff Report Pg. 4  Packet Pg. 70 of 637  PARTNERSHIP AGREEMENT Between CITY OF PALO ALTO And METROPOLITAN TRANSPORTATION COMMISSION For CLIPPER BAYPASS PILOT PROGRAM THIS AGREEMENT is made and entered into as of the January 1, 2026, by and between the CITY OF PALO ALTO (herein called "Palo Alto"), and the METROPOLITAN TRANSPORTATION COMMISSION, a regional transportation planning agency established pursuant to California Government Code § 66500 et seq., (herein called “MTC”) (“Agreement”), both individually referred to as a “Party” and collectively referred to as “the Parties.” W I T N E S S E T H WHEREAS, MTC seeks to increase transit usage by reducing fare barriers and improving coordination of fare policies across Bay Area transit operators; and WHEREAS, MTC and Bay Area transit operators convened the Fare Integration Task Force as a special committee of the Clipper Executive Board to assess methods to improve coordination across transit fare policies; and WHEREAS, on November 15, 2021, the Fare Integration Task Force adopted a Bay Area Transit Fare Policy Vision Statement which called for the “deployment of an all -transit agency institutional/employer pass demonstration pilot in 2022, with a focus on educational institutions, affordable housing properties, and employers of various sizes, pending available resources/technical considerations;” and WHEREAS, MTC created the Clipper BayPass Pilot Program in 2022 under the direction of the Fare Integration Task Force in order to deliver on the commitment to establish an institutional/employer pass pilot; and WHEREAS, the Clipper BayPass Pilot Program is inviting employers/institutions to purchase the Clipper BayPass public transportation pass, which provides unlimited access to Bay Area transit services that accept Clipper, with the exception of cable car services operated by SFMTA; and WHEREAS, Palo Alto is interested in providing the Clipper BayPass public transportation pass to its eligible member employees. Eligible member employees are defined as 1) those employees to whom Palo Alto provides the Caltrain Go Pass (Pilot Group A), and 2) all other eligible employees at defined worksite locations (Pilot Group B); Docusign Envelope ID: 3FF3DB95-A791-43BE-8EF1-B658BCE096ED Item 12 Attachment B - Partnership Agreement Between MTC and City of Palo Alto        Item 12: Staff Report Pg. 5  Packet Pg. 71 of 637  MTC/ City of Palo Alto Year 2 Clipper BayPass Program Page 2 NOW, THEREFORE, the Parties hereto agree as follows: 1. SCOPE OF WORK MTC agrees to provide the Clipper BayPass public transportation pass, as described and in quantities specified in Attachments A and B, to Palo Alto at the price of $12 per month per eligible employee for Pilot Group A, and at the price of $10 per month per eligible employee for Pilot Group B. Palo Alto shall perform the activities described in Attachments A and B. 2. TIME OF PERFORMANCE The services described by this Agreement shall commence on or after January 1, 2026 and terminate on December 31, 2026, unless the Agreement is extended by duly executed amendment or earlier terminated, as hereinafter provided. 3. FUNDING AND METHOD OF PAYMENT A. In order to participate in the Clipper BayPass program pilot, Palo Alto agrees to pay MTC in accordance with the amounts and processes specified in Attachments A and B. All payment shall be submitted to MTC at: Attn: Accounting Section Metropolitan Transportation Commission Bay Area Metro Center 375 Beale Street, Suite 800 San Francisco, CA 94105 4. AMENDMENTS Any changes in the activities to be performed under this Agreement shall be incorporated in written amendments, which shall specify the changes in Attachments A and B and any adjustments in the schedule and Payment amounts. All amendments shall be executed by the Palo Alto Project Manager, or a designated representative and MTC Executive Director, or a designated representative. No claim for additional compensation or extension of time shall be recognized unless contained in a duly executed amendment. Docusign Envelope ID: 3FF3DB95-A791-43BE-8EF1-B658BCE096ED Item 12 Attachment B - Partnership Agreement Between MTC and City of Palo Alto        Item 12: Staff Report Pg. 6  Packet Pg. 72 of 637  MTC/ City of Palo Alto Year 2 Clipper BayPass Program Page 3 5. TERMINATION Either party may terminate this Agreement due to the other party’s substantial failure to perform as specified in this agreement upon thirty (30) days prior written notice. Either party may terminate this Agreement without cause upon ninety (90) days prior written notice. In the event of such termination, all Passes shall be deactivated immediately after the termination date. If either party terminates the agreement, MTC shall either invoice or refund Palo Alto as per the terms of termination specified in Attachments A and B. 6. RETENTION OF RECORDS Palo Alto agrees to keep all records pertaining to the project being funded for audit purposes in accordance with generally accepted accounting practices for a minimum of four (4) years following the fiscal year of the last expenditure under this Agreement. 7. INDEMNIFICATION Palo Alto shall indemnify and hold harmless MTC and its commissioners, directors, officers, agents and employees (each an “Indemnified Party”) from any and all claims, demands, suits, loss, damages, injury and/or liability (including any and all costs and expenses in connection therewith), incurred by reason of breach of this Agreement by Palo Alto or by any negligent or otherwise wrongful act or omission of Palo Alto, its officers, commissioners, directors, employees, agents, contractors and subcontractors, or any of them, under or in connection with this Agreement; and Palo Alto agrees at its own cost, expense and risk to defend any and all claims, actions, suits, or other legal proceedings brought or instituted against MTC, its commissioners, directors, officers, agents, and employees, or any of them, arising out of such act or omission, and to pay and satisfy any resulting judgments. 8. NOTICES Except for invoices submitted by Palo Alto pursuant to Article 3, all notices or other communications to either party by the other shall be deemed given when made in writing and delivered, mailed, or emailed to such party at their respective addresses as follows: Docusign Envelope ID: 3FF3DB95-A791-43BE-8EF1-B658BCE096ED Item 12 Attachment B - Partnership Agreement Between MTC and City of Palo Alto        Item 12: Staff Report Pg. 7  Packet Pg. 73 of 637  MTC/ City of Palo Alto Year 2 Clipper BayPass Program Page 4 To MTC: Attention: Thalia Leng Metropolitan Transportation Commission Bay Area Metro Center 375 Beale Street, Suite 800 San Francisco, CA 94105 Email: tleng@bayareametro.gov To Palo Alto: Maria Patino City of Palo Alto Office of the City Clerk: City Hall, 7th Floor 250 Hamilton Avenue Palo Alto, CA 94301 Email: maria.patino@cityofpaloalto.org 9. ASSIGNMENT Neither party shall assign, transfer or otherwise substitute its interest or obligations in this Agreement without the prior written consent of the other party. 10. CONFIDENTIALITY 10.1 In this Article 10, Confidentiality, the Party disclosing information shall be referred to as the “Disclosing Party” and the Party receiving information shall be referred to as the “Receiving Party”. As used herein, “Confidential Information” shall mean any non-public, confidential or proprietary information disclosed by a Party in discussions between the Parties relating to the purpose, whether disclosed orally or in written, electronic or other form or media, and whether or not marked, designated or otherwise identified as “confidential” or “proprietary” including, without limitation: data, notes, drafts, assessments, analyses, evaluations, and reports related to the travel patterns, home and work locations, commute mode choices, and parking activities of Palo Alto employees. 10.2 Exclusions. “Confidential Information” shall not include information that: (a) is or becomes known or available to the public, other than through a breach of an obligation hereunder by the Receiving Party; (b) is lawfully acquired by the Receiving Party from a third party without breach of a confidentiality restriction; (c) the Receiving Party can demonstrate by written proof was (i) already in its possession at the time it was disclosed hereunder by the Disclosing Party or (ii) was independently developed by the Receiving Party without use of the Disclosing Party’s Confidential Information; (d) has been approved for disclosure by the Disclosing Party; or (e) Docusign Envelope ID: 3FF3DB95-A791-43BE-8EF1-B658BCE096ED Item 12 Attachment B - Partnership Agreement Between MTC and City of Palo Alto        Item 12: Staff Report Pg. 8  Packet Pg. 74 of 637  MTC/ City of Palo Alto Year 2 Clipper BayPass Program Page 5 has been provided by Disclosing Party pursuant to the required deliverables referenced in Attachments A, Scope of Work. 10.3 Confidentiality Obligation. Receiving Party will hold and maintain Disclosing Party’s Confidential Information in confidence, exercising at least the same degree of care as Receiving Party customarily exercises to protect its own like information, but no less than reasonable care. Without the prior written consent of Disclosing Party, Receiving Party will not: (a) disclose any portion of the Confidential Information to any person or entity other than its directors, officers, employees, agents or consultants (each a “Representative”) who reasonably need access to the Confidential Information to fulfill the purpose and is bound to protect its confidentiality including, with respect to agents and consultants, by written agreement on terms substantially similar to this Agreement; or (b) use Confidential Information except as reasonably required in furtherance of the purpose. Receiving Party shall take reasonable steps to ensure compliance with this Agreement by its Representatives, and agrees that it is responsible to Disclosing Party f or any action or failure to act by any Representative that would constitute a breach of this Agreement. Notwithstanding the foregoing, disclosure of Confidential Information by a Receiving Party shall not be precluded if such disclosure is required by a valid law, including the California Public Records Act, regulation, subpoena, demand, order or other process of a court or government entity, provided that Receiving Party provides prompt written notice to the Disclosing Party sufficiently in advance to permit the Disclosing Party to contest the disclosure or seek an appropriate protective order. 10.4 Remedies. Without prejudice to the rights and remedies otherwise available to Disclosing Party, Disclosing Party may be entitled to equitable relief by way of injunction if there is a breach or threat of breach of any of the provisions of this Agreement by the Receiving Party. The Parties acknowledge and agree that damages may not be an adequate remedy in the event of a breach of this Agreement. 11. LAWS AND REGULATIONS Palo Alto shall comply with any and all applicable laws, statutes, ordinances, rules, regulations, and procedural requirements of any national, state, or local government, and of any agency of any such government, including but not limited to MTC, that relate to or in any Docusign Envelope ID: 3FF3DB95-A791-43BE-8EF1-B658BCE096ED Item 12 Attachment B - Partnership Agreement Between MTC and City of Palo Alto        Item 12: Staff Report Pg. 9  Packet Pg. 75 of 637  MTC/ City of Palo Alto Year 2 Clipper BayPass Program Page 6 manner affect the performance of the Agreement, which shall include, but not be limited to California Streets & Highways Code Section 31490 and any others relating to the handling of private and/or personally identifiable information. 12. ENTIRE AGREEMENT: MODIFICATION This Agreement, including any attachments, constitutes the complete agreement between the parties and supersedes any prior written or oral communications. Palo Alto represents that in entering into the Agreement it has not relied on any previous representations, inducements, or understandings of any kind or nature. This Agreement may be modified or amended only by written instrument signed by both Palo Alto and MTC. In the event of a conflict between the terms and conditions of this Agreement and the attachments, the terms of this Agreement will prevail. IN WITNESS WHEREOF, this Agreement has been executed by the parties hereto as of the day and year first written above. METROPOLITAN TRANSPORTATION COMMISSION CITY OF PALO ALTO Andrew B. Fremier, Executive Director Ed Shikada, City Manager APPROVED AS TO FORM: Jennifer Fine, Deputy City Attorney Docusign Envelope ID: 3FF3DB95-A791-43BE-8EF1-B658BCE096ED For, Item 12 Attachment B - Partnership Agreement Between MTC and City of Palo Alto        Item 12: Staff Report Pg. 10  Packet Pg. 76 of 637  MTC/ City of Palo Alto Year 2 Clipper BayPass Program Page 7 ATTACHMENT A PROGRAM SCOPE – PILOT GROUP A CLIPPER BAYPASS PILOT PROGRAM Program Duration The services provided under this contract for Palo Alto’s participation in Clipper BayPass Pilot Program will be in force for a duration of 365 days. Options to extend services under the contract beyond the 365 days may be discussed prior to the end of the current contract. Clipper BayPass Capabilities The Clipper BayPass Pilot Program utilizes the Clipper fare payment system product known as the “Events Pass”. The Clipper BayPass Pilot Program provides individual participants with a transit pass good for unlimited travel on all transit services operated by the Operators that accept Clipper, except for Cable Car service operated by the SFMTA. The “Events Pass” can be activated on any existing physical or mobile Clipper Card. Program Payment Components Payment for Public Transportation Services Palo Alto agrees to pay MTC a minimum total amount of $55,728 to participate in the Clipper BayPass Program for 365 days. This minimum total payment amount is based on a price of $12.00 per pass per month for a total of 387 passes. MTC will make available to Palo Alto one Clipper BayPass (“Pass”) per eligible employee to whom Palo Alto provides the Caltrain Go Pass. The group of employees to whom Palo Alto provides the Caltrain Go Pass constitutes the minimum eligible pool (the “Pool”) for the for the duration of the present contract period. Palo Alto and MTC have determined the minimum Pool for Pilot Group A for the duration of the present contract to be 387 employees as of September 2, 2025. Additional Passes Palo Alto will add eligible employees to whom Palo Alto provides the Caltrain Go Pass to the Clipper BayPass program Pool during the agreement. Passes shall be activated and valid from January 1, 2026 (or date of issue, if later) through December 31, 2026. Palo Alto shall pay MTC a total of $144 per Clipper BayPass for each member of the Pool from January 1, 2026 through December 31, 2026. If additional eligible Participants enter the Pool exceeding the 387 in the minimum Pool, then MTC shall issue additional Passes at the same annual price per pass of $144 unless entry into the program occurs after July 1, 2026, in which case 50% of the annual per Pass price (i.e., $72) shall be charged per additional Pass. There shall be no pro-rating of pricing beyond the mid-year 50% price. Invoicing MTC shall invoice Palo Alto for $27,864 (i.e., 50% of the minimum total amount of $55,728) to participate in the Clipper BayPass program upon execution of this Agreement. This payment will be referred to as the “Initial Payment – Pilot Group A”. MTC will invoice Palo Alto for the remaining 50% of the minimum total amount on July 1, 2026. By no later than January 31, 2027, MTC shall invoice Palo Alto for any “Additional Passes” as defined herein. Docusign Envelope ID: 3FF3DB95-A791-43BE-8EF1-B658BCE096ED Item 12 Attachment B - Partnership Agreement Between MTC and City of Palo Alto        Item 12: Staff Report Pg. 11  Packet Pg. 77 of 637  MTC/ City of Palo Alto Year 2 Clipper BayPass Program Page 8 Palo Alto shall remit all payments within thirty (30) days of receipt of invoice, including invoices for additional physical Clipper Cards. All payments shall be directed to: Attn: Accounting Section Metropolitan Transportation Commission Bay Area Metro Center 375 Beale Street, Suite 800 San Francisco, CA 94105 Roles and Responsibilities MTC will be responsible for: • Providing within 30 days of the start of the program, educational and promotional materials in a digital and physical format to help individuals understand the Clipper BayPass product. • Making every reasonable effort to provide Palo Alto, within 15 days of a request, with the requested number of physical Clipper Cards at a cost to Palo Alto of $3.00 per card. • Providing aggregated reports of travel activity with the Clipper BayPass to Palo Alto. • Managing evaluation activities including up to four, brief (~5 minute) participant surveys to be deployed electronically. Palo Alto will be responsible for: • Using the Clipper Portal to ensure that the Clipper BayPass product is active on all eligible employee Clipper Cards. • Ensuring that BayPass is removed simultaneously from all employee Clipper Cards from which Go Pass is being removed. In other words, aligning Clipper BayPass deactivation processes with Caltrain Go Pass deactivation processes. • Working with MTC to disseminate at least one brief (~5 minute) participant survey to be deployed electronically • Communicating to employees to promote the Clipper BayPass and educating them regarding its use. In its communications, including the materials that MTC will provide, Palo Alto clarifies the following program nuances to its employees: o The Clipper BayPass cannot be used on SFMTA Cable Cars; o The Clipper BayPass will become inactive if it is not used (i.e., tapped on Clipper Card reader on transit or at a transit stop) within 180 days of initial activation. o The Clipper BayPass is non-transferable, is only a valid fare when used by an eligible Palo Alto employee. o Ensuring that BayPass is removed from an employee’s Clipper card within three business days after their date of separation. o Communicating to employees that Caltrain Go Pass Terms and Conditions for use of the pass on public transportation also apply to their use of Clipper BayPass because BayPass is an add-on to, not a replacement for, the existing Caltrain Go Pass. • Coordinating on a regular basis with the Clipper BayPass program team via virtual meetings. Docusign Envelope ID: 3FF3DB95-A791-43BE-8EF1-B658BCE096ED Item 12 Attachment B - Partnership Agreement Between MTC and City of Palo Alto        Item 12: Staff Report Pg. 12  Packet Pg. 78 of 637  MTC/ City of Palo Alto Year 2 Clipper BayPass Program Page 9 ATTACHMENT B PROGRAM SCOPE – PILOT GROUP B CLIPPER BAYPASS PILOT PROGRAM Program Duration The services provided under this contract for Palo Alto’s participation in Clipper BayPass Pilot Program will be in force for a duration of 365 days. Options to extend services under the contract beyond the 365 days may be discussed prior to the end of the current contract. Clipper BayPass Capabilities The Clipper BayPass Pilot Program utilizes the Clipper fare payment system product known as the “Events Pass”. The Clipper BayPass Pilot Program provides individual participants with a transit pass good for unlimited travel on all transit services operated by the Operators t hat accept Clipper, except for Cable Car service operated by the SFMTA. The “Events Pass” can be activated on any existing physical or mobile Clipper Card. Program Payment Components Payment for Public Transportation Services Palo Alto agrees to pay MTC a minimum total amount of $53,160 to participate in the Clipper BayPass Program for 365 days. This minimum total payment amount is based on a price of $10.00 per pass per month, for a total of 443 passes. MTC will make available to Palo Alto one Clipper BayPass (“Pass”) per eligible employee at defined worksite locations. The group of employees to at these defined worksite locations constitutes the minimum eligible pool (the “Pool”) for the duration of the present contract period. Palo Alto and MTC have determined the minimum Pool for Pilot Group B for the duration of the present contract to be 443 employees as of September 2, 2025. Additional Passes Palo Alto will add eligible employees to the Clipper BayPass program Pool during the agreement. Passes shall be activated and valid from January 1, 2026 (or date of issue, if later) through December 31, 2026. Palo Alto shall pay MTC a total of $120 per Clipper BayPass for each member of the Pool from January 1, 2026, through December 31, 2026. If additional eligible Participants enter the Pool exceeding the 443 in the minimum Pool, then MTC shall issue additional Passes at the same annual price per pass of $120 unless entry into the program occurs after July 1, 2026, in which case 50% of the annual per Pass price (i.e., $60) shall be charged per additional Pass. There shall be no pro-rating of pricing beyond the mid-year 50% price. Invoicing MTC shall invoice Palo Alto for $26,580 (i.e., 50% of the minimum total amount of $53,160) to participate in the Clipper BayPass program upon execution of this Agreement. This payment will be referred to as the “Initial Payment – Pilot Group B”. MTC will invoice Palo Alto for the Docusign Envelope ID: 3FF3DB95-A791-43BE-8EF1-B658BCE096ED Item 12 Attachment B - Partnership Agreement Between MTC and City of Palo Alto        Item 12: Staff Report Pg. 13  Packet Pg. 79 of 637  MTC/ City of Palo Alto Year 2 Clipper BayPass Program Page 10 remaining 50% of the minimum total amount on July 1, 2026. By no later than January 31, 2027, MTC shall invoice Palo Alto for any “Additional Passes” as defined herein. Palo Alto shall remit all payments within thirty (30) days of receipt of invoice, including invoices for additional physical Clipper Cards. All payments shall be directed to: Attn: Accounting Section Metropolitan Transportation Commission Bay Area Metro Center 375 Beale Street, Suite 800 San Francisco, CA 94105 Roles and Responsibilities MTC will be responsible for: • Providing within 30 days of the start of the program, educational and promotional materials in a digital and physical format to help individuals understand the Clipper BayPass product. • Making every reasonable effort to provide Palo Alto, within 15 days of a request, with the requested number of physical Clipper Cards at a cost to Palo Alto of $3.00 per card. • Providing aggregated reports of travel activity with the Clipper BayPass to Palo Alto. • Managing evaluation activities including up to four, brief (~5 minute) participant surveys to be deployed electronically. Palo Alto will be responsible for: • Using the Clipper Portal to ensure that the Clipper BayPass product is active on all eligible employee Clipper Cards. • Activating and deactivating the Clipper BayPass product on employee Clipper Cards and any cards ordered by Palo Alto from MTC (if requested by Palo Alto). • Deactivating the Clipper BayPass product from employee Clipper Cards within 30 days of the separation of an eligible employee from employment at Palo Alto or within 30 days of the transition of an eligible employee to an ineligible status. • Deactivating the Clipper BayPass product on employee Clipper Cards within 10 days of the card being reported lost or stolen. • Tracking which Clipper BayPass serial number is associated with which employee, including in cases when employees require a replacement Clipper Card. • Providing a total count of employees who are eligible for Clipper BayPass to MTC on at least a quarterly basis (i.e., three months from program start, six months from program start, nine months from program start and at the end of the annual contract perio d). • Working with MTC to disseminate at least one brief (~5 minute) participant survey to be deployed electronically. • Communicating to employees to promote the Clipper BayPass and educating them regarding its use. In its communications, including the materials that MTC will provide, Palo Alto clarifies the following program nuances to its employees: o The Clipper BayPass cannot be used on SFMTA Cable Cars; o The Clipper BayPass will become inactive if it is not used (i.e., tapped on Clipper Card reader on transit or at a transit stop) within 180 days of initial activation. Docusign Envelope ID: 3FF3DB95-A791-43BE-8EF1-B658BCE096ED Item 12 Attachment B - Partnership Agreement Between MTC and City of Palo Alto        Item 12: Staff Report Pg. 14  Packet Pg. 80 of 637  MTC/ City of Palo Alto Year 2 Clipper BayPass Program Page 11 o The Clipper BayPass is non-transferable, is only a valid fare when used by an eligible Palo Alto employee. • Coordinating on a regular basis with the Clipper BayPass program team via virtual meetings. Docusign Envelope ID: 3FF3DB95-A791-43BE-8EF1-B658BCE096ED Item 12 Attachment B - Partnership Agreement Between MTC and City of Palo Alto        Item 12: Staff Report Pg. 15  Packet Pg. 81 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Administrative Services Meeting Date: December 15, 2025 Report #:2511-5452 TITLE Accept the City of Palo Alto’s Audited Financial Statements as of June 30, 2025, and the Macias, Gini & O’Connell Management Letter; Approve the FY 2025 Annual Comprehensive Financial Report (ACFR)and Amendments to the FY 2025 Budget in Various Funds; CEQA Status – Not a Project. RECOMMENDATION Finance Committee and Staff recommend the City Council: 1.Accept the City of Palo Alto’s audited financial statements for the fiscal year ended June 30, 2025, and the accompanying reports prepared by Macias Gini & O’Connell LLP (“MGO”)1 . Reports include: a.Report to the City Council the “Management Letter”, b.Cable TV Franchise, Independent Auditor’s Report and Statements of Franchise Revenues and Expenses for the years ended December 31, 2023, and 2024, c.Palo Alto Public Improvement Corporation (a component unit of the City of Palo Alto) Annual Financial Report for the year ended June 30, 2025, d.Regional Water Quality Control Plant, Independent Auditor’s Report and Financial Statements for the year ended June 30, 2025, e.Independent Accountant’s Report on Applying Agreed-Upon Procedures related to Article XIII-B Appropriations (GANN) Limit for the year ended June 30, 2025, and f.Pedestrian/Bicycles Facilities Grant Metropolitan Transportation Commission Transportation Development Act Funds, Article III, Independent Auditor’s Report and Financial Statements, and Supplementary Information for the year ended June 30, 2025 1 Finance Committee, December 2, 2025; Agenda Item #1; CMR #2510-5389, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=84150 Item 13 Item 13 Staff Report        Item 13: Staff Report Pg. 1  Packet Pg. 82 of 637  2.Approve the Fiscal Year (FY) 2025 Annual Comprehensive Financial Report (ACFR). An electronic copy is available on the City’s website3. 3.Amend the Fiscal Year 2025 Budget Appropriation Ordinance for various funds as identified Recommended Amendments to the City Manager’s FY 2025 Budget; referenced as “Attachment B – Exhibit 1 and various capital projects as identified in Attachment B – Exhibit 2”(Attachment I) in CMR #2508-50364 (Effective on first reading; five votes required). Hard copies of these reports were provided to the City Council. If any member of the public would like, printed copies of the City’s Annual Comprehensive Financial Report (ACFR) are available from the Administrative Services Department at the rate established in the City’s Municipal Fee Schedule. Electronic copies are available on the City’s website at no cost. BACKGROUND Every year, the fiscal year is closed out, and the City Council publishes the City’s financial report (Palo Alto Municipal Code 2.28.200). At the December 2, 2025, Finance Committee meeting, the Committee reviewed two staff reports: one transmitted by the City Auditor’s Office and one by the City Manager’s Office via the Administrative Services Department and unanimously approved both reports for City Council consideration. The Committee also recommends further review of the formula and process for use of excess Budget Stabilization Reserve (BSR) funds5. This referral will be considered by Council in January 2026 as a part of the Long Range Financial Forecast (LRFF) and if approved, will be affirmed in Committee Workplan. Office of the City Auditor: Discussion and Recommendation to the City Council to Accept the MGO Audit of the City of Palo Alto’s Financial Statements as of June 30, 20251. Administrative Services Department: Recommendation to Approve the Fiscal Year (FY) 2025 ACFR, Approve FY 2025 Budget Amendments in Various Funds. 3 Annual Comprehensive Financial Report, 2025; https://www.paloalto.gov/files/assets/public/v/1/administrative- services/financial-reporting/annual-comprehensive-financial-reports-acfr/current-2011-acfrs/city-of-palo-alto-acfr- fye-06.30.2025-final-secured.pdf 4 Finance Committee, December 2, 2025; Agenda Item #2 Attachment B; CMR# 2508-5036, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=83926 4 December 2, 2025, Finance Committee Action Minutes: https://cityofpaloalto.primegov.com/meetings/ItemWithTemplateType?id=8961&meetingTemplateType=2&comp iledMeetingDocumentId=17668 Item 13 Item 13 Staff Report        Item 13: Staff Report Pg. 2  Packet Pg. 83 of 637  MGO issued a clean opinion on each audit report. The City also received the Certificate of Achievement for Excellence in Financial Reporting from the Government Finance Officers Association (GFOA) for its FY 2024 ACFR. ANALYSIS Government-wide General Fund 3, the net BSR balance is $58.8 million or $2.0 million above Council’s 18.5% BSR target level. The FY 2025 savings in salary & benefit, contracts services and other expenses contributed to this higher BSR. Staff recommend that the $2.0 million above the 18.5% BSR target level be kept in BSR for future budget balancing strategy and projected FY2027 budget shortfall and ensure the City maintains high quality service level. Consistent with current practice, any budget actions to allocate the BSR funds above the 18.5% target level will be included in the FY 2026 Mid-Year Review (February 2026). Other Funds: Enterprise and Internal Service Activities Council directed reserves by policy such as the utility reserve. Discussion can be found in the staff’s December 2, 2025, report to the Finance Committee4. Item 13 Item 13 Staff Report        Item 13: Staff Report Pg. 3  Packet Pg. 84 of 637  FISCAL/RESOURCE IMPACT 3 Attachment B, Exhibits 1 and 2, recommend adjustments to the FY 2025 appropriated level of funds to align budgeted levels with year-end activities. STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 13 Item 13 Staff Report        Item 13: Staff Report Pg. 4  Packet Pg. 85 of 637  Department Adjustment Adjustment GENERAL FUND (102) Non- Departmental Transient Occupancy Tax Revenue/Transfer to Capital Improvement Fund This action increases the transfer to the Capital Improvement Fund as it relates to Transient Occupancy Tax (TOT) revenues earmarked for city-wide infrastructure improvements due to higher than anticipated TOT collections in FY 2025. 409,000$ 409,000$ Non- Departmental Transfer to Capital Improvement Fund (PL-24000 and PL-24001) This action reduces a transfer of Business Tax funds to support capital projects PL-24000 and PL- 24001, because work was not done on these projects in FY 2025. $270,702 of the funding that will be returned to the Business Tax Reserve: Transportation in the General Fund to be used for future Transportation projects. -$ (1,244,208)$ Police Salaries and Benefits This action increases the allocation for Salaries and Benefits and Allocated Charges in the Police Department by $0.2 million, and includes $0.4 million to cover the reduction of funding for the PERT Program described below. A portion of the increased allocation is due to higher than anticipated fleet services charges which were impacted by the Department piloting an electric patrol vehicle. The remaining increase is due to the Department experiencing higher than anticipated salary and benefit expenses, specifically in overtime costs. This is primarily due to an above average amount of employee leave for illness and training and the need to maintain minimum staffing levels in dispatch and patrol operations which requires the use of overtime for backfill. -$ 212,000$ Police Transfer from Stanford University Medical Center (SUMC) Fund/Psychiatric Emergency Response Team (PERT) Program This action reduces the transfer of funds related to the Council-authorized contract with the Santa Clara County Behavioral Health (Staff Report 2305-1410) and recognized in the FY 2025 Adopted Budget for a mental health clinician to support the PERT Program. The funds were unspent due to the inability to source and supply a clinician, so the funds will be returned to the County can provide a clinician. (366,000)$ (366,000)$ Public Works Departmental Expense Savings This action reallocates departmental savings within the General Fund in order to offset departments with higher than anticipated expenses in FY 2025. The Public Works Department due to delays in several contracts. Key vacancies include Manager of Maintenance Operations, Facilities Technician, Traffic Control Maintainer, and Cement Finisher. Contracts delays include the Security Guard contract for the MSC, airplane noise reduction, Foothills fire mitigation, fire alarm testing and maintenance, and S/CAP implementation. -$ (212,000)$ Fund Balance Adjustment to Business Tax Reserve: Transportation This action returns $1,244,208 of unused funding allocated to capital projects PL-24000 and PL- 240001 to the Business Tax Reserve: Transportation in the General Fund to be used for future Transportation projects. -$ 1,244,208$ GENERAL FUND (102) SUBTOTAL 43,000$ 43,000$ CITY OF PALO ALTO ATTACHMENT A, EXHIBIT 1 Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 5  Packet Pg. 86 of 637  Department Adjustment Adjustment CAPITAL IMPROVEMENT FUNDS GENERAL FUND CAPITAL IMPROVEMENT FUND (471) Capital Capital Improvement Project Adjustments This action reflects the net zero budget impact from adjustments to projects as outlined in Attachment B, Exhibit 2. -$ 0$ Capital Transfer from California Avenue Parking Fund/California Avenue Parking District Parking Improvements Project (PF-25000) This action reduces the transfer of funds to support capital project PF-25000, because work was not done on this project in FY 2025. The transfer of funds for PF-25000 was reappropriated to FY 2026 in order to align funding with anticipated project expenses. (100,000)$ (100,000)$ Capital Transfer from Gas Tax Fund/Streets Maintenance (PE-86070) This action increases the transfer from the Gas Tax Fund as a result of SB1 Gas Tax revenue from the State of California that came in higher than budgeted levels. SB1 funding is designated for street improvment projects, so it will be added to the Streets Maintenance capital project (PE-86070). 139,226$ 139,226$ Capital Transfer from General Fund This action increases the transfer from the General Fund related to TOT revenue Council earmarked to use for city-wide infrastructure improvements due to actual revenue collected being higher than budgeted in FY 2025. 409,000$ -$ Capital Transfer from General Fund/Meadow Drive and Charleston Road (PL-24000) and Churchill Avenue (PL-24001) Rail Grade Separation and Safety Improvements This action reduces the transfer of Business Tax funds to support capital projects PL-24000 and PL-24001, because work was not done on these projects in FY 2025. $270,702 of the funding will be reappropriated to FY 2026 and $973,506 will returned to the Business Tax Reserve: (1,244,208)$ (1,244,208)$ Capital Transfer from Parkland Dedication Fund/Byxbee Park Completion Project (PG-18006) This action reduces the transfer of funds to support capital project PG-18006, because work FY 2027 in order to align funding with anticipated project expenses. (450,000)$ (450,000)$ Capital Transfer from Utilities Administration Fund/Rinconada Pool Family Changing Room Project (PE-24004) This action reduces the transfer of funds to support capital project PE-24004, because work was not done on this project in FY 2025. The transfer of funds for PE-24004 was reappropriated to FY 2026 in order to align funding with anticipated project expenses. (371,165)$ (371,165)$ Capital Transfer from Parks Impact Fee Fund/Park Restroom Installation Project (PG-19000) This action reduces the transfer of funds to support capital project PG-19000, because work was not done on this project in FY 2025. The transfer of funds for PG-19000 was reappropriated to FY 2026 in order to align funding with anticipated project expenses. (353,770)$ (353,770)$ Capital Transfer from University Avenue Parking in Lieu Fee Fund/Downtown Parking Garage Project (PE-15007) This action reduces the transfer of funds to support capital project PE-15007, because work was not done on this project in FY 2025. The transfer of funds for PE-15007 was reappropriated to FY 2026 in order to align funding with anticipated project expenses. (13,106,958)$ (13,106,958)$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ 409,000$ GENERAL FUND CAPITAL IMPROVEMENT FUND (471) SUBTOTAL (15,077,875)$ (15,077,875)$ CITY OF PALO ALTO ATTACHMENT A, EXHIBIT 1 Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 6  Packet Pg. 87 of 637  Department Adjustment Adjustment CAPITAL IMPROVEMENT FUNDS CITY OF PALO ALTO ATTACHMENT A, EXHIBIT 1 CUBBERLEY PROPERTY INFRASTRUCTURE FUND (472) Capital Capital Improvement Project Adjustments This action reflects the combined impact from adjustments to projects as outlined in Attachment A, Exhibit 2. -$ 98,690$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ (98,690)$ CUBBERLEY PROPERTY INFRASTRUCTURE FUND (472) SUBTOTAL -$ -$ Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 7  Packet Pg. 88 of 637  Department Adjustment Adjustment ENTERPRISE FUNDS AIRPORT ENTERPRISE FUND (530) Capital Capital Improvement Project Adjustments This action reflects the combined impact from adjustments to projects as outlined in -$ 31,497$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ (31,497)$ AIRPORT ENTERPRISE FUND (530) SUBTOTAL -$ -$ REFUSE FUND (525) Capital Transfer to the Technology Fund for Utilities Customer Bill System Improvements (TE-10001) This action reduces the transfer of funds to support capital project TE-10001 because the project is closing. -$ (11,500)$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ 11,500$ REFUSE FUND (525) SUBTOTAL -$ -$ STORMWATER MANGEMENT FUND (528) Capital Capital Improvement Project Adjustments This action reflects the combined impact from adjustments to projects as outlined in Attachment B, Exhibit 2. -$ 153,388$ Capital Transfer to the Technology Fund for Utilities Customer Bill System Improvements (TE-10001) This action reduces the transfer of funds to support capital project TE-10001 because the project is closing. -$ (2,600)$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ (150,788)$ STORMWATER MANGEMENT FUND (528) SUBTOTAL -$ -$ CITY OF PALO ALTO ATTACHMENT A, EXHIBIT 1 Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 8  Packet Pg. 89 of 637  Department Adjustment Adjustment ENTERPRISE FUNDS CITY OF PALO ALTO ATTACHMENT A, EXHIBIT 1 UTILITIES ADMINISTRATION FUND (521) Capital Transfer to the Technology Fund for Utilities Customer Bill System Improvements (TE-10001) This action reduces the transfer of funds to support capital project TE-10001 because the project is closing. -$ (185,900)$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ 185,900$ UTILITIES ADMINISTRATION FUND (521) SUBTOTAL -$ -$ WASTEWATER COLLECTION FUND (527) Capital Capital Improvement Project Adjustments This action reflects the combined impact from adjustments to projects as outlined in Attachment B, Exhibit 2. 40,361$ 40,361$ Utilities Customer Sales Revenue/Charges from Wastewater Treatment Fund This action reflects an increase in the cost of Treatment Fund charges allocated to the Wastewater Collection Fund in FY 2024. The variance is primarily attributable to expenditures associated with the Joint Intercepting Sewer project, increased minor capital activity, and operating budget components such as staffing, indirect charges, and electricity, which contributed to higher than anticipated year-end charges. 917,300$ 917,300$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ -$ WASTEWATER COLLECTION FUND (527) SUBTOTAL 957,661$ 957,661$ WASTEWATER TREATMENT FUND (526) Capital Capital Improvement Project Adjustments This action reflects the combined impact from adjustments to projects as outlined in Attachment B, Exhibit 2. -$ 2,099,618$ Public Works Charges to the Wastewater Collection Fund This action reflects an increase in the cost of Treatment Fund charges allocated to the Wastewater Collection Fund in FY 2024. The variance is primarily attributable to expenditures associated with the Joint Intercepting Sewer project, increased minor capital activity, and operating budget components such as staffing, indirect charges, and electricity, which contributed to higher than anticipated year-end charges. 917,300$ -$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ (1,182,318)$ WASTEWATER TREATMENT FUND (526) SUBTOTAL 917,300$ 917,300$ Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 9  Packet Pg. 90 of 637  Department Adjustment Adjustment ENTERPRISE FUNDS CITY OF PALO ALTO ATTACHMENT A, EXHIBIT 1 WATER FUND (522) Capital Capital Improvement Project Adjustments This action reflects the combined impact from adjustments to projects as outlined in Attachment B, Exhibit 2. 450,004$ 450,004$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ -$ WATER FUND (522) SUBTOTAL 450,004$ 450,004$ Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 10  Packet Pg. 91 of 637  Department Adjustment Adjustment INTERNAL SERVICE FUNDS GENERAL BENEFITS FUND (687) Non- Departmental Adjust Transfer from General Benefits Fund to Retiree Healthcare Fund This technical action reduces the Implied Subsidy transfer to the Retiree Healthcare Fund to align with best Accounting practices. The funds will now reflect the full value of the Implied Subsidy from the June 30, 2023 Other Post Employment Benefits (OPEB) actuarial valuation. -$ (254,500)$ Non- Departmental Adjust Cost of Implied Subsidy This technical action reduces the Implied Subsidy expense within the General Benefits Fund to align with best Accounting practices. The fund will now reflect the full value of the Implied Subsidy from the June 30, 2023 Other Post Employment Benefits (OPEB) actuarial valuation. -$ 254,500$ Fund Balance Adjustment to Fund Balance This action increases/decreases the fund balance to offset adjustments recommended in this -$ -$ GENERAL BENEFITS FUND (687) SUBTOTAL -$ -$ RETIREE HEALTHCARE FUND (694) Non- Departmental Adjust Transfer from General Benefits Fund to Retiree Healthcare Fund This technical action reduces the Implied Subsidy transfer to the Retiree Healthcare Fund to align with best Accounting practices. The funds will now reflect the full value of the Implied Subsidy from the June 30, 2023 Other Post Employment Benefits (OPEB) actuarial valuation. (254,500)$ -$ Fund Balance Adjustment to Fund Balance This action increases/decreases the fund balance to offset adjustments recommended in this report. -$ (254,500)$ RETIREE HEALTHCARE FUND (694) SUBTOTAL (254,500)$ (254,500)$ GENERAL LIABILITIES INSURANCE FUND (689) Non- Departmental Charges to Other Funds/Liability Insurance and IBNR Adjustment This action recognizes expense impacts of FY 2025 increased incurred but not realized (IBNR) and FY 2026 liability insurance premiums and offsetting revenue from allocated charge adjustments to maintain General Liability Fund solvency. 539,900$ 539,900$ Fund Balance Adjustment to Fund Balance This action increases/decreases the fund balance to offset adjustments recommended in this -$ -$ GENERAL LIABILITIES INSURANCE FUND (689) SUBTOTAL 539,900$ 539,900$ INFORMATION TECHNOLOGY FUND (682) Capital Transfer from the Refuse Fund for Utilities Customer Bill System Improvements (TE-10001) This action reduces the transfer of funds to support capital project TE-10001 because the project is closing. (11,500)$ (11,500)$ Capital Transfer from the Stormwater Management Fund for Utilities Customer Bill System Improvements (TE-10001) This action reduces the transfer of funds to support capital project TE-10001 because the (2,600)$ (2,600)$ Capital Transfer from the Utilities Administration Fund for Utilities Customer Bill System Improvements (TE-10001) This action reduces the transfer of funds to support capital project TE-10001 because the (185,900)$ (185,900)$ CITY OF PALO ALTO ATTACHMENT A, EXHIBIT 1 Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 11  Packet Pg. 92 of 637  Department Adjustment Adjustment INTERNAL SERVICE FUNDS CITY OF PALO ALTO ATTACHMENT A, EXHIBIT 1 Fund Balance Adjustment to Fund Balance This action increases/decreases the fund balance to offset adjustments recommended in this INFORMATION TECHNOLOGY FUND (682) SUBTOTAL (200,000)$ (200,000)$ VEHICLE REPLACEMENT & MAINTENANCE FUND (681) Capital Capital Improvement Project Adjustments This action reflects the combined impact from adjustments to projects as outlined in -$ 60,507$ Public Works Transfer from Supplemental Law Enforcement Services Fund/ Police Vehicle Purchase (VR- 25000) This action transfers funds from the SLES Fund to the Vehicle fund to record the purchase of a trailer in capital project VR-25000. The purchase was made in the SLES Fund but needs to be 40,670$ 40,670$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ (60,507)$ VEHICLE REPLACEMENT & MAINTENANCE FUND (681) SUBTOTAL 40,670$ 40,670$ Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 12  Packet Pg. 93 of 637  Department Adjustment Adjustment SPECIAL REVENUE FUNDS ASSETS SEIZURE FUND (292) Police Supplies and Materials This action increases the allocation in the Assets Seizure Equity Fund due to the Department using the funds for training expenses. -$ 4,200$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ (4,200)$ ASSETS SEIZURE FUND (292) SUBTOTAL -$ -$ CALIFORNIA AVENUE PARKING FUND (237) Office of Transportation Transfer to the Capital Improvement Fund for California Avenue Parking District Parking Improvements Project (PF-25000) This action reduces the transfer of funds to support capital project PF-25000, because work was not done on this project in FY 2025. The transfer of funds for PF-25000 was reappropriated to FY 2026 in order to align funding with anticipated project expenses. -$ (100,000)$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ 100,000$ CALIFORNIA AVENUE PARKING FUND (237) SUBTOTAL -$ -$ GAS TAX FUND (231) Administrative Services Revenue from the State of California/Transfer to Capital Improvement Fund for Streets Repair Project (PE-86070) This action recognizes SB1 Gas Tax revenue from the State of California that came in higher than budgeted levels and appropriates funding to increase the transfer to the Capital Improvement Fund. SB1 funding is designated for street improvment projects, so it will be added to the Streets Maintenance capital project (PE-86070). This action also reduces HUTA Gas Tax revenue by $13,042 and Gas Tax interest income by $7,251 because those sources came in lower than budgeted. 118,933$ 139,226$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ (20,293)$ GAS TAX FUND (231) SUBTOTAL 118,933$ 118,933$ HAMILTON AVENUE-PUBLIC BENFIT FUND (235) Planning and Development Services Investment Income/Grants & Subsidies This action recognizes higher unit resale revenue and increases the appropriation for Grants and Subsidies to Avenidas within the fund to align budget levels with actual expenditures in FY 2025. 34,300$ 34,300$ HAMILTON AVENUE-PUBLIC BENFIT FUND (235) SUBTOTAL 34,300$ 34,300$ CITY OF PALO ALTO ATTACHMENT A, EXHIBIT 1 Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 13  Packet Pg. 94 of 637  Department Adjustment Adjustment SPECIAL REVENUE FUNDS CITY OF PALO ALTO ATTACHMENT A, EXHIBIT 1 PARKLAND DEDICATION FUND (209) Community Services Transfer to the Capital Improvement Fund for Byxbee Park Completion Project (PG-18006) This action reduces the transfer of funds to support capital project PG-18006, because work to FY 2027 in order to align funding with anticipated project expenses. -$ (450,000)$ Community Services Transfer to the Capital Improvement Fund for Rinconada Pool Family Changing Room Project (PE-24004) This action reduces the transfer of funds to support capital project PE-24004, because work was not done on this project in FY 2025. The transfer of funds for PE-24004 was reappropriated to FY 2026 in order to align funding with anticipated project expenses. -$ (371,165)$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ 821,165$ PARKLAND DEDICATION FUND (209) SUBTOTAL -$ -$ PARKS IMPACT FEE FUND (210) Community Services Transfer to the Capital Improvement Fund for Park Restroom Installation Project (PG-19000) This action reduces the transfer of funds to support capital project PG-19000, because work to FY 2026 in order to align funding with anticipated project expenses. -$ (353,770)$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ 353,770$ PARKS IMPACT FEE FUND (210) SUBTOTAL -$ -$ PUBLIC ART FUND (207) Community Services Salaries and Benefits This action increases appropriation for salaries and benefits to offset a minor overage. -$ 3,800$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ (3,800)$ PUBLIC ART FUND (207) SUBTOTAL -$ -$ STANFORD UNIVERSITY MEDICAL CENTER FUND (260) Planning and Development Services Transfer from Stanford University Medical Center (SUMC) Fund/Psychiatric Emergency Response Team (PERT) Program This action reduces the transfer of funds related to the Council-authorized contract with the Santa Clara County Behavioral Health (Staff Report 2305-1410) and recognized in the FY 2025 Adopted Budget for a mental health clinician to support the PERT Program. The funds were unspent due to the inability to source and supply a clinician, so the funds will be returned to the SUMC Fund and recommended to be used in the future to support the PERT Program when -$ (366,000)$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ 366,000$ STANFORD UNIVERSITY MEDICAL CENTER FUND (260) SUBTOTAL -$ -$ Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 14  Packet Pg. 95 of 637  Department Adjustment Adjustment SPECIAL REVENUE FUNDS CITY OF PALO ALTO ATTACHMENT A, EXHIBIT 1 SUPPLEMENTAL LAW ENFORCEMENT SERVICES (SLES) FUND (248) Police Transfer to the Vehicle Replacement and Maintenance Fund for Vehicle Purchase (VR-25000) This action transfers funds from the SLES Fund to the Vehicle fund to record the purchase of a trailer in capital project VR-25000. The purchase was made in the SLES Fund but needs to be recorded in the Vehicle Fund in order to be recognized as an asset. The action nets to zero in the SLES Fund because it moves $40,670 from one expenditure account (allocated charges) to another expenditure account (transfers out). -$ -$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ -$ SUPPLEMENTAL LAW ENFORCEMENT SERVICES (SLES) FUND (248) SUBTOTAL -$ -$ UNIVERSITY AVENUE IN-LIEU PARKING FUND (247) Planning and Development Services Transfer to the Capital Improvement Fund for Downtown Parking Garage Project (PE-15007) This action reduces the transfer of funds to support capital project PE-15007, because work was not done on this project in FY 2025. The transfer of funds for PE-15007 was reappropriated to FY 2065 in order to align funding with anticipated project expenses. -$ (13,106,958)$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ 13,106,958$ UNIVERSITY AVENUE IN-LIEU PARKING FUND (247) SUBTOTAL -$ -$ Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 15  Packet Pg. 96 of 637  Revenues Expenses Department Adjustment Adjustment DEBT SERVICE & AGENCY TRUST FUNDS EYERLY TRUST FUND (774) Administrative Services Investment Income/General Expenses This action recognizes higher investment returns and increases the appropriation for General Expenses within the fund for interest income distribution to designated recipients to align budget levels with actual expenditures in FY 2025. 2,700$ 8,700$ Fund Balance Adjustment to Fund Balance This action adjusts the fund balance to offset adjustments recommended in this report. -$ (6,000)$ EYERLY TRUST FUND (774) SUBTOTAL 2,700$ 2,700$ CITY OF PALO ALTO ATTACHMENT A, EXHIBIT 1 Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 16  Packet Pg. 97 of 637  Project Number AS-10000 across capital projects based on actual expenditures. PE-12011 Bridge Replacement across capital projects based on actual expenditures. PF-16006 Mechanical, and Electrical Improvements across capital projects based on actual expenditures. PL-24000 Grade Separation and Safety across capital projects based on actual expenditures. PE-24005 across capital projects based on actual expenditures. PL-16000 Center Access across capital projects based on actual expenditures. PL-24001 and Safety Improvements across capital projects based on actual expenditures. PE-15007 across capital projects based on actual expenditures. PG-26000 Fields Turf Replacement across capital projects based on actual PE-19002 across capital projects based on actual PE-24002 Mechanical Equipment Replacement across capital projects based on actual expenditures. PL-17001 Improvements across capital projects based on actual expenditures. PE-24004 across capital projects based on actual expenditures. PF-93009 Compliance across capital projects based on actual expenditures. PG-18000 Replacement across capital projects based on actual expenditures. PL-05030 Transportation Systems across capital projects based on actual expenditures. PF-00006 across capital projects based on actual expenditures. AC-18001 across capital projects based on actual ATTACHMENT A, EXHIBIT 2 CITY OF PALO ALTO RECOMMENDED AMENDMENTS TO THE CITY MANAGER'S FY 2025 CAPITAL IMPROVEMENT PROGRAM CAPITAL IMPROVEMENT FUND Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 17  Packet Pg. 98 of 637  Project ATTACHMENT A, EXHIBIT 2 CITY OF PALO ALTO RECOMMENDED AMENDMENTS TO THE CITY MANAGER'S FY 2025 CAPITAL IMPROVEMENT PROGRAM PL-25001 Traffic Intersection Accessibility Improvement Project across capital projects based on actual expenditures. PL-25002 Crossing Safety Improvements across capital projects based on actual expenditures. PE-15020 Repairs across capital projects based on actual expenditures. PE-17010 Charger Installation across capital projects based on actual expenditures. PD-25000 across capital projects based on actual expenditures. PE-19000 across capital projects based on actual expenditures. OS-09001 across capital projects based on actual expenditures. PE-13014 across capital projects based on actual PG-06001 across capital projects based on actual AC-24001 Curtain across capital projects based on actual expenditures. PD-20000 Replacement across capital projects based on actual expenditures. PO-05054 across capital projects based on actual expenditures. PE-21000 across capital projects based on actual expenditures. PE-22000 Authority Ongoing Creek Projects across capital projects based on actual expenditures. PL-15003 across capital projects based on actual expenditures. PE-09003 across capital projects based on actual expenditures. OS-24001 across capital projects based on actual expenditures. PL-12000 across capital projects based on actual PE-17004 across capital projects based on actual expenditures. Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 18  Packet Pg. 99 of 637  Project ATTACHMENT A, EXHIBIT 2 CITY OF PALO ALTO RECOMMENDED AMENDMENTS TO THE CITY MANAGER'S FY 2025 CAPITAL IMPROVEMENT PROGRAM OS-24000 Baylands Nature Preserve Entrance Gate $ (11,298) Adjustment to allocate Salaries and Benefits across capital projects based on actual expenditures. PL-14000 across capital projects based on actual expenditures. FD-25000 across capital projects based on actual expenditures. PL-00026 across capital projects based on actual expenditures. PF-25000 Improvements across capital projects based on actual expenditures. PF-23000 across capital projects based on actual expenditures. AC-28002 across capital projects based on actual expenditures. PE-24003 and House Lighting System Replacement across capital projects based on actual expenditures. AC-28003 across capital projects based on actual expenditures. PE-24006 across capital projects based on actual expenditures. PO-11000 across capital projects based on actual OS-00002 across capital projects based on actual PG-17000 Plan across capital projects based on actual expenditures. OS-18000 Dock Replacement across capital projects based on actual expenditures. PG-25002 across capital projects based on actual expenditures. PG-21000 across capital projects based on actual expenditures. FD-24000 across capital projects based on actual expenditures. PE-19001 across capital projects based on actual expenditures. PE-20002 across capital projects based on actual expenditures. Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 19  Packet Pg. 100 of 637  Project ATTACHMENT A, EXHIBIT 2 CITY OF PALO ALTO RECOMMENDED AMENDMENTS TO THE CITY MANAGER'S FY 2025 CAPITAL IMPROVEMENT PROGRAM PL-16002 Parking Management and System Implementation across capital projects based on actual expenditures. PG-18001 across capital projects based on actual expenditures. PE-20001 across capital projects based on actual expenditures. PG-14002 across capital projects based on actual expenditures. PE-15003 across capital projects based on actual expenditures. PE-24000 across capital projects based on actual expenditures. PF-14003 across capital projects based on actual expenditures. PE-20000 Investigation and Repairs across capital projects based on actual PL-04010 Plan Implementation across capital projects based on actual PL-23000 across capital projects based on actual expenditures. PE-18000 Garage across capital projects based on actual expenditures. PE-24001 across capital projects based on actual expenditures. PE-18015 across capital projects based on actual expenditures. OS-00001 across capital projects based on actual expenditures. PE-21004 across capital projects based on actual expenditures. LB-21000 across capital projects based on actual expenditures. PG-14000 across capital projects based on actual expenditures. PF-01003 across capital projects based on actual PG-19000 across capital projects based on actual expenditures. Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 20  Packet Pg. 101 of 637  Project ATTACHMENT A, EXHIBIT 2 CITY OF PALO ALTO RECOMMENDED AMENDMENTS TO THE CITY MANAGER'S FY 2025 CAPITAL IMPROVEMENT PROGRAM AC-18000 Performing Arts Venues Seat Replacement $ 74,393 Adjustment to allocate Salaries and Benefits across capital projects based on actual expenditures. PF-02022 across capital projects based on actual expenditures. PO-12001 across capital projects based on actual expenditures. PF-23001 across capital projects based on actual expenditures. PE-18016 across capital projects based on actual expenditures. PE-08001 across capital projects based on actual expenditures. PG-09002 across capital projects based on actual expenditures. PG-06003 Landscaping, and Site Amenities across capital projects based on actual expenditures. PE-18004 across capital projects based on actual expenditures. PL-20000 Crossing Safety Improvements across capital projects based on actual expenditures. PL-15002 Systems, Access Controls & Revenue across capital projects based on actual expenditures. PE-17005 across capital projects based on actual expenditures. PE-13011 across capital projects based on actual expenditures. PO-89003 across capital projects based on actual expenditures. PE-86070 across capital projects based on actual expenditures. PE-15001 across capital projects based on actual expenditures. Total $- $0 Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 21  Packet Pg. 102 of 637  Project ATTACHMENT A, EXHIBIT 2 CITY OF PALO ALTO RECOMMENDED AMENDMENTS TO THE CITY MANAGER'S FY 2025 CAPITAL IMPROVEMENT PROGRAM CB-17002 Total $- $ 98,690 AP-21000 anticipated expenditures. Total $- $ 31,497 GS-80017 Total $ 11,239 $ 11,239 SD-19000 anticipated expenditures. SD-25000 Total $- $ 153,388 CUBBERLEY PROPERTY INFRASTRUCTURE FUND AIRPORT FUND GAS FUND STORMWATER MANAGEMENT FUND Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 22  Packet Pg. 103 of 637  Project ATTACHMENT A, EXHIBIT 2 CITY OF PALO ALTO RECOMMENDED AMENDMENTS TO THE CITY MANAGER'S FY 2025 CAPITAL IMPROVEMENT PROGRAM VR-22000 Total $- $ 60,507 anticipated expenditures offset by revenue. Total $ 40,361 $ 40,361 anticipated expenditures. Total $- $ 2,099,618 Total $ 450,004 $ 450,004 TOTAL CIP ADJUSTMENTS $ 501,604 $ 2,913,807 WASTEWATER TREATMENT FUND WATER FUND VEHICLE FUND WASTEWATER COLLECTION FUND Item 13 Attachment A - FY 2025 Budget Amendments, Exhibit 1 and 2        Item 13: Staff Report Pg. 23  Packet Pg. 104 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Fire Meeting Date: December 15, 2025 Report #:2509-5200 TITLE Approval for the City Manager or Designee to Execute Purchase Order with Zoll Medical Corporation, utilizing a Sourcewell Cooperative Contract to Procure Replacement Pre-hospital Monitors/Defibrillators and ancillary equipment for Emergency Responses for a Total Not-To- Exceed amount of $1,129,138. CEQA Status – Not a Project. RECOMMENDATION Staff recommends that City Council authorize the City Manager or their designee to execute a purchase order with Zoll Medical Corporation, utilizing the cooperative purchasing agreement through Sourcewell Solicitation #41823-ZLL to procure fifteen (15) Zenix Monitor/Defibrillator, EMS, Fire Configuration units for the Fire Department for a total not to exceed amount of $1,129,138 in one-time costs for an expected equipment lifetime of 7-10 years. BACKGROUND The Fire Department currently operates twenty (20) LifePak 15 cardiac monitor/defibrillators purchased in 2020. By the time the new monitors are implemented, those units will have provided six years of service and are approaching the end of manufacturer support, with limited availability of replacement parts and software updates. Advancements in cardiac monitoring technology now provide enhanced patient care capabilities and improved integration with electronic patient care reports (ePCR), warranting replacement to maintain reliable operations and clinical effectiveness. ANALYSIS Cardiac monitor/defibrillators are critical to EMS operations, enabling: 12lead ECG acquisition and transmission to support early STEMI recognition and hospital notification. Defibrillation, synchronized cardioversion, and external pacing for time-sensitive cardiac events. Item 14 Item 14 Staff Report        Item 14: Staff Report Pg. 1  Packet Pg. 105 of 637  Advanced monitoring functions including end-tidal CO₂, SpO₂, noninvasive blood pressure (NIBP), invasive blood pressure (IBP), real-time CPR feedback, and ventilation support. Data connectivity with receiving hospitals and ePCR systems to improve continuity of care and post-incident quality improvement. Following evaluation of available options, vendor demonstrations, and field personnel feedback, staff recommends the Zenix Monitor/Defibrillator, EMS, Fire Configuration. Key improvements include enhanced screen visibility and durability; wireless 12lead transmission with updated algorithms and trending; real-time CPR and ventilation feedback; extended battery life and reliability in high-call environments; and software upgrade capacity to support future capabilities and enhanced post-case analysis. Procurement Process Palo Alto Municipal Code section 2.30.360 (j) allows the use of cooperative purchasing agreements in lieu of conducting a separate competitive solicitation, provided the services were solicited using methods substantially similar to the City’s requirements, and the contract is consistent with the City’s municipal code requirements. Sourcewell, a cooperative purchasing agency serving governmental, higher education, K-12 education, not-for-profit, tribal government, and other public agencies, conducted a Request for Proposal (RFP). Sourcewell RFP # 41823 procurement for Critical Care and EMS Equipment is on the Sourcewell Procurement Portal on February 28, 2023, with ZOLL Medical Corporation being awarded the contract on June 2, 2023. The City requested a quote (Attachment A) from ZOLL Medical Corporation to complete procurement via cooperative purchasing through Sourcewell Solicitation #041823 (see Attachment B, Sourcewell ZOLL Contract 041823-ZLL), consistent with City procurement practices. This approach streamlines acquisition, leverages competitively awarded pricing, and supports timely deployment. FISCAL/RESOURCE IMPACT Attachment A provides the ZOLL Medical quote reflecting Sourcewell cooperative agreement pricing. The quote includes a trade-in of fifteen (15) existing LifePak 15 monitors for a total value of $90,000. The quote expires on 12/31/2025. Staff recommends Council approval and processing of the purchase order prior to the expiration date to retain quoted pricing and trade-in value. Implementation is planned for calendar year (CY) 2026, Quarter 2, including delivery, configuration, training, and go-live across frontline apparatus. Warranty and service coverage are included as set forth in the contract’s warranty provisions (Attachment B, pgs. 18- 21). Ongoing maintenance costs are expected to remain consistent with current expenditures. Funds for this purchase are available in the Fire Equipment Replacement project (FD-25000) in the FY 2026 Adjusted Capital Budget. Item 14 Item 14 Staff Report        Item 14: Staff Report Pg. 2  Packet Pg. 106 of 637  STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 14 Item 14 Staff Report        Item 14: Staff Report Pg. 3  Packet Pg. 107 of 637  Quote No: Q-124410 Version: 1 Page 1 of 5 ZOLL Medical Corporation 269 Mill Road Chelmsford, MA 01824-4105 Federal ID# 04-2711626 Phone: (800) 348-9011 Fax: (978) 421-0015 Email: esales@zoll.com Palo Alto Fire Department 250 Hamilton Ave Palo Alto, CA 94301 ZOLL Customer No: 105665 Jim Duren 6503292184 james.duren@cityofpaloalto.org Quote No: Q-124410 Version: 1 Issued Date: October 30, 2025 Expiration Date: December 31, 2025 Terms: Net due in 30 days FOB: Destination Freight: Free Freight Prepared by: Jess Bustamante EMS Territory Manager jess.bustamante@zoll.com Item Contract Reference Part Number Description Qty List Price Adj. Price Total Price 1 CH-19879 8116-11-41-23101-10- USA Zenix Monitor/Defibrillator, EMS, Fire Configuration 12-lead, Pacing, SpO2, SpCO, EtCO2, NIBP, Real BVM Help, Real CPR Help <br>Includes: SurePower 4 Battery, Zenix Power Cord (NA), Zenix MFC Cable, Zenix 12-lead ECG Cable (AAMI), Masimo RD Rainbow SET Patient Cable (4 ft, EMS), Zenix AC-DC External Power Supply, Zenix Accuvent Z-Link Cable, Zenix NIBP Patient Hose, Zenix NIBP Cuff (Reusable, Adult Plus), Zenix Z-Fold Paper, Zenix MFC Self Test Plug Kit, and One (1)-year EMS warranty. Parameter Details: Real CPR Help - Dashboard display of CPR Depth and Rate for Adult and Pediatric patients, Visual and audio prompts to coach CPR depth (Adult patient only), Release bar to ensure adequate release off the chest, Metronome to coach rate for Adult and Pediatric patients. See-Thru ® CPR artifact filtering • ZOLL Noninvasive Pacing Technology • Real BVM Help: Dashboard provides real-time ventilation feedback on both volume and rate for intubated and non-intubated patients. AccuVent Z-Link Cable included. (Accuvent disposable sensors sold separately) • SunTech NIBP technology. 10 foot single lumen hose and SunTech Reusable Adult Plus Cuff included • Masimo SpO2 & SpCO with Signal Extraction Technology (SET), Rainbow SET® • 15 $65,250.00 $53,450.00 $801,750.00 2 CH-19879 8016-000111-01 SurePower 4 Battery 30 $1,180.00 $1,040.00 $31,200.00 3 CH-19879 8016-001000 SurePower 4 Charger Adapter 40 $450.00 $395.00 $15,800.00 Item 14 Attachment A - Sourcewell Quote (include trade-in and pricing; expiration 12312025)        Item 14: Staff Report Pg. 4  Packet Pg. 108 of 637  Palo Alto Fire Department Quote No: Q-124410 Version: 1 Page 2 of 5 ZOLL Medical Corporation 269 Mill Road Chelmsford, MA 01824-4105 Federal ID# 04-2711626 Phone: (800) 348-9011 Fax: (978) 421-0015 Email: esales@zoll.com Item Contract Reference Part Number Description Qty List Price Adj. Price Total Price 4 CH-19879 8050-0030-01 SurePower Charging Station 4 Charging bays, Multiple chemistry compatible, 200 watt capacity, Graphic driven user interface, RS-232 Communication port, Standard one (1) year warranty 10 $3,131.00 $2,385.38 $23,853.80 5 CH-19879 98-0599-4C Zenix NIBP Cuff, Large Adult Plus 15 $30.00 $26.50 $397.50 6 CH-19879 98-0599-4K Zenix NIBP Cuff, Small Adult Plus 15 $30.00 $26.50 $397.50 7 CH-19879 98-0599-41 Zenix NIBP Cuff, Child 15 $20.00 $17.65 $264.75 8 CH-19879 8000-000862 Masimo LNCS-II Rainbow DCI 8λ SpCO Adult Sensor, 3ft 15 $900.00 $885.60 $13,284.00 9 CH-19879 8016-000860-01 Zenix Carry Case, Large 15 $490.00 $430.00 $6,450.00 10 CH-19879 8900-000398-01 Zenix CPR AA Training Kit 5 $320.00 $288.00 $1,440.00 11 CH-19879 8000-001128 AccuVent Sensors, Box of 10 10 $821.00 $624.84 $6,248.40 12 CH-19879 8000-000878-01 Zenix Fan Folder Paper, Grid, Box of 10 100 $49.00 $43.00 $4,300.00 13 8400-110045 CaseReview Premium Subscription, X Series / Zenix, 5 Year- Hosted Provides detailed post-case information, including CPR quality on compression depth, rate, pause time and release velocity, as well as ECG, shocks, EtCO2 and SpO2 vital signs. 15 $2,616.00 $2,616.00 $39,240.00 14 8778-890055-WF-ZNX Zenix Worry-Free Service Plan - 5 Years - On-Site - At Time of Sale Includes: Annual preventive maintenance, battery charger repairs per ZOLL Limited Product Warranty, SurePower 4 Battery replacement upon verified failure, accidental damage coverage, on-site service, and pod replacement upon verified failure. Shipping and use of a Service Loaner upon request, during device service, no charge shipping. Service Plan is a continuation of ZOLL Limited Product Warranty. Battery replacement and accidental damage guidelines can be found in the ExpertCare Service Plan Terms and Conditions on the ZOLL website. 15 $12,190.00 $10,971.00 $164,565.00 15 CH-19879 8012-0206 12-lead ECG Simulator 5 $1,468.00 $1,117.66 $5,588.30 16 8900-000396-01 Zenix CPR AP Training Kit 5 $380.00 $342.00 $1,710.00 Item 14 Attachment A - Sourcewell Quote (include trade-in and pricing; expiration 12312025)        Item 14: Staff Report Pg. 5  Packet Pg. 109 of 637  Palo Alto Fire Department Quote No: Q-124410 Version: 1 Page 3 of 5 ZOLL Medical Corporation 269 Mill Road Chelmsford, MA 01824-4105 Federal ID# 04-2711626 Phone: (800) 348-9011 Fax: (978) 421-0015 Email: esales@zoll.com Item Contract Reference Part Number Description Qty List Price Adj. Price Total Price 17 7800-0414-61 LP 15 12-Lead Version 4 Trade In Allowance See Trade Unit Considerations. 15 ($6,000.00)($90,000.00) Subtotal:$1,026,489.25 Total:$1,026,489.25 Contract Reference Description CH-19879 Reflects Sourcewell 2023 041823-ZLL Contract Pricing. Notwithstanding anything to the contrary herein, the terms and conditions set forth in Sourcewell 2023 041823-ZLL shall apply to the customer's purchase of the products set forth on this quote. Trade Unit Considerations Trade-In values valid through December 31, 2025 if all equipment purchased is in good operational and cosmetic condition and includes all standard accessories. Trade-In values are dependent on the quantity and configuration of the ZOLL devices listed on this quotation. Customer assumes responsibility for shipping trade-in equipment at the quantities listed on the trade line items in this quotation to ZOLL's Chelmsford Headquarters within 60 days of receipt of new equipment. Customer agrees to pay cash value for trade-in equipment not shipped to ZOLL on a timely basis. To the extent that ZOLL and Customer, or Customer’s Representative have negotiated and executed overriding terms and conditions (“Overriding T’s & C’s”), those terms and conditions would apply to this quotation. In all other cases, this quote is made subject to ZOLL’s Standard Commercial Terms and Conditions (“ZOLL T’s & C’s”) which for capital equipment, accessories and consumables can be found at https://www.zoll.com/terms-and-conditions-of-sale, for software products can be found at https://www.zoll.com/software-legal, and for ExpertCare Service Plans can be found at https://www.zoll.com/ExpertCare-Service-Terms. Except in the case of overriding T’s and C’s, any Purchase Order (“PO”) issued in response to this quotation will be deemed to incorporate ZOLL T’s & C’s, and any other terms and conditions presented shall have no force or effect except to the extent agreed in writing by ZOLL. 1. Delivery will be made upon availability. 2. This Quote expires on December 31, 2025. Pricing is subject to change after this date. 3. Applicable tax, shipping & handling will be added at the time of invoicing. 4. All purchase orders are subject to credit approval before being accepted by ZOLL. 5. To place an order, please forward the purchase order with a copy of this quotation to esales@zoll.com or via fax to 978-421-0015. 6. All discounts from list price are contingent upon payment within the agreed upon terms. 7. Place your future accessory orders online by visiting the ZOLL web store. Item 14 Attachment A - Sourcewell Quote (include trade-in and pricing; expiration 12312025)        Item 14: Staff Report Pg. 6  Packet Pg. 110 of 637  Palo Alto Fire Department Quote No: Q-124410 Version: 1 Page 4 of 5 ZOLL Medical Corporation 269 Mill Road Chelmsford, MA 01824-4105 Federal ID# 04-2711626 Phone: (800) 348-9011 Fax: (978) 421-0015 Email: esales@zoll.com Order Information (to be completed by the customer) [ ]Tax Exempt Entity (Tax Exempt Certificate must be provided to ZOLL) [ ]Taxable Entity (Applicable tax will be applied at time of invoice) BILL TO ADDRESS SHIP TO ADDRESS Name/Department:Name/Department: Address:Address: City / State / Zip Code:City / State / Zip Code: Is a Purchase Order (PO) required for the purchase and/or payment of the products listed on this quotation? [ ]Yes PO Number: ____________PO Amount: ____________ (A copy of the Purchase Order must be included with this Quote when returned to ZOLL) [ ]No (Please complete the below section when submitting this order) For organizations that do not require a PO, ZOLL requires written execution of this order. The person signing below represents and warrants that she or he has the authority to bind the party for which he or she is signing to the terms and prices in this quotation. Palo Alto Fire Department Authorized Signature: _1\ \s1\ Name:\n1\ Title:\t1\ Date:\d1\ Item 14 Attachment A - Sourcewell Quote (include trade-in and pricing; expiration 12312025)        Item 14: Staff Report Pg. 7  Packet Pg. 111 of 637  ALS/BLS Software Solutions Master Software, SaaS and Services Agreement and Addenda Acknowledgement Form The terms and conditions applicable to ZOLL Medical Corporation’s Software Solutions products can be found at https://www.zoll.com/en/about-zoll/legal. By signing below, the Customer acknowledges and agrees to those terms and conditions. The person signing below represents and warrants that she or he has the authority to bind the Customer to those terms and conditions. Customer Signature: _________________________________________________ Name: ___________________________________________ Title: ____________________________________________ Company: _________________________________________ Company Address: ___________________________________ Date: ____________________________________________ Palo Alto Fire Department Quote No: Q-124410 Version: 1 Item 14 Attachment A - Sourcewell Quote (include trade-in and pricing; expiration 12312025)        Item 14: Staff Report Pg. 8  Packet Pg. 112 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 9  Packet Pg. 113 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 10  Packet Pg. 114 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 11  Packet Pg. 115 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 12  Packet Pg. 116 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 13  Packet Pg. 117 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 14  Packet Pg. 118 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 15  Packet Pg. 119 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 16  Packet Pg. 120 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 17  Packet Pg. 121 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 18  Packet Pg. 122 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 19  Packet Pg. 123 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 20  Packet Pg. 124 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 21  Packet Pg. 125 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 22  Packet Pg. 126 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 23  Packet Pg. 127 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 24  Packet Pg. 128 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 25  Packet Pg. 129 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 26  Packet Pg. 130 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 27  Packet Pg. 131 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 28  Packet Pg. 132 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 29  Packet Pg. 133 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 30  Packet Pg. 134 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 31  Packet Pg. 135 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 32  Packet Pg. 136 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 33  Packet Pg. 137 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 34  Packet Pg. 138 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 35  Packet Pg. 139 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 36  Packet Pg. 140 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 37  Packet Pg. 141 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 38  Packet Pg. 142 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 39  Packet Pg. 143 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 40  Packet Pg. 144 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 41  Packet Pg. 145 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 42  Packet Pg. 146 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 43  Packet Pg. 147 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 44  Packet Pg. 148 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 45  Packet Pg. 149 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 46  Packet Pg. 150 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 47  Packet Pg. 151 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 48  Packet Pg. 152 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 49  Packet Pg. 153 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 50  Packet Pg. 154 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 51  Packet Pg. 155 of 637  Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 52  Packet Pg. 156 of 637  Sourcewell Contract # 041823-ZLL | Amendment #1 Page 1 of 1 AMENDMENT #1 TO CONTRACT # 041823-ZLL THIS AMENDMENT is effective upon the date of the last signature below by and between Sourcewell and ZOLL Medical Corporation (Supplier). Sourcewell awarded a contract to Supplier to provide Critical Care and EMS Equipment to Sourcewell and its Participating Entities, effective October 26, 2023, through June 30, 2027 (Contract). The parties wish to amend the Proposal to ensure compliance with Sourcewell’s Procurement Policy and standard government procurement practices. NOW, THEREFORE, the parties amend the Contract as follows: 1. Line item 7 of “Table 1: Proposer Identity & Authorized Representative” of the Proposal is deleted in its entirety and replaced with the following: Roger Perez, Vice President/General Manager, Public Safety Email: rperez@zoll.com Kurt Sandstrom, Vice President/General Manager, EMS Email: ksandstrom@zoll.com 2. Line item 8 of “Table 1: Proposer Identity & Authorized Representative” of the Proposal is deleted in its entirety and replaced with the following: Ann Asselin, Manager, GPO and State Contracts Email: ann.asselin@zoll.com or gpoandstatecontracts@zoll.com ph: +1 978-421-9285 Except as amended by this Amendment, the Contract remains in full force and effect. Sourcewell ZOLL Medical Corporation By: By: Jeremy Schwartz Roger Perez Chief Operating & Procurement Officer VP/General Manager, Public Safety Date: Date:            Item 14 Attachment B - Sourcewell ZOLL Contract 041823 Solicitation #41823ZLL        Item 14: Staff Report Pg. 53  Packet Pg. 157 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Public Works Meeting Date: December 15, 2025 Report #:2508-5130 TITLE Approval of Professional Services Agreement No. C26193655 with Canopy to Support the City of Palo Alto's Urban Forestry Programs for a Term of Three Years and a Not-To-Exceed Amount of $1,236,366, and Approval of a Budget Amendment in the General Fund; CEQA Status - Not a Project RECOMMENDATION Staff recommends that the City Council: 1. Approve and authorize the City Manager or their designee to execute Professional Services Agreement No. C26193655 with Canopy to support Palo Alto's Urban Forestry programs and assist with the implementation of the Urban Forest Master Plan for a term of three years and a not-to-exceed amount of $1,236,366; and 2. Amend the Fiscal Year 2026 Budget Appropriation for the General Fund (requires a 2/3 vote) by: a. Increasing the Public Works Department Public Services Division Operating Expenditure Budget by $150,000; and b. Increasing the Public Works Department Public Services Division Operating Revenue Budget by $150,000 (use of funds in the Tree Preservation Non- Refundable Deposits Account). EXECUTIVE SUMMARY Palo Alto’s Urban Forest is an essential economic, community, environmental, and ecological asset for the City. Since the early 2000s, the City has contracted with the non-profit organization Canopy to assist in the protection, creation, restoration, and enhancement of this forest. The recent City Council-approved contract with Canopy expired on June 30, 2025. Item 15 Item 15 Staff Report        Item 15: Staff Report Pg. 1  Packet Pg. 158 of 637  On April 2, 2025, a Request for Proposals for Urban and Community Forestry Services (RFP193655)1 was released. One responsive proposal was received from Canopy before the RFP deadline. Canopy’s proposal was reviewed, accepted, and a draft contract was created and has been partially executed. BACKGROUND Canopy was created in 1996 to support Palo Alto’s Urban Forestry Section and engage residents through its tree and tree care education activities. Since becoming an independent 501(c)(3) non-profit corporation in 2002, Canopy has greatly expanded its programs of tree planning and planting, stewardship, hands-on learning, and environmental education. Since the early 2000s, the City has contracted with Canopy, with a primary focus on assisting the City with projects and outreach to support and expand a healthy and sustainable urban forest. In 2020, City Council approved a one-year, sole source contract2 with Canopy to support Palo Alto’s urban forestry programs by serving as a comprehensive information source on trees, educating and motivating Palo Alto residents to plant, care for, and celebrate trees, and assisting the City with special projects associated with the Urban Forest Master Plan (UFMP). In 2021, the contract’s term expiration was extended via Amendment No. 13 to June 7, 2022. In 2022, City Council approved Amendment No. 24, extending the contract term to June 30, 2024, as well as adding additional projects to the scope of services. At the end of the Amendment No. 2 term, staff had anticipated conducting a solicitation to obtain proposals for the next contract for these services as recommended by the best practices included in the 2022 Baker Tilly Non-Profit Audit.5 However, new data became available in early 2024 that required further analysis and possible updates to the long-term planning for the City’s Urban Forestry program. Specifically, the City obtained updated urban tree canopy coverage numbers for 2020 and 2022 and learned of the presence of Invasive Shothole Borers (ISHB) in the City of San Jose. A review of the tree canopy 1 RFP#193655 for Urban and Community Forestry Services, https://www.paloalto.gov/files/assets/public/v/1/public-works/public- services/contracts/urban_and_community_forestry_services-2025-11-13-22-56-29.pdf 2 City Council, December 7, 2020; Agenda Item #5; SR#10882, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=36424 3 Canopy Contract C21180324, Amendment 1, https://www.cityofpaloalto.org/files/assets/public/v/1/public- works/tree-section/new-folder/contracts/c21180324-canopy_amendment-1_fully-executed.pdf 4 City Council, June 21, 2022; Agenda Item #1; SR#14389, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=81918 5 Policy and Services Committee, June 14, 2022; Agenda Item #1; SR#13910 https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=52057 Item 15 Item 15 Staff Report        Item 15: Staff Report Pg. 2  Packet Pg. 159 of 637  data showed a decrease in canopy coverage in every Palo Alto neighborhood between 2020 and 2022. ISHB has yet to be found outside of San Jose, but staff is participating in regional meetings and coordinated response planning sessions regarding ISHB. Staff has also begun preparations to deal with ISHB when it arrives within the city limits of Palo Alto. Initial analysis of both areas of concern was used to help inform the types of programs and services that are included in the scope of services for this new contract. In 2024, City Council approved Amendment No. 311, adding to the scope of services and extending the contract term through June 30, 2025. ANALYSIS Canopy is well-established with the residents of Palo Alto and has the expertise, experience, professional stature, and key personnel to provide the City with urban and community forestry services. Canopy is highly qualified as a non-profit organization to connect projects and programs with cooperating agencies and organizations to leverage funding and increase the effectiveness of projects and outreach. Canopy’s combination of deep arboricultural background, robust educational framework, and strong local volunteer base make it uniquely qualified to provide these services to the City. Procurement Details On April 2, 2025, a Request for Proposals for Urban and Community Forestry Services (RFP193655) was released. The RFP was open for a total of 21 days, closing on April 25, 2025. More than 3,500 vendors and portal users were notified of the RFP, approximately 20 vendors downloaded or followed the RFP, and the RFP was viewed 409 times. One responsive proposal was received from Canopy before the RFP deadline. Canopy’s proposal was reviewed and evaluated by a panel of three Public Works Public Services staff. Canopy was chosen as the vendor for this contract (Attachment A) based on past performance when working with the city and the firm’s unique combination of arboricultural background, educational framework, and existing volunteer base. Contract Comparison The scope of work presented in the RFP as well as the solutions included in Canopy’s proposal are organized differently than previous contracts for Urban and Community Forestry Servies. These changes serve to better align the contract with the current goals of the Urban Forestry Program. Services to be provided by Canopy have been divided into four categories. These categories and some of the major tasks are: Community Education, Outreach, and Advocacy 11 City Council, June 18, 2024; Agenda Item #3; SR#2403- https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=82935https://portal.laserfiche.com/Portal/DocView.aspx?id=73858&repo=r-704298fc&searchid=ec11fb42-95af- 49ab-883d-d2da53d586bc Item 15 Item 15 Staff Report        Item 15: Staff Report Pg. 3  Packet Pg. 160 of 637  o Arbor Day Events, Community Tree Walks, Website and Communication, Mayor’s Tree Planting Tree Planting o Organize Volunteers to Plant Trees, Replace Trees (if needed), Community Planting Events, Canopy Disparity Strategy Tree Assessment and Tree Care o Young Tree Care Survey, Digital Tree Health Survey Urban Forestry Program Assistance o UFMP Goal D.i: Maintain and Manage Open Data Portal o UFMP Goal D.ii: Administer Utilities funded Right Tree, Right Place Program The previous four contracts with Canopy were completed without undergoing the formal RFP process as it was determined there was no other source available to provide the services included in the contract scope. The new contract’s scope of work format allows for improved tracking of individual deliverables and aligns contract costs with the scope for improved contract management. The overall cost of the first year of the new contract increased by 6.2% over the final year of the previous contract. Some of the increase can be attributed to standard annual 3% cost escalation (as is shown in Table 2 in the “Fiscal/Resource Impact” section). New contract scope of work components such as specific line items for certain tasks have contributed to a portion of the remaining 3.2% increase. An example would be “Maintain and Manage Open Data Portal”. This was an UFMP goal that has ongoing maintenance costs that were not accounted for in the previous contracts. Canopy also provided an updated “Schedule of Rates” for each job title in their organization. The full schedule is included in Exhibit C-1 of the contract and includes changes to job titles and hourly rates from previous contracts. This updated schedule captures changes to Canopy’s organization over the course of the previous contract terms and accounts for the remaining cost increase between the two contracts. FISCAL/RESOURCE IMPACT Item 15 Item 15 Staff Report        Item 15: Staff Report Pg. 4  Packet Pg. 161 of 637  Partial funding for Year 1 of this contract is available in the Public Works Department General Fund, Community Services Department General Fund, and Utilities Department Electric Fund Fiscal Year 2026 Adopted Operating Budgets. Additionally, $150,000 in costs can be offset by the revenue recognized from the non- refundable Forestry Fund Deposits account (also known as the Tree Preservation Deposits Account). Funding for this account comes from in-lieu payments from development projects in the City that cannot plant all the required trees on site. These funds can only be used for tree planting projects throughout the City. The fund balance as of October 31, 2025 is $241,422. To account for this offset, staff recommends two budget amendments to the Fiscal Year 2026 General Fund Appropriations: an Operating Expenditure Appropriation increase of $150,000 and an Operating Revenue Appropriation increase in the same amount. However, $11,200 in unbudgeted cost increases remain, as these services do not fall under the usage guidelines of the Tree Preservation Deposits Account. The department is expecting to absorb these costs in FY 2026. The department contributions and funding sources proposed in this staff report for Year 1 of this contract are outlined in Table 1 below. Table #1: Department and Funding Sources for Year 1 of Canopy Contract Department / Funding Source New Contract Proposed Fiscal Year 2026 Public Works Department General Fund (Tree Preservations Deposits Account) $150,000 Public Works Department General Fund (Amount Included in Fiscal Year 2026 Operating Budget) $217,800 Public Works Department General Fund (From Public Works Public Services Fiscal Year 2026 Operating Budget) $11,200 Community Services Department General Fund (Amount Included in Fiscal Year 2026 Operating Budget) $6,000 Utilities Department Electric Fund (Amount Included in Fiscal Year 2026 Operating Budget) $15,000 Totals $400,000 Item 15 Item 15 Staff Report        Item 15: Staff Report Pg. 5  Packet Pg. 162 of 637  Table #2: Contract Costs and Services TASK DESCRIPTION FY26 FY27 FY28 CATEGORY SUBTOTAL GOAL NOT TO EXCEED Goal A: Community Education and Outreach $100,000 $103,000 $106,093 $309,093 Goal A.i: Mayor’s Tree Planting $10,000 $10,300 $10,609 $30,909 Goal A.ii: Arbor Day Events $15,000 $15,450 $15,914 $46,364 Goal A.vii: Community Tree Walks, Website and Communication $25,000 $25,750 $26,523 $77,273 Goal A: Other Basic Services Related to Community Education and Outreach $50,000 $51,500 $53,047 $154,547 Goal B: Tree Planting $135,000 $139,050 $143,223 $417,273 Goal B.i: Plant Trees (includes Volunteers)$100,000 $103,000 $106,090 $309,090 Goal B.i.1: Tree Replacement (if needed)$5,000 $5,150 $5,305 $15,455 Goal B.ii: Community Planting Events $5,000 $5,150 $5,305 $15,455 Item 15 Item 15 Staff Report        Item 15: Staff Report Pg. 6  Packet Pg. 163 of 637  Table #2: Contract Costs and Services TASK DESCRIPTION FY26 FY27 FY28 CATEGORY SUBTOTAL GOAL NOT TO EXCEED Goal B.iii: Canopy Disparity Strategy $25,000 $25,750 $26,523 $77,273 Goal C: Tree Assessment and Tree Care $130,000 $133,900 $137,918 $401,818 Goal C.i: Young Tree Care Survey $50,000 $51,500 $53,045 $154,545 Goal C.ii: Digital Tree Health Survey $25,000 $25,750 $26,523 $77,273 Goal C: Other Service Related to Tree Assessment and Tree Care $55,000 $56,650 $58,350 $170,000 Goal D: Urban Forestry Program Assistance $35,000 $36,050 $37,132 $108,182 Goal D.i: Maintain and Manage Open Data Portal $20,000 $20,600 $21,218 $61,818 Goal D.ii: Administer Right Tree, Right Place Program $15,000 $15,450 $15,914 $46,364 Total Contract All Tasks Not to Exceed:$400,000 $412,000 $424,366 $1,236,366 STAKEHOLDER ENGAGEMENT Stakeholder engagement is an ongoing component of this contract. Many programs included in this contract (South Palo Alto Tree Planting, Mayor’s Tree Planting, Arbor Day celebrations, general Urban Forestry Education and Outreach) have an outreach/engagement component included as part of the implementation process. This allows Canopy and the City to inform stakeholders of projects and programs, incorporate stakeholder feedback into implementation plans, and engage stakeholders directly as volunteers and participants in growing and maintaining the City’s Urban Forest. ENVIRONMENTAL REVIEW The recommended action is exempt from review under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15301(h) (maintenance of existing landscape). ATTACHMENTS Attachment A: Canopy Contract C26193655 APPROVED BY: Brad Eggleston, Director Public Works/City Engineer Item 15 Item 15 Staff Report        Item 15: Staff Report Pg. 7  Packet Pg. 164 of 637  Professional Services Rev. Oct 16,2024 Page 1 of 28 CITY OF PALO ALTO CONTRACT NO. C26193655 AGREEMENT FOR PROFESSIONAL SERVICES BETWEEN THE CITY OF PALO ALTO AND CANOPY This Agreement for Professional Services (this “Agreement”) is entered into as of the 6th day of October, 2025 (the “Effective Date”), by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and CANOPY, a California nonprofit corporation, located at 3921 E. Bayshore, Palo Alto, CA 94303 (“CONSULTANT”). The following recitals are a substantive portion of this Agreement and are fully incorporated herein by this reference: RECITALS A. CITY intends to execute its Urban Forest Master Plan (the “Project”) and desires to engage a consultant to help support Palo Alto's urban forestry programs, to assist with implementation of programs within the Urban Forest Master Plan, to improve tree canopy cover in priority areas, and to educate the public about trees in connection with the Project (the “Services”, as detailed more fully in Exhibit A). B. CONSULTANT represents that it, its employees and subconsultants, if any, possess the necessary professional expertise, qualifications, and capability, and all required licenses and/or certifications to provide the Services. C. CITY, in reliance on these representations, desires to engage CONSULTANT to provide the Services as more fully described in Exhibit A, entitled “SCOPE OF SERVICES”. NOW, THEREFORE, in consideration of the recitals, covenants, terms, and conditions, in this Agreement, the parties agree as follows: SECTION 1. SCOPE OF SERVICES. CONSULTANT shall perform the Services described in Exhibit A in accordance with the terms and conditions contained in this Agreement. The performance of all Services shall be to the reasonable satisfaction of CITY. SECTION 2. TERM. The term of this Agreement shall be from the effective date of this agreement through October 6, 2028 unless terminated earlier pursuant to Section 19 (Termination) of this Agreement. SECTION 3. SCHEDULE OF PERFORMANCE. Time is of the essence in the performance of Services under this Agreement. CONSULTANT shall complete the Services within the term of this Agreement and in accordance with the schedule set forth in Exhibit B, entitled “SCHEDULE OF PERFORMANCE”. Any Services for which times for performance are not specified in this Agreement shall be commenced and completed by CONSULTANT in a reasonably prompt and timely manner based upon the circumstances and direction communicated to the CONSULTANT. CITY’s agreement to extend the term or the schedule for performance shall not preclude recovery Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 8  Packet Pg. 165 of 637  Professional Services Rev. Oct 16,2024 Page 2 of 28 of damages for delay if the extension is required due to the fault of CONSULTANT. SECTION 4. NOT TO EXCEED COMPENSATION. The compensation to be paid to CONSULTANT for performance of the Services shall be based on the compensation structure detailed in Exhibit C, entitled “COMPENSATION,” including any reimbursable expenses specified therein, and the maximum total compensation shall not exceed One Million Two Hundred Thirty-Six Thousand Three Hundred Sixty-Six Dollars ($1,236,366). The hourly schedule of rates, if applicable, is set out in Exhibit C-1, entitled “SCHEDULE OF RATES.” Any work performed or expenses incurred for which payment would result in a total exceeding the maximum compensation set forth in this Section 4 shall be at no cost to the CITY. SECTION 5. INVOICES. In order to request payment, CONSULTANT shall submit monthly invoices to the CITY describing the Services performed and the applicable charges (including, if applicable, an identification of personnel who performed the Services, hours worked, hourly rates, and reimbursable expenses), based upon Exhibit C or, as applicable, CONSULTANT’s schedule of rates set forth in Exhibit C-1. If applicable, the invoice shall also describe the percentage of completion of each task. The information in CONSULTANT’s invoices shall be subject to verification by CITY. CONSULTANT shall send all invoices to CITY’s Project Manager at the address specified in Section 13 (Project Management) below. CITY will generally process and pay invoices within thirty (30) days of receipt of an acceptable invoice. SECTION 6. QUALIFICATIONS/STANDARD OF CARE. All Services shall be performed by CONSULTANT or under CONSULTANT’s supervision. CONSULTANT represents that it, its employees and subcontractors, if any, possess the professional and technical personnel necessary to perform the Services required by this Agreement and that the personnel have sufficient skill and experience to perform the Services assigned to them. CONSULTANT represents that it, its employees and subcontractors, if any, have and shall maintain during the term of this Agreement all licenses, permits, qualifications, insurance and approvals of whatever nature that are legally required to perform the Services. All Services to be furnished by CONSULTANT under this Agreement shall meet the professional standard and quality that prevail among professionals in the same discipline and of similar knowledge and skill engaged in related work throughout California under the same or similar circumstances. SECTION 7. COMPLIANCE WITH LAWS. CONSULTANT shall keep itself informed of and in compliance with all federal, state and local laws, ordinances, regulations, and orders that may affect in any manner the Project or the performance of the Services or those engaged to perform Services under this Agreement, as amended from time to time. CONSULTANT shall procure all permits and licenses, pay all charges and fees, and give all notices required by law in the performance of the Services. SECTION 8. ERRORS/OMISSIONS. CONSULTANT is solely responsible for costs, including, but not limited to, increases in the cost of Services, arising from or caused by CONSULTANT’s errors and omissions, including, but not limited to, the costs of corrections such errors and omissions, any change order markup costs, or costs arising from delay caused by the errors and omissions or unreasonable delay in correcting the errors and omissions. SECTION 9. COST ESTIMATES. If this Agreement pertains to the design of a public works project, CONSULTANT shall submit estimates of probable construction costs at each phase of Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 9  Packet Pg. 166 of 637  Professional Services Rev. Oct 16,2024 Page 3 of 28 design submittal. If the total estimated construction cost at any submittal exceeds the CITY’s stated construction budget by ten percent (10%) or more, CONSULTANT shall make recommendations to CITY for aligning the Project design with the budget, incorporate CITY approved recommendations, and revise the design to meet the Project budget, at no additional cost to CITY. SECTION 10. INDEPENDENT CONTRACTOR. CONSULTANT acknowledges and agrees that CONSULTANT and any agent or employee of CONSULTANT will act as and shall be deemed at all times to be an independent contractor and shall be wholly responsible for the manner in which CONSULTANT performs the Services requested by CITY under this Agreement. CONSULTANT and any agent or employee of CONSULTANT will not have employee status with CITY, nor be entitled to participate in any plans, arrangements, or distributions by CITY pertaining to or in connection with any retirement, health or other benefits that CITY may offer its employees. CONSULTANT will be responsible for all obligations and payments, whether imposed by federal, state or local law, including, but not limited to, FICA, income tax withholdings, workers’ compensation, unemployment compensation, insurance, and other similar responsibilities related to CONSULTANT’s performance of the Services, or any agent or employee of CONSULTANT providing same. Nothing in this Agreement shall be construed as creating an employment or agency relationship between CITY and CONSULTANT or any agent or employee of CONSULTANT. Any terms in this Agreement referring to direction from CITY shall be construed as providing for direction as to policy and the result of CONSULTANT’s provision of the Services only, and not as to the means by which such a result is obtained. SECTION 11. ASSIGNMENT. The parties agree that the expertise and experience of CONSULTANT are material considerations for this Agreement. CONSULTANT shall not assign or transfer any interest in this Agreement nor the performance of any of CONSULTANT’s obligations hereunder without the prior written approval of the City Manager. Any purported assignment made without the prior written approval of the City Manager will be void and without effect. Subject to the foregoing, the covenants, terms, conditions and provisions of this Agreement will apply to, and will bind, the heirs, successors, executors, administrators and assignees of the parties. SECTION 12. SUBCONTRACTING. Option A: No Subcontractor: CONSULTANT shall not subcontract any portion of the Services to be performed under this Agreement without the prior written authorization of the City Manager or designee. In the event CONSULTANT does subcontract any portion of the work to be performed under this Agreement, CONSULTANT shall be fully responsible for all acts and omissions of subcontractors. Option B: Subcontracts Authorized: Notwithstanding Section 11 (Assignment) above, CITY agrees that subcontractors may be used to complete the Services. The subcontractors authorized by CITY to perform work on this Project are: CONSULTANT shall be responsible for directing the work of any subcontractors and for any compensation due to subcontractors. CITY assumes no responsibility whatsoever concerning compensation of subcontractors. CONSULTANT shall be fully responsible to CITY for all acts Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 10  Packet Pg. 167 of 637  Professional Services Rev. Oct 16,2024 Page 4 of 28 and omissions of subcontractors. CONSULTANT shall change or add subcontractors only with the prior written approval of the City Manager or designee. SECTION 13. PROJECT MANAGEMENT. CONSULTANT will assign Aubrey Knier, Community Forestry Manager, Telephone: (650) 204-1369 as the CONSULTANT’s Project Manager to have supervisory responsibility for the performance, progress, and execution of the Services and represent CONSULTANT during the day-to-day performance of the Services. If circumstances cause the substitution of the CONSULTANT’s Project Manager or any other of CONSULTANT’s key personnel for any reason, the appointment of a substitute Project Manager and the assignment of any key new or replacement personnel will be subject to the prior written approval of the CITY’s Project Manager. CONSULTANT, at CITY’s request, shall promptly remove CONSULTANT personnel who CITY finds do not perform the Services in an acceptable manner, are uncooperative, or present a threat to the adequate or timely completion of the Services or a threat to the safety of persons or property. CITY’s Project Manager is Paul Faklis, Public Works Department, Public Services Division, 3201 East Bayshore Rd Palo Alto, CA,: 94303, Telephone: (650) 496-6953. CITY’s Project Manager will be CONSULTANT’s point of contact with respect to performance, progress and execution of the Services. CITY may designate an alternate Project Manager from time to time. SECTION 14. OWNERSHIP OF MATERIALS. All work product, including without limitation, all writings, drawings, studies, sketches, photographs, plans, reports, specifications, computations, models, recordings, data, documents, and other materials and copyright interests developed under this Agreement, in any form or media, shall be and remain the exclusive property of CITY without restriction or limitation upon their use. CONSULTANT agrees that all copyrights which arise from creation of the work product pursuant to this Agreement are vested in CITY, and CONSULTANT hereby waives and relinquishes all claims to copyright or other intellectual property rights in favor of CITY. Neither CONSULTANT nor its subcontractors, if any, shall make any of such work product available to any individual or organization without the prior written approval of the City Manager or designee. CONSULTANT makes no representation of the suitability of the work product for use in or application to circumstances not contemplated by the Scope of Services. SECTION 15. AUDITS. CONSULTANT agrees to permit CITY and its authorized representatives to audit, at any reasonable time during the term of this Agreement and for four (4) years from the date of final payment, CONSULTANT’s records pertaining to matters covered by this Agreement, including without limitation records demonstrating compliance with the requirements of Section 10 (Independent Contractor). CONSULTANT further agrees to maintain and retain accurate books and records in accordance with generally accepted accounting principles for at least four (4) years after the expiration or earlier termination of this Agreement or the completion of any audit hereunder, whichever is later. SECTION 16. INDEMNITY. [Option A applies to the following design professionals pursuant to Civil Code Section 2782.8: architects; landscape architects; registered professional engineers and licensed professional land surveyors.] 16.1. To the fullest extent permitted by law, CONSULTANT shall indemnify, defend and hold harmless CITY, its Council members, officers, employees and agents Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 11  Packet Pg. 168 of 637  Professional Services Rev. Oct 16,2024 Page 5 of 28 (each an “Indemnified Party”) from and against any and all third party demands, claims, or liability of any nature, including death or injury to any person, property damage or any other loss, including all costs and expenses of whatever nature including attorney’s fees, experts fees, court costs and disbursements (“Claims”) to the extent that such Claims arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of CONSULTANT, its officers, employees, agents or contractors under this Agreement, regardless of whether or not it is caused in part by an Indemnified Party. CITY will reimburse CONSULTANT for the proportionate percentage of defense costs exceeding CONSULTANT’s proportionate percentage of fault as determined by the final judgment of a court of competent jurisdiction. [Option B applies to any consultant who does not qualify as a design professional as defined in Civil Code Section 2782.8.] 16.1. To the fullest extent permitted by law, CONSULTANT shall indemnify, defend and hold harmless CITY, its Council members, officers, employees and agents (each an “Indemnified Party”) from and against any and all demands, claims, or liability of any nature, including death or injury to any person, property damage or any other loss, including all costs and expenses of whatever nature including attorney’s fees, experts fees, court costs and disbursements (“Claims”) resulting from, arising out of or in any manner related to performance or nonperformance by CONSULTANT, its officers, employees, agents or contractors under this Agreement, regardless of whether or not it is caused in part by an Indemnified Party. 16.2. Notwithstanding the above, nothing in this Section 16 shall be construed to require CONSULTANT to indemnify an Indemnified Party from a Claim arising from the active negligence or willful misconduct of an Indemnified Party that is not contributed to by any act of, or by any omission to perform a duty imposed by law or agreement by, CONSULTANT, its officers, employees, agents or contractors under this Agreement. 16.3. The acceptance of CONSULTANT’s Services and duties by CITY shall not operate as a waiver of the right of indemnification. The provisions of this Section 16 shall survive the expiration or early termination of this Agreement. SECTION 17. WAIVERS. No waiver of a condition or nonperformance of an obligation under this Agreement is effective unless it is in writing in accordance with Section 29.4 of this Agreement. No delay or failure to require performance of any provision of this Agreement shall constitute a waiver of that provision as to that or any other instance. Any waiver granted shall apply solely to the specific instance expressly stated. No single or partial exercise of any right or remedy will preclude any other or further exercise of any right or remedy. SECTION 18. INSURANCE. 18.1. CONSULTANT, at its sole cost and expense, shall obtain and maintain, in full force and effect during the term of this Agreement, the insurance coverage described in Exhibit D, entitled “INSURANCE REQUIREMENTS”. CONSULTANT and its contractors, if any, shall obtain a policy endorsement naming CITY as an additional insured under any general liability or automobile policy or policies. 18.2. All insurance coverage required hereunder shall be provided through carriers with AM Best’s Key Rating Guide ratings of A-:VII or higher which are licensed or Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 12  Packet Pg. 169 of 637  Professional Services Rev. Oct 16,2024 Page 6 of 28 authorized to transact insurance business in the State of California. Any and all contractors of CONSULTANT retained to perform Services under this Agreement will obtain and maintain, in full force and effect during the term of this Agreement, identical insurance coverage, naming CITY as an additional insured under such policies as required above. 18.3. Certificates evidencing such insurance shall be filed with CITY concurrently with the execution of this Agreement. The certificates will be subject to the approval of CITY’s Risk Manager and will contain an endorsement stating that the insurance is primary coverage and will not be canceled, or materially reduced in coverage or limits, by the insurer except after filing with the Purchasing Manager thirty (30) days’ prior written notice of the cancellation or modification. If the insurer cancels or modifies the insurance and provides less than thirty (30) days’ notice to CONSULTANT, CONSULTANT shall provide the Purchasing Manager written notice of the cancellation or modification within two (2) business days of the CONSULTANT’s receipt of such notice. CONSULTANT shall be responsible for ensuring that current certificates evidencing the insurance are provided to CITY’s Chief Procurement Officer during the entire term of this Agreement. 18.4. The procuring of such required policy or policies of insurance will not be construed to limit CONSULTANT’s liability hereunder nor to fulfill the indemnification provisions of this Agreement. Notwithstanding the policy or policies of insurance, CONSULTANT will be obligated for the full and total amount of any damage, injury, or loss caused by or directly arising as a result of the Services performed under this Agreement, including such damage, injury, or loss arising after the Agreement is terminated or the term has expired. SECTION 19. TERMINATION OR SUSPENSION OF AGREEMENT OR SERVICES. 19.1. The City Manager may suspend the performance of the Services, in whole or in part, or terminate this Agreement, with or without cause, by giving ten (10) days prior written notice thereof to CONSULTANT. If CONSULTANT fails to perform any of its material obligations under this Agreement, in addition to all other remedies provided under this Agreement or at law, the City Manager may terminate this Agreement sooner upon written notice of termination. Upon receipt of any notice of suspension or termination, CONSULTANT will discontinue its performance of the Services on the effective date in the notice of suspension or termination. 19.2. In event of suspension or termination, CONSULTANT will deliver to the City Manager on or before the effective date in the notice of suspension or termination, any and all work product, as detailed in Section 14 (Ownership of Materials), whether or not completed, prepared by CONSULTANT or its contractors, if any, in the performance of this Agreement. Such work product is the property of CITY, as detailed in Section 14 (Ownership of Materials). 19.3. In event of suspension or termination, CONSULTANT will be paid for the Services rendered and work products delivered to CITY in accordance with the Scope of Services up to the effective date in the notice of suspension or termination; provided, however, if this Agreement is suspended or terminated on account of a default by CONSULTANT, CITY will be obligated to compensate CONSULTANT only for that portion of CONSULTANT’s Services provided in material conformity with this Agreement as such determination is made by the City Manager acting in the reasonable exercise of his/her discretion. The following Sections will Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 13  Packet Pg. 170 of 637  Professional Services Rev. Oct 16,2024 Page 7 of 28 survive any expiration or termination of this Agreement: 14, 15, 16, 17, 19.2, 19.3, 19.4, 20, 25, 27, 28, 29 and 30. 19.4. No payment, partial payment, acceptance, or partial acceptance by CITY will operate as a waiver on the part of CITY of any of its rights under this Agreement, unless made in accordance with Section 17 (Waivers). SECTION 20. NOTICES. All notices hereunder will be given in writing and mailed, postage prepaid, by certified mail, addressed as follows: To CITY: Office of the City Clerk City of Palo Alto Post Office Box 10250 Palo Alto, CA 94303 With a copy to the Purchasing Manager To CONSULTANT: Attention of the Project Manager at the address of CONSULTANT recited on the first page of this Agreement. CONSULTANT shall provide written notice to CITY of any change of address. SECTION 21. CONFLICT OF INTEREST. 21.1. In executing this Agreement, CONSULTANT covenants that it presently has no interest, and will not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of the Services. 21.2. CONSULTANT further covenants that, in the performance of this Agreement, it will not employ subcontractors or other persons or parties having such an interest. CONSULTANT certifies that no person who has or will have any financial interest under this Agreement is an officer or employee of CITY; this provision will be interpreted in accordance with the applicable provisions of the Palo Alto Municipal Code and the Government Code of the State of California, as amended from time to time. CONSULTANT agrees to notify CITY if any conflict arises. 21.3. If the CONSULTANT meets the definition of a “Consultant” as defined by the Regulations of the Fair Political Practices Commission, CONSULTANT will file the appropriate financial disclosure documents required by the Palo Alto Municipal Code and the Political Reform Act of 1974, as amended from time to time. SECTION 22. NONDISCRIMINATION; COMPLIANCE WITH ADA. 22.1. As set forth in Palo Alto Municipal Code Section 2.30.510, as amended from time to time, CONSULTANT certifies that in the performance of this Agreement, it shall not discriminate in the employment of any person due to that person’s race, skin color, gender, gender Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 14  Packet Pg. 171 of 637  Professional Services Rev. Oct 16,2024 Page 8 of 28 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. CONSULTANT acknowledges that it has read and understands the provisions of Section 2.30.510 of the Palo Alto Municipal Code relating to Nondiscrimination Requirements and the penalties for violation thereof, and agrees to meet all requirements of Section 2.30.510 pertaining to nondiscrimination in employment. 22.2. CONSULTANT understands and agrees that pursuant to the Americans Disabilities Act (“ADA”), programs, services and other activities provided by a public entity to the public, whether directly or through a contractor or subcontractor, are required to be accessible to the disabled public. CONSULTANT will provide the Services specified in this Agreement in a manner that complies with the ADA and any other applicable federal, state and local disability rights laws and regulations, as amended from time to time. CONSULTANT will not discriminate against persons with disabilities in the provision of services, benefits or activities provided under this Agreement. SECTION 23. ENVIRONMENTALLY PREFERRED PURCHASING AND ZERO WASTE REQUIREMENTS. CONSULTANT shall comply with the CITY’s Environmentally Preferred Purchasing policies which are available at CITY’s Purchasing Department, hereby incorporated by reference and as amended from time to time. CONSULTANT shall comply with waste reduction, reuse, recycling and disposal requirements of 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, CONSULTANT shall comply with the following Zero Waste requirements: (a) All printed materials provided by CONSULTANT 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 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. (b) Goods purchased by CONSULTANT on behalf of CITY shall be purchased in accordance with CITY’s Environmental Purchasing Policy including but not limited to Extended Producer Responsibility requirements for products and packaging. A copy of this policy is on file at the Purchasing Department’s office. (c) Reusable/returnable pallets shall be taken back by CONSULTANT, at no additional cost to CITY, for reuse or recycling. CONSULTANT shall provide documentation from the facility accepting the pallets to verify that pallets are not being disposed. SECTION 24. COMPLIANCE WITH PALO ALTO MINIMUM WAGE ORDINANCE. CONSULTANT 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) hours of work in a calendar week within the geographic boundaries of the City, CONSULTANT shall pay such employees no less than the minimum wage set forth in Palo Alto Municipal Code Section 4.62.030 for each hour worked within the geographic boundaries of the City of Palo Alto. In addition, CONSULTANT shall post notices regarding the Palo Alto Minimum Wage Ordinance in accordance with Palo Alto Municipal Code Section 4.62.060. Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 15  Packet Pg. 172 of 637  Professional Services Rev. Oct 16,2024 Page 9 of 28 SECTION 25. NON-APPROPRIATION. This Agreement is subject to the fiscal provisions of the Charter of the City of Palo Alto and the Palo Alto Municipal Code, as amended from time to time. This Agreement will terminate without any penalty (a) at the end of any fiscal year in the event that funds are not appropriated for the following fiscal year, 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 Agreement 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 26. PREVAILING WAGES AND DIR REGISTRATION FOR PUBLIC WORKS CONTRACTS. 26.1. This Project is not subject to prevailing wages and related requirements. CONSULTANT 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 26.1. 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. CONSULTANT 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 Section 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, web site (see e.g. http://www.dir.ca.gov/DLSR/PWD/index.htm) as amended from time to time. CONSULTANT 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. CONSULTANT 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 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. CONSULTANT shall comply with the requirements of Exhibit E, entitled “DIR REGISTRATION FOR PUBLIC WORKS CONTRACTS”, for any contract for public works construction, alteration, demolition, repair or maintenance, including but not limited to the obligations to register with, and furnish certified payroll records directly to, DIR. SECTION 27. CLAIMS PROCEDURE FOR “9204 PUBLIC WORKS PROJECTS”. For Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 16  Packet Pg. 173 of 637  Professional Services Rev. Oct 16,2024 Page 10 of 28 purposes of this Section 27, a “9204 Public Works Project” means the erection, construction, alteration, repair, or improvement of any public structure, building, road, or other public improvement of any kind. (Cal. Pub. Cont. Code § 9204.) Per California Public Contract Code Section 9204, for Public Works Projects, certain claims procedures shall apply, as set forth in Exhibit F, entitled “Claims for Public Contract Code Section 9204 Public Works Projects”. This Project is a 9204 Public Works Project and is required to comply with the claims procedures set forth in Exhibit F, entitled “Claims for Public Contract Code Section 9204 Public Works Projects”. OR This Project is not a 9204 Public Works Project. SECTION 28. CONFIDENTIAL INFORMATION. 28.1. In the performance of this Agreement, CONSULTANT may have access to CITY’s Confidential Information (defined below). CONSULTANT will hold Confidential Information in strict confidence, not disclose it to any third party, and will use it only for the performance of its obligations to CITY under this Agreement and for no other purpose. CONSULTANT will maintain reasonable and appropriate administrative, technical and physical safeguards to ensure the security, confidentiality and integrity of the Confidential Information. Notwithstanding the foregoing, CONSULTANT may disclose Confidential Information to its employees, agents and subcontractors, if any, to the extent they have a need to know in order to perform CONSULTANT’s obligations to CITY under this Agreement and for no other purpose, provided that the CONSULTANT informs them of, and requires them to follow, the confidentiality and security obligations of this Agreement. 28.2. “Confidential Information” means all data, information (including without limitation “Personal Information” about a California resident as defined in Civil Code Section 1798 et seq., as amended from time to time) and materials, in any form or media, tangible or intangible, provided or otherwise made available to CONSULTANT by CITY, directly or indirectly, pursuant to this Agreement. Confidential Information excludes information that CONSULTANT can show by appropriate documentation: (i) was publicly known at the time it was provided or has subsequently become publicly known other than by a breach of this Agreement; (ii) was rightfully in CONSULTANT’s possession free of any obligation of confidence prior to receipt of Confidential Information; (iii) is rightfully obtained by CONSULTANT from a third party without breach of any confidentiality obligation; (iv) is independently developed by employees of CONSULTANT without any use of or access to the Confidential Information; or (v) CONSULTANT has written consent to disclose signed by an authorized representative of CITY. 28.3. Notwithstanding the foregoing, CONSULTANT may disclose Confidential Information to the extent required by order of a court of competent jurisdiction or governmental body, provided that CONSULTANT will notify CITY in writing of such order immediately upon receipt and prior to any such disclosure (unless CONSULTANT is prohibited by law from doing so), to give CITY an opportunity to oppose or otherwise respond to such order. Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 17  Packet Pg. 174 of 637  Professional Services Rev. Oct 16,2024 Page 11 of 28 28.4. CONSULTANT will notify City promptly upon learning of any breach in the security of its systems or unauthorized disclosure of, or access to, Confidential Information in its possession or control, and if such Confidential Information consists of Personal Information, CONSULTANT will provide information to CITY sufficient to meet the notice requirements of Civil Code Section 1798 et seq., as applicable, as amended from time to time. 28.5. Prior to or upon termination or expiration of this Agreement, CONSULTANT will honor any request from the CITY to return or securely destroy all copies of Confidential Information. All Confidential Information is and will remain the property of the CITY and nothing contained in this Agreement grants or confers any rights to such Confidential Information on CONSULTANT. 28.6. If selected in Section 30 (Exhibits), this Agreement is also subject to the terms and conditions of the Information Privacy Policy and Cybersecurity Terms and Conditions. SECTION 29. MISCELLANEOUS PROVISIONS. 29.1. This Agreement will be governed by California law, without regard to its conflict of law provisions. 29.2. In the event that an action is brought, the parties agree that trial of such action will be vested exclusively in the state courts of California in the County of Santa Clara, State of California. 29.3. The prevailing party in any action brought to enforce the provisions of this Agreement may recover its reasonable costs and attorneys’ fees expended in connection with that action. The prevailing party shall be entitled to recover an amount equal to the fair market value of legal services provided by attorneys employed by it as well as any attorneys’ fees paid to third parties. 29.4. This Agreement, including all exhibits, constitutes the entire and integrated agreement between the parties with respect to the subject matter of this Agreement, and supersedes all prior agreements, negotiations, representations, statements and undertakings, either oral or written. This Agreement may be amended only by a written instrument, which is signed by the authorized representatives of the parties and approved as required under Palo Alto Municipal Code, as amended from time to time. 29.5. If a court of competent jurisdiction finds or rules that any provision of this Agreement is void or unenforceable, the unaffected provisions of this Agreement will remain in full force and effect. 29.6. In the event of a conflict between the terms of this Agreement and the exhibits hereto (per Section 30) or CONSULTANT’s proposal (if any), the Agreement shall control. In the event of a conflict between the exhibits hereto and CONSULTANT’s proposal (if any), the exhibits shall control. 29.7. The provisions of all checked boxes in this Agreement shall apply to this Agreement; the provisions of any unchecked boxes shall not apply to this Agreement. Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 18  Packet Pg. 175 of 637  Professional Services Rev. Oct 16,2024 Page 12 of 28 29.8. All section headings contained in this Agreement are for convenience and reference only and are not intended to define or limit the scope of any provision of this Agreement. 29.9. This Agreement may be signed in multiple counterparts, which, when executed by the authorized representatives of the parties, shall together constitute a single binding agreement. SECTION 30. EXHIBITS. Each of the following exhibits, if the check box for such exhibit is selected below, is hereby attached and incorporated into this Agreement by reference as though fully set forth herein: EXHIBIT A: SCOPE OF SERVICES EXHIBIT B: SCHEDULE OF PERFORMANCE EXHIBIT C: COMPENSATION EXHIBIT C-1: SCHEDULE OF RATES EXHIBIT D: INSURANCE REQUIREMENTS EXHIBIT E: DIR REGISTRATION FOR PUBLIC WORKS CONTRACTS EXHIBIT F: CLAIMS FOR PUBLIC CONTRACT CODE SECTION 9204 PUBLIC WORKS PROJECTS THIS AGREEMENT IS NOT COMPLETE UNLESS ALL SELECTED EXHIBITS ARE ATTACHED. Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 19  Packet Pg. 176 of 637  Professional Services Rev. Oct 16,2024 Page 13 of 28 CONTRACT No. C26193655 SIGNATURE PAGE IN WITNESS WHEREOF, the parties hereto have by their duly authorized representatives executed this Agreement as of the date first above written. CITY OF PALO ALTO ____________________________ City Manager APPROVED AS TO FORM: __________________________ City Attorney or designee CANOPY Officer 1 By: ________________________________ Name: ______________________________ Title: _______________________________ Officer 2 By: ________________________________ Name: ______________________________ Title: _______________________________ Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Executive Director Jean-Pal Renaud Maria Chai Board Chair Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 20  Packet Pg. 177 of 637  Professional Services Rev. Oct 16,2024 Page 14 of 28 EXHIBIT A SCOPE OF SERVICES CONSULTANT shall provide the Services detailed in this Exhibit A, entitled “SCOPE OF SERVICES”. Notwithstanding any provision herein to the contrary, CONSULTANT’s duties and services described in this Scope of Services shall not include preparing or assisting CITY with any portion of CITY’s preparation of a request for proposals, request for qualifications, or any other solicitation regarding a subsequent or additional contract with CITY. CITY shall at all times retain responsibility for public contracting, including with respect to any subsequent phase of this project. CONSULTANT’s participation in the planning, discussions, or drawing of project plans or specifications shall be limited to conceptual, preliminary, or initial plans or specifications. CONSULTANT shall cooperate with CITY to ensure that all bidders for a subsequent contract on any subsequent phase of this project have access to the same information, including all conceptual, preliminary, or initial plans or specifications prepared by CONSULTANT pursuant to this Scope of Services. CONSULTANT will provide the Services detailed in this Exhibit A (Scope of Services) in accordance with the provisions of this Agreement. 1) The responsibilities of the CITY will include the following: CITY Arborists, Urban Forestry Section and Community Services Department staff will coordinate and cooperate with CONSULTANT to facilitate special events such as the annual Mayor’s tree planting, Arbor Day event(s) public right-of-way plantings, Young Tree Care Survey, Right Tree Right Place program and CITY-wide educational events. CITY staff will be responsible for identifying planting sites for these events. 2) CONSULTANT’s Responsibilities. CONSULTANT shall perform the following Services, as further detailed in the Action Plans below: A. Community Education, Outreach, and Advocacy. i) Organize and conduct the annual Mayor’s Tree Planting event. (1) In partnership with the CITY Urban Forestry Section, CONSULTANT shall organize and conduct the annual Mayor’s Tree Planting event, coordinating with the incoming mayor on a suitable date and event size. CONSULTANT will work closely with CITY staff to identify tree species and planting location, while coordinating an event that reaffirms the community’s commitment to growing and caring for the city’s urban forest. ii) Coordinate the annual Arbor Day Festival or Celebration. (1) CONSULTANT shall work closely with the CITY as well as other environmentally aligned community groups to determine the location, size, and timing of the event. Secondary goals for the event include but are not limited to, highlighting the importance of trees in Palo Alto, motivating community engagement during a time of the year traditionally focused on sustainability, and meeting Arbor Day recognition criteria for the CITY to continue qualifying as a Tree City USA with the Arbor Day Foundation. iii) Comply with all applicable legal and regulatory requirements regarding working with Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 21  Packet Pg. 178 of 637  Professional Services Rev. Oct 16,2024 Page 15 of 28 minors, where applicable (including, but not limited to, conducting all required background checks and health screenings). iv) Maintain an online, searchable arborist list of ISA Certified Arborists for distribution to the community. v) CONSULTANT shall serve as a liaison to the Palo Alto School District (PAUSD) to increase awareness of the value of the trees on school district land, which could include educational events for students. (1) CONSULTANT will work closely with PAUSD to promote urban forestry awareness and education on their campuses. CONSULTANT will work with PAUSD to identify tree planting locations at campuses to help increase canopy coverage at PAUSD schools. vi) CONSULTANT will conduct donor and membership recruitment to leverage this contract and ensure a broad base of support for CONSULTANT and its activities. (1) CONSULTANT will leverage this contract with the CITY to expand support of our mutual mission to engage Palo Alto residents in caring for their urban forest. vii) Education, Outreach and Advocacy (1) CONSULTANT shall present on topics relating to the urban forest at the City’s Parks and Recreation Commission each Spring. (2) CONSULTANT shall lead four (4) tree walks in Palo Alto per each FY of the contract term with the goal of educating and motivating Palo Alto residents to plant, steward, and celebrate trees. (3) CONSULTANT will offer free participation to Palo Alto residents in its Community Forestry School, a nine-week program to learn proper tree planting and tree care techniques from certified arborists and CONSULTANT staff. (4) CONSULTANT shall maintain and update educational materials on topics such as young tree care maintenance, watering, and tree species selection. CONSULTANT shall distribute these resources to the Palo Alto tree stewards and the broader community regularly throughout the year. (5) CONSULTANT shall maintain and update the “Trees in Palo Alto” landing page on CONSULTANT’s website, which includes the history of community forestry in Palo Alto, information on the Palo Alto Tree Protection Ordinance, and City Trees Q&A. viii) CONSULTANT shall seek participation and support from the commercial and industrial community. ix) CONSULTANT shall seek other financial support (e.g., grants) outside of CITY government to provide increased services to the community and to increase public involvement. x) CONSULTANT shall report quarterly on the governance, operations, and capacity building to engage new members and increase efficiency. B. Tree Planting. i) CONSULTANT shall plant 100 trees per each FY of the contract term for a total of at least 300 trees. (1) CONSULTANT shall replace up to 25 trees per each FY of the contract term that have failed within the first three (3) years of planting date. ii) CONSULTANT shall organize and host at least three (3) community planting events per each FY of the contract term. Trees will be planted at these events using community volunteers and CONSULTANT Planting Leaders. Trees may also be planted through Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 22  Packet Pg. 179 of 637  Professional Services Rev. Oct 16,2024 Page 16 of 28 smaller planting events executed by CONSULTANT staff and volunteers. iii) CONSULTANT will work closely with the CITY to identify priority sites and areas for focused tree planting. (1) CONSULTANT’s primary focus will be in the region south of the Oregon Expressway where data indicates canopy coverage is overall lower than other areas of Palo Alto. (2) Secondary focus areas will include areas that are frequented by high volumes of individuals especially vulnerable to climate change, such as early childcare centers, schools, senior centers, etc. (3) Additional focus areas will be neighborhoods with a large volume of documented tree removals. C. Tree Assessment and Tree Care. i) CONSULTANT shall conduct an annual Citywide survey of newly planted public trees and report this information to the Urban Forestry Section of the Public Works Department and to community residents. CONSULTANT will prepare the survey in consultation with the City and include all categories requested by the City. (1) CONSULTANT shall conduct this survey, called the Young Tree Care Survey (YTCS), of newly planted public trees utilizing an online based open data tree inventory portal. (2) CONSULTANT will hire and manage a paid summer intern to assist in creating and executing YTCS routes, as well as preparing the report for the Urban Forestry Section of Public Works Department and community residents. ii) CONSULTANT shall organize and train a cadre of volunteers to monitor the condition of young trees and perform simple maintenance tasks on site. (1) CONSULTANT will provide tree care monitoring of newly planted trees for three (3) years post planting. (2) CONSULTANT will implement a Digital Tree Health Survey to maintain open lines of communication with tree stewards to identify and prioritize young tree care work in Palo Alto via methods such as surveys or text campaigns. (3) CONSULTANT will train community volunteers on young tree care and host up to four (4) volunteer tree care workshops per each FY of the contract term in Palo Alto that are open to tree stewards and the public. D. Urban Forestry Program Assistance. i) CONSULTANT shall manage and maintain the City’s open data portal (currently Tree Plotter from PlanIT Geo) for data entry as a way of engaging the community as partners in stewardship and improving data currency and accuracy (UFMP Program 4.G.iii.). CONSULTANT is responsible for any associated annual subscription costs for use of the open data portal. CONSULTANT will submit to the CITY for reimbursement of annual subscription costs as part of the regular monthly invoicing. ii) CONSULTANT shall administer Palo Alto Utility Department’s Right Tree in the Right Place Program (RTRP). (1) CONSULTANT will administer the program for up to 25 trees per each FY of the contract term, managing the reimbursement process per CITY policies. CONSULTANT will advertise, respond to, and screen inquiries about the RTRP program and will guide applicants in completing the proper RTRP process. CONSULTANT shall directly reimburse the resident once they have met the Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 23  Packet Pg. 180 of 637  Professional Services Rev. Oct 16,2024 Page 17 of 28 program's requirements, and the CITY shall reimburse CONSULTANT directly through monthly contract invoicing. (2) Other Urban Forest Master Plan projects may be added to the contract through the amendment process in future FYs if warranted. Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 24  Packet Pg. 181 of 637  Professional Services Rev. Oct 16,2024 Page 18 of 28 EXHIBIT B SCHEDULE OF PERFORMANCE CONSULTANT shall perform the Services so as to complete each milestone within the number of days/weeks specified below. The time to complete each milestone may be increased or decreased by mutual written agreement of the Project Managers for CONSULTANT and CITY so long as all work is completed within the term of the Agreement. CONSULTANT shall provide a detailed schedule of work consistent with the schedule below within 2 weeks of receipt of the notice to proceed (“NTP”) from the CITY. Goals/Milestones Completion Date Goal A: Community Education and Outreach Ongoing Goal A.i: Organize and conduct the annual Mayor’s Tree Planting event Annual, Q3 Goal A.ii: Coordinate the annual Arbor Day Festival or Celebration Annual, Usually Q4 Goal A.vii.2: Lead four (4) tree walks to educate and motivate residents to plant, steward, and celebrate trees Ongoing, 4 per FY Goal B.i: Plant 100 trees during each FY of the contract for a contract term total of at least 300 trees Contract Term Goal B.i.1: Replace up to 25 trees each FY that have failed within the first three (3) years of planting date As Needed, Contract Term Goal B.ii: Organize and host at least three (3) community planting events for each FY of the contract Annual Goal C.i: Conduct an annual Citywide survey of newly planted public trees and report this information to the Urban Forestry Section of the Public Works Department and to community residents Annual Goal C.ii.1: Provide tree care monitoring of newly planted trees for three (3) years post planting Ongoing Goal C.ii.2: Implement a Digital Tree Health Survey to maintain open lines of communication with tree stewards to identify and prioritize young tree care work in Palo Alto Annual Goal C.ii.3: Host up to four (4) volunteer tree care workshops per each FY of the contract term Annual Goal D.i: Manage and maintain the City’s open data portal Ongoing Goal D.ii: Administer Palo Alto Utility Department’s Right Tree in the Right Place Program (RTRP). Ongoing Optional Schedule of Performance Provision for On-Call or Additional Services Agreements. (This provision only applies if checked and only applies to on-call agreements per Section 1 or agreements with Additional Services per Section 4.) The schedule of performance shall be as provided in the approved Task Order, as detailed in Section 1 (Scope of Services) in the case of on-call Services, or as detailed in Section 4 in the case of Additional Services, provided in all cases that the schedule of performance shall fall within the term as provided in Section 2 (Term) of this Agreement. Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 25  Packet Pg. 182 of 637  Professional Services Rev. Oct 16,2024 Page 19 of 28 EXHIBIT C COMPENSATION CITY agrees to compensate CONSULTANT for Services performed in accordance with the terms and conditions of this Agreement, and as set forth in the budget schedule below. Compensation shall be calculated based on the rate schedule attached as Exhibit C-1 up to the not to exceed budget amount for each task set forth below. CONSULTANT shall perform the tasks and categories of work as outlined and budgeted below. The CITY’s Project Manager may approve in writing the transfer of budget amounts between any of the tasks or categories listed below provided the total compensation for Basic Services, including reimbursable expenses, and the total compensation for Additional Services do not exceed the amounts set forth in Section 4 of this Agreement. BUDGET SCHEDULE AMOUNT NOT TO EXCEED TASK DESCRIPTION – FULL DESCRIPTIONS IN EXHIBIT A FY26 FY27 FY28 CATEGORY SUBTOTAL GOAL NOT TO EXCEED Goal A: Community Education and Outreach $100,000 $103,000 $106,093 $309,093 Goal A.i: Mayor’s Tree Planting $10,000 $10,300 $10,609 $30,909 Goal A.ii: Arbor Day Events $15,000 $15,450 $15,914 $46,364 Goal A.vii: Community Tree Walks, Website and Communication $25,000 $25,750 $26,523 $77,273 Goal A: Other Basic Services Related to Community Education and Outreach $50,000 $51,500 $53,047 $154,547 Goal B: Tree Planting $135,000 $139,050 $143,223 $417,273 Goal B.i: Plant Trees (includes Volunteers) $100,000 $103,000 $106,090 $309,090 Goal B.i.1: Tree Replacement (if needed) $5,000 $5,150 $5,305 $15,455 Goal B.ii: Community Planting Events $5,000 $5,150 $5,305 $15,455 Goal B.iii: Canopy Disparity Strategy $25,000 $25,750 $26,523 $77,273 Goal C: Tree Assessment and Tree Care $130,000 $133,900 $137,918 $401,818 Goal C.i: Young Tree Care Survey $50,000 $51,500 $53,045 $154,545 Goal C.ii: Digital Tree Health Survey $25,000 $25,750 $26,523 $77,273 Goal C: Other Service Related to Tree Assessment and Tree Care $55,000 $56,650 $58,350 $170,000 Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 26  Packet Pg. 183 of 637  Professional Services Rev. Oct 16,2024 Page 20 of 28 TASK DESCRIPTION – FULL DESCRIPTIONS IN EXHIBIT A FY26 FY27 FY28 CATEGORY SUBTOTAL GOAL NOT TO EXCEED Goal D: Urban Forestry Program Assistance $35,000 $36,050 $37,132 $108,182 Goal D.i: Maintain and Manage Open Data Portal $20,000 $20,600 $21,218 $61,818 Goal D.ii: Administer Right Tree, Right Place Program $15,000 $15,450 $15,914 $46,364 Total Contract All Tasks Not to Exceed: $400,000 $412,000 $424,366 $1,236,366 Sub-total Basic Services $1,236,366 Reimbursable Expenses $0 Total Basic Services & Reimbursable expenses $1,236,366 Additional Services (Not to Exceed) $0 Maximum Total Compensation $1,236,366 REIMBURSABLE EXPENSES CONSULTANT’S ordinary business expenses, such as administrative, overhead, administrative support time/overtime, information systems, software and hardware, photocopying, telecommunications (telephone, internet), in-house printing, insurance and other ordinary business expenses, are included within the scope of payment for Services and are not reimbursable expenses hereunder. Reimbursable expenses, if any are specified as reimbursable under this section, will be reimbursed at actual cost. The expenses (by type, e.g. travel) for which CONSULTANT will be reimbursed are: NONE up to the not-to-exceed amount of: $0.00. All requests for reimbursement of expenses, if any are specified as reimbursable under this section, shall be accompanied by appropriate backup documentation and information. Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 27  Packet Pg. 184 of 637  Professional Services Rev. Oct 16,2024 Page 21 of 28 EXHIBIT C-1 SCHEDULE OF RATES CONSULTANT’s schedule of rates is as follows: SCHEDULE OF RATES FOR CONTRACT TERM - FY2026 TO FY2028 Position Title Hourly Rate ($) Executive Director 173.00 Deputy Director 156.00 Director of Impact 151.00 Tree Program Manager 151.00 Community Forestry Coordinator II 71.00 Tree Care Coordinator II 71.00 Education Director 151.00 Adult Educator 71.00 Environmental Educator 79.00 Youth Programs Manager 79.00 Operations Manager 97.00 YTCS Intern 35.00 TUFs 32.00 Communications Manager 71.00 Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 28  Packet Pg. 185 of 637  Professional Services Rev. Oct 16,2024 Page 22 of 28 EXHIBIT D INSURANCE REQUIREMENTS CONSULTANTS TO THE CITY OF PALO ALTO (CITY), AT THEIR SOLE EXPENSE, SHALL FOR THE TERM OF THE CONTRACT OBTAIN AND MAINTAIN INSURANCE IN THE AMOUNTS FOR THE COVERAGE SPECIFIED BELOW, 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. AWARD IS CONTINGENT ON COMPLIANCE WITH CITY’S INSURANCE REQUIREMENTS AS SPECIFIED HEREIN. REQUIRED TYPE OF COVERAGE REQUIREMENT MINIMUM LIMITS EACH OCCURRENCE AGGREGATE YES YES WORKER’S COMPENSATION EMPLOYER’S LIABILITY STATUTORY STATUTORY 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 YES 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: CONSULTANT, 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 CONSULTANT AND ITS SUBCONSULTANTS, 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 CONSULTANT’S AGREEMENT TO INDEMNIFY CITY. II. THE CONSULTANT MUST SUBMIT CERTIFICATES(S) OF INSURANCE EVIDENCING REQUIRED COVERAGE AT THE FOLLOWING EMAIL: PURCHASINGSUPPORT@PALOALTO.GOV 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. Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 29  Packet Pg. 186 of 637  Professional Services Rev. Oct 16,2024 Page 23 of 28 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 1. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR ANY REASON OTHER THAN THE NON-PAYMENT OF PREMIUM, THE CONSULTANT 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 CONSULTANT 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 SENT TO THE FOLLOWING EMAIL: PURCHASINGSUPPORT@PALOALTO.GOV Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 30  Packet Pg. 187 of 637  Professional Services Rev. Oct 16,2024 Page 24 of 28 EXHIBIT E DIR REGISTRATION FOR PUBLIC WORKS CONTRACTS (NOT APPLICABLE) This Exhibit shall apply only to a contract for public works construction, alteration, demolition, repair or maintenance work, CITY will not accept a bid proposal from or enter into this Agreement with CONSULTANT without proof that CONSULTANT and its listed subcontractors are registered with the California Department of Industrial Relations (“DIR”) to perform public work, subject to limited exceptions. City requires CONSULTANT and its listed subcontractors, if any, 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 Section 16000 et seq., as amended from time to time. This Exhibit E applies in addition to the provisions of Section 26 (Prevailing Wages and DIR Registration for Public Works Contracts) of the Agreement. CITY provides notice to CONSULTANT 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 contractor is registered to perform public work pursuant to Section 1725.5 at the time the contract is awarded.” This Project is subject to compliance monitoring and enforcement by DIR. All contractors must be registered with DIR per Labor Code Section 1725.5 in order to submit a bid. All subcontractors must also be registered with DIR. No contractor or subcontractor may be awarded a contract for public work on a public works project unless registered with DIR. Additional information regarding public works and prevailing wage requirements is available on the DIR web site (see e.g. http://www.dir.ca.gov) as amended from time to time. CITY gives notice to CONSULTANT and its listed subcontractors that CONSULTANT is required to post all job site notices prescribed by law or regulation. CONSULTANT 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 CONSULTANT and its listed subcontractors to comply with the requirements of Labor Code Section 1776, including but not limited to: 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 employed by, respectively, CONSULTANT and its listed subcontractors, in connection with the Project. Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 31  Packet Pg. 188 of 637  Professional Services Rev. Oct 16,2024 Page 25 of 28 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 CONSULTANT and its listed subcontractors, respectively. At the request of CITY, acting by its Project Manager, CONSULTANT and its listed subcontractors shall make the certified payroll records available for inspection or furnished upon request to the CITY Project Manager within ten (10) days of receipt of CITY’s request. CITY requests CONSULTANT and its listed subcontractors to submit the certified payroll records to CITY’s Project Manager at the end of each week during the Project. If the certified payroll records are not provided as required within the 10-day period, then CONSULTANT and its listed 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 CONSULTANT. Inform CITY’s Project Manager of the location of CONSULTANT’s and its listed subcontractors’ payroll records (street address, city and county) at the commencement of the Project, and also provide notice to CITY’s Project Manager within five (5) business days of any change of location of those payroll records. Eight (8) hours labor constitutes a legal day’s work. CONSULTANT shall forfeit as a penalty to CITY, $25.00 for each worker employed in the execution of the Agreement by CONSULTANT or any subcontractor for each calendar day during which such worker is required or permitted to work more than eight (8) hours in any one calendar day or forty (40) hours in any one calendar week in violation of the provisions of the Labor Code, and in particular, Sections 1810 through 1815 thereof, except that work performed by employees of CONSULTANT or any subcontractor in excess of eight (8) hours per day, or forty (40) hours during any one week, shall be permitted upon compensation for all hours worked in excess of eight (8) hours per day, or forty (40) hours per week, at not less than one and one-half (1&1/2) times the basic rate of pay, as provided in Section 1815. CONSULTANT shall secure the payment of workers’ compensation to its employees as provided in Labor Code Sections 1860 and 3700 (Labor Code 1861). CONSULTANT shall sign and file with the CITY a statutorily prescribed statement acknowledging its obligation to secure the payment of workers’ compensation to its employees before beginning work (Labor Code 1861). CONSULTANT shall post job site notices per regulation (Labor Code 1771.4(a)(2)). CONSULTANT 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. Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 32  Packet Pg. 189 of 637  Professional Services Rev. Oct 16,2024 Page 26 of 28 EXHIBIT F CLAIMS FOR PUBLIC CONTRACT CODE SECTION 9204 PUBLIC WORKS PROJECTS The provisions of this Exhibit are provided in compliance with Public Contract Code Section 9204; they provide the exclusive procedures for any claims pursuant to Public Contract Code Section 9204 related to the Services performed under this Agreement. 1. Claim Definition. “Claim” means a separate demand by the Contractor sent by registered mail or certified mail with return receipt requested, for one or more of the following: (A) A time extension, including, without limitation, for relief from damages or penalties for delay assessed by the City. (B) Payment by the City of money or damages arising from the Services performed by, or on behalf of, the Contractor pursuant to the Agreement and payment for which is not otherwise expressly provided or to which the Contractor is not otherwise entitled. (C) Payment of an amount that is disputed by the City. 2. Claim Process. (A) Timing. Any Claim must be submitted to City in compliance with the requirements of this Exhibit no later than fourteen (14) days following the event or occurrence giving rise to the Claim. This time requirement is mandatory; failure to submit a Claim within fourteen (14) days will result in its being deemed waived. (B) Submission. The Claim must be submitted to City in writing, clearly identified as a “Claim” submitted pursuant to this Exhibit, and must include reasonable documentation substantiating the Claim. The Claim must clearly identify and describe the dispute, including relevant references to applicable portions of the Agreement, and a chronology of relevant events. Any Claim for additional payment must include a complete, itemized breakdown of all labor, materials, taxes, insurance, and subcontract, or other costs. Substantiating documentation such as payroll records, receipts, invoices, or the like, must be submitted in support of each claimed cost. Any Claim for an extension of time or delay costs must be substantiated with schedule analysis and narrative depicting and explaining claimed time impacts. (C) Review. Upon receipt of a Claim in compliance with this Exhibit, the City shall conduct a reasonable review of the Claim and, within a period not to exceed 45 days from receipt, shall provide the Contractor a written statement identifying what portion of the Claim is disputed and what portion is undisputed. Upon receipt of a Claim, the City and Contractor may, by mutual agreement, extend the time period provided in this paragraph 2. (D) If City Council Approval Required. If the City needs approval from the City Council to provide the Contractor a written statement identifying the disputed portion and the undisputed portion of the Claim, and the City Council does not meet within the 45 days or within the mutually agreed to extension of time following receipt of a Claim sent by registered mail or certified mail, return receipt requested, the City shall have up to three days following the next duly publicly noticed meeting of the City Council after the 45-day period, or extension, expires to provide the Contractor a written statement identifying the disputed portion and the undisputed portion. Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 33  Packet Pg. 190 of 637  Professional Services Rev. Oct 16,2024 Page 27 of 28 (E) Payment. Any payment due on an undisputed portion of the Claim shall be processed and made within 60 days after the City issues its written statement. If the City fails to issue a written statement, paragraph 3, below, shall apply. 3. Disputed Claims (A) Meet and Confer. If the Contractor disputes the City's written response, or if the City fails to respond to a Claim submitted pursuant to this Exhibit within the time prescribed, the Contractor may demand in writing an informal conference to meet and confer for settlement of the issues in dispute. Upon receipt of a demand in writing sent by registered mail or certified mail, return receipt requested, the City shall schedule a meet and confer conference within 30 days for settlement of the dispute. Within 10 business days following the conclusion of the meet and confer conference, if the Claim or any portion of the Claim remains in dispute, the City shall provide the Contractor a written statement identifying the portion of the Claim that remains in dispute and the portion that is undisputed. Any payment due on an undisputed portion of the Claim shall be processed and made within 60 days after the City issues its written statement. (B) Mediation. Any remaining disputed portion of the Claim, as identified by the Contractor in writing, shall be submitted to nonbinding mediation, with the City and the Contractor sharing the associated costs equally. The City and Contractor shall mutually agree to a mediator within 10 business days after the disputed portion of the Claim has been identified in writing by the Contractor. If the parties cannot agree upon a mediator, each party shall select a mediator and those mediators shall select a qualified neutral third party to mediate the disputed portion of the Claim. Each party shall bear the fees and costs charged by its respective mediator in connection with the selection of the neutral mediator. If mediation is unsuccessful, the parts of the Claim remaining in dispute shall be subject to any other remedies authorized by the Agreement and laws. (i) For purposes of this paragraph 3.B, mediation includes any nonbinding process, including, but not limited to, neutral evaluation or a dispute review board, in which an independent third party or board assists the parties in dispute resolution through negotiation or by issuance of an evaluation. Any mediation utilized shall conform to the timeframes in this section. (ii) Unless otherwise agreed to by the City and the Contractor in writing, the mediation conducted pursuant to this section shall excuse any further obligation, if any, under Public Contract Code Section 20104.4 to mediate after litigation has been commenced. 4. City’s Failure to Respond. Failure by the City to respond to a Claim from the Contractor within the time periods described in this Exhibit or to otherwise meet the time requirements of this Exhibit shall result in the Claim being deemed rejected in its entirety. A Claim that is de nied by reason of the City's failure to have responded to a Claim, or its failure to otherwise meet the time requirements of this Exhibit, shall not constitute an adverse finding with regard to the merits of the Claim or the responsibility or qualifications of the Contractor. 5. Interest. Amounts not paid in a timely manner as required by this section shall bear interest at seven (7) percent per annum. Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 34  Packet Pg. 191 of 637  Professional Services Rev. Oct 16,2024 Page 28 of 28 6. Approved Subcontractor Claims. If an approved subcontractor or a lower tier subcontractor lacks legal standing to assert a Claim against the City because privity of contract does not exist, the Contractor may present to the City a Claim on behalf of a subcontractor or lower tier subcontractor. A subcontractor may request in writing, either on his or her own behalf or on behalf of a lower tier subcontractor, that the Contractor present a Claim for work which was performed by the subcontractor or by a lower tier subcontractor on behalf of the subcontractor. The subcontractor requesting that the Claim be presented to the City shall furnish reasonable documentation to support the Claim. Within 45 days of receipt of this written request, the Contractor shall notify the subcontractor in writing as to whether the Contractor presented the claim to the City and, if the Contractor did not present the claim, provide the subcontractor with a statement of the reasons for not having done so. 7. Waiver of Provisions. A waiver of the rights granted by Public Contract Code Section 9204 is void and contrary to public policy, provided, however, that (1) upon receipt of a Claim, the parties may mutually agree to waive, in writing, mediation and proceed directly to the commencement of a civil action or binding arbitration, as applicable; and (2) the City may prescribe reasonable change order, claim, and dispute resolution procedures and requirements in addition to the provisions of Public Contract Code Section 9204, so long as the contractual provisions do not conflict with or otherwise impair the timeframes and procedures set forth in this section. Docusign Envelope ID: 65FB9527-8355-4D29-84F3-6CE49122734C Item 15 Attachment A - Canopy Contract C26193655        Item 15: Staff Report Pg. 35  Packet Pg. 192 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Administrative Services Meeting Date: December 15, 2025 Report #:2511-5487 TITLE Adoption of a Resolution Approving Conduit Financing for Charities Housing Development Corporation, on behalf of El Camino PA, L.P., for the 130-Unit Affordable Multifamily Housing Rental Project Located at 3001 El Camino Real, and Approving the Issuance of Revenue Bonds not to exceed $80 Million by the California Municipal Finance Authority (CMFA) for the Purpose of Financing and Refinancing the Acquisition, Development, Construction and Equipping of Project; CEQA Status: Not a Project RECOMMENDATION Staff recommend that City Council adopt a Resolution (Attachment A) approving the issuance of the Bonds by the CMFA for the benefit of El Camino PA, L.P. (the “Borrower”), to provide for the financing of the Project, such adoption is solely for the purposes of satisfying the requirements of TEFRA, and California Government Code Section 6500 (and following). BACKGROUND Charities Housing Development Corporation (the “Sponsor”), on behalf of El Camino PA, L.P. (the “Borrower”), has requested that the California Municipal Finance Authority (the “Authority”) issue one or more series of revenue bonds in an aggregate principal amount not to exceed $80 million (the “Bonds”), for the acquisition, development, construction, and equipping of a 130-unit multifamily rental housing development for low-income households (the “Project”), to be located in the City of Palo Alto, California (the “City”), at 3001 El Camino Real. There is no financial impact to the City from its approval of the issuance of the Bonds. The Authority will act as issuer and perform all necessary legal and administrative responsibilities associated with the financing. The Bonds are special, limited, obligations of the Authority payable solely through the repayment of the loan by the Borrower, which will be used to pay the principal of, and interest on, the bonds. The bonds issued by the Authority are not an obligation of the City or any member of the Authority. Item 16 Item 16 Staff Report        Item 16: Staff Report Pg. 1  Packet Pg. 193 of 637  ANALYSIS In order for all or a portion of the bonds to qualify as tax-exempt bonds, the Federal Tax Equity and Fiscal Responsibility Act of 1982 (“TEFRA”) requires (a) a public hearing commonly referred to as a “TEFRA Hearing”, to be conducted, providing members of the community an opportunity to speak in favor of or against the use of tax-exempt bonds for the financing of the Project and (b) adoption of a Resolution by the City Council approving the issuance of the Bonds by the Authority for the benefit of the Borrower’s Project. According to TEFRA requirements, prior to the hearing, reasonable notice must be provided to the members of the community. Following the close of the TEFRA Hearing, an “applicable elected representative” of the governmental unit hosting the Project must provide its approval of the deemed issuance of the bonds for the financing of the Project. The public hearing requirement under TEFRA was satisfied by the Authority, which conducted a toll-free telephonic TEFRA hearing on November 20, 2025 at 10:30 A.M., in compliance with Section 147(f) of the Internal Revenue Code of 1986. As cited in the published notice on November 12, 2025 in the Daily Post, the public hearing is an opportunity for all interested persons to speak or to submit written comments concerning the proposals to issue the debt and the nature or location of the facility to be financed. The next step, because the Project is located within the jurisdiction of the City of Palo Alto, is for City Council to adopt the resolution (Attachment A), approving the issuance of bonds by the Authority for the benefit of the Borrower. The Bonds are intended to finance the acquisition, development, construction and equipping of the Project, to be located in the City at 3001 El Camino Real. TEFRA approval is a precondition to the use of tax-exempt obligations for the Project, without which financing of the Project as affordable housing would have to be abandoned. The Authority is a joint powers authority that the City became a member of on April 14, 2008. The Authority is a public entity, separate and apart from each member executing such agreement. The debts, liabilities and obligations of the Authority do not constitute debts, liabilities or obligations of the members executing such agreement. The Bonds to be issued by the Authority for the Project will be the sole responsibility of the Borrower, and the City will have no financial, legal, moral obligation, liability or responsibility for the Project or the repayment of the Bonds for the financing of the Project. All financing documents with respect to the issuance of the bonds will contain clear disclaimers that the Bonds are not obligations of the City or the State of California but are to be paid for solely from funds provided by the Borrower. Outside of adopting the required resolution approving issuance of the bonds, no other participation or activity of the City or the City Council with respect to the issuance of the Bonds will be required. Based on the benefits of the Project to the Palo Alto community and the lack Item 16 Item 16 Staff Report        Item 16: Staff Report Pg. 2  Packet Pg. 194 of 637  of any financial obligations on the part of the City, staff recommend that Council adopt the attached resolution. POLICY IMPLICATIONS e.g., approving tax-exempt financing through the California Municipal Finance Authority for Wilton Court in 2020 (CMR: 10976).) FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 16 Item 16 Staff Report        Item 16: Staff Report Pg. 3  Packet Pg. 195 of 637  RESOLUTION NO. 25- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALO ALTO APPROVING A PLAN OF FINANCE OF THE CALIFORNIA MUNICIPAL FINANCE AUTHORITY TO ISSUE AND REISSUE REVENUE BONDS FOR A QUALIFIED RESIDENTIAL RENTAL PROJECT FOR THE BENEFIT OF EL CAMINO PA, L.P., AND CERTAIN OTHER MATTERS RELATING THERETO WHEREAS, Charities Housing Development Corporation of Santa Clara County, a California nonprofit public benefit corporation (the “Developer”), on behalf of El Camino PA, L.P., a California limited partnership, or another ownership entity created by El Camino PA DE LLC, a Delaware limited liability company, its general partner (the “General Partner”), or by another affiliate of the Developer (such limited partnership or other ownership entity, the “Borrower”), has requested that the California Municipal Finance Authority (the “Authority”) undertake a proposed plan of finance to issue and reissue from time to time one or more series of revenue bonds in an outstanding principal amount not to exceed $80,000,000 (the “Bonds”) to finance and refinance the acquisition, construction, development and equipping of a 130-unit qualified residential rental project (the “Project”) to be owned and operated by the Borrower and located at 3001–3017 El Camino Real within the City of Palo Alto, California (the “City”); and WHEREAS, an “applicable elected representative” of the jurisdiction in which the Project is to be located is required to approve the proposed plan of finance for the Project under Section 147(f) of the Internal Revenue Code of 1986, as amended (the “Code”); and WHEREAS, the City Council of Palo Alto (the “City Council”) is the elected legislative body of the City and is an “applicable elected representative” for purposes of Section 147(f) of the Code; and WHEREAS, the Authority has advised that the Bonds may be issued pursuant to a “plan of finance” to issue an original issue of Bonds and to issue or reissue one or more additional series of Bonds from time to time after the original issue of Bonds, if necessary or desirable to comply with applicable legal requirements, all in an aggregate principal amount not to exceed $80,000,000 to finance the Project, and all within the three-year period commencing on the date of the issuance of the first series of Bonds pursuant to this resolution; and WHEREAS, the Authority has requested that the City Council approve the proposed plan of finance in order to satisfy the public approval requirement of Section 147(f) of the Code and the requirements of Section 4 of the Joint Exercise of Powers Agreement Relating to the California Municipal Finance Authority, dated as of January 1, 2004 (the “Agreement”), among certain local agencies, including the City; and WHEREAS, pursuant to Section 147(f) of the Code, the Authority has, following notice duly given, held a public hearing regarding the issuance of the Bonds, and the City Council now desires to approve the proposed plan of finance for the Project; NOW, THEREFORE, BE IT RESOLVED, by the City Council of Palo Alto, as follows: Section 1. The foregoing recitals are true and correct. Section 2. The City Council hereby approves the proposed plan of finance of the Authority to issue and reissue from time to time of one or more series of revenue bonds in an outstanding Item 16 Attachment A - Resolution of the City Council of the City of Palo Alto Approving a Plan of Finance of the California Municipal Finance Authority to Issue and Reissue Revenue Bonds for a Qualified Residential Rental Project for the Benefit of El Camino PA, L.P.        Item 16: Staff Report Pg. 4  Packet Pg. 196 of 637  principal amount not to exceed $80,000,000. It is the purpose and intent of the City Council that this resolution constitute approval of the proposed plan of finance for the Project for the purposes of (a) Section 147(f) of the Code by the applicable elected representative of a governmental unit having jurisdiction over the area in which the Project is to be located, in accordance with said Section 147(f) and (b) Section 4 of the Agreement. Section 3. The officers of the City are hereby authorized and directed, jointly and severally, to do any and all things and to execute and deliver any and all documents which they deem necessary or advisable in order to carry out, give effect to and comply with the terms and intent of this resolution and the financing transaction approved hereby. Section 4. The City Clerk shall forward a certified copy of this Resolution to the Authority in care of its counsel: Ronald E. Lee, Esq. Jones Hall LLP 4 West 4th Street, Suite 406 San Mateo, CA 94402 Section 5. This resolution shall take effect immediately upon its adoption. PASSED AND ADOPTED by the City Council of the City of Palo Alto this day of , 2025. AYES: NOES: ABSTAIN: ABSENT: [SEAL] Attest: By: City Clerk Item 16 Attachment A - Resolution of the City Council of the City of Palo Alto Approving a Plan of Finance of the California Municipal Finance Authority to Issue and Reissue Revenue Bonds for a Qualified Residential Rental Project for the Benefit of El Camino PA, L.P.        Item 16: Staff Report Pg. 5  Packet Pg. 197 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Public Works Meeting Date: December 15, 2025 Report #:2509-5243 TITLE Approval of General Services Contract No. C26195803 with Genuine Parts Company dba Napa Auto Parts for an Amount Not-to-Exceed $6,238,832 for an On-Site Fleet Parts and Inventory Program for a Six-Year Term Utilizing Pricing Set by Cooperative Sourcewell Contract No. 090624-GPC, and Approval of a Budget Amendment in the Vehicle Replacement and Maintenance Fund; CEQA Status - Not a Project RECOMMENDATION Staff recommends that the City Council: 1. Approve and authorize the City Manager or their designee to execute Contract No. C25193345 with Genuine Parts Company dba Napa Auto Parts (“NAPA”) for an amount not-to-exceed $6,238,832 for an on-site fleet parts and inventory program for a term of six years (January 1, 2026 through December 31, 2031), with pricing set by cooperative Sourcewell Contract No. 090624-GPC with Genuine Auto Parts Company dba Napa Integrated Business Solutions; and 2. Amend the Fiscal Year 2026 Adopted Operating Budget Appropriation (2/3 vote needed) for the Vehicle Replacement and Maintenance Fund by: a. Increasing the expense appropriation for Vehicle Operations and Maintenance contract services by $601,837; and b. Decreasing the Vehicle Replacement and Maintenance Fund Balance by $601,837. Note: Exhibit C allows adjustment between contract year amounts, provided that the total not- to-exceed amount of the contract over the life of the contract term is not exceeded. EXECUTIVE SUMMARY Staff recommends City Council approval of Contract No. C26195803 with Genuine Parts Company dba NAPA Auto Parts for an amount not-to-exceed $6,238,832 to continue the City’s on-site fleet parts and inventory program for a six-year term from January 1, 2026, through December 31, 2031. The proposed contract utilizes cooperative Sourcewell Contract No. Item 17 Item 17 Staff Report        Item 17: Staff Report Pg. 1  Packet Pg. 198 of 637  090624-GPC to maintain competitive pricing and ensure continuity of service following a successful pilot and subsequent agreements with NAPA dating back to 2016. Approval of this contract will allow the City to avoid significant operational disruptions and additional staffing costs that would result if parts management services were brought back in-house, while maintaining the efficiencies and cost savings achieved under the existing program. The recommended appropriations amendment is due to a misalignment of this contract with Fiscal Year timing. To correctly align this new NAPA contract, FY 2026 funding is needed for a portion of Year 4 of the current NAPA contract and the entirety of Year 1 of this new contract. This is a one-time fix that will realign the encumbrances moving forward. BACKGROUND In August 2016, the City contracted parts operations to NAPA as a three-year pilot after approval by City Council on August 15, 2016 (CMR #7027). Analysis conducted by staff indicated that the pilot with NAPA was successful and benefited the City in overall cost savings. The following is a history of contractual relationships with NAPA: The pilot ended on July 21, 2019 and was renewed for one additional year via Amendment No. 1 on August 12, 2019, which aligned with the term of NAPA’s cooperative contract with Sourcewell (CMR #10512). Amendment No. 2 was executed on June 15, 2020 for a second one-year extension through July 21, 2021 and to add funding accordingly (CMR# 11263). Amendment No. 3 was entered into on July 7, 2021, to extend the term through January 20, 2022 at no added cost to the City, and an exemption to competitive solicitation was approved under municipal code section 2.30.290 (b)(1) to give staff time to bring forward the request to approve a new three-year contract with NAPA. Council approved the existing three-year contract with NAPA which began January 24, 2022 and was set to expire on January 23, 2025 (CMR# 13835)1 . Staff utilized the option to extend the contract an additional year via Amendment No. 1, with the contract expiring on December 29, 2025. ANALYSIS On January 8, 2025, NAPA entered into a new competitively-solicited cooperative contract with Sourcewell (a cooperative purchasing group for government, education, and nonprofit agencies), for an initial four-year term, expiring January 10, 2029, with the option to renew for three additional one-year terms through January 10, 2032 2. To align with the term of the 1 City Council, May 23, 2022; Agenda Item #4; SR #13835, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=81723 2 NAPA IBS Contract with Sourcewell for On-Site Parts Management, Contract #100124; Item 17 Item 17 Staff Report        Item 17: Staff Report Pg. 2  Packet Pg. 199 of 637  https://www.paloalto.gov/files/assets/public/v/1/public-works/public-services/fleet/genuine-parts-company-dba- napa-contract-100124.pdf Item 17 Item 17 Staff Report        Item 17: Staff Report Pg. 3  Packet Pg. 200 of 637  Sourcewell Contract, staff recommends Council approve a contract (Attachment B) between the City and NAPA for an initial three-year term, ending December 31, 2028, with the option to extend the contract for up to three additional one-year terms, ending December 31, 2031, if NAPA renews its contract with Sourcewell. This approach provides continuity of service while ensuring that the City‘s contract does not extend beyond the availability of cooperative pricing. Although the contract delineates annual amounts, Exhibit C of the contract permits the parties to adjust these amounts and/or the City’s amount of services if the City exceeds or is projected to exceed the aforementioned contract year annual amounts. These adjustments are subject to the provision that the City does not surpass the total not-to-exceed amount of the recommended contract, which is $6,238,832 over a six-year term. Item 17 Item 17 Staff Report        Item 17: Staff Report Pg. 4  Packet Pg. 201 of 637  Table #1: Comparison of Contract Rate Schedules CURRENT CONTRACT PROPOSED CONTRACT Term Salary/ Operating Expenses Contract (Parts Est.)Total Salary/ Operating Expense Contract (Parts Est.)Total Year 1 $93,701 $652,500 $746,201 $127,656 $813,912 $941,568 Year 2 $96,512 $672,075 (3%↑)$768,587 $131,485 $838,329 (3%↑)$969,815 Year 3 $99,408 $692,237 (3%↑)$791,645 $135,430 $863,479 (3%↑)$998,909 Year 4 $104,378 $726,849 (5%↑)$831,227 $142,201 $906,653 (5%↑)$1,048,855 Year 5 N/A N/A N/A $149,311 $951,986 (5%↑)$1,101,297 Year 6 N/A N/A N/A $159,763 $1,018,625 (7%↑) $1,178,388 If this recommendation is not approved, Public Works Department Fleet staff would be required to reassume parts management services. By discontinuing services with NAPA, Fleet and Administrative Services Department Purchasing staff would encounter a substantial workload increase to manage all the parts-related contracts required to conduct business. Insourcing this function would require approximately 1.5 full time equivalent staffing capacity plus parts inventory. The cost to purchase parts inventory necessary to keep on-hand is estimated to cost $320,000. FISCAL/RESOURCE IMPACT Partial funding for Year 1 of this contract is available in the Fiscal Year 2026 Vehicle Replacement and Maintenance Fund Adopted Operating Budget. For the remaining portion, staff recommends increasing the Public Works Department Vehicle Operations and Maintenance Operating Budget by $601,837 and decreasing the Vehicle Replacement and Maintenance Fund balance by the same amount. The recommended appropriations amendment is due to a misalignment of this contract with Fiscal Year timing. To correctly align this new NAPA contract, FY 2026 funding is needed for a portion of Year 4 of the current NAPA contract and the entirety of Year 1 of this new contract. This is a one-time fix that will realign the encumbrances moving forward. The Vehicle Replacement and Maintenance Fund (VRM) is supported through an internal service fund model. Approximately 60% of VRM‘s costs are funded by the General Fund, with the remaining 40% supported by enterprise and special revenue funds. Funding for subsequent years of the contract is subject to appropriation of funds through the annual budget process and Council approval. Item 17 Item 17 Staff Report        Item 17: Staff Report Pg. 5  Packet Pg. 202 of 637  STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 17 Item 17 Staff Report        Item 17: Staff Report Pg. 6  Packet Pg. 203 of 637  Pricing Option 10% Margin Palo Alto IBS 10% Margin Model Item Description Sourcewell Monthly First Year Second Year Third Year Fourth Year Fifth Year % of Purchases Sixth Year 3% escalation 3% escalation 5% Escalation 5% Escalation 7% Escalation Customer Purchases 67,826 813,912 838,329 863,479 906,653 951,986 1,018,625 Parts Bill For Customer Cost of Goods to NAPA 61,043 732,521 754,496 777,131 815,988 856,787 916,762 90.00%NAPA IBS Cost of Goods NAPA Margin on Parts 6,783 81,391 83,833 86,348 90,665 95,199 101,862 10.00%NAPA IBS Gross Margin (Point of Sale) GROSS MARGIN 6,783 81,391 83,833 86,348 90,665 95,199 101,862 10.00%NAPA IBS Gross Margin (Point of Sale) Centralized Accounting/Admin Fees 678 8,139 8,383 8,635 9,067 9,520 10,186 1.00%Fixed Expense at .99% of purchases, Accounting & Data Processing Fee Payroll These costs will vary based on scope, hours and responsibilities as required per each contract Manager/Counter Salaries 5,891.61 70,699 72,820 75,005 78,755 82,693 88,481 8.69%Cost of Dedicated Parts Manager/Project Manager and any parts clerks for IBS Site Delivery Driver Salaries 0 0 0 0 0 0 0 0.00%Delivery Driver Pay - if applicable for a site there will be a charge in this category Pension/401K 324 3,888 4,005 4,125 4,331 4,548 4,866 0.48%Fixed Expense at .45% of customer monthly purchases Insurance 626 7,513 7,739 7,971 8,369 8,788 9,403 0.92%Mainly Group Insurance Premiums for on-site NAPA IBS staff Workers Comp Insurance 0 0 0 0 0 0 0 0.00%Insurance - General and Worker's Comp for on-site NAPA IBS staff FICA 467 5,604 5,772 5,945 6,243 6,555 7,014 0.69%Payroll Taxes for NAPA IBS On-Site Employees Total IBS Payroll 7,309 87,705 90,336 93,046 97,698 102,583 109,764 10.78% Miscellaneous Expenses Delivery Truck Insurance 0 0 0 0 0 0 0 0.00%Insurance Coverage for delivery trucks required per contract - if applicable Delivery Maintenance/Gas 0 0 0 0 0 0 0 0.00%Vehicle Repairs and Fuel for Delivery Vehicles required per contract - if applicable Truck Payment 0 0 0 0 0 0 0 0.00%Lease/Depreciation Payment for any Delivery Trucks required per contract - if applicable Inventory Insurance 0 0 0 0 0 0 0 0.00%Small insurance on our on-site inventory assets Shelving/Equipment Depreciation 0 0 0 0 0 0 0 0.00%Shelving needed for secure parts location - if customer requires us to add shelving. Cage, etc - if applicable Store Expenses 103 1,236 1,273 1,311 1,377 1,446 1,547 0.15%Misc. Store Expenses (Printer Ink, Paper, Barcode Labels etc.) P-Card Card Fees 0 0 0 0 0 0 0 0.00%Credit Card Processing Fees - only if agency uses a p-card to pay NAPA parts and or operating statements Phone/Internet 0 0 0 0 0 0 0 0.00%Phone and/or Internet Charges (if not provided from Customer) TAMS Inventory Computer 1,000 12,000 12,360 12,731 13,367 14,036 15,018 1.47%TAMS Computer & Equipment Lease/Depreciation Expense, Maint./Support Fee's & Tams Misc. Expenses Taxes 1,106 13,272 13,670 14,080 14,784 15,523 16,610 1.63%Sales and Use Taxes, Personal Property Tax - only if applicable Freight & Postage 442 5,304 5,463 5,627 5,908 6,204 6,638 0.65%Estimated Freight Charges Incurred by this Operation to procure special order parts Training 0 0 0 0 0 0 0 0.00%Training Materials for NAPA IBS (including Hazmat) Total IBS Misc Expense 2,651 31,812 32,766 33,749 35,437 37,209 39,813 3.91% TOTAL EXPENSES 10,638 127,656 131,485 135,430 142,201 149,311 159,763 15.68%Total Monthly Expenses to Operate this IBS Gross Margin Less Expenses -3,855 -46,264 -47,652 -49,082 -51,536 -54,113 -57,901 -5.68% ROI for NAPA 6,783 81,391 83,833 86,348 90,665 95,199 101,862 10.00%NAPA's contracted return on investment Sample Billing Summary Customer Purchases 67,826 813,912 838,329 863,479 906,653 951,986 1,018,625 Parts Bill For Customer including 10% margin Management Fee 0 0 0 0 0 0 0 0.00% Expense Bill 10,638 127,656 131,485 135,430 142,201 149,311 159,763 15.68%Expense Reimbursement by Customer Adjustment to Customer 0 0 0 0 0 0 0 0.00%Margin reimbursement to Customer after all expenses and NAPA ROI are realized Total Cost of Operation 78,464 941,568 969,815 998,909 1,048,855 1,101,297 1,178,388 *It is important to note that these sample operating statements are issued to inform new, existing and potential Sourcewell members of the flexibility of the NAPA IBS program. ** These sample operating statements reflect NAPA IBS's typical expense structure but all categories are subject to change based on scope, hours and responsibilities as required per each contract. Item 17 Attachment A - NAPA Quote for 6-Year Pro Forma        Item 17: Staff Report Pg. 7  Packet Pg. 204 of 637  City of Palo Alto General Services Agreement 1 Rev. April 9, 2025 CITY OF PALO ALTO CONTRACT NO. C26195803 GENERAL SERVICES AGREEMENT THIS AGREEMENT made and entered into on the 1st day of January, 2026, by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and GENIUNE PARTS COMPANY dba NAPA AUTO PARTS, a Georgia Corporation, located at 2999 Wildwood Parkway, Atlanta, Georgia, 30339, Telephone Number: (303)799-1965 (“CONTRACTOR”). In consideration of their mutual covenants, the parties hereto agree as follows: 1. SERVICES. CONTRACTOR shall provide or furnish the services (the “Services”) described in the Scope of Services, attached at Exhibit A. Optional On-Call Provision (This provision only applies if checked and only applies to on-call agreements.) Services will be authorized by CITY, as needed, with a Task Order assigned and approved by CITY’s Project Manager. Each Task Order shall be in substantially the same form as Exhibit A-1. Each Task Order shall designate a CITY Project Manager and shall contain a specific scope of work, a specific schedule of performance and a specific compensation amount. The total price of all Task Orders issued under this Agreement shall not exceed the amount of Compensation set forth in Section 5 of this Agreement. CONTRACTOR shall only be compensated for work performed under an authorized Task Order and CITY may elect, but is not required, to authorize work up to the maximum compensation amount set forth in Section 5. 2. EXHIBITS. The following exhibits are attached to and made a part of this Agreement: “A” – Scope of Services “B” – Schedule of Performance “C” – Schedule of Fees “D” – Insurance Requirements “E” – Sourcewell Contract No. 090624-GPC with Genuine Auto Parts Company dba NAPA Auto Parts “F” – Cybersecurity Terms and Conditions CONTRACT IS NOT COMPLETE UNLESS ALL INDICATED EXHIBITS ARE ATTACHED. 3. TERM. $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 8  Packet Pg. 205 of 637  City of Palo Alto General Services Agreement 2 Rev. April 9, 2025 The term of this Agreement is from January 1, 2026 to December 31, 2031 inclusive, subject to the provisions of Sections R and W of the General Terms and Conditions. 4. SCHEDULE OF PERFORMANCE. CONTRACTOR shall complete the Services within the term of this Agreement in a reasonably prompt and timely manner based upon the circumstances and direction communicated to CONTRACTOR, and if applicable, in accordance with the schedule set forth in the Schedule of Performance, attached at Exhibit B. Time is of the essence in this Agreement. 5. COMPENSATION FOR ORIGINAL TERM. CITY shall pay and CONTRACTOR agrees to accept as not-to-exceed compensation for the full performance of the Services and reimbursable expenses, if any: The total maximum lump sum compensation of dollars ($ ); OR The sum of dollars ($ ) per hour, not to exceed a total maximum compensation amount of dollars ($ ); OR A sum calculated in accordance with the fee schedule set forth at Exhibit C, not to exceed a total maximum compensation amount of Six Million Two Hundred Thirty-Eight Thousand Eight Hundred Thirty-Two dollars ($6,238,832). CONTRACTOR agrees that it can perform the Services for an amount not to exceed the total maximum compensation set forth above. Any hours worked or services performed by CONTRACTOR for which payment would result in a total exceeding the maximum amount of compensation set forth above for performance of the Services shall be at no cost to CITY. CITY has set aside the sum of dollars ($ ) for Additional Services. CONTRACTOR shall provide Additional Services only by advanced, written authorization from the City Manager or designee. CONTRACTOR, at the CITY’s request, shall submit a detailed written proposal including a description of the scope of services, schedule, level of effort, and CONTRACTOR’s proposed maximum compensation, including reimbursable expense, for such services. Compensation shall be based on the hourly rates set forth above or in Exhibit C (whichever is applicable), or if such rates are not applicable, a negotiated lump sum. CITY shall not authorize and CONTRACTOR shall not perform any Additional Services for which payment would exceed the amount set forth above for Additional Services. Payment for Additional Services is subject to all requirements and $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 9  Packet Pg. 206 of 637  City of Palo Alto General Services Agreement 3 Rev. April 9, 2025 restrictions in this Agreement. 6. COMPENSATION DURING ADDITIONAL TERMS. CONTRACTOR’S compensation rates for each additional term shall be the same as the original term; OR CONTRACTOR’s compensation rates shall be adjusted effective on the commencement of each Additional Term. The lump sum compensation amount, hourly rates, or fees, whichever is applicable as set forth in section 5 above, shall be adjusted by a percentage equal to the change in the Consumer Price Index for Urban Wage Earners and Clerical Workers for the San Francisco-Oakland- San Jose area, published by the United States Department of Labor Statistics (CPI) which is published most immediately preceding the commencement of the applicable Additional Term, which shall be compared with the CPI published most immediately preceding the commencement date of the then expiring term. Notwithstanding the foregoing, in no event shall CONTRACTOR’s compensation rates be increased by an amount exceeding five percent of the rates effective during the immediately preceding term. Any adjustment to CONTRACTOR’s compensation rates shall be reflected in a written amendment to this Agreement. 7. CLAIMS PROCEDURE FOR “9204 PUBLIC WORKS PROJECTS”. For purposes of this Section 7, a “9204 Public Works Project” means the erection, construction, alteration, repair, or improvement of any public structure, building, road, or other public improvement of any kind. Public Contract Code Section 9204 mandates certain claims procedures for Public Works Projects, which are set forth in “Appendix __ Claims for Public Contract Code Section 9204 Public Works Projects”. This project is a 9204 Public Works Project and is required to comply with the claims procedures set forth in Appendix __, attached hereto and incorporated herein. OR This project is not a 9204 Public Works Project . 8. INVOICING. Send all invoices to CITY, Attention: Fleet Manager. The Fleet Manager is: Danitra Bahlman, Dept.: Public Works, Telephone: (650)496-5920, E- mail: Danitra.Bahlman@cityofpaloalto.org. Invoices shall be submitted in arrears $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 10  Packet Pg. 207 of 637  City of Palo Alto General Services Agreement 4 Rev. April 9, 2025 for Services performed. Invoices shall not be submitted more frequently than monthly. Invoices shall provide a detailed statement of Services performed during the invoice period and are subject to verification by CITY. CITY shall pay the undisputed amount of invoices within 30 days of receipt. GENERAL TERMS AND CONDITIONS A. ACCEPTANCE. CONTRACTOR accepts and agrees to all terms and conditions of this Agreement. This Agreement includes and is limited to the terms and conditions set forth in sections 1 through 8 above, these general terms and conditions and the attached exhibits. B. QUALIFICATIONS. CONTRACTOR represents and warrants that it has the expertise and qualifications to complete the services described in Section 1 of this Agreement, entitled “SERVICES,” and that every individual charged with the performance of the services under this Agreement has sufficient skill and experience and is duly licensed or certified, to the extent such licensing or certification is required by law, to perform the Services. CITY expressly relies on CONTRACTOR’s representations regarding its skills, knowledge, and certifications. CONTRACTOR shall perform all work in accordance with generally accepted business practices and performance standards of the industry, including all federal, state, and local operation and safety regulations. C. INDEPENDENT CONTRACTOR. It is understood and agreed that in the performance of this Agreement, CONTRACTOR and any person employed by CONTRACTOR shall at all times be considered an independent CONTRACTOR and not an agent or employee of CITY. CONTRACTOR shall be responsible for employing or engaging all persons necessary to complete the work required under this Agreement. D. SUBCONTRACTORS. Except as permitted under the last paragraph in Exhibit C (Schedule of Fees), CONTRACTOR may not use subcontractors to perform any Services under this Agreement unless CONTRACTOR obtains prior written consent of CITY. CONTRACTOR shall be solely responsible for directing the work of approved subcontractors and for any compensation due to subcontractors. For the avoidance of any doubt, and except as provided under the last paragraph in Exhibit C (Schedule of Fees), the parties agree that the term “subcontractors” shall specifically exclude all third-party suppliers and manufacturers of the products sold hereunder and all third-party delivery service providers (i.e. UPS and FedEx). E. TAXES AND CHARGES. CONTRACTOR shall be responsible for payment of all taxes, fees, contributions or charges applicable to the conduct of CONTRACTOR’s business. $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 11  Packet Pg. 208 of 637  City of Palo Alto General Services Agreement 5 Rev. April 9, 2025 F. COMPLIANCE WITH LAWS. CONTRACTOR shall in the performance of the Services comply with all applicable federal, state and local laws, ordinances, regulations, and orders. G. PALO ALTO MINIMUM WAGE ORDINANCE. CONTRACTOR shall comply with all requirements of the Palo Alto Municipal Code Chapter 4.62 (Citywide Minimum Wage), as it may be amended from time to time. In particular, for any employee otherwise entitled to the State minimum wage, who performs at least two (2) hours 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 worked 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. H. DAMAGE TO PUBLIC OR PRIVATE PROPERTY. CONTRACTOR shall, at its sole expense, repair in kind, or as the City Manager or designee shall direct, any damage to public or private property that occurs in connection with CONTRACTOR’s performance of the Services. CITY may decline to approve and may withhold payment in whole or in part to such extent as may be necessary to protect CITY from loss because of defective work not remedied or other damage to the CITY occurring in connection with CONTRACTOR’s performance of the Services. CITY shall submit written documentation in support of such withholding upon CONTRACTOR’s request. When the grounds described above are removed, payment shall be made for amounts withheld because of them. I. WARRANTIES. CONTRACTOR expressly warrants that all services provided under this Agreement shall be performed in a professional and workmanlike manner in accordance with generally accepted business practices and performance standards of the industry and the requirements of this Agreement. CONTRACTOR expressly warrants that all NAPA branded materials, goods and equipment provided by CONTRACTOR under this Agreement shall be fit for the particular purpose intended, shall be free from defects, and shall conform to the requirements of this Agreement. CONTRACTOR agrees to promptly replace or correct any NAPA branded material or service not in compliance with these warranties, including incomplete, inaccurate, or defective NAPA branded material or service, at no further cost to CITY. The warranties set forth in this section shall be in effect for a period of one year from completion of the Services or delivery of the NAPA branded materials, goods and equipment and shall survive the completion of the Services or delivery of NAPA branded materials, goods and equipment for a period of one (1) year (including following termination of this Agreement). In addition, all automotive parts supplied pursuant to this Agreement are subject to the terms of written warranties provided by the manufacturer of each part, and CONTRACTOR shall use reasonable commercial efforts to assist the $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 12  Packet Pg. 209 of 637  City of Palo Alto General Services Agreement 6 Rev. April 9, 2025 CITY in processing all warranty claims that the CITY may have against the manufacturer. Copies of the manufacturers’ warranties for all materials, goods, and equipment will be available to the CITY upon request. With respect to non- NAPA branded materials, goods and equipment, the manufacturer’s warranty will be the sole and exclusive remedy for the CITY in connection with any claims concerning such non-NAPA branded materials, goods and equipment supplied to the CITY pursuant to this Agreement. ALL OTHER WARRANTIES, BOTH EXPRESS AND IMPLIED, INCLUDING ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, ARE HEREBY EXCLUDED FOR NON-NAPA BRANDED MATERIALS, GOODS AND EQUIPMENT. J. MONITORING OF SERVICES. CITY may monitor the Services performed under this Agreement to determine whether CONTRACTOR’s work is completed in a satisfactory manner and complies with the provisions of this Agreement. K. CITY’S PROPERTY. Any non-confidential reports, information, data or other material (including copyright interests) developed, collected, assembled, prepared, or caused to be prepared under this Agreement will become the property of CITY without restriction or limitation upon their use and will not be made available to any individual or organization by CONTRACTOR or its subcontractors, if any, without the prior written approval of the City Manager. For the avoidance of any doubt, the parties agree that all intellectual property rights owned by CONTRACTOR will remain owned by CONTRACTOR and will not become the property of the CITY hereunder. If and to the extent that any reports, information, data or other material that CONTRACTOR has marked as confidential are subject to disclosure pursuant to a lawful subpoena, court order, or public records request under applicable federal, state or local public records laws, the CITY may disclose such information or materials to the extent required thereby. In the event CITY receives a subpoena, court order, or public records law request covering reports, information, data or other material that CONTRACTOR has marked as confidential, then prior to disclosing such information or materials, the CITY shall provide prompt written notice to CONTRACTOR of such subpoena, court order, or request, if legally permissible, in order to allow time for the CONTRACTOR to take legal action to prevent disclosure if CONTRACTOR so chooses. Nothing herein shall require CITY to take any action, or to refuse to disclose information or materials, where to do so would violate applicable law. L. AUDITS. CONTRACTOR agrees to permit CITY and its authorized representatives to audit, at any reasonable time during the term of this Agreement and for three (3) years from the date of final payment, CONTRACTOR’s records pertaining to matters covered by this Agreement. CONTRACTOR agrees to maintain accurate books and records in accordance with generally accepted accounting principles for at least three (3) following the terms of this Agreement. $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 13  Packet Pg. 210 of 637  City of Palo Alto General Services Agreement 7 Rev. April 9, 2025 M. NO IMPLIED WAIVER. No payment, partial payment, acceptance, or partial acceptance by CITY shall operate as a waiver on the part of CITY of any of its rights under this Agreement. N. INSURANCE. CONTRACTOR, at its sole cost, shall purchase and maintain in full force during the term of this Agreement, the insurance coverage described at Exhibit D. Insurance must be provided by companies with a Best’s Key Rating of A- :VII or higher and which are otherwise acceptable to CITY’s Risk Manager. In addition, all policies, endorsements, certificates and/or binders are subject to approval by the Risk Manager as to form and content. CONTRACTOR shall obtain a policy endorsement naming the City of Palo Alto as an additional insured under any general liability or automobile policy. CONTRACTOR shall obtain an endorsement stating that the insurance is primary coverage and CONTRACTOR will use commercially reasonable efforts to provide the CITY with at least 30 days prior written notice of the cancellation or modification of the insurance policies described herein to the Risk Manager. CONTRACTOR shall provide certificates of such policies or other evidence of coverage satisfactory to the Risk Manager, together with the required endorsements and evidence of payment of premiums, to CITY concurrently with the execution of this Agreement and shall throughout the term of this Agreement provide current certificates evidencing the required insurance coverages and endorsements to the Risk Manager. CONTRACTOR shall include all subcontractors as insured under its policies or shall obtain and provide to CITY separate certificates and endorsements for each subcontractor that meet all the requirements of this section. The procuring of such required policies of insurance shall not operate to limit CONTRACTOR’s liability or obligation to indemnify CITY under this Agreement. O. HOLD HARMLESS. To the fullest extent permitted by law and without limitation by the provisions of section N relating to insurance, CONTRACTOR shall indemnify, defend and hold harmless CITY, its Council members, officers, employees and agents from and against any and all demands, claims, injuries, losses, or liabilities of any nature, including death or injury to any person, property damage or any other loss and including without limitation all damages, penalties, fines and judgments, associated investigation and administrative expenses and defense costs, including, but not limited to reasonable attorney’s fees, courts costs and costs of alternative dispute resolution) (collectively, the “Losses”), arising out of, or resulting in any way from or in connection with the performance of this Agreement; provided, however, that the parties agree that CONTRACTOR shall not be obligated under any circumstances to indemnify, defend or harmless CITY, its council members, officers, employees or agents from any against any Losses arising from, resulting from, or attributable to: (I) the acts or omissions of any third party supplier or manufacturer of the products supplied hereunder and/or (ii) for liability arising from the sole negligence or willful misconduct of CITY. The acceptance of the Services by CITY shall not operate as a waiver of the right of $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 14  Packet Pg. 211 of 637  City of Palo Alto General Services Agreement 8 Rev. April 9, 2025 indemnification. The provisions of this Section survive the completion of the Services or termination of this Agreement. P. NON-DISCRIMINATION. 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 because of the race, skin color, gender, age, religion, disability, national origin, ancestry, sexual orientation, housing status, marital status, familial status, weight or height of such person. CONTRACTOR acknowledges that it has read and understands the provisions of Section 2.30.510 of the Palo Alto Municipal Code relating to Nondiscrimination Requirements and the penalties for violation thereof, and agrees to meet all requirements of Section 2.30.510 pertaining to nondiscrimination in employment. Q. WORKERS' COMPENSATION. CONTRACTOR, by executing this Agreement, certifies that it is aware of the provisions of the Labor Code of the State of Califor- nia 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 certifies that it will comply with such provisions, as applicable, before commencing and during the performance of the Services. R. TERMINATION. The City Manager may terminate this Agreement without cause by giving thirty (30) days’ prior written notice thereof to CONTRACTOR. Likewise, CONTRACTOR may terminate this Agreement without cause by giving sixty (60) days’ prior written notice thereof to CITY. If CONTRACTOR fails to perform any of its material obligations under this Agreement, in addition to all other remedies provided by law, the City Manager may terminate this Agreement immediately upon written notice of termination. Upon receipt of such notice of termination, CONTRACTOR shall immediately discontinue performance. Likewise, if the CITY fails to perform any of its material obligations under this Agreement and such failure is not cured within thirty (30) days following receipt of written notice thereof, in addition to all other remedies provided by law, CONTRACTOR may terminate this Agreement immediately upon written notice of termination. CITY shall pay CONTRACTOR for services satisfactorily performed up to the effective date of termination. If the termination is for cause, CITY may deduct from such payment the amount of actual damage, if any, sustained by CITY due to CONTRACTOR’s failure to perform its material obligations under this Agreement. Upon termination, CITY shall allow CONTRACTOR full and unrestricted access to enter into the on-site store and immediately remove all equipment and other items owned by CONTRACTOR without being guilty of trespass or any other violations of the law. Upon termination, CONTRACTOR shall immediately deliver to the City Manager any and all copies of inventory records, sales history, sales analysis and all other information generated by CONTRACTOR under this Agreement, whether or not completed, prepared by CONTRACTOR or given to $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 15  Packet Pg. 212 of 637  City of Palo Alto General Services Agreement 9 Rev. April 9, 2025 CONTRACTOR, in connection with this Agreement. Such materials shall become the property of CITY. S. ASSIGNMENTS/CHANGES. This Agreement binds the parties and their successors and assigns to all covenants of this Agreement. This Agreement shall not be assigned or transferred without the prior written consent of CITY. No amendments, changes or variations of any kind are authorized without the written consent of CITY and CONTRACTOR. T. CONFLICT OF INTEREST. In accepting this Agreement, CONTRACTOR covenants that it presently has no interest, and will not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of this Agreement. CONTRACTOR further covenants that, in the performance of this Agreement, it will not employ any person having such an interest. CONTRACTOR certifies that no CITY officer, employee, or authorized representative has any financial interest in the business of CONTRACTOR and that no person associated with CONTRACTOR has any interest, direct or indirect, which could conflict with the faithful performance of this Agreement. CONTRACTOR agrees to advise CITY if any conflict arises. U. GOVERNING LAW. This Agreement shall be governed and interpreted by the laws of the State of California. V. ENTIRE AGREEMENT. This Agreement, including all exhibits, represents the entire agreement between the parties with respect to the products and services that may be the subject of this Agreement. Any variance in the exhibits does not affect the validity of the Agreement and the Agreement itself controls over any conflicting provisions in the exhibits. This Agreement supersedes all prior agreements, representations, statements, negotiations and undertakings whether oral or written. W. NON-APPROPRIATION. 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 funds are not appropriated for the following fiscal year, 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 Agreement 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. X. ENVIRONMENTALLY PREFERRED PURCHASING AND ZERO WASTE REQUIREMENTS. CONTRACTOR shall comply with CITY’s Environmentally Preferred Purchasing policies which are available at CITY’s Purchasing Division, which are incorporated by reference and may be amended from time to time. $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 16  Packet Pg. 213 of 637  City of Palo Alto General Services Agreement 10 Rev. April 9, 2025 CONTRACTOR shall comply with waste reduction, reuse, recycling and disposal requirements of 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: x 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 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. x Goods purchased by Contractor on behalf of CITY shall be purchased in accordance with CITY’s Environmental Purchasing Policy including, but not limited to, Extended Producer Responsibility requirements for products and packaging. A copy of this policy is on file at the Purchasing Division’s office. x Reusable/returnable pallets shall be taken back by CONTRCATOR, at no additional cost to CITY, for reuse or recycling. CONTRACTOR shall provide documentation from the facility accepting the pallets to verify that pallets are not being disposed. Y. AUTHORITY. The individual(s) executing this Agreement on behalf of the parties represent and warrant that they have the legal capacity and authority to do so on behalf of their respective legal entities. Z. PREVAILING WAGES This Project is not subject to prevailing wages. CONTRACTOR is not required to pay prevailing wages in the performance and implementation of the Project in accordance with SB 7, if the Agreement is not a public works contract, if Agreement does not include a public works construction project of more than $25,000, or the Agreement does not include a public works alteration, demolition, repair, or maintenance (collectively, ‘improvement’) project of more than $15,000. OR Contractor is required to pay general prevailing wages as defined in Subchapter 3, Title 8 of the California Code of Regulations and Section 16000 et seq. and Section 1773.1 of the California Labor Code. Pursuant to the provisions of Section 1773 of the Labor Code of the State of California, the City Council has obtained the general prevailing rate of per diem wages and the general rate for holiday and $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 17  Packet Pg. 214 of 637  City of Palo Alto General Services Agreement 11 Rev. April 9, 2025 overtime work in this locality for each craft, classification, or type of worker needed to execute the Agreement for this Project from the Director of the Department of Industrial Relations (“DIR”). Copies of these rates may be obtained at the Purchasing Division’s office of the City of Palo Alto. Contractor shall provide a copy of prevailing wage rates to any staff or subcontractor hired, and shall pay the adopted prevailing wage rates as a minimum. Contractor shall comply with the provisions of all sections, including, but not limited to, Sections 1775, 1776, 1777.5, 1782, 1810, and 1813, of the Labor Code pertaining to prevailing wages. AA. DIR REGISTRATION. In regard to any public work construction, alteration, demolition, repair or maintenance work, CITY will not accept a bid proposal from or enter into this Agreement with CONTRACTOR without proof that CONTRACTOR and its listed subcontractors are registered with the California Department of Industrial Relations (“DIR”) to perform public work, subject to limited exceptions. City requires CONTRACTOR and its listed subcontractors to comply with the requirements of SB 854. 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 contractor is registered to perform public work pursuant to Section 1725.5 at the time the Agreement is awarded.” CITY gives notice to CONTRACTOR and its listed subcontractors that CONTRACTOR is required to post all job site notices prescribed by law or regulation and CONTRACTOR is subject to SB 854-compliance monitoring and enforcement by DIR. CITY requires CONTRACTOR and its listed subcontractors to comply with the requirements of Labor Code section 1776, including: 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 employed by, respectively, CONTRACTOR and its listed subcontractors, in connection with the Project. $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 18  Packet Pg. 215 of 637  City of Palo Alto General Services Agreement 12 Rev. April 9, 2025 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 listed subcontractors, respectively. At the request of CITY, acting by its project manager, CONTRACTOR and its listed subcontractors shall make the certified payroll records available for inspection or furnished upon request to the project manager within ten (10) days of receipt of CITY’s request. [For state- and federally-funded projects] CITY requests CONTRACTOR and its listed subcontractors to submit the certified payroll records to the project manager at the end of each week during the Project. If the certified payroll records are not produced to the project manager within the 10-day period, then CONTRACTOR and its listed 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. Inform the project manager of the location of CONTRACTOR’s and its listed subcontractors’ payroll records (street address, city and county) at the commencement of the Project, and also provide notice to the project manager within five (5) business days of any change of location of those payroll records. BB. CONTRACT TERMS. All unchecked boxes do not apply to this Agreement. In the case of any conflict between the terms of this Agreement and the exhibits hereto or CONTRACTOR’s proposal (if any), the Agreement shall control. In the case of any conflict between the exhibits hereto and CONTRACTOR’s proposal, the exhibits shall control. CC. CONFIDENTIAL INFORMATION. CC.1. In the performance of this Agreement, CONTRACTOR may have access to CITY’s Confidential Information (defined below). CONTRACTOR will hold Confidential Information in strict confidence, not disclose it to any third party, and will use it only for the performance of its obligations to CITY under this Agreement and for no other purpose. CONTRACTOR will maintain reasonable and appropriate administrative, technical and physical safeguards to ensure the security, confidentiality and integrity of the Confidential Information. Notwithstanding the foregoing, CONTRACTOR may disclose Confidential Information to its employees, agents and subcontractors, if any, to the extent they have a need to know in order to perform CONTRACTOR’s obligations to CITY under this Agreement and for no other purpose, provided that the CONTRACTOR informs them of, and requires them to follow, the confidentiality and security obligations of this Agreement. $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 19  Packet Pg. 216 of 637  City of Palo Alto General Services Agreement 13 Rev. April 9, 2025 CC.2. “Confidential Information” means all data, information (including without limitation “Personal Information” about a California resident as defined in Civil Code Section 1798 et seq., as amended from time to time) and materials, in any form or media, tangible or intangible, provided or otherwise made available to CONTRACTOR by CITY, directly or indirectly, pursuant to this Agreement. Confidential Information excludes information that CONTRACTOR can show by appropriate documentation: (i) was publicly known at the time it was provided or has subsequently become publicly known other than by a breach of this Agreement; (ii) was rightfully in CONTRACTOR’s possession free of any obligation of confidence prior to receipt of Confidential Information; (iii) is rightfully obtained by CONTRACTOR from a third party without breach of any confidentiality obligation; (iv) is independently developed by employees of CONTRACTOR without any use of or access to the Confidential Information; or (v) CONTRACTOR has written consent to disclose signed by an authorized representative of CITY. CC.3. Notwithstanding the foregoing, CONTRACTOR may disclose Confidential Information to the extent required by order of a court of competent jurisdiction or governmental body, provided that CONTRACTOR will notify CITY in writing of such order immediately upon receipt and prior to any such disclosure (unless CONTRACTOR is prohibited by law from doing so), to give CITY an opportunity to oppose or otherwise respond to such order. CC.4. CONTRACTOR will notify City promptly upon learning of any breach in the security of its systems or unauthorized disclosure of, or access to, Confidential Information in its possession or control, and if such Confidential Information consists of Personal Information, CONTRACTOR will provide information to CITY sufficient to meet the notice requirements of Civil Code Section 1798 et seq., as applicable, as amended from time to time. CC.5. Prior to or upon termination or expiration of this Agreement, CONTRACTOR will honor any request from the CITY to return or securely destroy all copies of Confidential Information. All Confidential Information is and will remain the property of the CITY and nothing contained in this Agreement grants or confers any rights to such Confidential Information on CONTRACTOR. CC.6. If selected in Section 2 (Exhibits), this Agreement is also subject to the terms and conditions of the Cybersecurity Terms and Conditions. [SIGNATURES ARE ON THE FOLLOWING PAGE] $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 20  Packet Pg. 217 of 637  City of Palo Alto General Services Agreement 14 Rev. April 9, 2025 IN WITNESS WHEREOF, the parties hereto have by their duly authorized representatives executed this Agreement on the date first above written. CITY OF PALO ALTO GENUINE PARTS COMPANY dba NAPA AUTO PARTS _________________________By________________________________ City Manager or Designee Name _____________________________ Title_______________________________ _________________________ Purchasing Manager or Designee Approved as to form: ___________________________ By________________________________ Name Christopher T. Galla Title Senior Vice President City Attorney or Designee $"%         !"# !#"! Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 21  Packet Pg. 218 of 637  City of Palo Alto General Services Agreement 15 Rev. April 9, 2025 EXHIBIT A SCOPE OF SERVICES This Exhibit A (Scope of Services) of this Agreement between the CITY of Palo Alto and Genuine Parts Company dba NAPA Auto Parts (CONTRACTOR) details the on- site fleet parts and inventory program to be provided during the term of this Agreement per Section 3 (Term) herein. 1. DUTIES AND RESPONSIBILITIES OF CONTRACTOR. CONTRACTOR shall have the following duties and responsibilities during the term of this Agreement: a) CONTRACTOR shall operate an on-site parts operation at the CITY’S Municipal Service Center, located at 3201 E. Bayshore Rd., Palo Alto, Ca. 94303, and provide the inventory as agreed upon by CONTRACTOR and the CITY. This includes operating and staffing a secure on-site inventory storage facility (parts room), maintaining real-time tracking for all parts, fluids, equipment, and supplies, and ensuring stock availability for the City’s diverse fleet (e.g., light/heavy-duty trucks, sedans, emergency vehicles, and equipment). b) CONTRACTOR shall supply OEM, aftermarket, and branded parts; source non- stock items promptly (including emergency procurements from competitors when necessary). Additional required services include warranty management, cores/returns processing, inventory reporting, and integration with the City’s fleet management software. c) CONTRACTOR shall provide all personnel management, staff, parts and supplies necessary to run an efficient and effective on-site parts operation from 6:15 a.m. to 3:45 p.m. Monday through Fridays. Inventory must be stored in the City’s secure, climate-controlled facility with access restricted to Contractor staff. Cycle counts shall be conducted quarterly, with an annual physical inventory audit. A web-based portal must provide real-time stock checks, ordering, and reporting capabilities. d) CONTRACTOR shall provide back-up emergency service during non-working hours on an as-needed basis. This overtime expense (calculated at time and one half) will be charged on a cost basis to the CITY and must be pre- approved by either the CITY’s Assistant Public Works Director, the Fleet Manager, or the Assistant Fleet Manager. CONTRACTOR shall provide a list $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 22  Packet Pg. 219 of 637  City of Palo Alto General Services Agreement 16 Rev. April 9, 2025 of personnel, including phone numbers, who will respond to emergency service requests. e) CONTRACTOR shall supply all parts and shop supplies (including tires) necessary to maintain and repair the CITY’s fleet of vehicles and equipment and may include but not limited to Original Equipment Manufacturer (OEM) parts, aftermarket parts, small engine parts, agricultural parts, hydraulic hoses, fasteners, chemicals, tools and equipment and any other commodities including commercial plumbing, electrical, lumber and other related items/supplies determined by the CITY’s Fleet Manager. The CITY will have the ability to expand the scope of items required. f) CONTRACTOR shall provide parts inventory to the Fleet Management facilities with accounting and security procedures. The on-site store location shall be appropriately secured or otherwise maintained separate and apart from the business of the CITY. There shall be no intermingling of CITY parts or other inventory with CONTRACTOR’s parts or inventory. Access to the secured on-site store shall be restricted to CONTRACTOR employees and authorized CONTRACTOR representatives only. CONTRACTOR will assume all losses. CITY employees, contractors or agents shall not be permitted to enter the secured on-site store area unless accompanied by a CONTRACTOR employee or other authorized CONTRACTOR representative. g) All items/parts provided shall be new unless stated otherwise. CONTRACTOR agrees to provide any and all necessary documentation, including invoices from its suppliers, for all items provided to the CITY to ascertain basis for CITY payments to CONTRACTOR and for auditing purposes upon request by the CITY. h) CONTRACTOR shall provide a profit and loss statement of the parts operations to the CITY’s Fleet Manager on approximately the 25th of each month. i) CITY reserves the right to purchase parts and or services from other sources if CONTRACTOR cannot obtain the desired part(s) by start of business day following CITY’s request, and in emergency situations. Emergency is defined as when a vehicle, or piece of equipment is down for repairs and needs to be repaired within 24 hours. $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 23  Packet Pg. 220 of 637  City of Palo Alto General Services Agreement 17 Rev. April 9, 2025 j) CONTRACTOR shall accept industry standard cores of equal value for rebuilding where the parts are acceptable as core exchanges including water pumps, alternators, and starters. CONTRACTOR shall collect cores and returned items during new part deliveries and issue full credits monthly. Returns are limited to ≤10% of total annual purchases and must be in saleable condition. k) CONTRACTOR shall comply with all applicable environmental regulations (EPA, BAAQMD), safety standards (OSHA, BAR), and hazardous material/waste disposal laws. l) CONTRACTOR shall have access to and control over sufficient inventory, either by CONTRACTOR’s on-site or off-site stock in its own warehouse, which must be within a thirty-minute driving distance from the on-site store location. m) CONTRACTOR shall furnish at least ninety (90%) percent of CITY’s parts requirements on demand and the balance (10%) of CITY’s parts requirements within three (3) business days of request. CONTRACTOR shall provide CITY with cost information pertaining to the items provided to the CITY’s inventory and comprehensive activity reports from its computer database on a requested basis, as defined by the CITY and reasonably capable of being generated by CONTRACTOR’s system. The frequency of these reports will be as determined by the CITY. n) CONTRACTOR shall at all times maintain current Material Safety Data Sheets (MSDS) for all chemical products purchased, and/or housed in the on- site store. MSDS binder(s) will be in a location available to all CITY staff. o) CONTRACTOR shall provide parts that are equal to original equipment parts, supplies and equipment. All parts and components must meet OEM and the Society of Automotive Engineers specifications. CONTRACTOR will be required to supply OEM replacement parts upon request in lieu of aftermarket replacement parts. p) CONTRACTOR shall not issue parts or supplies to CITY employees without a proper work order requisition. CONTRACTOR shall provide a receipt containing specific information with items delivered to CITY employees for each work order requisition. This receipt shall contain specific $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 24  Packet Pg. 221 of 637  City of Palo Alto General Services Agreement 18 Rev. April 9, 2025 tracking information, i.e., equipment number, reference number, work order number, receiving employee name, parts quantities, part number and alpha description, price detail and any other data deemed necessary for effective tracking and accounting. q) CONTRACTOR shall evaluate the usage history of its inventory of parts and supplies on a monthly basis to identify those items that should be removed from stock, added to stock, or remain in stock. CITY shall be notified a minimum of five working days in advance prior to parts being removed from inventory. r) CONTRACTOR shall maintain warranty records of items sold to CITY and issue any credits including labor (based on CITY’s current labor rate) and parts, due to CITY that are covered under these warranties. s) CONTRACTOR shall pass through to CITY all available full manufacturers warranties and guarantees of merchantability. t) CONTRACTOR shall use current industry standards or better computer hardware and software to control and report on its operations and shall input all parts used into CITY’S Fleet Management Software. CONTRACTOR’s software control system shall interface with the CITY’s computer tracking system. u) CONTRACTOR shall manage all inventory transactions through the CITY’S Fleet Management inventory management system provided by AssetWorks. CONTRACTOR shall provide sufficiently trained, knowledgeable and service-oriented personnel to efficiently and effectively operate the total parts function as detailed, including parts research requested by CITY staff. v) CONTRACTOR will be responsible for any changes to the physical layout of non- affixed the parts room/storage areas, including security, however, Contractor is to make no changes to items affixed to the City’s building facilities or to the City’s building facilities themselves. Any changes made by Contractor to the non-affixed physical layout of the parts room/storage areas, including security, shall be approved in advance by the CITY’s Fleet Management and Facilities Management staff. Upon termination of this Agreement, within a reasonable time, CONTRACTOR may be required to $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 25  Packet Pg. 222 of 637  City of Palo Alto General Services Agreement 19 Rev. April 9, 2025 restore the parts room/storage areas, including security, to such condition as existed prior to any changes made by Contractor, and to repair and to restore any damage caused by the Contractor’s permitted use of the area during the term of this Agreement, ordinary wear and tear excepted. w) CONTRACTOR shall provide all necessary equipment required to successfully operate the on-site parts store, for instance, printers, office machines, phone, file cabinets, computers, software and other equipment as needed, including phone and data lines. CONTRACTOR shall provide computer ordering and cataloging for the on-site store. x) CONTRACTOR shall provide all manufacturers’ temporary/seasonal special pricing discounts directly to the CITY on the condition that such temporary/seasonal special pricing discounts: (i) are made known to CONTRACTOR by the applicable manufacturer or supplier and (ii) meet the supply chain goals mutually agreed upon between the CITY and CONTRACTOR, even if such discounts result in pricing less than the then current CITY purchase price. y) CONTRACTOR shall maintain security of information in order to safeguard confidentiality of undercover law enforcement vehicles, to include the special equipment inside these vehicles. Security is defined as prohibition on idle discussion about these vehicles, prohibition on tampering with these vehicles or their equipment and vehicle documentation remaining on CITY premises and secured at all times. 2. DUTIES AND RESPONSIBILITIES OF CITY. CITY shall have the following duties and responsibilities during the term of this Agreement: a) The CITY shall provide, at its sole expense, usable space for CONTRACTOR’s on- site store and the inventory. The CITY shall provide access to restroom facilities for CONTRACTOR employees. Further, the CITY shall furnish at its sole expense, all utilities for the on-site store including water, sanitation, sewer, light, telephone, heat, gas, electricity, power and all other utilities and services rendered or delivered to the on-site store. The CITY shall provide CONTRACTOR a safe work environment that is free from hostility, violence, and discrimination. CONTRACTOR reserves the right to terminate the contract immediately should CONTRACTOR $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 26  Packet Pg. 223 of 637  City of Palo Alto General Services Agreement 20 Rev. April 9, 2025 encounter a hostile, violent, discriminatory, or unsafe work environment. b) CITY shall, at all times during the term of this Agreement, at CITY’s sole expense, maintain in good condition and repair (so as to prevent any damage or injury to CONTRACTOR’s employees, the inventory or other personal property located in the on-site store) the roof, exterior walls, foundation, and structural portions of the on-site store and all portions of the electrical and plumbing systems lying outside of the on-site store but serving the on-site store. c) CITY intends to use CONTRACTOR as its Primary Supplier, which means that the CITY shall purchase at least ninety percent (90%) of its inventory needs from CONTRACTOR. CITY reserves the right to purchase any item outside this Agreement where it is determined to be more economical or timely so long as the purchase of aforesaid part or parts does not result in CONTRACTOR no longer being CITY’s Primary Supplier in which case CONTRACTOR may terminate this Agreement. d) CITY shall provide information regarding fleet changes to CONTRACTOR as soon as possible. Fleet changes include but are not limited to the removal of types of vehicles from the fleet and the addition of new vehicles to the fleet. 3. ALTERNATIVE SUPPLIERS. The on-site store may be serviced by a CONTRACTOR Owned Store, or a CONTRACTOR Jobber (or “NAPA Jobber”) pursuant to an assignment and assumption agreement (“Assignment”) of this Agreement with the CITY’s prior written consent as detailed under Section S (Assignments/Changes) herein, and accompanied by an assignment of Sourcewell Contract No. 100124 as detailed under Section 12 (Assignment, Transfer, and Administrative Changes) therein, each to the same assignee. Any Assignment of this Agreement will be on a form acceptable to the CITY and will include the CITY signing as to CITY’s consent and as intended third party beneficiary thereto. 4. PERSONNEL. CONTRACTOR and the CITY shall attempt in good faith to mutually agree upon the identity of the person/s that will be selected to staff the on-site parts operation. If a CONTRACTOR employee has violated any CITY workplace policy provided to CONTRACTOR in writing, or has violated any applicable laws while on CITY’s premises, CONTRACTOR agrees to comply with CITY’s request to reassign from CITY duty, such CONTRACTOR employee. In all other cases where $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 27  Packet Pg. 224 of 637  City of Palo Alto General Services Agreement 21 Rev. April 9, 2025 CITY wishes to remove or replace any of CONTRACTOR’s personnel in the on-site parts operation, CONTRACTOR and CITY will attempt to resolve the CITY’s request by mutual agreement. If CONTRACTOR and CITY fail to mutually resolve a personnel issue after good faith attempt to do so, CONTRACTOR and the CITY agree to immediately formally remove the person determined to be ineffective from all CITY operations, unless such removal is contrary to law. 5. BUY-BACK OF INVENTORY. Upon termination, expiration, or non-renewal of the contract, CONTRACTOR shall have the option to require CITY to purchase all non- CONTRACTOR branded inventory, and CITY shall have the option to purchase all CONTRACTOR branded inventory, owned by CONTRACTOR and located in the on- site store at CONTRACTOR’s current acquisition cost, not to exceed the CITY’s “not to exceed amount” cap. The CITY agrees to a “not to exceed amount” of $250,000 for the buy-back of non-CONTRACTOR branded inventory. $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 28  Packet Pg. 225 of 637  City of Palo Alto General Services Agreement 22 Rev. April 9, 2025 EXHIBIT B SCHEDULE OF PERFORMANCE CONTRACTOR shall perform the Services according to the following schedule: Throughout the term of this Agreement, CONTRACTOR shall provide an on-site fleet parts and inventory program in accordance with the services defined in the Scope of Services (Exhibit “A”). Throughout the term of this Agreement, CONTRACTOR will continuously monitor new vehicles and equipment being added to the fleet and vehicles and equipment being removed from the fleet to ensure adequate parts availability for the City’s fleet, and to eliminate obsolete parts from the inventory. $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 29  Packet Pg. 226 of 637  City of Palo Alto General Services Agreement 23 Rev. April 9, 2025 EXHIBIT C SCHEDULE OF FEES Compensation based upon fee schedule CITY shall pay CONTRACTOR according to the pricing provided in the Sourcewell Contract No. 100124, which is restated in the following schedule of fees/rate schedule, which consists of the sections entitled “Pricing Plan” and “Pricing Plan Summary” below. The maximum amount of compensation to be paid to CONTRACTOR, including both payment for services and reimbursable expenses, shall not exceed the amounts set forth in Section 5 (Compensation for Original Term) of the Agreement, as detailed in said Section 5. The City agrees to compensate the Contractor for general services and goods in accordance with the terms and conditions of this Agreement described in Section 7 (Invoicing). PRICING PLAN The overall goal of the CITY’s pricing plan is to achieve a ten percent (10%) net profit for CONTRACTOR (the “Net Profit Target”) by adjusting the pricing of two elements: 3. Product Costs. The pricing of the inventory to be supplied to the CITY by CONTRACTOR pursuant to this Agreement. Product costs shall be further divided into “CONTRACTOR Product Costs”, which is the pricing of CONTRACTOR supplier manufactured products, and “Non-CONTRACTOR Product Costs”, which is the pricing of products which have not been manufactured by CONTRACTOR suppliers but which have been acquired for CITY by CONTRACTOR pursuant to this Agreement. 4. Operational Costs. Any and all costs and expenses associated with the operation of the on-site store, including, but not limited to, salary and benefits payable to CONTRACTOR employee at the on-site store, workers compensation benefits and insurance, unemployment insurance, personal property insurance for on-site store and inventory, any deductible for losses covered under the personal property, or general liability policies of CONTRACTOR and all equipment supplied by CONTRACTOR. PRICING PLAN SUMMARY CONTRACTOR Product Costs: Billed to CITY at a 10% gross profit rate (gross profit is store acquisition cost divided by .90) Non-CONTRACTOR Product Costs: $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 30  Packet Pg. 227 of 637  City of Palo Alto General Services Agreement 24 Rev. April 9, 2025 Billed to CITY at a 10% gross profit rate (gross profit is acquisition cost divided by .90) Operational Costs: Billed to CITY at cost Net Profit Target: 10% net profit for CONTRACTOR Both CONTRACTOR Product Costs and Non-CONTRACTOR Product Costs shall be set by CONTRACTOR to yield a gross profit of ten percent (10%). Operational Costs will be charged to CITY at cost, with all such charges for Operational Costs to be included in CITY’s monthly billing statement. CITY will be billed at the end of each month for operational costs on an “in arrears” basis. CITY and CONTRACTOR mutually agree that the CITY’s maximum payment obligation pursuant to this profit guarantee shall be set at $941,568 for the first year, as shown under the Compensation Summary subsection below; and CITY has encumbered such amount to cover this contract year one compensation amount. The annual amounts for contract year 2 and contract year 3 each reflect a three percent (3%) increase over the immediately preceding contract year’s annual not-to- exceed amount. The annual amounts for contract year 4 and contract year 5 each reflect a five percent (5%) increase over the immediately preceding contract year’s annual not-to-exceed amount. The annual contract amount for year 6 reflects a seven percent (7%) increase over the immediately preceding contract year’s annual not-to- exceed amount. The parties agree to mutually work together to adjust the annual contract year amounts, and/or the amount of Services used by City, if any contract year amount exceeds or appears that it may be on track to exceed the annual amounts provided in the Compensation Summary below, provided that the total not- to-exceed amount of the Agreement under Section 5 (Compensation for Original Term) of this Agreement shall not be exceeded. . Any increase in the not-to-exceed amount of this Agreement may only be implemented via written amendment to this Agreement executed by the authorized representatives of the parties and approved as required under Palo Alto Municipal Code. In addition, CONTRACTOR may use any subcontractor for the procurement of “outside” purchases or services (i.e. those parts or services not traditionally stocked or performed by CONTRACTOR), and CITY will be billed an additional charge for any such purchases so as to yield CONTRACTOR a ten percent (10%) gross profit on such purchases. CITY must provide pre-approval in writing of such outside purchases. All requests for payment of expenses shall be accompanied by appropriate documentation/invoices and in accordance with Section 7 (Invoicing). $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 31  Packet Pg. 228 of 637  City of Palo Alto General Services Agreement 25 Rev. April 9, 2025 Compensation Summary: Contract Year Not-to Exceed Amounts* Total $6,238,832 *The annual amounts for contract year 2 and 3 reflect a three percent (3%) increase over the immediately preceding contract year’s annual not-to-exceed amount. Years 4 through 5 reflect a five percent (5%) increase over the immediately preceding contract year’s annual not-to-exceed amount. Year 6 reflects a seven percent (7%) increase over the immediately preceeding contract year’s annual not-to-exceed amount. Year Annual amounts may be subject to possible adjustment provided that the not-to-exceed amount of the Agreement is not exceeded, as detailed in this Exhibit C. $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 32  Packet Pg. 229 of 637  City of Palo Alto General Services Agreement 26 Rev. April 9, 2025 EXHIBIT D INSURANCE REQUIREMENTS CONTRACTORS TO THE CITY OF PALO ALTO (CITY), AT THEIR SOLE EXPENSE, SHALL FOR THE TERM OF THE CONTRACT OBTAIN AND MAINTAIN INSURANCE IN THE AMOUNTS FOR THE COVERAGE SPECIFIED BELOW, 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. AWARD IS CONTINGENT ON COMPLIANCE WITH CITY’S INSURANCE REQUIREMENTS, AS SPECIFIED, BELOW: REQUIRED TYPE OF COVERAGE REQUIREMENT MINIMUM LIMITS AGGREGATE $2 $2 -OWNED - EACH PERSON - EACH OCCURRENCE : 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 SUBCONSULTANTS, IF ANY, BUT NAMING AS ADDITIONAL INSUREDS CITY, ITS COUNCIL MEMBERS, OFFICERS, AGENTS, AND EMPLOYEES. I. INSURANCE COVERAGE MUST INCLUDE: 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. III. ENDORSEMENT PROVISIONS, WITH RESPECT TO THE INSURANCE AFFORDED TO “ADDITIONAL INSUREDS” A. PRIMARY COVERAGE $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 33  Packet Pg. 230 of 637  City of Palo Alto General Services Agreement 27 Rev. April 9, 2025 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 1. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR ANY REASON OTHER THAN THE NON-PAYMENT OF PREMIUM, THE ISSUING COMPANY 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 ISSUING COMPANY SHALL PROVIDE CITY AT LEAST A TEN (10) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION. NOTICES SHALL BE EMAILED TO: PurchasingSupport@PaloAlto.Gov $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 34  Packet Pg. 231 of 637  City of Palo Alto General Services Agreement 28 Rev. April 9, 2025 EXHIBIT E SOURCEWELL CONTRACT NO. 090624-GPC Effective January 10, 2025 – January 10, 2029 with extensions available through 2031 https://www.sourcewell-mn.gov/cooperative-purchasing/100124-GPC $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 35  Packet Pg. 232 of 637  City of Palo Alto General Services Agreement 29 Rev. April 9, 2025 EXHIBIT F CYBERSECURITY TERMS AND CONDITIONS In order to assure the privacy and security of the personal information of the City's customers and people who do business with the City, including, without limitation, vendors, utility customers, library patrons, and other individuals and companies, who are required to share such information with the City, as a condition of receiving services from the City or selling goods and services to the City, including, without limitation, the Software as a Service services provider (the "Contractor") and its subcontractors, if any, including, without limitation, any Information Technology ("IT") infrastructure services provider, shall design, install, provide, and maintain a secure IT environment, described below, while it renders and performs the Services and furnishes goods, if any, described in the Statement of Work, Exhibit B, to the extent any scope of work implicates the confidentiality and privacy of the personal information of the City's customers. The Contractor shall fulfill the data and information security requirements (the "Requirements") set forth in Part A below. A "secure IT environment" includes (a) the IT infrastructure, by which the Services are provided to the City, including connection to the City's IT systems; (b) the Contractor's operations and maintenance processes needed to support the environment, including disaster recovery and business continuity planning; and (c) the IT infrastructure performance monitoring services to ensure a secure and reliable environment and service availability to the City. "IT infrastructure" refers to the integrated framework, including, without limitation, data centers, computers, and database management devices, upon which digital networks operate. In the event that, after the Effective Date, the Contractor reasonably determines that it cannot fulfill the Requirements, the Contractor shall promptly inform the City of its determination and submit, in writing, one or more alternate countermeasure options to the Requirements (the "Alternate Requirements" as set forth in Part B), which may be accepted or rejected in the reasonable satisfaction of the Information Security Manager (the "ISM"). Requirements: The Contractor shall at all times during the term of any contract between the City and the Contractor: 1) Appoint or designate an employee, preferably an executive officer, as the security liaison to the City with respect to the Services to be performed under this Agreement. 2) Conform to the NIST Cybersecurity Framework. $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 36  Packet Pg. 233 of 637  City of Palo Alto General Services Agreement 30 Rev. April 9, 2025 3) Conduct routine data and information security compliance training of its personnel that is appropriate to their role. 4) Develop and maintain detailed documentation of the IT infrastructure, including software versions and patch levels. With its signature to the Agreement, Contractor acknowledges that the foregoing documentation is in place and updated regularly. 5) Develop an independently verifiable process, consistent with industry standards, for performing professional and criminal background checks of its employees that (1) would permit verification of employees' personal identity and employment status, and (2) would enable the immediate denial of access to the City's confidential data and information by any of its employees who no longer would require access to that information or who are terminated. 6) Implement access accountability (identification and authentication) architecture and support role-based access control ("RBAC") and segregation of duties ("SoD") mechanisms for all personnel, systems, and Software used to provide the Services. "RBAC" refers to a computer systems security approach to restricting access only to authorized users. "SoD" is an approach that would require more than one individual to complete a security task in order to promote the detection and prevention of fraud and errors. 7) Provide and maintain secure intersystem communication paths that would ensure the confidentiality, integrity, and availability of the City's information. 8) Deploy and maintain IT system upgrades, patches and configurations conforming to current patch and/or release levels by not later than one (1) week after its date of release. Emergency security patches must be installed within 24 hours after its date of release. Provision of Contractor’s applicable standard patch management timelines is acceptable. 9) Provide for the timely detection of, response to, and the reporting of security incidents, including on-going incident monitoring with logging. 10) Notify the City within one (1) hour of detecting a security incident that results in the unauthorized access to or the misuse of the City's confidential data and information. $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 37  Packet Pg. 234 of 637  City of Palo Alto General Services Agreement 31 Rev. April 9, 2025 11) Perform security self-audits on a regular basis and not less frequently than on a quarterly basis, and provide the required summary reports of those self-audits to the ISM on the annual anniversary date or any other date agreed to by the Parties. Provision of a schedule of any annual security reviews and/or audits is acceptable. 12) Accommodate, as practicable, and upon reasonable prior notice by the City, the City's performance of random site security audits at the Contractor's site(s), including the site(s) of a third-party service provider(s), as applicable. The scope of these audits will extend to the Contractor's and its third-party service provider(s)' awareness of security policies and practices, systems configurations, access authentication and authorization, and incident detection and response. Response to audits within a 30-day timeframe is acceptable. 13) Cooperate with the City to ensure that to the extent required by applicable laws, rules and regulations, and the Confidential Information will be accessible only by the Contractor and any authorized third-party service provider's personnel. 14) Maintain records relating to the Services for a period of three (3) years after the expiration or earlier termination of this Agreement and in a mutually agreeable storage medium. Within thirty (30) days after the effective date of expiration or earlier termination of this Agreement, all of those records relating to the performance of the Services shall be provided to the ISM. 15) Maintain the Confidential Information in accordance with applicable federal, state, and local data and information privacy laws, rules, and regulations. 16) Provide Network Layer IP filtering services to allow access only from the City of Palo Alto's IP address to the Vendor environment (primarily hosted for the City of Palo Alto). 17) Provide and support Single Sign-on (SSO) and Multifactor Authentication (MFA) solutions for authentication and authorization services from the "City's environment to the Vendor's environment," and Vendor's environment to the Vendor's cloud services/hosted environment." The Vendor shall allow two employees of the City to have superuser and super-admin access to the Vendor's IT environment, and a cloud-hosted IT environment belongs to the City. $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 38  Packet Pg. 235 of 637  City of Palo Alto General Services Agreement 32 Rev. April 9, 2025 18) Unless otherwise addressed in the Agreement, shall not hold the City liable for any direct, indirect or punitive damages whatsoever including, without limitation, damages for loss of use, data or profits, arising out of or in any way connected with the City's IT environment, including, without limitation, IT infrastructure communications. $"%         Item 17 Attachment B - Genuine Parts Company dba NAPA Auto Parts GSA Contract C26195803        Item 17: Staff Report Pg. 39  Packet Pg. 236 of 637  1 City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Planning and Development Services Meeting Date: December 15, 2025 Report #:2510-5385 TITLE Approval of Professional Services Contract Number C26194283 with Keyser Marston Associates, Inc. in the Amount Not-to-Exceed $371,415 to Conduct Development Impact and In-Lieu Fee Study. CEQA Status: Exempt Under CEQA Guidelines Sections 15061(b)(2) and (b)(3). RECOMMENDATION Staff recommends that the City Council approve and authorize the City Manager or their designee to execute Contract No. C26194283 (Attachment A) with Keyser Marston Associates, Inc. to conduct development impact and in-lieu fee study for a term of three years and a total not-to-exceed $371,415, including $337,650 for basic services and $33,765 for additional services. BACKGROUND Under the Mitigation Fee Act (Assembly Bill [AB] 1600), cities can charge new development for its relative share of the cost to fund the acquisition of land and improvements to public facilities. These fees are established based on the nexus between impacts caused by new development and the improvements needed to mitigate those impacts that would be funded by the established fee. AB 602 requires nexus studies to be updated every eight years beginning January 1, 2022.1 Palo Alto’s certified Housing Element Program 2.1B also requires the City to initiate a study to update the City’s nexus and feasibility study for residential and commercial housing impact fees by December 31, 2025. In addition, Housing Element Program 3.1B requires the City to prepare feasibility studies to analyze the implications of development impact fees for housing production. To comply with these policies in a timely manner, the City seeks to update all impact and related in-lieu fees citywide, including conducting policy research and providing key program recommendations. A detailed scope of work is provided in Exhibit A to Attachment A, but generally, this effort would include the preparation of an AB 602 compliant nexus study to 1 https://legiscan.com/CA/text/AB602/id/2434861 Item 18 Item 18 Staff Report        Item 18: Staff Report Pg. 1  Packet Pg. 237 of 637  2 update development impact and in lieu- fees for parks, community center, library, general government, citywide transportation, public safety, parkland, and public art. This effort will include market/peer benchmarking, and pro forma feasibility testing of residential prototypes, with policy/implementation recommendations and stakeholder outreach. ANALYSIS Table 1: Summary of Request for Proposals Item 18 Item 18 Staff Report        Item 18: Staff Report Pg. 2  Packet Pg. 238 of 637  3 On September 4, 2025, the City notified Keyser Marston Associates (KMA) of its intent to award the firm a contract for the services described in the RFP. Proposals were evaluated using the required criteria established in the solicitation, including proposal quality and completeness, the quality and performance characteristics of the proposed solution, experience with similar scope and complexity, proposed cost, financial stability, ability to meet specified timelines, and compliance with applicable laws and City policies. KMA’s overall performance placed it highest after all evaluation components were completed, supported by stronger results in proposal quality, proposed solution, relevant experience, and prior government performance while fully meeting compliance requirements. Its strong interview performance, including the clarity and completeness of its responses to questions, further strengthened its final ranking. KMA and its sub-consultant NBS Government Financial Group are well known for their work in this area and bring extensive experience in housing-related legislation, inclusionary housing programs, feasibility analysis, housing impact fee studies, and state law requirements for development impact fees. Together, they offer a comprehensive and complementary approach that will support the City in recommending a fee structure that offsets development impacts while preserving the feasibility of housing production. FISCAL/RESOURCE IMPACT 3 as part of the annual reappropriation process. STAKEHOLDER ENGAGEMENT 3https://cityofpaloalto.primegov.com/meetings/ItemWithTemplateType?id=8738&meetingTemplateType=2&com piledMeetingDocumentId=17069 Item 18 Item 18 Staff Report        Item 18: Staff Report Pg. 3  Packet Pg. 239 of 637  4 ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 18 Item 18 Staff Report        Item 18: Staff Report Pg. 4  Packet Pg. 240 of 637  Professional Services Rev. Oct 16,2024 Page 1 of 30 CITY OF PALO ALTO CONTRACT NO. C26194283 AGREEMENT FOR PROFESSIONAL SERVICES BETWEEN THE CITY OF PALO ALTO AND KEYSER MARSTON ASSOCIATES, INC. This Agreement for Professional Services (this “Agreement”) is entered into as of the day of , 2025 (the “Effective Date”), by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and KEYSER MARSTON ASSOCIATES, INC., a California Corporation, located at 1299 Fourth Street, Suite 408 San Rafael, CA 94901 (“CONSULTANT”). The following recitals are a substantive portion of this Agreement and are fully incorporated herein by this reference: RECITALS A. CITY intends to conduct a Development Impact and In-Lieu Fee Nexus and Feasibility Study (the “Project”) and desires to engage a consultant to review, update, and potentially expand the City’s current development impact and in-lieu fee program in accordance with California laws in connection with the Project (the “Services”, as detailed more fully in Exhibit A). B. CONSULTANT represents that it, its employees and subconsultants, if any, possess the necessary professional expertise, qualifications, and capability, and all required licenses and/or certifications to provide the Services. C. CITY, in reliance on these representations, desires to engage CONSULTANT to provide the Services as more fully described in Exhibit A, entitled “SCOPE OF SERVICES”. NOW, THEREFORE, in consideration of the recitals, covenants, terms, and conditions, in this Agreement, the parties agree as follows: SECTION 1. SCOPE OF SERVICES. CONSULTANT shall perform the Services described in Exhibit A in accordance with the terms and conditions contained in this Agreement. The performance of all Services shall be to the reasonable satisfaction of CITY. SECTION 2. TERM. The term of this Agreement shall be from the effective date of this agreement through June 30, 2027, unless terminated earlier pursuant to Section 19 (Termination) of this Agreement. SECTION 3. SCHEDULE OF PERFORMANCE. Time is of the essence in the performance of Services under this Agreement. CONSULTANT shall complete the Services within the term of this Agreement and in accordance with the schedule set forth in Exhibit B, entitled “SCHEDULE OF PERFORMANCE”. Any Services for which times for performance are not specified in this Agreement shall be commenced and completed by CONSULTANT in a reasonably prompt and timely manner based upon the circumstances and direction communicated to the CONSULTANT. CITY’s agreement to extend the term or the schedule for performance shall not preclude recovery of damages for delay if the extension is required due to the fault of CONSULTANT. Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 5  Packet Pg. 241 of 637  Professional Services Rev. Oct 16,2024 Page 2 of 30 SECTION 4. NOT TO EXCEED COMPENSATION. The compensation to be paid to CONSULTANT for performance of the Services shall be based on the compensation structure detailed in Exhibit C, entitled “COMPENSATION,” including any reimbursable expenses specified therein, and the maximum total compensation shall not exceed Three Hundred Thirty- Seven Thousand Six Hundred Fifty Dollars ($337,650). The hourly schedule of rates, if applicable, is set out in Exhibit C-1, entitled “SCHEDULE OF RATES.” Any work performed or expenses incurred for which payment would result in a total exceeding the maximum compensation set forth in this Section 4 shall be at no cost to the CITY. Optional Additional Services Provision (This provision applies only if checked and a not-to-exceed compensation amount for Additional Services is allocated below under this Section 4.) In addition to the not-to-exceed compensation specified above, CITY has set aside the not- to-exceed compensation amount of Thirty-Three Thousand Seven Hundred Sixty Five Dollars ($33,765) for the performance of Additional Services (as defined below). The total compensation for performance of the Services, Additional Services and any reimbursable expenses specified in Exhibit C, shall not exceed Three Hundred Seventy- One Thousand Four Hundred Fifteen Dollars ($371,415), as detailed in Exhibit C. “Additional Services” means any work that is determined by CITY to be necessary for the proper completion of the Project, but which is not included within the Scope of Services described at Exhibit A. CITY may elect to, but is not required to, authorize Additional Services up to the maximum amount of compensation set forth for Additional Services in this Section 4. CONSULTANT shall provide Additional Services only by advanced, written authorization from CITY as detailed in this Section. Additional Services, if any, shall be authorized by CITY with a Task Order assigned and authorized by CITY’s Project Manager, as identified in Section 13 (Project Management). Each Task Order shall be in substantially the same form as Exhibit A-1, entitled “PROFESSIONAL SERVICES TASK ORDER”. Each Task Order shall contain a specific scope of services, schedule of performance and maximum compensation amount, in accordance with the provisions of this Agreement. Compensation for Additional Services shall be specified by CITY in the Task Order, based on whichever is lowest: the compensation structure set forth in Exhibit C, the hourly rates set forth in Exhibit C-1, or a negotiated lump sum. To accept a Task Order, CONSULTANT shall sign the Task Order and return it to CITY’s Project Manager within the time specified by the Project Manager, and upon authorization by CITY (defined as counter-signature by the CITY Project Manager), the fully executed Task Order shall become part of this Agreement. The cumulative total compensation to CONSULTANT for all Task Orders authorized under this Agreement shall not exceed the amount of compensation set forth for Additional Services in this Section 4. CONSULTANT shall only be compensated for Additional Services performed under an authorized Task Order and only up to the maximum amount of compensation set forth for Additional Services in this Section 4. Performance of and payment for any Additional Services are subject to all requirements and restrictions in this Agreement. SECTION 5. INVOICES. In order to request payment, CONSULTANT shall submit monthly Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 6  Packet Pg. 242 of 637  Professional Services Rev. Oct 16,2024 Page 3 of 30 invoices to the CITY describing the Services performed and the applicable charges (including, if applicable, an identification of personnel who performed the Services, hours worked, hourly rates, and reimbursable expenses), based upon Exhibit C or, as applicable, CONSULTANT’s schedule of rates set forth in Exhibit C-1. If applicable, the invoice shall also describe the percentage of completion of each task. The information in CONSULTANT’s invoices shall be subject to verification by CITY. CONSULTANT shall send all invoices to CITY’s Project Manager via email at the following address: PCEContracts@paloalto.gov.. CITY will generally process and pay invoices within thirty (30) days of receipt of an acceptable invoice. SECTION 6. QUALIFICATIONS/STANDARD OF CARE. All Services shall be performed by CONSULTANT or under CONSULTANT’s supervision. CONSULTANT represents that it, its employees and subcontractors, if any, possess the professional and technical personnel necessary to perform the Services required by this Agreement and that the personnel have sufficient skill and experience to perform the Services assigned to them. CONSULTANT represents that it, its employees and subcontractors, if any, have and shall maintain during the term of this Agreement all licenses, permits, qualifications, insurance and approvals of whatever nature that are legally required to perform the Services. All Services to be furnished by CONSULTANT under this Agreement shall meet the professional standard and quality that prevail among professionals in the same discipline and of similar knowledge and skill engaged in related work throughout California under the same or similar circumstances. SECTION 7. COMPLIANCE WITH LAWS. CONSULTANT shall keep itself informed of and in compliance with all federal, state and local laws, ordinances, regulations, and orders that may affect in any manner the Project or the performance of the Services or those engaged to perform Services under this Agreement, as amended from time to time. CONSULTANT shall procure all permits and licenses, pay all charges and fees, and give all notices required by law in the performance of the Services. SECTION 8. ERRORS/OMISSIONS. CONSULTANT is solely responsible for costs, including, but not limited to, increases in the cost of Services, arising from or caused by CONSULTANT’s errors and omissions, including, but not limited to, the costs of corrections such errors and omissions, any change order markup costs, or costs arising from delay caused by the errors and omissions or unreasonable delay in correcting the errors and omissions. SECTION 9. COST ESTIMATES. If this Agreement pertains to the design of a public works project, CONSULTANT shall submit estimates of probable construction costs at each phase of design submittal. If the total estimated construction cost at any submittal exceeds the CITY’s stated construction budget by ten percent (10%) or more, CONSULTANT shall make recommendations to CITY for aligning the Project design with the budget, incorporate CITY approved recommendations, and revise the design to meet the Project budget, at no additional cost to CITY. SECTION 10. INDEPENDENT CONTRACTOR. CONSULTANT acknowledges and agrees that CONSULTANT and any agent or employee of CONSULTANT will act as and shall be deemed at all times to be an independent contractor and shall be wholly responsible for the manner in which CONSULTANT performs the Services requested by CITY under this Agreement. CONSULTANT and any agent or employee of CONSULTANT will not have employee status with CITY, nor be entitled to participate in any plans, arrangements, or distributions by CITY Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 7  Packet Pg. 243 of 637  Professional Services Rev. Oct 16,2024 Page 4 of 30 pertaining to or in connection with any retirement, health or other benefits that CITY may offer its employees. CONSULTANT will be responsible for all obligations and payments, whether imposed by federal, state or local law, including, but not limited to, FICA, income tax withholdings, workers’ compensation, unemployment compensation, insurance, and other similar responsibilities related to CONSULTANT’s performance of the Services, or any agent or employee of CONSULTANT providing same. Nothing in this Agreement shall be construed as creating an employment or agency relationship between CITY and CONSULTANT or any agent or employee of CONSULTANT. Any terms in this Agreement referring to direction from CITY shall be construed as providing for direction as to policy and the result of CONSULTANT’s provision of the Services only, and not as to the means by which such a result is obtained. SECTION 11. ASSIGNMENT. The parties agree that the expertise and experience of CONSULTANT are material considerations for this Agreement. CONSULTANT shall not assign or transfer any interest in this Agreement nor the performance of any of CONSULTANT’s obligations hereunder without the prior written approval of the City Manager. Any purported assignment made without the prior written approval of the City Manager will be void and without effect. Subject to the foregoing, the covenants, terms, conditions and provisions of this Agreement will apply to, and will bind, the heirs, successors, executors, administrators and assignees of the parties. SECTION 12. SUBCONTRACTING. Subcontracts Authorized: Notwithstanding Section 11 (Assignment) above, CITY agrees that subcontractors may be used to complete the Services with prior approval, documented in writing, including Scope of Services, cost, and schedule of performances. The use of subcontractors cannot increase compensation pursuant to Section 4 of this Agreement. The subcontractors identified at Agreement commencement are: - NBS GOVERNMENT FINANCE GROUP (CA#1968655) 32605 Temecula Parkway #316 Temecula, CA 92592 CONSULTANT shall be responsible for directing the work of any subcontractors and for any compensation due to subcontractors. CITY assumes no responsibility whatsoever concerning compensation of subcontractors. CONSULTANT shall be fully responsible to CITY for all acts and omissions of subcontractors. CONSULTANT shall change or add subcontractors only with the prior written approval of the City Manager or designee. SECTION 13. PROJECT MANAGEMENT. CONSULTANT will assign Tim R. Bretz, Phone: (213) 622-8095 ext. 404, Email: tbretz@keysermarston.com as the CONSULTANT’s Project Manager to have supervisory responsibility for the performance, progress, and execution of the Services and represent CONSULTANT during the day-to-day performance of the Services. If circumstances cause the substitution of the CONSULTANT’s Project Manager or any other of CONSULTANT’s key personnel for any reason, the appointment of a substitute Project Manager and the assignment of any key new or replacement personnel will be subject to the prior written approval of the CITY’s Project Manager. CONSULTANT, at CITY’s request, shall promptly remove CONSULTANT personnel who CITY finds do not perform the Services in an acceptable manner, are uncooperative, or present a threat to the adequate or timely completion of the Services or a threat to the safety of persons or property. Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 8  Packet Pg. 244 of 637  Professional Services Rev. Oct 16,2024 Page 5 of 30 CITY’s Project Manager is Julia Knight, Planning & Development Services Department, 250 Hamilton Avenue Palo Alto, CA, 95014, Telephone: (650) 838-2839.. CITY’s Project Manager will be CONSULTANT’s point of contact with respect to performance, progress and execution of the Services. CITY may designate an alternate Project Manager from time to time. SECTION 14. OWNERSHIP OF MATERIALS. With the exception of CONSULTANT’S proprietary computer models, all work product, including without limitation, all writings, drawings, studies, sketches, photographs, plans, reports, specifications, computations, models, recordings, data, documents, and other materials and copyright interests developed under this Agreement, in any form or media, shall be and remain the exclusive property of CITY without restriction or limitation upon their use. CONSULTANT agrees that all copyrights which arise from creation of the work product pursuant to this Agreement are vested in CITY, and CONSULTANT hereby waives and relinquishes all claims to copyright or other intellectual property rights in favor of CITY. Neither CONSULTANT nor its subcontractors, if any, shall make any of such work product available to any individual or organization without the prior written approval of the City Manager or designee. CONSULTANT makes no representation of the suitability of the work product for use in or application to circumstances not contemplated by the Scope of Services. SECTION 15. AUDITS. CONSULTANT agrees to permit CITY and its authorized representatives to audit, at any reasonable time during the term of this Agreement and for four (4) years from the date of final payment, CONSULTANT’s records pertaining to matters covered by this Agreement, including without limitation records demonstrating compliance with the requirements of Section 10 (Independent Contractor). CONSULTANT further agrees to maintain and retain accurate books and records in accordance with generally accepted accounting principles for at least four (4) years after the expiration or earlier termination of this Agreement or the completion of any audit hereunder, whichever is later. SECTION 16. INDEMNITY. 16.1. To the fullest extent permitted by law, CONSULTANT shall indemnify, defend and hold harmless CITY, its Council members, officers, employees and agents (each an “Indemnified Party”) from and against any and all demands, claims, or liability of any nature, including death or injury to any person, property damage or any other loss, including all costs and expenses of whatever nature including attorney’s fees, experts fees, court costs and disbursements (“Claims”) resulting from, arising out of the negligence, recklessness or willful misconduct related to performance or nonperformance by CONSULTANT, its officers, employees, agents or contractors under this Agreement, regardless of whether or not it is caused in part by an Indemnified Party. 16.2. Notwithstanding the above, nothing in this Section 16 shall be construed to require CONSULTANT to indemnify an Indemnified Party from a Claim arising from the active negligence or willful misconduct of an Indemnified Party that is not contributed to by any act of, or by any omission to perform a duty imposed by law or agreement by, CONSULTANT, its officers, employees, agents or contractors under this Agreement. 16.3. The acceptance of CONSULTANT’s Services and duties by CITY shall not operate as a waiver of the right of indemnification. The provisions of this Section 16 shall survive Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 9  Packet Pg. 245 of 637  Professional Services Rev. Oct 16,2024 Page 6 of 30 the expiration or early termination of this Agreement. SECTION 17. WAIVERS. No waiver of a condition or nonperformance of an obligation under this Agreement is effective unless it is in writing in accordance with Section 29.4 of this Agreement. No delay or failure to require performance of any provision of this Agreement shall constitute a waiver of that provision as to that or any other instance. Any waiver granted shall apply solely to the specific instance expressly stated. No single or partial exercise of any right or remedy will preclude any other or further exercise of any right or remedy. SECTION 18. INSURANCE. 18.1. CONSULTANT, at its sole cost and expense, shall obtain and maintain, in full force and effect during the term of this Agreement, the insurance coverage described in Exhibit D, entitled “INSURANCE REQUIREMENTS”. CONSULTANT and its contractors, if any, shall obtain a policy endorsement naming CITY as an additional insured under any general liability or automobile policy or policies. 18.2. All insurance coverage required hereunder shall be provided through carriers with AM Best’s Key Rating Guide ratings of A-:VII or higher which are licensed or authorized to transact insurance business in the State of California. Any and all contractors of CONSULTANT retained to perform Services under this Agreement will obtain and maintain, in full force and effect during the term of this Agreement, identical insurance coverage, naming CITY as an additional insured under such policies as required above. 18.3. Certificates evidencing such insurance shall be filed with CITY concurrently with the execution of this Agreement. The certificates will be subject to the approval of CITY’s Risk Manager and will contain an endorsement stating that the insurance is primary coverage and will not be canceled, or materially reduced in coverage or limits, by the insurer except after filing with the Purchasing Manager thirty (30) days’ prior written notice of the cancellation or modification. If the insurer cancels or modifies the insurance and provides less than thirty (30) days’ notice to CONSULTANT, CONSULTANT shall provide the Purchasing Manager written notice of the cancellation or modification within two (2) business days of the CONSULTANT’s receipt of such notice. CONSULTANT shall be responsible for ensuring that current certificates evidencing the insurance are provided to CITY’s Chief Procurement Officer during the entire term of this Agreement. 18.4. The procuring of such required policy or policies of insurance will not be construed to limit CONSULTANT’s liability hereunder nor to fulfill the indemnification provisions of this Agreement. Notwithstanding the policy or policies of insurance, CONSULTANT will be obligated for the full and total amount of any damage, injury, or loss caused by or directly arising as a result of the Services performed under this Agreement, including such damage, injury, or loss arising after the Agreement is terminated or the term has expired. SECTION 19. TERMINATION OR SUSPENSION OF AGREEMENT OR SERVICES. 19.1. The City Manager may suspend the performance of the Services, in whole or in part, or terminate this Agreement, with or without cause, by giving ten (10) days prior written notice thereof to CONSULTANT. If CONSULTANT fails to perform any of its material Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 10  Packet Pg. 246 of 637  Professional Services Rev. Oct 16,2024 Page 7 of 30 obligations under this Agreement, in addition to all other remedies provided under this Agreement or at law, the City Manager may terminate this Agreement sooner upon written notice of termination. Upon receipt of any notice of suspension or termination, CONSULTANT will discontinue its performance of the Services on the effective date in the notice of suspension or termination. 19.2. In event of suspension or termination, CONSULTANT will deliver to the City Manager on or before the effective date in the notice of suspension or termination, any and all work product, as detailed in Section 14 (Ownership of Materials), whether or not completed, prepared by CONSULTANT or its contractors, if any, in the performance of this Agreement. Such work product is the property of CITY, as detailed in Section 14 (Ownership of Materials). 19.3. In event of suspension or termination, CONSULTANT will be paid for the Services rendered and work products delivered to CITY in accordance with the Scope of Services up to the effective date in the notice of suspension or termination; provided, however, if this Agreement is suspended or terminated on account of a default by CONSULTANT, CITY will be obligated to compensate CONSULTANT only for that portion of CONSULTANT’s Services provided in material conformity with this Agreement as such determination is made by the City Manager acting in the reasonable exercise of his/her discretion. The following Sections will survive any expiration or termination of this Agreement: 14, 15, 16, 17, 19.2, 19.3, 19.4, 20, 25, 27, 28, 29 and 30. 19.4. No payment, partial payment, acceptance, or partial acceptance by CITY will operate as a waiver on the part of CITY of any of its rights under this Agreement, unless made in accordance with Section 17 (Waivers). SECTION 20. NOTICES. All notices hereunder will be given in writing and mailed, postage prepaid, by certified mail, addressed as follows: To CITY: Office of the City Clerk City of Palo Alto Post Office Box 10250 Palo Alto, CA 94303 With a copy to the Purchasing Manager To CONSULTANT: Attention of the Project Manager at the address of CONSULTANT recited on the first page of this Agreement. CONSULTANT shall provide written notice to CITY of any change of address. SECTION 21. CONFLICT OF INTEREST. 21.1. In executing this Agreement, CONSULTANT covenants that it presently has no interest, and will not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of the Services. Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 11  Packet Pg. 247 of 637  Professional Services Rev. Oct 16,2024 Page 8 of 30 21.2. CONSULTANT further covenants that, in the performance of this Agreement, it will not employ subcontractors or other persons or parties having such an interest. CONSULTANT certifies that no person who has or will have any financial interest under this Agreement is an officer or employee of CITY; this provision will be interpreted in accordance with the applicable provisions of the Palo Alto Municipal Code and the Government Code of the State of California, as amended from time to time. CONSULTANT agrees to notify CITY if any conflict arises. 21.3. If the CONSULTANT meets the definition of a “Consultant” as defined by the Regulations of the Fair Political Practices Commission, CONSULTANT will file the appropriate financial disclosure documents required by the Palo Alto Municipal Code and the Political Reform Act of 1974, as amended from time to time. SECTION 22. NONDISCRIMINATION; COMPLIANCE WITH ADA. 22.1. As set forth in Palo Alto Municipal Code Section 2.30.510, as amended from time to time, CONSULTANT certifies that in the performance of this Agreement, it shall not discriminate in the employment of any person due to that person’s 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. CONSULTANT acknowledges that it has read and understands the provisions of Section 2.30.510 of the Palo Alto Municipal Code relating to Nondiscrimination Requirements and the penalties for violation thereof, and agrees to meet all requirements of Section 2.30.510 pertaining to nondiscrimination in employment. 22.2. CONSULTANT understands and agrees that pursuant to the Americans Disabilities Act (“ADA”), programs, services and other activities provided by a public entity to the public, whether directly or through a contractor or subcontractor, are required to be accessible to the disabled public. CONSULTANT will provide the Services specified in this Agreement in a manner that complies with the ADA and any other applicable federal, state and local disability rights laws and regulations, as amended from time to time. CONSULTANT will not discriminate against persons with disabilities in the provision of services, benefits or activities provided under this Agreement. SECTION 23. ENVIRONMENTALLY PREFERRED PURCHASING AND ZERO WASTE REQUIREMENTS. CONSULTANT shall comply with the CITY’s Environmentally Preferred Purchasing policies which are available at CITY’s Purchasing Department, hereby incorporated by reference and as amended from time to time. CONSULTANT shall comply with waste reduction, reuse, recycling and disposal requirements of 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, CONSULTANT shall comply with the following Zero Waste requirements: (a) All printed materials provided by CONSULTANT 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 CITY’s Project Manager. Any submitted materials printed by a professional printing company shall be a minimum of 30% or Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 12  Packet Pg. 248 of 637  Professional Services Rev. Oct 16,2024 Page 9 of 30 greater post-consumer material and printed with vegetable-based inks. (b) Goods purchased by CONSULTANT on behalf of CITY shall be purchased in accordance with CITY’s Environmental Purchasing Policy including but not limited to Extended Producer Responsibility requirements for products and packaging. A copy of this policy is on file at the Purchasing Department’s office. (c) Reusable/returnable pallets shall be taken back by CONSULTANT, at no additional cost to CITY, for reuse or recycling. CONSULTANT shall provide documentation from the facility accepting the pallets to verify that pallets are not being disposed. SECTION 24. COMPLIANCE WITH PALO ALTO MINIMUM WAGE ORDINANCE. CONSULTANT 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) hours of work in a calendar week within the geographic boundaries of the City, CONSULTANT shall pay such employees no less than the minimum wage set forth in Palo Alto Municipal Code Section 4.62.030 for each hour worked within the geographic boundaries of the City of Palo Alto. In addition, CONSULTANT shall post notices regarding the Palo Alto Minimum Wage Ordinance in accordance with Palo Alto Municipal Code Section 4.62.060. SECTION 25. NON-APPROPRIATION. This Agreement is subject to the fiscal provisions of the Charter of the City of Palo Alto and the Palo Alto Municipal Code, as amended from time to time. This Agreement will terminate without any penalty (a) at the end of any fiscal year in the event that funds are not appropriated for the following fiscal year, 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 Agreement 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 26. PREVAILING WAGES AND DIR REGISTRATION FOR PUBLIC WORKS CONTRACTS. 26.1. This Project is not subject to prevailing wages and related requirements. CONSULTANT 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). SECTION 27. CLAIMS PROCEDURE FOR “9204 PUBLIC WORKS PROJECTS”. For purposes of this Section 27, a “9204 Public Works Project” means the erection, construction, alteration, repair, or improvement of any public structure, building, road, or other public improvement of any kind. (Cal. Pub. Cont. Code § 9204.) Per California Public Contract Code Section 9204, for Public Works Projects, certain claims procedures shall apply, as set forth in Exhibit F, entitled “Claims for Public Contract Code Section 9204 Public Works Projects”. Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 13  Packet Pg. 249 of 637  Professional Services Rev. Oct 16,2024 Page 10 of 30 This Project is not a 9204 Public Works Project. SECTION 28. CONFIDENTIAL INFORMATION. 28.1. In the performance of this Agreement, CONSULTANT may have access to CITY’s Confidential Information (defined below). CONSULTANT will hold Confidential Information in strict confidence, not disclose it to any third party, and will use it only for the performance of its obligations to CITY under this Agreement and for no other purpose. CONSULTANT will maintain reasonable and appropriate administrative, technical and physical safeguards to ensure the security, confidentiality and integrity of the Confidential Information. Notwithstanding the foregoing, CONSULTANT may disclose Confidential Information to its employees, agents and subcontractors, if any, to the extent they have a need to know in order to perform CONSULTANT’s obligations to CITY under this Agreement and for no other purpose, provided that the CONSULTANT informs them of, and requires them to follow, the confidentiality and security obligations of this Agreement. 28.2. “Confidential Information” means all data, information (including without limitation “Personal Information” about a California resident as defined in Civil Code Section 1798 et seq., as amended from time to time) and materials, in any form or media, tangible or intangible, provided or otherwise made available to CONSULTANT by CITY, directly or indirectly, pursuant to this Agreement. Confidential Information excludes information that CONSULTANT can show by appropriate documentation: (i) was publicly known at the time it was provided or has subsequently become publicly known other than by a breach of this Agreement; (ii) was rightfully in CONSULTANT’s possession free of any obligation of confidence prior to receipt of Confidential Information; (iii) is rightfully obtained by CONSULTANT from a third party without breach of any confidentiality obligation; (iv) is independently developed by employees of CONSULTANT without any use of or access to the Confidential Information; or (v) CONSULTANT has written consent to disclose signed by an authorized representative of CITY. 28.3. Notwithstanding the foregoing, CONSULTANT may disclose Confidential Information to the extent required by order of a court of competent jurisdiction or governmental body, provided that CONSULTANT will notify CITY in writing of such order immediately upon receipt and prior to any such disclosure (unless CONSULTANT is prohibited by law from doing so), to give CITY an opportunity to oppose or otherwise respond to such order. 28.4. CONSULTANT will notify City promptly upon learning of any breach in the security of its systems or unauthorized disclosure of, or access to, Confidential Information in its possession or control, and if such Confidential Information consists of Personal Information, CONSULTANT will provide information to CITY sufficient to meet the notice requirements of Civil Code Section 1798 et seq., as applicable, as amended from time to time. 28.5. Prior to or upon termination or expiration of this Agreement, CONSULTANT will honor any request from the CITY to return or securely destroy all copies of Confidential Information. All Confidential Information is and will remain the property of the CITY and nothing contained in this Agreement grants or confers any rights to such Confidential Information on CONSULTANT. Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 14  Packet Pg. 250 of 637  Professional Services Rev. Oct 16,2024 Page 11 of 30 28.6. If selected in Section 30 (Exhibits), this Agreement is also subject to the terms and conditions of the Information Privacy Policy and Cybersecurity Terms and Conditions. SECTION 29. MISCELLANEOUS PROVISIONS. 29.1. This Agreement will be governed by California law, without regard to its conflict of law provisions. 29.2. In the event that an action is brought, the parties agree that trial of such action will be vested exclusively in the state courts of California in the County of Santa Clara, State of California. 29.3. The prevailing party in any action brought to enforce the provisions of this Agreement may recover its reasonable costs and attorneys’ fees expended in connection with that action. The prevailing party shall be entitled to recover an amount equal to the fair market value of legal services provided by attorneys employed by it as well as any attorneys’ fees paid to third parties. 29.4. This Agreement, including all exhibits, constitutes the entire and integrated agreement between the parties with respect to the subject matter of this Agreement, and supersedes all prior agreements, negotiations, representations, statements and undertakings, either oral or written. This Agreement may be amended only by a written instrument, which is signed by the authorized representatives of the parties and approved as required under Palo Alto Municipal Code, as amended from time to time. 29.5. If a court of competent jurisdiction finds or rules that any provision of this Agreement is void or unenforceable, the unaffected provisions of this Agreement will remain in full force and effect. 29.6. In the event of a conflict between the terms of this Agreement and the exhibits hereto (per Section 30) or CONSULTANT’s proposal (if any), the Agreement shall control. In the event of a conflict between the exhibits hereto and CONSULTANT’s proposal (if any), the exhibits shall control. 29.7. The provisions of all checked boxes in this Agreement shall apply to this Agreement; the provisions of any unchecked boxes shall not apply to this Agreement. 29.8. All section headings contained in this Agreement are for convenience and reference only and are not intended to define or limit the scope of any provision of this Agreement. 29.9. This Agreement may be signed in multiple counterparts, which, when executed by the authorized representatives of the parties, shall together constitute a single binding agreement. SECTION 30. EXHIBITS. Each of the following exhibits, if the check box for such exhibit is selected below, is hereby attached and incorporated into this Agreement by reference as though fully set forth herein: Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 15  Packet Pg. 251 of 637  Professional Services Rev. Oct 16,2024 Page 12 of 30 EXHIBIT A: SCOPE OF SERVICES EXHIBIT A-1 PROFESSIONAL SERVICES TASK ORDER EXHIBIT B: SCHEDULE OF PERFORMANCE EXHIBIT C: COMPENSATION EXHIBIT C-1: SCHEDULE OF RATES EXHIBIT D: INSURANCE REQUIREMENTS THIS AGREEMENT IS NOT COMPLETE UNLESS ALL SELECTED EXHIBITS ARE ATTACHED. Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 16  Packet Pg. 252 of 637  Professional Services Rev. Oct 16,2024 Page 13 of 30 CONTRACT No. C26194283 SIGNATURE PAGE IN WITNESS WHEREOF, the parties hereto have by their duly authorized representatives executed this Agreement as of the date first above written. CITY OF PALO ALTO ____________________________ City Manager APPROVED AS TO FORM: __________________________ City Attorney or designee KEYSER MARSTON ASSOCIATES, INC. Officer 1 By: Name: Kathleen Head Title: President khead@keysermarston.com Officer 2 (Required for Corp. or LLC) By: Name: Tim Bretz Title: Assistant Secretary Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 17  Packet Pg. 253 of 637  Professional Services Rev. Oct 16,2024 Page 14 of 30 EXHIBIT A SCOPE OF SERVICES CONSULTANT shall provide the Services detailed in this Exhibit A, entitled “SCOPE OF SERVICES”. Notwithstanding any provision herein to the contrary, CONSULTANT’s duties and services described in this Scope of Services shall not include preparing or assisting CITY with any portion of CITY’s preparation of a request for proposals, request for qualifications, or any other solicitation regarding a subsequent or additional contract with CITY. CITY shall at all times retain responsibility for public contracting, including with respect to any subsequent phase of this project. CONSULTANT’s participation in the planning, discussions, or drawing of project plans or specifications shall be limited to conceptual, preliminary, or initial plans or specifications. CONSULTANT shall cooperate with CITY to ensure that all bidders for a subsequent contract on any subsequent phase of this project have access to the same information, including all conceptual, preliminary, or initial plans or specifications prepared by CONSULTANT pursuant to this Scope of Services. TASK A. NEXUS STUDIES Task A – Part 1 – Kick-Off Meeting CONSULTANT and SUBCONSULTANT will prepare a meeting agenda and attend a virtual kick -off meeting with CITY staff. CONSULTANT proposes to discuss the following at this kick off meeting: • Discuss the goals, work plan and schedule for the project • Establish coordination, communication and reporting procedures • Conduct initial interviews with key CITY staff members • Evaluate available information resources • Review the existing impact fee program and inclusionary housing program, and identify any issues of concern to the staff, CITY Council members or stakeholders • Assess the CITY’s current development patterns and growth potential Upon project initiation, we plan to review impacts and explore methodology options relating to fee programs as a result of recent legislative changes such as AB 602 and legal decisions such as Sheetz v. County of El Dorado. We request the CITY involve legal counsel at this time to assist in discussion and direction setting for the study that will best serve the CITY’s needs. Task A – Part 2 – Development Impact Fees for Non- Affordable Housing Fees The scope of services proposed to be completed by SUBCONSULTANT is specific to section 5.1.A- Nexus Study (Legal Foundation) of the CITY’s RFP#194283 for a Development Impact and In- Lieu Nexus and Feasibility Study. The following impact fees will be addressed in the scope of work for this agreement: • Parks Development • Community Center • Library Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 18  Packet Pg. 254 of 637  Professional Services Rev. Oct 16,2024 Page 15 of 30 • General Government Facility • Citywide Transportation (vehicle trips method) • Public Safety Facility • Charleston -Arastradero Corridor Pedestrian and Bicyclist Safety The following In- Lieu fees will also be addressed: • Parkland Dedication (Quimby Act) • Public Art (as authorized by local ordinance requirements) • University Ave Non -Residential Parking SUBCONSULTANT understands Water and Wastewater Connection/Capacity fees are excluded from the scope of review; however, SUBCONSULTANT can assist under an amended scope of services and project budget with these fees as needed. SUBCONSULTANT is also available to initially discuss current or planned infrastructure with the CITY that could lead to identification of new fees, and the data available to support a solid nexus for new fees. Analysis and development of new fee calculations, however, would also be covered under a separate scope of services and project budget from this proposal. INFORMATION TO BE PROVIDED BY THE CITY The work to be performed by SUBCONSULTANT on this impact fee study will depend heavily on information to be provided by the CITY. Among the types of information needed are: • The current General Plan, and any specific plans or other relevant planning studies • Data on the amount of existing development and planned future development in the study area, by land use type • The Capital Improvement Program, level of service policies, facility master plans and other facility planning data, plus inventories of existing facilities, vehicles and equipment of types to be funded by impact fees • Cost estimates for land, capital improvements, vehicles, and/or equipment to be funded by impact fees • Information on capital improvement funding sources and financing plans and any outstanding debt related to existing capital facilities This agreement assumes that all information needed to perform the work covered by the scope of this agreement will be provided by the CITY or is readily available from other sources such as the U.S. Census Bureau or the California Department of Finance. Detailed Work Plan The following subtasks comprise the detailed work plan for this fee study. These subtasks represent the typical requirements of a non -affordable housing impact fee study and may be adjusted to meet the needs of this project. SUBTASK 1: COMPILE DATA ON EXISTING AND FUTURE DEVELOPMENT In this task, the SUBCONSULTANT will collect, review, organize and analyze data on existing Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 19  Packet Pg. 255 of 637  Professional Services Rev. Oct 16,2024 Page 16 of 30 and future development in the CITY and compile it in a form useful for this study. Steps in that process may include: • Establish boundaries of the study area to be used in the analysis (e.g., existing CITY vs. sphere of influence) • Define the breakdown of land use types to be used in the study • A critical new requirement of AB 602 (Govt. Code Section 66016.5) is that residential impact fees must be calculated proportionately to the square footage of units unless another method is justified by specific findings. We will work with the CITY early in the study process to determine the most appropriate way to satisfy that requirement, including alternative fee structures such as housing -related fees based on bedroom count or a hybrid model based on both bedroom count and square footage. • Discuss applicability of fees to home additions and full rebuilds, based on incremental size increases • Discuss options for charging fees to Junior/Accessory Dwelling Units (JADUs and ADUs), considering State requirements, local policy goals, and equity impacts • Analyze land use data provided by the CITY to establish a baseline of existing development and a forecast of future development by land use type • Identify demand variables and specify demand factors that will be used to represent the impact of development in the impact fee calculations • Prepare development data tables to incorporate into the fee calculation model and the study report SUBTASK 2: FACILITY NEEDS ANALYSIS Using forecasts of future development from Subtask 1, SUBCONSULTANT will review the Capital Improvement Program and facility master plans and work with staff to identify new facilities, facility expansions, vehicles and equipment needed to serve future development. Steps in that process will include the following: • Review adopted level -of-service standards and actual service levels for relevant facility types • Work with CITY staff to identify the operative level -of-service standard to be used in the impact fee analysis for each facility type • Identify any existing deficiencies or available capacity relative to the selected level of service standard • Project the additional service demand that will be created by new development, based on selected service levels • Translate service demand into facility needs by facility type • Compile cost estimates for relevant facilities and other assets\ • Identify costs eligible for impact fee funding The scope of this study excludes any legal, engineering, architectural, cost estimating and appraisal services; SUBCONSULTANT will, however, provide guidance and recommendations to the CITY regarding typical sources of information utilized in impact fee studies for development of facility needs assumptions. To the extent the CITY is tasked with estimating costs for existing facilities or new and expanded facilities, SUBCONSULTANT will provide guidance as to the format and requirements of information needed to inform the impact fee calculation model. Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 20  Packet Pg. 256 of 637  Professional Services Rev. Oct 16,2024 Page 17 of 30 SUBTASK 3: IMPACT /IN-LIEU FEE ANALYSIS Using the information developed in Subtasks 1 and 2, we will conduct the fee analysis and calculate impact fees by land use type for each type of facility addressed in the study. That process typically includes these steps: • Review the methods used to calculate existing impact fees and consider alternative methods where appropriate • Construct a spreadsheet fee calculation model incorporating data on existing and future development, demand factors and costs for land, buildings and other capital assets relevant to the fee calculations • Specify formulas in the model to allocate facility costs in proportion to the impact of new development by land use type • Calculate a cost per unit of service for each facility type • Convert the cost per unit of service into a schedule of impact fees per unit of development, by development type • Project potential revenue from the proposed fees In-Lieu fees will generally follow the same approach, as needed, depending on type of facility. Specific to transportation- related fees, the CITY’s RFP for this project requests evaluation of transportation -related fees based on multimodal trips, vehicle miles traveled (VMT), combination of both vehicle trips and VMT, or an asset inventory method. The scope of work proposed for transportation- related fees will rely on the cost of transportation facilities needed to serve new development, as provided by the CITY, and apply a standard vehicle trips cost allocation method, relying on ITE data factors for trips and average trip length (if applicable). Other cost allocation methods such as VMT or multi -modal trips would require the CITY to provide data on how many trips, either multi- modal and/VMT , are added by new development, and specifically how those trips are associated with each type of development. This typically requires a traffic model or third party traffic engineering study to support. If active transportation measures are to be incorporated that reduce the need for more roadway capacity, the CITY would also need to provide the engineering cost estimating and trip reduction factors associated with these improvements. SUBTASK 3.1 ADDITIONAL TRANSPORTATION ANALYSIS (Optional) CITY staff may direct CONSULTANT or SUBCONSULTANT to conduct further background analysis to refine transportation-related needs, models and assumptions to explore various fee structures. The focus of this task will be on enhancing the quality of existing transportation data, identifying gaps and incorporating new data and insights. The CONSULTANT will work closely with CITY staff to validate assumptions, ensuring they align with current standards and local needs. Deliverables may include one or more memos detailing the strengths and weaknesses of the different fee structures studied and/or recommending any additional analysis or next steps needed to select and implement an alternative transportation fee structure in the future. This task is not included in the budget noted in Agreement’s Exhibit C - (SUPPLEMENTAL POLICY AND PROGRAM ANALYSIS & STAKEHOLDER ENGAGEMENT). If CITY staff Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 21  Packet Pg. 257 of 637  Professional Services Rev. Oct 16,2024 Page 18 of 30 initiate this task, they would utilize the provision of Exhibit C, to transfer funds between tasks, or utilize the additional services budget, or seek a contract amendment to increase the maximum total compensation. SUBTASK 4: CAPITAL INFRASTRUCTURE PLANNING ASSISTANCE Results of the impact fee analysis in Subtask 3, above, will provide estimated projections of potential revenue from impact fees based on growth assumptions developed in Subtask 1. The CITY will need to identify how the impact fees will be spent on specific projects. A new provision in the Mitigation Fee Act, Government Code Section 66016.5(a)(6), was added by Assembly Bill 602 in 2021 and requires that large jurisdictions adopt a capital improvement plan as part of an impact fee study. “Large jurisdiction” means a county of 250,000 or more or any CITY within that county, to which Palo Alto qualifies. That requirement applies to all impact fee nexus studies adopted after January 1, 2022. Section 66002 (a) states that the capital improvement plan shall indicate the approximate location, size, time of availability and estimates of cost for all facilities or improvements to be financed with the fees. For this task, the CITY will be responsible for identifying the list capital improvement projects needed to serve new development, including any architectural, engineering, or cost estimation required to describe and define each project. SUBCONSULTANT is available to assist the CITY in meeting the capital improvement plan requirements, as follows: • Project additional facility requirements based on determinations of existing levels of service for each facility type developed in Subtask 2. This task applies to all facility types in the scope of work with the exception of engineered facilities such as transportation as well as in -lieu fees. • Work with the CITY Attorney to obtain direction as to whether the CIP pertaining to impact fees is to be included in the actual consultant report, or through targeted amendments to the CITY’s overall Capital Improvement Program. • Assist in evaluation of proposed project eligibility for impact fee funding and standard approaches to determining whole or partial funding depending on the type of improvement proposed The deliverable for this task includes development of report text and formatted appendices for inclusion in the Draft and Final Study Reports, as directed by the CITY. SUBTASK 5: DRAFT AND FINAL STUDY REPORTS The draft and final report for the study will explain the data, methodology and formulas used in the fee calculations and document the nexus between the proposed fees and the impacts of development for each type of impact fee calculated in the study. As the study progresses, SUBCONSULTANT will submit preliminary drafts of portions of the study report for review and comment by CITY staff. Once all sections are in draft form, an administrative draft of the entire study report, incorporating any previous staff comments, will be submitted for review. Then a final draft document will be prepared for the CITY Council and public review. If necessary, additional changes will be incorporated into the final study report. The study report will include the following components: Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 22  Packet Pg. 258 of 637  Professional Services Rev. Oct 16,2024 Page 19 of 30 • An Executive Summary including summary impact fee tables • A chapter discussing the legal requirements for impact fees and methods used to calculate the fees • A chapter presenting data on existing and future development in the study area and the factors used to measure the impacts of development on individual facility types. • A separate chapter for each type of fee presenting the data and methodology used in the analysis, a detailed explanation the impact fee calculations, and documentation of the nexus • A chapter on implementation recommendations, covering steps needed to comply with the Mitigation Fee Act through proper administration of the impact fees, including but not limited to: o Findings and enactment of fees o Collection and expenditure of fees o Accounting and reporting requirements o Administrative appeals, waivers, and exemptions o Credits and reimbursements for developer -provided facilities o Updating and indexing the fees o Recovery of administrative costs for the impact fee program Deliverables include: (1) Preliminary chapter drafts; (2) a complete draft report for staff review; (3) a final draft report for CITY Council and public review; (4) the final report. All drafts and the final report will be submitted electronically in .pdf format. All original Microsoft Word and Excel files will be provided to the CITY at completion of the work if requested. SUBTASK 6: MEETINGS In general, SUBCONSULTANT has assumed all meetings with staff for the purpose of developing the final findings and reports for each work plan above will be conducted remotely. We have the tools to accomplish all aspects of the project’s work plan remotely from SUBCONSULTANT offices. We utilize video conferencing, email, and telephone to coordinate on the project and review deliverables in an effective manner. CONSULTANT, as the project manager, will participate in all meetings with SUBCONSULTANT and CITY staff with this time included in CONSULTANT’s project management task. At the implementation stage of the project, we are available to present the Study’s outcomes in up to three (3) public meetings. During presentations, SUBCONSULTANT will review the study process, present study results and recommendations, receive input and guidance on the direction of the study, and answer questions. We will prepare a PowerPoint presentation for these meetings which will include visual aids, graphics, charts, and additional worksheets or handouts. Task A – Part 3 – Development Impact Fees for Affordable Housing The CITY desires to complete nexus studies to support the imposition of affordable housing impact fees on residential and/or non- residential development. To that end, CONSULTANT will prepare the following affordable housing nexus studies. Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 23  Packet Pg. 259 of 637  Professional Services Rev. Oct 16,2024 Page 20 of 30 • Residential Affordable Housing Nexus Study: The residential nexus study is used to document the impact of residential development on the need for affordable housing, to quantify the cost of providing affordable units to mitigate this increased affordable housing need and to determine the resulting mitigation cost on a per square foot and per unit basis. The Residential Affordable Housing Nexus Study results in the maximum legally supportable affordable housing impact fee that can be assessed against new mar ket rate residential development. For the purposes of the residential affordable housing nexus study, CONSULTANT proposes to analyze the following residential development types: detached single family development, attached single family development, and apartment s with varying densities/sizes ( e.g., small apartment project and large apartment project). • Non -Residential Affordable Housing Nexus Study: The non -residential nexus study is used to document the relationship between new non- residential development, job growth and affordable housing needs for a range of non- residential development types. The Non-Residential Affordable Housing Nexus Study results in the maximum legally supportable affordable housing impact fee that can be assessed against new non - residential development. For the purposes of the non -residential affordable housing nexus study, CONSULTANT proposes to analyze the following non -residential land uses: retail, office, industrial, warehouse, lodging, and research and development. For both the residential and non -residential nexus studies, CONSULTANT will include the following: • Provide recommendations for assessing affordable housing impact fees on home additions and full rebuilds. • Provide recommendations related to imposing affordable housing impact fees on Junior/Accessory Dwelling Units. • Provide recommendations for methods for increasing the affordable housing impact fees on an annual basis. Deliverables: CONSULTANT will prepare written nexus study reports summarizing the methodology, analysis and maximum legally supportable affordable housing impact fees. The reports will be separated between the residential nexus study and the non- residential nexus study. We propose to provide the CITY with one administrative draft of each respective report and one final draft based on the CITY’s comments. Meetings: CONSULTANT is prepared to participate in virtual meetings with CITY staff and stakeholders throughout the engagement. We are also available to present at up to three (3) public meetings. CONSULTANT will prepare presentation materials for each of these meetings. Given the scope of work proposed to be provided by CONSULTANT, we have included a separate meeting budget as part of Task D. TASK B. FEASIBILITY STUDY (ECONOMIC AND MARKET ANALYSIS) CONSULTANT proposes to complete the following scope of work related to the Feasibility Study Task: Task B – Part 1 – Background Research Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 24  Packet Pg. 260 of 637  Professional Services Rev. Oct 16,2024 Page 21 of 30 CONSULTANT will review background information provided by the CITY. As part of this task, CONSULTANT will also prepare a market assessment. The market assessment will provide context and background information to inform decision -making. This research is important for understanding local real estate conditions and provides an initial foundation for the development of residential and non -residential prototypes, which is the starting point for financial feasibility analyses. Current real estate conditions and trends will be identified including rents, vacancy rates, home sale prices, land values, development activity, and the status of major proposed projects. CONSULTANT will first review any materials provided by the CITY and will then access additional data sources including recently developed projects, brokerage reports, market data firms, government reports and other sources. CONSULTANT will create charts that summarize the pertinent requirements of development impact fee programs that are levied on residential and non -residential construction in other California locations. CONSULTANT will work with CITY staff to identify the relevant jurisdictions to be used in the comparative analysis. The chart will compare the magnitude of the impact fees imposed by the surveyed programs. Task B – Part 2 – Creation of Residential Development Prototypes CONSULTANT anticipates identifying up to six residential prototypes that vary in product type (detached, attached, etc.), size (bedrooms, square footage) and tenure (rental or ownership) that will be used to evaluate financial feasibility of varying impact fee amounts as well as to provide an analysis of potential modifications to the CITY’s 2020 Below Market Rate Financial Feasibility Report. The intent of the residential prototypes is to reflect the range of development types expected to occur within Palo Alto in the near term. Task B – Part 3 – Financial Feasibility Analyses To evaluate the impacts of proposed impact fees on financial feasibility, CONSULTANT will prepare pro forma analyses for each of the residential development prototypes identified in Task B – Part 2. For each of the development prototypes, CONSULTANT proposes to prepare a pro forma analysis for each of the following scenarios: • Current Fee Amounts • Proposed Fee Amounts • Alternate Fee Level #1 As such, CONSULTANT proposes to prepare three pro forma analyses for each of the six development prototypes. This equates to a total of 18 pro forma analyses. The CONSULTANT pro forma analyses will be based on the following assumptions: • CONSULTANT will use construction and development cost information in its files, as well as any information provided by the CITY, to create development cost estimates. CONSULTANT will also reach out to developers to get their input on current development costs. Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 25  Packet Pg. 261 of 637  Professional Services Rev. Oct 16,2024 Page 22 of 30 • CONSULTANT will utilize income and operating expense information drawn from CONSULTANT’s recent experience, as well as any information provided by the CITY or local developers. • CONSULTANT will research current capitalization rates and typical return requirements for each of the land uses. The CONSULTANT pro forma analyses will be utilized to evaluate the financial feasibility of each of development prototypes and fee levels. To that end, the pro forma analyses will solve for the financial surplus or financial gap exhibited by each prototype and impact fee level scenario. For the purposes of this analysis, CONSULTANT will evaluate the total amount of maximum financially feasible supportable impact fee amounts. The CITY will need to determine the individual impact fee amounts to be imposed. EVALUATION OF POLICY QUESTIONS The financial feasibility analysis will be used to evaluate the following policy questions : • CONSULTANT will evaluate how fee waivers and reductions for projects that restrict at least 20% of the units to households earning 100% AMI or less affect financial feasibility. • The results of the financial feasibility analysis will be used to assess the cumulative impact of development fees to housing feasibility . CONSULTANT will use the results of the financial feasibility analyses to recommend potential adjustments to the CITY’s fee amounts. Task B – Part 4 – Final Feasibility Study CONSULTANT will prepare a written report summarizing the pro forma analyses and financial feasibility conclusions. The report will include a description of the development protypes, the financial assumptions utilized in the pro forma analyses, and the financial surplus or financial gap generated by each scenario. In addition, CONSULTANT will provide recommendations and issues for the CITY to consider. The CONSULTANT recommendations will be based on a number of factors including the results of the financial feasibility analysis, the comparative survey completed in Task B – Part 1, and the CITY’s policy objectives. CONSULTANT finds that it is best to prepare an executive summary level memorandum with summary tables and CONSULTANT recommendations. Separately, CONSULTANT will prepare a full written report discussing the CONSULTANT methodology and financial assumptions. CONSULTANT will provide the pro forma analyses as attachments to this full written report. CONSULTANT proposes to prepare one administrative draft and one final version. TASK C. SUPPLEMENTAL POLICY AND PROGRAM ANALYSIS AND STAKEHOLDER ENGAGEMENT CONSULTANT proposes to assist the CITY with evaluating the following : Task C – Part 1 – Update the CITY’s 2020 Below Market Rate Financial Feasibility Report Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 26  Packet Pg. 262 of 637  Professional Services Rev. Oct 16,2024 Page 23 of 30 Using the prototypes from Task B, CONSULTANT will evaluate the existing inclusionary housing program requirements as well as potential modified requirements for new residential construction. The feasibility analysis is needed to demonstrate that the requirements being imposed do not create a constraint to housing development. The feasibility analysis is also helpful in illustrating the real estate economic realities of residential development to stakeholders. CONSULTANT will also create charts that summarize the inclusionary housing obligations for rental and for-sale units, as well as other important exemptions or thresholds included in the surveyed programs in other jurisdictions . CONSULTANT has compiled a database that includes a significant amount of this information for jurisdictions throughout California. The feasibility analysis will also be used to assist in defining a menu of compliance options that adjust the percentage of affordable units required depending on the degree of affordability achieved (i.e., moderate -, low -, very low -, and extremely low income) in a manner that incentivizes desired outcomes. CONSULTANT will also research and provide recommendations related to tiered inclusionary housing requirements. Deliverables: • By June 2026, CONSULTANT proposes to prepare an executive summary -level memorandum that evaluates the CITY’s existing Inclusionary Housing Program. CONSULTANT will provide recommendations related to potential modifications to the CITY’s existing Inclusionary Housing Program and/or a proposed action plan for updating the CITY’s Inclusionary Housing requirements. • At the completion of the nexus studies and financial feasibility analyses, CONSULTANT will prepare a comprehensive report outlining the results of the nexus and financial feasibility studies. This report will include proposed recommendations related to modifications to the CITY’s impact fees as well as inclusionary requirements. It is anticipated that this report will be completed after June 2026. Task C – Part 2 - Stakeholder Engagement CONSULTANT considers it a best practice to hold stakeholder meetings at both the beginning of the process and after the nexus studies and feasibility analyses are completed. Meetings at the outset of the assignment work best when consultants and CITY staff are mostly there to listen. After the analyses are completed, the meetings are used to discuss the evaluation results and recommendations for program implementation. CONSULTANT recommends up to three virtual stakeholder meetings for the proposed scope of work, and we will work with CITY staff to determine the best approach and= schedule for the stakeholder meetings. We see the stakeholder sessions as preparation and warm- up for the public hearing process. Task C – Part 3 – Assistance to CITY Staff CONSULTANT will provide the following assistance to CITY staff: Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 27  Packet Pg. 263 of 637  Professional Services Rev. Oct 16,2024 Page 24 of 30 • Throughout the engagement, CONSULTANT will be available to assist CITY staff with the preparation of materials used for staff briefings, public workshops and formal hearings. • CONSULTANT will prepare outreach materials and respond to stakeholder input, as requested. • CONSULTANT will provide draft content for the CITY’s website or FAQs related to fee changes. TASK D. MEETINGS AND PROJECT MANAGEMENT Meetings CONSULTANT is prepared to participate in virtual meetings with CITY staff and stakeholders throughout the engagement. We are also available to present at up to three (3) public meetings. CONSULTANT will prepare presentation materials for each of these meetings. Given the scope of work proposed to be provided by CONSULTANT, we have included a separate meeting budget as part of Task D. Project Management CONSULTANT will act as the point -of-contact and project manager for this engagement. A CONSULTANT representative will attend meetings with both SUBCONSULTANT and CITY Staff throughout the engagement. In addition, CONSULTANT will coordinate the project schedule ensuring that timelines are met for key deliverables. Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 28  Packet Pg. 264 of 637  Professional Services Rev. Oct 16,2024 Page 25 of 30 EXHIBIT B SCHEDULE OF PERFORMANCE CONSULTANT shall perform the Services so as to complete each milestone within the number of days/weeks specified below. The time to complete each milestone may be increased or decreased by mutual written agreement of the Project Managers for CONSULTANT and CITY so long as all work is completed within the term of the Agreement. Milestones Number of Days/Weeks (as specified below) 1. TASK A: NEXUS STUDIES Projected August 2026, or to be determined by CONSULTANT and CITY’s Project Managers by CONSULTANT and CITY’s Project AND PROGRAM ANALYSIS & CONSULTANT and CITY’s Project Managers Optional Schedule of Performance Provision for Additional Services Agreements. The schedule of performance shall be as provided as detailed in Section 4 in the case of Additional Services, provided in all cases that the schedule of performance shall fall within the term as provided in Section 2 (Term) of this Agreement. Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 29  Packet Pg. 265 of 637  Professional Services Rev. Oct 16,2024 Page 26 of 30 EXHIBIT C COMPENSATION CITY agrees to compensate CONSULTANT for Services performed in accordance with the terms and conditions of this Agreement, and as set forth in the budget schedule below. Compensation shall be calculated based on the rate schedule attached as Exhibit C-1 up to the not to exceed budget amount for each task set forth below. CITY’s Project Manager may approve in writing the transfer of budget amounts between any of the tasks or categories listed below, provided that the total compensation for the Services, including any specified reimbursable expenses, and the total compensation for Additional Services (if any, per Section 4 of the Agreement) do not exceed the amounts set forth in Section 4 of this Agreement. CONSULTANT agrees to complete all Services, any specified reimbursable expenses, and Additional Services (if any, per Section 4), within this/these amount(s). Any work performed or expenses incurred for which payment would result in a total exceeding the maximum amount of compensation set forth in this Agreement shall be at no cost to the CITY. BUDGET SCHEDULE TASK NOT TO EXCEED AMOUNT (SUPPLEMENTAL POLICY AND PROGRAM 329,150 8,500 Total for Services and Reimbursable Expenses $337,650 Maximum Total Compensation $371,415 REIMBURSABLE EXPENSES CONSULTANT’S ordinary business expenses, such as administrative, overhead, administrative support time/overtime, information systems, software and hardware, photocopying, telecommunications (telephone, internet), in-house printing, insurance and other ordinary business expenses, are included within the scope of payment for Services and are not reimbursable expenses hereunder. Reimbursable expenses, if any are specified as reimbursable under this section, will be reimbursed at actual cost. The expenses (by type, e.g. travel) for which CONSULTANT will Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 30  Packet Pg. 266 of 637  Professional Services Rev. Oct 16,2024 Page 27 of 30 be reimbursed are to purchase IMPLAN data for the residential nexus study, travel and meeting costs up to the not-to-exceed amount of: $8,500. A. Travel outside the San Francisco Bay Area, including transportation and meals, if specified as reimbursable, will be reimbursed at actual cost subject to the City of Palo Alto’s policy for reimbursement of travel and meal expenses. B. Long-distance telephone service charges, cellular phone service charges, facsimile transmission and postage charges, if specified as reimbursable, will be reimbursed at actual cost. All requests for reimbursement of expenses, if any are specified as reimbursable under this section, shall be accompanied by appropriate backup documentation and information. Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 31  Packet Pg. 267 of 637  Professional Services Rev. Oct 16,2024 Page 28 of 30 EXHIBIT C-1 SCHEDULE OF RATES CITY and CONSULTANT may at any time mutually agree to add new position titles, rates, and adjust listed rates so long as the changes do not increase the not to exceed amount as noted in pursuant to Section 4 of the Agreement. CONSULTANT’s schedule of rates is as follows: KEYSER MARSTON ASSOCIATES, INC. HOURLY RATES President $305 Senior Principal $295 Associate $185 NBS GOVERNMENT FINANCE GROUP HOURLY RATES Director $250 Impact Fee Specialist $150 Project Analyst $150 Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 32  Packet Pg. 268 of 637  Professional Services Rev. Oct 16,2024 Page 29 of 30 EXHIBIT D INSURANCE REQUIREMENTS CONSULTANTS TO THE CITY OF PALO ALTO (CITY), AT THEIR SOLE EXPENSE, SHALL FOR THE TERM OF THE CONTRACT OBTAIN AND MAINTAIN INSURANCE IN THE AMOUNTS FOR THE COVERAGE SPECIFIED BELOW, 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. AWARD IS CONTINGENT ON COMPLIANCE WITH CITY’S INSURANCE REQUIREMENTS AS SPECIFIED HEREIN. REQUIRED TYPE OF COVERAGE REQUIREMENT MINIMUM LIMITS EACH OCCURRENCE AGGREGATE YES YES WORKER’S COMPENSATION EMPLOYER’S LIABILITY STATUTORY STATUTORY 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 YES 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: CONSULTANT, 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 CONSULTANT 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 CONSULTANT’S AGREEMENT TO INDEMNIFY CITY. THE CONSULTANT MUST SUBMIT CERTIFICATES(S) OF INSURANCE EVIDENCING REQUIRED COVERAGE AT THE FOLLOWING EMAIL: PURCHASINGSUPPORT@PALOALTO.GOV II. 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 Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 33  Packet Pg. 269 of 637  Professional Services Rev. Oct 16,2024 Page 30 of 30 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 1. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR ANY REASON OTHER THAN THE NON-PAYMENT OF PREMIUM, THE CONSULTANT 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 CONSULTANT 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 SENT TO THE FOLLOWING EMAIL: PURCHASINGSUPPORT@CITYOFPALOALTO.ORG Docusign Envelope ID: 00B63B9B-F785-417E-8BA7-5362DE7C06A4 Item 18 Attachment A - Draft Contract with Keyser Marston Associates for Development Impact and In-Lieu Fee Study        Item 18: Staff Report Pg. 34  Packet Pg. 270 of 637  4 8 1 1 City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Police Meeting Date: December 15, 2025 Report #:2510-5323 TITLE Approval of a Professional Services Contract Number C26196324 with Santa Clara County Communications in an Amount Not to Exceed $100,000 for Public Safety Radio Maintenance and Support for a Period of Five (5) Years; CEQA Status - Not a Project RECOMMENDATION Staff recommend the City Council approve and authorize the City Manager or their designee to execute Contract No. C26196324 (Attachment A) with Santa Clara County Communications for the maintenance and support of multi-band portable and mobile radios and accessories for a term of five (5) years and a total amount not-to-exceed $100,000. BACKGROUND In 2010, the Palo Alto City Council approved an agreement to join and form the Silicon Valley Regional Interoperability Authority (SVRIA)—a Joint Powers Authority (JPA) established in collaboration with other Santa Clara County municipalities and agencies. The goal of the SVRIA is to enhance, coordinate, and govern regional public safety data and radio communications systems to improve interoperability among agencies. In June 2015, the Council further approved a Memorandum of Understanding (MOU)1 for the City’s participation in a multi-year project with other SVRIA members to fund, construct, and deploy a new county-wide public safety radio communications network, formally known as the Silicon Valley Regional Communications System (SVRCS). 1 City Council, June 19, 2017; Agenda Item #7, SR#8157, https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes-reports/reports/city-manager-reports- cmrs/year-archive/2015/id-5811.pdf Item 19 Item 19 Staff Report        Item 19: Staff Report Pg. 1  Packet Pg. 271 of 637  4 8 1 1 ANALYSIS The SVRCS is a trunked, digital communications system designed to meet nationally recognized specifications for unified public safety communications. It integrates multiple communication technologies, including: Dual-band radio frequencies Microwave transmission systems A wired wide-area network (WAN) This infrastructure connects Public Safety Answering Points (PSAPs), such as 9-1-1 dispatch centers, with key public safety facilities and radio sites throughout Santa Clara County. The system delivers secure, reliable voice and data communications for mission-critical operations involving police, fire, emergency medical, and other public service agencies. As a fully integrated member of the SVRCS, the City of Palo Alto benefits from improved interoperability with regional and neighboring jurisdictions, enhancing public safety responses during routine operations and large-scale emergencies. The City has an inventory of more than 750 two- way radios used by public safety and field personnel that operate under the SVRIA JPA and has contracted with Santa Clara County since 2020 to maintain and repair this equipment. Prior to 2020, maintenance, inspection, and operational support of this equipment were handled by a Communications Technician FTE. The agreement ensures timely service, replacement, and updates to critical radio communication assets. This contract was exempt from solicitation in accordance with Palo Alto Municipal Code 2.30.360(j), Cooperative purchases, with one or more other public agencies or through a cooperative purchasing agency, provided: (i) the services are solicited using methods substantially similar to those required by this chapter, as determined by the Procurement Officer; and (ii) the contract is consistent with the requirements specified in this municipal code. The city entered into a Memorandum of Understanding with all the Joint Powers Authority members in Silicon Valley Regional Interoperability Authority(SVRIA). An RFP process selected Motorola for the radio system and the County of Santa Clara to operate and maintain the system. Department recommends continuing work with Santa Clara County because of their experience, capacity, and skill maintaining equipment for other county agencies on the same system and the history the City has had with their service. These services are funded through the Police Department’s Technical Services Division operating budget. Funding for the first year of this contract was budgeted as part of the Fiscal Year 2026 Adopted Budget. Funding for this contract in subsequent fiscal years is subject to annual appropriation of funds. Technical rates are the discretion of Santa Clara County and for subsequent fiscal years will be published annually in June and effective July 1. Item 19 Item 19 Staff Report        Item 19: Staff Report Pg. 2  Packet Pg. 272 of 637  4 8 1 1 STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Andrew Binder, Police Chief Item 19 Item 19 Staff Report        Item 19: Staff Report Pg. 3  Packet Pg. 273 of 637  Agreement between the County of Santa Clara and the City of Palo Alto for Communications Technical Services Page 1 of 7 AGREEMENT BETWEEN THE COUNTY OF SANTA CLARA AND ACKGROUND This AGREEMENT (“Agreement”) is entered into by and between the County of Santa Clara (“COUNTY”) and the City of Palo Alto (“CITY”), collectively referred to herein as the “Parties” and individually as a “Party.” The following recitals constitute a substantive portion of the Agreement. , CITY wishes to contract with a provider of public safety communications services for the provision of technical services on its behalf that are critical to the protection of the lives and property of the residents and employees of CITY; and, , the COUNTY is qualified and prepared to provide effective, timely, and efficient technical communications services for CITY. The service obligations of the Parties are described in Exhibit A “Communications Technical Services Scope of Work,” which is attached and incorporated herein by this reference. CITY shall compensate the COUNTY for the services provided under this Agreement in accordance with the cost methodology set forth in Exhibit B “Communications Technical Services Compensation,” which is attached and incorporated into this Agreement. CITY shall pay the COUNTY within thirty (30) calendar days of receipt of billing for communications services. Item 19 Attachment A - SCC and CPA Technical Services Agreement        Item 19: Staff Report Pg. 4  Packet Pg. 274 of 637  Agreement between the County of Santa Clara and the City of Palo Alto for Communications Technical Services Page 2 of 7 Article 3. Term and Termination (a) This Agreement is effective from January 15, 2026, through January 14, 2031, unless terminated earlier in accordance with Section 3.2. (a) Termination for Cause Either Party may terminate this Agreement for cause upon written notice to the other in accordance with Section 6.1 of this Agreement. For purposes of this Agreement, cause includes, but is not limited to, an uncured material breach of this Agreement or a violation of any applicable laws. Such notice will specify the reason for termination and will indicate the effective date of the termination. (b) Opportunity to Cure (1) The non-breaching Party will give written notice of a material breach to the breaching Party, specifying the breach. (2) The breaching Party will not be deemed in default of this Agreement and the nonbreaching Party will not institute proceedings or exercise any remedies against the breaching Party unless the breach has not been cured, corrected, or remedied within: (A)15 business days after notice of the breach is provided; or (B)upon mutual agreement of the Parties, within a longer period as may be reasonably required to cure, correct, or remedy the breach, provided the breaching Party has commenced to cure, correct, or remedy the breach within 15 business days after notice is provided and diligently and continuously pursues such cure, correction, or remedy. (c) Termination for Convenience Either Party may terminate this Agreement without cause by giving the other Party sixty (60) calendar days written notice. (d) Compensation in the Event of Termination In the event of termination, the COUNTY shall be entitled to compensation due for services performed prior to the effective date of the termination as provided herein. Item 19 Attachment A - SCC and CPA Technical Services Agreement        Item 19: Staff Report Pg. 5  Packet Pg. 275 of 637  Agreement between the County of Santa Clara and the City of Palo Alto for Communications Technical Services Page 3 of 7 Article 4. Liabilities and Indemnification In lieu of and notwithstanding the pro rata risk allocation that might otherwise be imposed between the Parties pursuant to Government Code Section 895.6, the Parties agree that all losses or liabilities incurred by a Party shall not be shared pro rata, but instead the COUNTY and CITY agree that pursuant to Government Code Section 895.4, each of the Parties hereto shall fully indemnify, defend with counsel acceptable to the non-indemnifying Party, whose approval shall not be unreasonably withheld, and hold each of the other Parties, their officers, board members, employees and agents, harmless from any claim, expense or cost, damage or liability imposed for injury (as defined by Government Code Section 810.8) occurring by reason of the negligent acts or omissions or willful misconduct of the indemnifying Party, its officers, board members, employees or agents, under or in connection with or arising out of any work, authority or jurisdiction delegated to such Party under this Agreement. No Party, nor any officer, board member, employee or agent thereof shall be responsible for any damage or liability occurring wholly by reason of the negligent acts or omissions or willful misconduct of the other Party hereto, its officers, board members, employees, or agents, under or in connection with or arising out of any work, authority or jurisdiction delegated to such other Party under this Agreement. In the event of any dispute between the Parties arising from or relating to this Agreement, the Parties will attempt to resolve the dispute initially by informal means. Upon the request of either Party, the contract administrators of each Party will meet to discuss the dispute, will exchange any information that they mutually agree is relevant to the issues in dispute and will use all reasonable efforts to resolve the dispute without the need for further proceedings. All notices required by this Agreement will be deemed given when in writing and delivered personally, electronically via email, or deposited in the United States mail, postage prepaid, return receipt requested, addressed to the other Party at the address set forth below or at such other address as the Party may designate in writing: To CITY: Attn: Chief of Police Palo Alto Police Department Item 19 Attachment A - SCC and CPA Technical Services Agreement        Item 19: Staff Report Pg. 6  Packet Pg. 276 of 637  Agreement between the County of Santa Clara and the City of Palo Alto for Communications Technical Services Page 4 of 7 275 Forest Ave. Palo Alto, CA 94301 To the COUNTY: Attn: Communications Director County of Santa Clara Communications Department 2700 Carol Drive San Jose, CA 95125 6.2 Compliance and Nondiscrimination The Parties will comply with all applicable Federal, State, and local laws and regulations. Such laws include but are not limited to the following: Title VII of the Civil Rights Act of 1964 as amended, the Americans with Disabilities Act of 1990, the Rehabilitation Act of 1973 (Sections 503 and 504), the California Fair Employment and Housing Act (Government Code sections 12900 et seq.), and California Labor Code sections 1101 and 1102. The Parties will not discriminate against any subcontractor, employee, or applicant for employment because of age, race, color, national origin, ancestry, religion, sex/gender, sexual orientation, mental disability, physical disability, medical condition, political beliefs, organizational affiliations, or marital status in the recruitment, selection for training including apprenticeship, hiring, employment, utilization, promotion, layoff, rates of pay or other forms of compensation. Nor will the Parties discriminate in the provision of services provided under this Agreement because of age, race, color, national origin, ancestry, religion, sex/gender, sexual orientation, mental disability, physical disability, medical condition, political beliefs, organizational affiliations, or marital status. 6.3 Relationship of Parties; Independent Contractor COUNTY will perform all work and services described in this Agreement as an independent contractor and not as an officer, agent, servant, or employee of the CITY. None of the provisions of this Agreement is intended to create, nor shall be deemed or construed to create any relationship between the Parties other than that of independent Parties contracting with each other for purpose of effecting the provisions of this Agreement. The Parties are not and will not be construed to be in a relationship of a joint venture, partnership, or employer-employee. Neither Party has the authority to make any statements, representations, or commitments of any kind on behalf of the other Party or to use the name of the other Party in any publications or advertisements, except with the written consent of the other Party or as is explicitly provided in this Agreement. 6.4 Governing Law Item 19 Attachment A - SCC and CPA Technical Services Agreement        Item 19: Staff Report Pg. 7  Packet Pg. 277 of 637  Agreement between the County of Santa Clara and the City of Palo Alto for Communications Technical Services Page 5 of 7 This Agreement has been executed and delivered in, and will be construed and enforced in accordance with, the laws of the State of California. The proper venue for legal action regarding this Agreement shall be in Santa Clara County. 6.5 Assignment The Parties may not assign this Agreement or the rights and obligations hereunder without the specific written consent of the other. 6.6 Entire Agreement This document represents the entire Agreement between the Parties with respect to the subject matter hereof. All prior negotiations and written and/or oral agreements between the Parties with respect to the subject matter of this Agreement are merged into this Agreement. 6.7 Amendments This Agreement may only be amended by an instrument signed by the Parties. 6.8 Counterparts This Agreement may be executed in one or more counterparts, each of which shall be deemed to be an original, but all of which together shall constitute one and the same instrument. 6.9 Severability If any provision of this Agreement is found by a court of competent jurisdiction to be void, invalid or unenforceable, the same will either be reformed to comply with applicable law or stricken if not so conformable, so as not to affect the validity or enforceability of this Agreement. 6.10 Waiver No delay or failure to require performance of any provision of this Agreement shall constitute a waiver of that provision as to that or any other instance. Any waiver granted by a Party must be in writing and shall apply to the specific instance expressly stated. 6.11 Survival All provisions of this Agreement allocating liability between CITY and the COUNTY, payment obligations, and the duty to defend, indemnify and hold harmless shall survive the termination of this Agreement. Item 19 Attachment A - SCC and CPA Technical Services Agreement        Item 19: Staff Report Pg. 8  Packet Pg. 278 of 637  Agreement between the County of Santa Clara and the City of Palo Alto for Communications Technical Services Page 6 of 7 6.12 Integration and Order of Precedence This Agreement, including all Exhibits, represents the entire and integrated contract between CITY and the COUNTY and supersedes all prior negotiations, representations, or agreements, either written or oral. In the event of a conflict between the provisions of the main body of the Agreement and its Exhibits, the provisions of the main body shall control. In the event of a conflict between Exhibits A and B, the provisions of Exhibit A shall control. The Parties acknowledge that time is of the essence for this Agreement. Either Party’s failure to complete any of the obligations outlined herein during the term of the Agreement shall be deemed a breach of the Agreement. Unless otherwise prohibited by law or COUNTY policy, the Parties agree that an electronic copy of a signed contract, or an electronically signed contract, has the same force and legal effect as a contract executed with an original ink signature. The term “electronic copy of a signed contract” refers to a transmission by facsimile, electronic mail, or other electronic means of a copy of an original signed contract in a portable document format. The term “electronically signed contract” means a contract that is executed by applying an electronic signature using technology approved by the COUNTY. // // // // // // // // // // Item 19 Attachment A - SCC and CPA Technical Services Agreement        Item 19: Staff Report Pg. 9  Packet Pg. 279 of 637  Agreement between the County of Santa Clara and the City of Palo Alto for Communications Technical Services Page 7 of 7 IN WITNESS WHEREOF, the COUNTY and CITY have caused this Agreement to be executed by their duly authorized representatives effective January 15, 2026. SIGNATURES: COUNTY OF SANTA CLARA: CITY OF PALO ALTO: APPROVED AS TO FORM AND LEGALITY: APPROVED AS TO FORM: Item 19 Attachment A - SCC and CPA Technical Services Agreement        Item 19: Staff Report Pg. 10  Packet Pg. 280 of 637  Agreement between the County of Santa Clara and the City of Palo Alto for Communications Technical Services Page 7 of 7 Item 19 Attachment A - SCC and CPA Technical Services Agreement        Item 19: Staff Report Pg. 11  Packet Pg. 281 of 637  Exhibit A of Agreement between County of Santa Clara and EXHIBIT A COMMUNICATIONS TECHNICAL SERVICES SCOPE OF WORK The City of Palo Alto (“CITY”) two-way radio communications system (hereinafter “Radio System”) is currently comprised of 798 mobile and portable radios plus seven console positions located in Palo Alto and one console position located at Stanford University. The County of Santa Clara Communications Department (COUNTY) will not provide services for the eight total console positions. These eight console positions are currently maintained by Motorola Solutions, Inc. and are not included in this agreement. For the avoidance of doubt, this agreement applies only to the technical services service for the 798 mobile and portable radios. The CITY has requested the COUNTY to provide professional engineering and technical support services as required to assist in the design, licensing, procurement, implementation, maintenance, repair, and future upgrades to the Radio System, based on the Communications Department’s proven performance, experience, specially trained and competent workforce that will perform the special services as required by this Agreement. Under this Agreement, the COUNTY shall provide the CITY the following services upon CITY’s request: 1. Design and Procurement: The COUNTY will assist the CITY with future Radio System design, upgrades, and procurement of equipment and services compatible with other similar radio systems currently maintained and operated by the COUNTY. Quotations for design, engineering, initial implementation, and future upgrade services will be presented to the CITY in writing for approval prior to initiation of work. Cost estimates for COUNTY services, including any sub-contractor work if required, will be included in each quotation for the CITY’s approval prior to initiation of work. The CITY is responsible for the cost of and contracting for system procurement. 2. FCC Licensing: The COUNTY will assist the CITY with FCC licensing requirements. 3. Installation, Programming, and Optimization: The COUNTY will provide the CITY installation, programming, and system optimization services necessary to implement upgrades and/or enhancements to the CITY’s existing Radio System. The CITY will be responsible for any permitting and associated professional engineering costs at the approved time and material (T&M) rate. The County will not provide services for mobile radio installation. 4. Maintenance, Repair, Enhancements, and Modifications to Radio System: Item 19 Attachment A - SCC and CPA Technical Services Agreement        Item 19: Staff Report Pg. 12  Packet Pg. 282 of 637  Exhibit A of Agreement between County of Santa Clara and The COUNTY will provide maintenance, repairs, modifications, and enhancements to the CITY owned Radio System infrastructure equipment charged at T&M cost recovery basis as defined in Exhibit B. Radio System modifications and enhancements will be provided by the COUNTY upon written request and quotation approval from the CITY. 5. Technical Support Services: The COUNTY will provide the CITY full-time (24 hours a day, 7 days a week) technical support services for emergency repairs charged on a time and material cost recovery basis as defined in Exhibit B. The CITY may also request repairs or service during the COUNTY’s normal business hours of 7:00 am to 3:30 pm by calling the COUNTY Technical Services Division at (408) 977- 3222. Repair or service requests made after normal business hours, on weekends and on holidays shall be submitted to the COUNTY Watch Commander in Dispatch Operations by calling (408) 294-4424. Depending on the nature and location of the requested repair or service, COUNTY technical support staff shall acknowledge receipt of the service request within 30 minutes, and an initial field response will occur within 60 minutes of notification. Actual arrival times on scene will vary based on the location and required travel time. Current COUNTY performance standards require that public safety radio systems operate 99% of the time without major system problems and 95% of the time without minor systems problems. This standard shall be applied to the CITY’s Radio System. 6. Annual Subscriber Maintenance: The COUNTY will perform performance maintenance (PM) of the CITY’s 798 mobile and portable radios on an annual (approximate 12-month interval) basis. The County will perform radio version upgrades, code plug development, and programming of subscribers upon request of the CITY. Fees for PM Service, programming, code plug development, version upgrades, and alignment will be charged on a time and material cost recovery basis as defined in Exhibit B and shall include a maximum not-to-exceed cost recovery cap of 576 hours annually. Any identified repair work will be additional and billed separately. 7. Subscribers: The COUNTY will provide programming, optimization, code plug development, version upgrades, and repairs of the CITY’s 262 mobile radios and 536 portable radios. These services will be performed during normal operating hours and not-to-exceed 576 hours annually to ensure the radios are operating within FCC and manufacturer specifications. 8. Inspection of Work: The COUNTY shall provide opportunities for the CITY, or the CITY’s designee, to inspect work performed to ensure quality assurance, and quality control, are maintained to the CITY’s standards and to the COUNTY performance standards set out in this Agreement. Item 19 Attachment A - SCC and CPA Technical Services Agreement        Item 19: Staff Report Pg. 13  Packet Pg. 283 of 637  Exhibit A of Agreement between County of Santa Clara and Item 19 Attachment A - SCC and CPA Technical Services Agreement        Item 19: Staff Report Pg. 14  Packet Pg. 284 of 637  Exhibit B of Agreement between County of Santa Clara and EXHIBIT B COMMUNICATIONS TECHNICAL SERVICES COMPENSATION The City of Palo Alto (“CITY”) shall compensate the County of Santa Clara Communications Department (“COUNTY”) for goods and services provided in accordance with the payment terms, conditions, and rates set forth in this Exhibit B. Any work shall be performed upon request and approval by the CITY. County Communications Technical services are billed on a T&M basis as follows: 1. Quotations and Approval: The COUNTY shall prepare quotations and shall only perform major system installation work and any future system enhancements following the CITY’s written approval. Quotations will be based on a not-to-exceed estimated amount, with final charges being billed at actual costs. Any increase to the original not-to-exceed estimated amount caused by unforeseen issues must be agreed to in writing by both Parties. 2. Subscriber Maintenance: Fees for PM Service will be charged on a T &M cost recovery basis with a maximum not-to- exceed cost recovery cap of 576 hours annually. Any repair work identified during the PM will be additional and billed separately. The CITY will pay the COUNTY for the field services and maintenance of subscriber radios that are connected to the Silicon Valley Regional Communications System (SVRCS). The fees for service maintenance of 262 mobile radios and 536 portable radios will be billed at time and materials using technical service hourly rates. Fleet mapping of radio operations will not exceed 16 hours at T&M rates. 3. Engineering and Technical Support: The COUNTY shall provide the CITY engineering and technician support as required to maintain and repair CITY owned equipment as identified through this Agreement based on fiscal year published rates. All non-regular business hour work will be billed at overtime (1.5 x regular hours) rates with a 4- hour minimum charge of $1,068.00 ($267.00 hourly x 4) for Technician support, if not contiguous with normal business hours. If contiguous with normal business hours (i.e., work begins less than four hours prior to normal business hours or work is initiated before the close of normal business hours), then the 4-hour minimum charge does not apply, and only actual hours worked (regular/overtime) will be billed to the CITY based on when the work is performed. 4. Communications Technical Services Rates: The rates for engineering and technical support are updated each fiscal year. Effective July 1, 2025, rates for Communications Technical Services for the Fiscal Year 2025-26 are set as follows: Item 19 Attachment A - SCC and CPA Technical Services Agreement        Item 19: Staff Report Pg. 15  Packet Pg. 285 of 637  Exhibit B of Agreement between County of Santa Clara and Regular Rate After-hours Rate o Technician $178.00/hr.$267.00/hr. o Engineering Services $215.00/hr.$322.50/hr. * Technical rates for subsequent fiscal years will be published annually in June and effective July 1. 5. Billing for Services The CITY will be billed by the COUNTY on a monthly basis for work performed. The CITY: c/o Police Department Finance Administrator Eric Jensen Palo Alto Police Department 275 Forest Ave. Palo Alto, CA 94301 Email: Eric.Jensen@CityofPaloAlto.org Unless otherwise agreed to by both Parties, all payments will be made to the COUNTY within 30 calendar days of the date invoiced to: The COUNTY: Attn: Accounts Payable County of Santa Clara Communications Department 2700 Carol Drive San Jose, CA 95125 Monthly billing will include the total amount billed for the month and documentation will provide all invoices for work requested and performed during the billing period, including at minimum an itemized description of services provided by the COUNTY (e.g., breakdown of all services rendered, hours worked and travel time by service location, labor type, and a breakdown of all goods provided/billed by the County). The COUNTY shall maintain documentation of all services requested by the CITY and work performed by the COUNTY under this Agreement as detailed in “Exhibit A”. Documentation will include, but not be limited to, Radio System related engineering designs, quotations, FCC licensing, installation, preventative maintenance, and repair services. The CITY has the right to inspect COUNTY documentation upon request. Billing questions may be directed to Accounts Payable at Accounts.Payable@911.sccgov.org. Item 19 Attachment A - SCC and CPA Technical Services Agreement        Item 19: Staff Report Pg. 16  Packet Pg. 286 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Transportation Meeting Date: December 15, 2025 Report #:2503-4330 TITLE Approval of Professional Services Contract No. C26190778A with Turbo Data LLC, in an Amount Not to Exceed $989,138 to Provide Development, Implementation, Support and Maintenance of a Comprehensive Parking Permit and Citation Management System for five years; CEQA status - not a project. RECOMMENDATION Staff recommends that City Council approve and authorize the City Manager or their designee to execute a five-year contract, C25190778A (Attachment A) with Turbo Data LLC in the amount not to exceed $989,139 to provide development, implementation, support, and maintenance of a comprehensive Parking Permit and Citation Management System (CPMS) and related services in support of the City’s parking programs. EXECUTIVE SUMMARY In October 2023, City staff engaged the services of Dixon Resources Unlimited (Dixon) to assist in developing a comprehensive Request for Proposals (RFP) for a new Parking Citation and Permit Management System (CPMS). The scope of the RFP included system development, implementation, support, and ongoing maintenance. The timing of the RFP was intended to coincide with the conclusion of the five-year term of Professional Services Contract No. C19171363 with Professional Account Management, LLC (dba Duncan Solutions), which currently provides CPMS services through no later than June 30, 2026. The City’s current CPMS lacks several desirable features, including enhanced online processing capabilities for permits and robust reporting functionality for revenue reconciliation. To address these limitations and ensure access to modern, industry-leading technology and solutions, the City pursued a competitive procurement process for CPMS services. Item 20 Item 20 Staff Report        Item 20: Staff Report Pg. 1  Packet Pg. 287 of 637  An RFP was released on September 6, 2024, and remained open for 28 days.1 The City received four proposals from: Turbo Data Systems, IPS Group, Duncan Solutions, and Enforce App. Submissions from Turbo Data Systems, IPS Group, and Duncan Solutions were deemed to be responsive. The proposal from Enforce App was disqualified as multiple required documents were not submitted by the due date. An evaluation committee comprising representatives from the Office of Transportation, Police Department, Administrative Services Department, and the City Clerk’s Office reviewed the responsive proposals and vendor demonstrations were conducted with each proposer on November 13 and December 12, 2024. BACKGROUND Parking Permit Programs 4,700 RPP Annual Resident Parking Permits 2,000 RPP Annual Employee Parking Permits 5,600 Annual Garage and Lot Permits 1 https://procurement.opengov.com/portal/palo-alto-ca/projects/114823 Item 20 Item 20 Staff Report        Item 20: Staff Report Pg. 2  Packet Pg. 288 of 637  Parking Enforcement & Citation Management The City of Palo Alto operates two distinct parking enforcement processes, one involving citations issued by contracted enforcement officers in five Residential Preferential Parking Program (RPPP) zones, which is managed by the Office of Transportation, and one with citations issued by Community Service Officers (CSOs) from the Police Department in all other parking areas (including the University Avenue and California Avenue parking districts, with garages and lots, and the two remaining RPPP areas). The purpose of these efforts is to encourage orderly parking conditions and generate parking turnover and/or on-street parking availability for premier users (such as residents in residential neighborhoods and shoppers in retail areas). Nevertheless, over the past five years, the City has issued an average of approximately 16,400 parking citations annually, generating an average of $875,000 in annual revenue. The City of Palo Alto’s Office of Transportation staff engaged the services of a consultant, Dixon Resources Unlimited, in 2024 to facilitate the development of a comprehensive Request for Proposals (RFP) for a Parking Permit and Citation Management System, building off similar work done in previous years. This process began with City staff from Administrative Services, Police, and the Office of Transportation conferring on the requirements of the subsequent RFP. The development, implementation, support, and maintenance of a Parking Permit and Citation Management System is intended to enhance the customer experience for online permit and citation activity, streamline processes for parking programs and provide City staff with enhanced technology. The current CPMS implemented and supported by Duncan Solutions, was introduced to replace pre-pandemic legacy systems and manual processes. While the existing system represents a significant improvement over past operations, further enhancements are needed to better support the administrability of parking programs, community interface, and City staff. The next generation CPMS will focus on improving customer service, optimizing functionality for financial and operational reporting, and increasing system efficiency. Solicitation Process The City received four bids, of which three bids were deemed responsive. Written proposals were supplemented with a vendor demonstration where proposers outlined their team and subcontractor experience, particularly in California. They also demonstrated their Permit and Citation Management Systems, including software and hardware capabilities, adjudication capabilities, as well as their Customer Portals and customer service support processes. Based on this process, City staff recommend an award of contract to Turbo Data Systems, Inc., for a term of five- years. Item 20 Item 20 Staff Report        Item 20: Staff Report Pg. 3  Packet Pg. 289 of 637  Table 1: Summary of Request for Proposal Proposal Description Parking Citation and Permit Management System - RFP190778A Proposed Length of Project 5 Years Number of Vendors Notified 3244 Number of Proposal Packages Downloaded 31 Total Days to Respond to Proposal 28 Pre-Proposal Meeting N/A Pre-Proposal Meeting Date N/A Number of Proposals Received 4 Proposal Price Range $337,048 - $394,000 Public Link to Solicitation https://procurement.opengov.com/portal/palo- alto-ca/projects/114823 Turbo Data will build a custom parking permit and citation processing platform and provide support and maintenance of the system for a period of five years. The proposed platform will continue to transition City programs from manual processes to a cloud-based program. The proposed management system is expected to provide for enhanced user security, complete and immediate information for the City, and collect data for auditing and reporting purposes. The proposed transition to Turbo Data Systems will introduce updated handheld technology for enforcement and improved integration with parking management systems. These upgrades are expected to streamline the citation issuance process, enhance administrative review workflows, and provide a more user-friendly experience for both staff and the public. Key System Requirements Key requirements for CPMS services requested in the RFP include: Provision, maintenance, and support of hardware and software for citation and permit issuance and management; A centralized online portal for citation payments, permit applications, and related processes; Support for both physical and virtual permits; Automated renewal notifications sent via mail and email; Full-service processing capabilities, including: o Online and mail-in payments, o Permit fulfillment, and o Adjudication request processing; Permit management capabilities for all City permit programs; Access to in-state and out-of-state registered vehicle owner information; Item 20 Item 20 Staff Report        Item 20: Staff Report Pg. 4  Packet Pg. 290 of 637  Delinquent citation collections, including: o Noticing, o DMV hold processing, and o Franchise Tax Board (FTB) referrals; Secondary collections; Customer service support through a staffed call center; Interactive Voice Response (IVR) system; Technical assistance for website users via phone and email; Enhanced reporting and noticing capabilities; Real-time ad-hoc reporting tools; and Ongoing staff training and technical support. Staff remain committed to maintaining in-person customer service at the Palo Alto Civic Center for all parking permit programs. Additionally, City staff are evaluating opportunities to introduce new permit types and to transition select existing permit types from physical to virtual formats. These changes are intended to enhance program flexibility and improve convenience for permit applicants. Staff will also reassess in house resources and services are appropriately balanced with these additional customer service functions. System Pricing The RFP included a standardized Cost Proposal Workbook that all vendors were required to complete and submit as part of their proposals. The workbook was structured to facilitate a consistent, side-by-side comparison of pricing for core system features and services. It captured key cost elements such as per-citation and per-permit processing fees, monthly service and support costs, and upfront equipment expenditures. Processing fees are invoiced monthly based on the actual number of citations or permits processed. As volumes fluctuate month-to-month, the workbook included average annual processing figures derived from FY 2024 totals to ensure a fair and uniform cost comparison across proposals. Pricing submitted by the three responsive firms is summarized below, reflecting both first-year costs, which include one-time setup, configuration, and equipment expenses, and total estimated costs over a five-year period. All amounts have been rounded to the nearest whole dollar. Item 20 Item 20 Staff Report        Item 20: Staff Report Pg. 5  Packet Pg. 291 of 637  Table 2: Annual Contract Cost Bid by Vendor Turbo Data Systems IPS Group Duncan Solutions Year 1 5-Year Year 1 5-Year Year 1 5-Year Citation Management System $105,950 $529,750 $147,150 $735,750 $126,919 $638,024 Enforcement Equipment (hardware and software) $40,790 $104,950 $48,890 $95,050 $76,410 $256,410 Permit Management System $48,600 $243,000 $71,350 $356,750 $18,081 $90,405 Customer Service Center $988 $4,938 $29,775 $148,875 $27,375 $136,875 Processing Services (citations / permits) $21,300 $106,500 $58,500 $292,500 $69,015 $213,390 Total $217,628 $989,138 $355,665 $1,628,925 $317,800 $1,335,104 Turbo Data Systems submitted the lowest overall cost proposal among the three responsive bidders. However, it is important to note that the cost estimates summarized in the table above do not include customer-facing convenience fees associated with online citation and permit payments. These transaction-based fees, which are paid directly by users at the time of payment, are detailed in the table below: Table 3: Customer Facing Convenience Fees by Vendor Turbo Data Systems IPS Group Duncan Solutions Per Citation Convenience Fee $3.95 $1.00 $1.50 Per Permit Convenience Fee $2.00 $1.00 $1.50 While Turbo Data Systems proposed the lowest overall system costs, its customer-facing convenience fees for online citation and permit payments are higher than those proposed by IPS Group and Duncan Solutions. City staff are committed to maintaining existing mail-in and in- person payment options for both permit programs and parking citations. This ensures that users continue to have flexible payment options and can choose the method that best meets their needs, whether paying online, by mail, or in person. It is also important to note that parking demand and revenues for both citations and permits, though, have been substantially lower over the past five years than pre-pandemic times. Timeline Pending City Council approval, Turbo Data Systems is expected to begin work immediately, beginning with Citations management by January 2026 and then with all new permit sales and Item 20 Item 20 Staff Report        Item 20: Staff Report Pg. 6  Packet Pg. 292 of 637  existing permits management by June 30, 2026. Staff from the Office of Transportation, City Manager’s Office, Police Department, and Administrative Services Department will collaborate closely with Turbo Data Systems and the current vendor, Duncan Solutions, to transition permit and citation processing services no later than an estimated 90- to 180-day period following contract execution. FISCAL/RESOURCE IMPACT Parking Program Funds 3. 3 October 15, 2024 Staff Report #:2409-3537: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=14462 Item 20 Item 20 Staff Report        Item 20: Staff Report Pg. 7  Packet Pg. 293 of 637  Management and System Implementation capital project (PL-16002). Funding for this project was originally transferred from the three parking funds to the Capital Improvement Fund, so the respective savings will be transferred back to parking funds to cover the first year of contract costs. This is estimated to happen as part of the FY 2026 Mid-Year Budget Review, once the final work by Duncan has been completed. The table below estimates the share of the contract expenses spread across the various program funds involved. Table 4: Turbo Data Contract Funding Share Period Annual Contract Expense Year 1 $218,000 Years 2-5 $193,000 STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 20 Item 20 Staff Report        Item 20: Staff Report Pg. 8  Packet Pg. 294 of 637  Professional Services Rev. Oct 16,2024 Page 1 of 54 CITY OF PALO ALTO CONTRACT NO. C25190778A AGREEMENT FOR PROFESSIONAL SERVICES BETWEEN THE CITY OF PALO ALTO AND TURBO DATA SYSTEMS, INC. This Agreement for Professional Services (this “Agreement”) is entered into as of the 15th day of December, 2025 (the “Effective Date”), by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and TURBO DATA SYSTEMS, INC., a California corporation, located at 1551 N. Tustin Avenue, Suite 950, Santa Ana, CA 92780 (“CONSULTANT”). The following recitals are a substantive portion of this Agreement and are fully incorporated herein by this reference: RECITALS A. CITY intends to implement a new Parking Citation and Permit Management system (the “Project”) and desires to engage a consultant to provide the hardware, software and all related services described in the scope of work in connection with the Project (the “Services”, as detailed more fully in Exhibit A). B. CONSULTANT represents that it, its employees and subconsultants, if any, possess the necessary professional expertise, qualifications, and capability, and all required licenses and/or certifications to provide the Services. C. CITY, in reliance on these representations, desires to engage CONSULTANT to provide the Services as more fully described in Exhibit A, entitled “SCOPE OF SERVICES”. NOW, THEREFORE, in consideration of the recitals, covenants, terms, and conditions, in this Agreement, the parties agree as follows: SECTION 1. SCOPE OF SERVICES.CONSULTANT shall perform the Services described in Exhibit A in accordance with the terms and conditions contained in this Agreement. The performance of all Services shall be to the reasonable satisfaction of CITY. Optional On-Call Provision (This provision only applies if checked and only applies to on-call agreements.) CITY may elect to, but is not required to, authorize on-call Services up to the maximum compensation amount set forth in Section 4 (Not to Exceed Compensation). CONSULTANT shall provide on-call Services only by advanced, written authorization from CITY as detailed in this Section. On-call Services, if any, shall be authorized by CITY, as needed, with a Task Order assigned and approved by CITY’s Project Manager, as identified in Section 13 (Project Management). Each Task Order shall be in substantially the same form as Exhibit A-1 entitled “PROFESSIONAL SERVICES TASK ORDER”. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 9  Packet Pg. 295 of 637  Professional Services Rev. Oct 16,2024 Page 2 of 54 Each Task Order shall contain a specific scope of services, schedule of performance and maximum compensation amount, in accordance with the provisions of this Agreement. Compensation for on-call Services shall be specified by CITY in the Task Order, based on whichever is lowest: the compensation structure set forth in Exhibit C, the hourly rates set forth in Exhibit C-1, or a negotiated lump sum. To accept a Task Order, CONSULTANT shall sign the Task Order and return it to CITY’s Project Manager within the time specified by the Project Manager, and upon authorization by CITY (defined as counter-signature by the CITY Project Manager), the fully executed Task Order shall become part of this Agreement. The cumulative total compensation due to CONSULTANT for all Task Orders issued under this Agreement shall not exceed the amount of compensation set forth in Section 4. CONSULTANT shall only be compensated for on-call Services performed under an authorized Task Order and only up to the maximum compensation amount set forth in Section 4. Performance of and payment for any on-call Services are subject to all requirements and restrictions in this Agreement. SECTION 2. TERM. The term of this Agreement shall be from December 15, 2025 through December 14, 2030 unless terminated earlier pursuant to Section 19 (Termination) of this Agreement. SECTION 3. SCHEDULE OF PERFORMANCE. Time is of the essence in the performance of Services under this Agreement. CONSULTANT shall complete the Services within the term of this Agreement and in accordance with the schedule set forth in Exhibit B, entitled “SCHEDULE OF PERFORMANCE”. Any Services for which times for performance are not specified in this Agreement shall be commenced and completed by CONSULTANT in a reasonably prompt and timely manner based upon the circumstances and direction communicated to the CONSULTANT. CITY’s agreement to extend the term or the schedule for performance shall not preclude recovery of damages for delay if the extension is required due to the fault of CONSULTANT. SECTION 4. NOT TO EXCEED COMPENSATION. The compensation to be paid to CONSULTANT for performance of the Services shall be based on the compensation structure detailed in Exhibit C, entitled “COMPENSATION,” including any reimbursable expenses specified therein, and the maximum total compensation shall not exceed Nine Hundred Ninety Thousand Dollars ($990,000). The hourly schedule of rates, if applicable, is set out in Exhibit C-1, entitled “SCHEDULE OF RATES.” Any work performed or expenses incurred for which payment would result in a total exceeding the maximum compensation set forth in this Section 4 shall be at no cost to the CITY. Optional Additional Services Provision (This provision applies only if checked and a not-to-exceed compensation amount for Additional Services is allocated below under this Section 4.) In addition to the not-to-exceed compensation specified above, CITY has set aside the not- to-exceed compensation amount of Forty-Nine Thousand Five Hundred Dollars ($49,500) for the performance of Additional Services (as defined below). The total compensation for performance of the Services, Additional Services and any reimbursable expenses specified in Exhibit C, shall not exceed One Million Thirty-Nine Thousand Five Hundred Dollars ($1,039,500), as detailed in Exhibit C. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 10  Packet Pg. 296 of 637  Professional Services Rev. Oct 16,2024 Page 3 of 54 “Additional Services” means any work that is determined by CITY to be necessary for the proper completion of the Project, but which is not included within the Scope of Services described at Exhibit A. CITY may elect to, but is not required to, authorize Additional Services up to the maximum amount of compensation set forth for Additional Services in this Section 4. CONSULTANT shall provide Additional Services only by advanced, written authorization from CITY as detailed in this Section. Additional Services, if any, shall be authorized by CITY with a Task Order assigned and authorized by CITY’s Project Manager, as identified in Section 13 (Project Management). Each Task Order shall be in substantially the same form as Exhibit A-1, entitled “PROFESSIONAL SERVICES TASK ORDER”. Each Task Order shall contain a specific scope of services, schedule of performance and maximum compensation amount, in accordance with the provisions of this Agreement. Compensation for Additional Services shall be specified by CITY in the Task Order, based on whichever is lowest: the compensation structure set forth in Exhibit C, the hourly rates set forth in Exhibit C-1, or a negotiated lump sum. To accept a Task Order, CONSULTANT shall sign the Task Order and return it to CITY’s Project Manager within the time specified by the Project Manager, and upon authorization by CITY (defined as counter-signature by the CITY Project Manager), the fully executed Task Order shall become part of this Agreement. The cumulative total compensation to CONSULTANT for all Task Orders authorized under this Agreement shall not exceed the amount of compensation set forth for Additional Services in this Section 4. CONSULTANT shall only be compensated for Additional Services performed under an authorized Task Order and only up to the maximum amount of compensation set forth for Additional Services in this Section 4. Performance of and payment for any Additional Services are subject to all requirements and restrictions in this Agreement. SECTION 5. INVOICES. In order to request payment, CONSULTANT shall submit monthly invoices to the CITY describing the Services performed and the applicable charges (including, if applicable, an identification of personnel who performed the Services, hours worked, hourly rates, and reimbursable expenses), based upon Exhibit C or, as applicable, CONSULTANT’s schedule of rates set forth in Exhibit C-1. If applicable, the invoice shall also describe the percentage of completion of each task. The information in CONSULTANT’s invoices shall be subject to verification by CITY. CONSULTANT shall send all invoices to CITY’s Project Manager at the address specified in Section 13 (Project Management) below. CITY will generally process and pay invoices within thirty (30) days of receipt of an acceptable invoice. SECTION 6. QUALIFICATIONS/STANDARD OF CARE.All Services shall be performed by CONSULTANT or under CONSULTANT’s supervision. CONSULTANT represents that it, its employees and subcontractors, if any, possess the professional and technical personnel necessary to perform the Services required by this Agreement and that the personnel have sufficient skill and experience to perform the Services assigned to them. CONSULTANT represents that it, its employees and subcontractors, if any, have and shall maintain during the term of this Agreement all licenses, permits, qualifications, insurance and approvals of whatever nature that are legally required to perform the Services. All Services to be furnished by CONSULTANT under this Agreement shall meet the professional standard and quality that prevail among professionals in the same discipline and of similar knowledge and skill engaged in related work throughout California under the same or similar circumstances. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 11  Packet Pg. 297 of 637  Professional Services Rev. Oct 16,2024 Page 4 of 54 SECTION 7. COMPLIANCE WITH LAWS. CONSULTANT shall keep itself informed of and in compliance with all federal, state and local laws, ordinances, regulations, and orders that may affect in any manner the Project or the performance of the Services or those engaged to perform Services under this Agreement, as amended from time to time. CONSULTANT shall procure all permits and licenses, pay all charges and fees, and give all notices required by law in the performance of the Services. SECTION 8. ERRORS/OMISSIONS. CONSULTANT is solely responsible for costs, including, but not limited to, increases in the cost of Services, arising from or caused by CONSULTANT’s errors and omissions, including, but not limited to, the costs of corrections such errors and omissions, any change order markup costs, or costs arising from delay caused by the errors and omissions or unreasonable delay in correcting the errors and omissions. SECTION 9. COST ESTIMATES.If this Agreement pertains to the design of a public works project, CONSULTANT shall submit estimates of probable construction costs at each phase of design submittal. If the total estimated construction cost at any submittal exceeds the CITY’s stated construction budget by ten percent (10%) or more, CONSULTANT shall make recommendations to CITY for aligning the Project design with the budget, incorporate CITY approved recommendations, and revise the design to meet the Project budget, at no additional cost to CITY. SECTION 10. INDEPENDENT CONTRACTOR. CONSULTANT acknowledges and agrees that CONSULTANT and any agent or employee of CONSULTANT will act as and shall be deemed at all times to be an independent contractor and shall be wholly responsible for the manner in which CONSULTANT performs the Services requested by CITY under this Agreement. CONSULTANT and any agent or employee of CONSULTANT will not have employee status with CITY, nor be entitled to participate in any plans, arrangements, or distributions by CITY pertaining to or in connection with any retirement, health or other benefits that CITY may offer its employees. CONSULTANT will be responsible for all obligations and payments, whether imposed by federal, state or local law, including, but not limited to, FICA, income tax withholdings, workers’ compensation, unemployment compensation, insurance, and other similar responsibilities related to CONSULTANT’s performance of the Services, or any agent or employee of CONSULTANT providing same. Nothing in this Agreement shall be construed as creating an employment or agency relationship between CITY and CONSULTANT or any agent or employee of CONSULTANT. Any terms in this Agreement referring to direction from CITY shall be construed as providing for direction as to policy and the result of CONSULTANT’s provision of the Services only, and not as to the means by which such a result is obtained. SECTION 11. ASSIGNMENT. The parties agree that the expertise and experience of CONSULTANT are material considerations for this Agreement. CONSULTANT shall not assign or transfer any interest in this Agreement nor the performance of any of CONSULTANT’s obligations hereunder without the prior written approval of the City Manager. Any purported assignment made without the prior written approval of the City Manager will be void and without effect. Subject to the foregoing, the covenants, terms, conditions and provisions of this Agreement will apply to, and will bind, the heirs, successors, executors, administrators and assignees of the parties. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 12  Packet Pg. 298 of 637  Professional Services Rev. Oct 16,2024 Page 5 of 54 SECTION 12. SUBCONTRACTING. Option A: No Subcontractor:CONSULTANT shall not subcontract any portion of the Services to be performed under this Agreement without the prior written authorization of the City Manager or designee. In the event CONSULTANT does subcontract any portion of the work to be performed under this Agreement, CONSULTANT shall be fully responsible for all acts and omissions of subcontractors. Option B: Subcontracts Authorized: Notwithstanding Section 11 (Assignment) above, CITY agrees that subcontractors may be used to complete the Services. The subcontractors authorized by CITY to perform work on this Project are: CONSULTANT shall be responsible for directing the work of any subcontractors and for any compensation due to subcontractors. CITY assumes no responsibility whatsoever concerning compensation of subcontractors. CONSULTANT shall be fully responsible to CITY for all acts and omissions of subcontractors. CONSULTANT shall change or add subcontractors only with the prior written approval of the City Manager or designee. SECTION 13. PROJECT MANAGEMENT. CONSULTANT will assign Elie Sleiman, Telephone: (714) 368-4888, E-Mail: elie@turbodata.com, as the CONSULTANT’s Project Manager to have supervisory responsibility for the performance, progress, and execution of the Services and represent CONSULTANT during the day-to-day performance of the Services. If circumstances cause the substitution of the CONSULTANT’s Project Manager or any other of CONSULTANT’s key personnel for any reason, the appointment of a substitute Project Manager and the assignment of any key new or replacement personnel will be subject to the prior written approval of the CITY’s Project Manager. CONSULTANT, at CITY’s request, shall promptly remove CONSULTANT personnel who CITY finds do not perform the Services in an acceptable manner, are uncooperative, or present a threat to the adequate or timely completion of the Services or a threat to the safety of persons or property. CITY’s Project Manager is Nathan Baird, Office of Transportation, 250 Hamilton Street, Palo Alto, CA, 94301, Telephone: (650) 329-2340. CITY’s Project Manager will be CONSULTANT’s point of contact with respect to performance, progress and execution of the Services. CITY may designate an alternate Project Manager from time to time. SECTION 14. OWNERSHIP OF MATERIALS. All work product, including without limitation, all writings, drawings, studies, sketches, photographs, plans, reports, specifications, computations, models, recordings, data, documents, and other materials and copyright interests developed under this Agreement, in any form or media, shall be and remain the exclusive property of CITY without restriction or limitation upon their use. CONSULTANT agrees that all copyrights which arise from creation of the work product pursuant to this Agreement are vested in CITY, and CONSULTANT hereby waives and relinquishes all claims to copyright or other intellectual property rights in favor of CITY. Neither CONSULTANT nor its subcontractors, if any, shall make any of such work product available to any individual or organization without the prior written approval of the City Manager or designee. CONSULTANT makes no representation of the suitability of the work product for use in or application to circumstances not contemplated by the Scope of Services. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 13  Packet Pg. 299 of 637  Professional Services Rev. Oct 16,2024 Page 6 of 54 SECTION 15. AUDITS. CONSULTANT agrees to permit CITY and its authorized representatives to audit, at any reasonable time during the term of this Agreement and for four (4) years from the date of final payment, CONSULTANT’s records pertaining to matters covered by this Agreement, including without limitation records demonstrating compliance with the requirements of Section 10 (Independent Contractor). CONSULTANT further agrees to maintain and retain accurate books and records in accordance with generally accepted accounting principles for at least four (4) years after the expiration or earlier termination of this Agreement or the completion of any audit hereunder, whichever is later. SECTION 16. INDEMNITY. [Option A applies to the following design professionals pursuant to Civil Code Section 2782.8: architects; landscape architects; registered professional engineers and licensed professional land surveyors.] 16.1. To the fullest extent permitted by law, CONSULTANT shall indemnify, defend and hold harmless CITY, its Council members, officers, employees and agents (each an “Indemnified Party”) from and against any and all third party demands, claims, or liability of any nature, including death or injury to any person, property damage or any other loss, including all costs and expenses of whatever nature including attorney’s fees, experts fees, court costs and disbursements (“Claims”) to the extent that such Claims arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of CONSULTANT, its officers, employees, agents or contractors under this Agreement, regardless of whether or not it is caused in part by an Indemnified Party. CITY will reimburse CONSULTANT for the proportionate percentage of defense costs exceeding CONSULTANT’s proportionate percentage of fault as determined by the final judgment of a court of competent jurisdiction. [Option B applies to any consultant who does not qualify as a design professional as defined in Civil Code Section 2782.8.] 16.1. To the fullest extent permitted by law, CONSULTANT shall indemnify, defend and hold harmless CITY, its Council members, officers, employees and agents (each an “Indemnified Party”) from and against any and all demands, claims, or liability of any nature, including death or injury to any person, property damage or any other loss, including all costs and expenses of whatever nature including attorney’s fees, experts fees, court costs and disbursements (“Claims”) resulting from, arising out of or in any manner related to performance or nonperformance by CONSULTANT, its officers, employees, agents or contractors under this Agreement, regardless of whether or not it is caused in part by an Indemnified Party. 16.2. Notwithstanding the above, nothing in this Section 16 shall be construed to require CONSULTANT to indemnify an Indemnified Party from a Claim arising from the active negligence or willful misconduct of an Indemnified Party that is not contributed to by any act of, or by any omission to perform a duty imposed by law or agreement by, CONSULTANT, its officers, employees, agents or contractors under this Agreement. 16.3. The acceptance of CONSULTANT’s Services and duties by CITY shall not operate as a waiver of the right of indemnification. The provisions of this Section 16 shall survive the expiration or early termination of this Agreement. SECTION 17. WAIVERS. No waiver of a condition or nonperformance of an obligation under Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 14  Packet Pg. 300 of 637  Professional Services Rev. Oct 16,2024 Page 7 of 54 this Agreement is effective unless it is in writing in accordance with Section 29.4 of this Agreement. No delay or failure to require performance of any provision of this Agreement shall constitute a waiver of that provision as to that or any other instance. Any waiver granted shall apply solely to the specific instance expressly stated. No single or partial exercise of any right or remedy will preclude any other or further exercise of any right or remedy. SECTION 18. INSURANCE. 18.1. CONSULTANT, at its sole cost and expense, shall obtain and maintain, in full force and effect during the term of this Agreement, the insurance coverage described in Exhibit D, entitled “INSURANCE REQUIREMENTS”. CONSULTANT and its contractors, if any, shall obtain a policy endorsement naming CITY as an additional insured under any general liability or automobile policy or policies. 18.2. All insurance coverage required hereunder shall be provided through carriers with AM Best’s Key Rating Guide ratings of A-:VII or higher which are licensed or authorized to transact insurance business in the State of California. Any and all contractors of CONSULTANT retained to perform Services under this Agreement will obtain and maintain, in full force and effect during the term of this Agreement, identical insurance coverage, naming CITY as an additional insured under such policies as required above. 18.3. Certificates evidencing such insurance shall be filed with CITY concurrently with the execution of this Agreement. The certificates will be subject to the approval of CITY’s Risk Manager and will contain an endorsement stating that the insurance is primary coverage and will not be canceled, or materially reduced in coverage or limits, by the insurer except after filing with the Purchasing Manager thirty (30) days’ prior written notice of the cancellation or modification. If the insurer cancels or modifies the insurance and provides less than thirty (30) days’ notice to CONSULTANT, CONSULTANT shall provide the Purchasing Manager written notice of the cancellation or modification within two (2) business days of the CONSULTANT’s receipt of such notice. CONSULTANT shall be responsible for ensuring that current certificates evidencing the insurance are provided to CITY’s Chief Procurement Officer during the entire term of this Agreement. 18.4. The procuring of such required policy or policies of insurance will not be construed to limit CONSULTANT’s liability hereunder nor to fulfill the indemnification provisions of this Agreement. Notwithstanding the policy or policies of insurance, CONSULTANT will be obligated for the full and total amount of any damage, injury, or loss caused by or directly arising as a result of the Services performed under this Agreement, including such damage, injury, or loss arising after the Agreement is terminated or the term has expired. SECTION 19. TERMINATION OR SUSPENSION OF AGREEMENT OR SERVICES. 19.1. The City Manager may suspend the performance of the Services, in whole or in part, or terminate this Agreement, with or without cause, by giving ten (10) days prior written notice thereof to CONSULTANT. If CONSULTANT fails to perform any of its material obligations under this Agreement, in addition to all other remedies provided under this Agreement or at law, the City Manager may terminate this Agreement sooner upon written notice of termination. Upon receipt of any notice of suspension or termination, CONSULTANT will Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 15  Packet Pg. 301 of 637  Professional Services Rev. Oct 16,2024 Page 8 of 54 discontinue its performance of the Services on the effective date in the notice of suspension or termination. 19.2. In event of suspension or termination, CONSULTANT will deliver to the City Manager on or before the effective date in the notice of suspension or termination, any and all work product, as detailed in Section 14 (Ownership of Materials), whether or not completed, prepared by CONSULTANT or its contractors, if any, in the performance of this Agreement. Such work product is the property of CITY, as detailed in Section 14 (Ownership of Materials). 19.3. In event of suspension or termination, CONSULTANT will be paid for the Services rendered and work products delivered to CITY in accordance with the Scope of Services up to the effective date in the notice of suspension or termination; provided, however, if this Agreement is suspended or terminated on account of a default by CONSULTANT, CITY will be obligated to compensate CONSULTANT only for that portion of CONSULTANT’s Services provided in material conformity with this Agreement as such determination is made by the City Manager acting in the reasonable exercise of his/her discretion. The following Sections will survive any expiration or termination of this Agreement: 14, 15, 16, 17, 19.2, 19.3, 19.4, 20, 25, 27, 28, 29 and 30. 19.4. No payment, partial payment, acceptance, or partial acceptance by CITY will operate as a waiver on the part of CITY of any of its rights under this Agreement, unless made in accordance with Section 17 (Waivers). SECTION 20. NOTICES. All notices hereunder will be given in writing and mailed, postage prepaid, by certified mail, addressed as follows: To CITY: Office of the City Clerk City of Palo Alto Post Office Box 10250 Palo Alto, CA 94303 With a copy to the Purchasing Manager To CONSULTANT: Attention of the Project Manager at the address of CONSULTANT recited on the first page of this Agreement. CONSULTANT shall provide written notice to CITY of any change of address. SECTION 21. CONFLICT OF INTEREST. 21.1. In executing this Agreement, CONSULTANT covenants that it presently has no interest, and will not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of the Services. 21.2. CONSULTANT further covenants that, in the performance of this Agreement, it will not employ subcontractors or other persons or parties having such an interest. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 16  Packet Pg. 302 of 637  Professional Services Rev. Oct 16,2024 Page 9 of 54 CONSULTANT certifies that no person who has or will have any financial interest under this Agreement is an officer or employee of CITY; this provision will be interpreted in accordance with the applicable provisions of the Palo Alto Municipal Code and the Government Code of the State of California, as amended from time to time. CONSULTANT agrees to notify CITY if any conflict arises. 21.3. If the CONSULTANT meets the definition of a “Consultant” as defined by the Regulations of the Fair Political Practices Commission, CONSULTANT will file the appropriate financial disclosure documents required by the Palo Alto Municipal Code and the Political Reform Act of 1974, as amended from time to time. SECTION 22. NONDISCRIMINATION; COMPLIANCE WITH ADA. 22.1. As set forth in Palo Alto Municipal Code Section 2.30.510, as amended from time to time, CONSULTANT certifies that in the performance of this Agreement, it shall not discriminate in the employment of any person due to that person’s 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. CONSULTANT acknowledges that it has read and understands the provisions of Section 2.30.510 of the Palo Alto Municipal Code relating to Nondiscrimination Requirements and the penalties for violation thereof, and agrees to meet all requirements of Section 2.30.510 pertaining to nondiscrimination in employment. 22.2. CONSULTANT understands and agrees that pursuant to the Americans Disabilities Act (“ADA”), programs, services and other activities provided by a public entity to the public, whether directly or through a contractor or subcontractor, are required to be accessible to the disabled public. CONSULTANT will provide the Services specified in this Agreement in a manner that complies with the ADA and any other applicable federal, state and local disability rights laws and regulations, as amended from time to time. CONSULTANT will not discriminate against persons with disabilities in the provision of services, benefits or activities provided under this Agreement. SECTION 23. ENVIRONMENTALLY PREFERRED PURCHASING AND ZERO WASTE REQUIREMENTS. CONSULTANT shall comply with the CITY’s Environmentally Preferred Purchasing policies which are available at CITY’s Purchasing Department, hereby incorporated by reference and as amended from time to time. CONSULTANT shall comply with waste reduction, reuse, recycling and disposal requirements of 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, CONSULTANT shall comply with the following Zero Waste requirements: (a) All printed materials provided by CONSULTANT 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 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. (b) Goods purchased by CONSULTANT on behalf of CITY shall be purchased in accordance with CITY’s Environmental Purchasing Policy including but not limited to Extended Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 17  Packet Pg. 303 of 637  Professional Services Rev. Oct 16,2024 Page 10 of 54 Producer Responsibility requirements for products and packaging. A copy of this policy is on file at the Purchasing Department’s office. (c) Reusable/returnable pallets shall be taken back by CONSULTANT, at no additional cost to CITY, for reuse or recycling. CONSULTANT shall provide documentation from the facility accepting the pallets to verify that pallets are not being disposed. SECTION 24. COMPLIANCE WITH PALO ALTO MINIMUM WAGE ORDINANCE. CONSULTANT 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) hours of work in a calendar week within the geographic boundaries of the City, CONSULTANT shall pay such employees no less than the minimum wage set forth in Palo Alto Municipal Code Section 4.62.030 for each hour worked within the geographic boundaries of the City of Palo Alto. In addition, CONSULTANT shall post notices regarding the Palo Alto Minimum Wage Ordinance in accordance with Palo Alto Municipal Code Section 4.62.060. SECTION 25. NON-APPROPRIATION. This Agreement is subject to the fiscal provisions of the Charter of the City of Palo Alto and the Palo Alto Municipal Code, as amended from time to time. This Agreement will terminate without any penalty (a) at the end of any fiscal year in the event that funds are not appropriated for the following fiscal year, 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 Agreement 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 26. PREVAILING WAGES AND DIR REGISTRATION FOR PUBLIC WORKS CONTRACTS. 26.1. This Project is not subject to prevailing wages and related requirements. CONSULTANT 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). SECTION 27. CLAIMS PROCEDURE FOR “9204 PUBLIC WORKS PROJECTS”.For purposes of this Section 27, a “9204 Public Works Project” means the erection, construction, alteration, repair, or improvement of any public structure, building, road, or other public improvement of any kind. (Cal. Pub. Cont. Code § 9204.) Per California Public Contract Code Section 9204, for Public Works Projects, certain claims procedures shall apply, as set forth in Exhibit F, entitled “Claims for Public Contract Code Section 9204 Public Works Projects”. This Project is not a 9204 Public Works Project. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 18  Packet Pg. 304 of 637  Professional Services Rev. Oct 16,2024 Page 11 of 54 SECTION 28. CONFIDENTIAL INFORMATION. 28.1. In the performance of this Agreement, CONSULTANT may have access to CITY’s Confidential Information (defined below). CONSULTANT will hold Confidential Information in strict confidence, not disclose it to any third party, and will use it only for the performance of its obligations to CITY under this Agreement and for no other purpose. CONSULTANT will maintain reasonable and appropriate administrative, technical and physical safeguards to ensure the security, confidentiality and integrity of the Confidential Information. Notwithstanding the foregoing, CONSULTANT may disclose Confidential Information to its employees, agents and subcontractors, if any, to the extent they have a need to know in order to perform CONSULTANT’s obligations to CITY under this Agreement and for no other purpose, provided that the CONSULTANT informs them of, and requires them to follow, the confidentiality and security obligations of this Agreement. 28.2. “Confidential Information” means all data, information (including without limitation “Personal Information” about a California resident as defined in Civil Code Section 1798 et seq., as amended from time to time) and materials, in any form or media, tangible or intangible, provided or otherwise made available to CONSULTANT by CITY, directly or indirectly, pursuant to this Agreement. Confidential Information excludes information that CONSULTANT can show by appropriate documentation: (i) was publicly known at the time it was provided or has subsequently become publicly known other than by a breach of this Agreement; (ii) was rightfully in CONSULTANT’s possession free of any obligation of confidence prior to receipt of Confidential Information; (iii) is rightfully obtained by CONSULTANT from a third party without breach of any confidentiality obligation; (iv) is independently developed by employees of CONSULTANT without any use of or access to the Confidential Information; or (v) CONSULTANT has written consent to disclose signed by an authorized representative of CITY. 28.3. Notwithstanding the foregoing, CONSULTANT may disclose Confidential Information to the extent required by order of a court of competent jurisdiction or governmental body, provided that CONSULTANT will notify CITY in writing of such order immediately upon receipt and prior to any such disclosure (unless CONSULTANT is prohibited by law from doing so), to give CITY an opportunity to oppose or otherwise respond to such order. 28.4. CONSULTANT will notify City promptly upon learning of any breach in the security of its systems or unauthorized disclosure of, or access to, Confidential Information in its possession or control, and if such Confidential Information consists of Personal Information, CONSULTANT will provide information to CITY sufficient to meet the notice requirements of Civil Code Section 1798 et seq., as applicable, as amended from time to time. 28.5. Prior to or upon termination or expiration of this Agreement, CONSULTANT will honor any request from the CITY to return or securely destroy all copies of Confidential Information. All Confidential Information is and will remain the property of the CITY and nothing contained in this Agreement grants or confers any rights to such Confidential Information on CONSULTANT. 28.6. If selected in Section 30 (Exhibits), this Agreement is also subject to the Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 19  Packet Pg. 305 of 637  Professional Services Rev. Oct 16,2024 Page 12 of 54 terms and conditions of the Information Privacy Policy and Cybersecurity Terms and Conditions. SECTION 29. MISCELLANEOUS PROVISIONS. 29.1. This Agreement will be governed by California law, without regard to its conflict of law provisions. 29.2. In the event that an action is brought, the parties agree that trial of such action will be vested exclusively in the state courts of California in the County of Santa Clara, State of California. 29.3. The prevailing party in any action brought to enforce the provisions of this Agreement may recover its reasonable costs and attorneys’ fees expended in connection with that action. The prevailing party shall be entitled to recover an amount equal to the fair market value of legal services provided by attorneys employed by it as well as any attorneys’ fees paid to third parties. 29.4. This Agreement, including all exhibits, constitutes the entire and integrated agreement between the parties with respect to the subject matter of this Agreement, and supersedes all prior agreements, negotiations, representations, statements and undertakings, either oral or written. This Agreement may be amended only by a written instrument, which is signed by the authorized representatives of the parties and approved as required under Palo Alto Municipal Code, as amended from time to time. 29.5. If a court of competent jurisdiction finds or rules that any provision of this Agreement is void or unenforceable, the unaffected provisions of this Agreement will remain in full force and effect. 29.6. In the event of a conflict between the terms of this Agreement and the exhibits hereto (per Section 30) or CONSULTANT’s proposal (if any), the Agreement shall control. In the event of a conflict between the exhibits hereto and CONSULTANT’s proposal (if any), the exhibits shall control. 29.7. The provisions of all checked boxes in this Agreement shall apply to this Agreement; the provisions of any unchecked boxes shall not apply to this Agreement. 29.8. All section headings contained in this Agreement are for convenience and reference only and are not intended to define or limit the scope of any provision of this Agreement. 29.9. This Agreement may be signed in multiple counterparts, which, when executed by the authorized representatives of the parties, shall together constitute a single binding agreement. SECTION 30. EXHIBITS. Each of the following exhibits, if the check box for such exhibit is selected below, is hereby attached and incorporated into this Agreement by reference as though fully set forth herein: Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 20  Packet Pg. 306 of 637  Professional Services Rev. Oct 16,2024 Page 13 of 54 EXHIBIT A: SCOPE OF SERVICES EXHIBIT A-1 PROFESSIONAL SERVICES TASK ORDER EXHIBIT B: SCHEDULE OF PERFORMANCE EXHIBIT C: COMPENSATION EXHIBIT C-1: SCHEDULE OF RATES EXHIBIT D: INSURANCE REQUIREMENTS THIS AGREEMENT IS NOT COMPLETE UNLESS ALL SELECTED EXHIBITS ARE ATTACHED. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 21  Packet Pg. 307 of 637  Professional Services Rev. Oct 16,2024 Page 14 of 54 CONTRACT No. C25190778A SIGNATURE PAGE IN WITNESS WHEREOF, the parties hereto have by their duly authorized representatives executed this Agreement as of the date first above written. CITY OF PALO ALTO ____________________________ City Manager APPROVED AS TO FORM: __________________________ City Attorney or designee TURBO DATA SYSTEMS, INC. Officer 1 By: ________________________________ Name: ______________________________ Title: _______________________________ Officer 2 By: ________________________________ Name: ______________________________ Title: _______________________________ Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 22  Packet Pg. 308 of 637  Professional Services Rev. Oct 16,2024 Page 15 of 54 EXHIBIT A SCOPE OF SERVICES CONSULTANT shall provide the Services detailed in this Exhibit A, entitled “SCOPE OF SERVICES”. Notwithstanding any provision herein to the contrary, CONSULTANT’s duties and services described in this Scope of Services shall not include preparing or assisting CITY with any portion of CITY’s preparation of a request for proposals, request for qualifications, or any other solicitation regarding a subsequent or additional contract with CITY. CITY shall at all times retain responsibility for public contracting, including with respect to any subsequent phase of this project. CONSULTANT’s participation in the planning, discussions, or drawing of project plans or specifications shall be limited to conceptual, preliminary, or initial plans or specifications. CONSULTANT shall cooperate with CITY to ensure that all bidders for a subsequent contract on any subsequent phase of this project have access to the same information, including all conceptual, preliminary, or initial plans or specifications prepared by CONSULTANT pursuant to this Scope of Services. Section 1. Project Description and Overview The CONSULTANT will be responsible for providing the development, implementation, support, and maintenance of a comprehensive Citation and Permit Management System (CPMS) and related services in support of the CITY’s parking permitting and enforcement programs. CONSULTANT is responsible for ensuring that the CPMS and proposed support services are compliant with State of California regulations, including, but not limited to, California Vehicle Code sections associated with citation processing, noticing, appeal and adjudication processes, and payment plans. The CPMS must be capable of integrating with several current and future CITY and third-party vendor programs that will also support the parking operation. CONSULTANT shall provide the capability for integration using open architecture industry standards with external integration capabilities. All cloud-based systems — including but not limited to the CPMS and the customer portal shall be assumed to have unlimited cloud storage to support unlimited data storage and create/read/update transactions. CONSULTANT shall provide a full-time Project Manager and key personnel responsible for project oversight and delivery of the CPMS. The CONSULTANT Project Manager shall be the single point of contact for the CITY, responsible for the CPMS's management, implementation, and ongoing troubleshooting during its installation and continuous operation. The CONSULTANT Project Manager shall coordinate efforts with the CITY Project Manager or designee and any Subcontractors. The CONSULTANT Project Manager shall always be available to the CITY by telephone or video access during the project and on-site within 72 hours of notification, if necessary and requested, to respond to CITY needs, questions, and issues. In consultation with the CITY, the CONSULTANT Project Manager will develop a detailed implementation and project plan for CPMS implementation. Turbo Data Scope of Work Details for Parking Citations and Parking Permits TDS shall perform the following services in processing all Parking Citations: A. Basic Processing – TDS will enter manual citations and citation dispositions into Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 23  Packet Pg. 309 of 637  Professional Services Rev. Oct 16,2024 Page 16 of 54 Customer’s database within 2 business days. The basic service includes database maintenance, daily system backups, toll-free phone number for the public, Interactive Voice Response System (IVRS) with customized recorded information and citation lookup capability, pticket.com web-based Inquiry System for the public with customized content, Customer Service Representatives (8:00 am – 5:00 pm, Monday through Friday, excluding holidays) to speak with the public regarding parking citation issues, ongoing Client support, and documentation and training for use of the TDS-provided online system. B. Handheld Ticket writer Interface - TDS will provide for automated import of electronic citations into Customers database within 1 business day. TDS will maintain and update the hot sheet or scofflaw files on a daily basis for Customer to upload into their handheld ticket writers. TDS will work with Customer to implement any changes required for handheld ticket writer equipment. C. System and Document Storage - Citations paid or dismissed will be retained on the computer system for 3 years and then removed. Unpaid citations will be retained on the computer system for 5 years and then removed. Citation documents will be stored for 2 years from date of issue and then returned to Customer or shredded. Payment documents will be stored for 2 years from the date of payment and then returned to Customer or shredded. D. Online Reporting - Provide monthly reports online indicating the status of all citations, such reports to be available for Customer access no later than the thirtieth (30th) day of the following month. E. DMV Interface for Registered Owner Name Retrieval - Attempt to obtain names and addresses of registered owners of cited vehicles for those citations that have not been cleared prior to their notice generation date. F. Notice Processing - Print the required Notice and mail to each registered owner whose name has been retrieved within 10 to 21 days after the citation has been issued. Includes second notices mailed for bounced checks, partial payments, and name or address changes. The notice date shall be extended whenever there is an unusual delay in delivery of information or citations to TDS. All postage, notice forms and envelopes will be provided by TDS. G. DMV Interface for Placing Registration Holds - Transmit a Notice of Delinquency to the California DMV for vehicles with California license plates after a Notice of Violation has been mailed to the registered owner and TDS has not received notification that the citation has been cleared. This Notice of Delinquency will be transmitted to the California DMV within 2 business days after the date specified by the Customer to be the DMV Date. H. DMV Interface for Releasing Registration Holds - Transmit a Notice to the California DMV that a Notice of Delinquency has been cleared within 2 business days after TDS has received notification of clearance. I. DMV Interface for Monthly Payment File – Receive payment file from DMV as available (currently monthly) and update DMV transactions into Customers database, providing Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 24  Packet Pg. 310 of 637  Professional Services Rev. Oct 16,2024 Page 17 of 54 reporting for reconciliation purposes. J. Delivery Service – Manual citations will be mailed or scanned to TDS by Customer at their own expense. TDS reports will be provided online. TDS will return any required documents via UPS and/or US Mail. K. Collection and Payment Processing - TDS will provide the following collection and payment processing services for Customer: • Provide P. O. Box where payments are mailed • Courier pickup from P. O. Box daily • Open all mail • Verify payment amounts and record on computer system within 2 business days (48 hours) • Respond to reasonable non-judicial public inquiries by phone and mail • Return questionable mail to Customer for decision • Make bank deposits to Customer bank account using check scanning • Verify amounts deposited, by citation number • Provide toll-free number for citizen inquiries • Provide reports for bank statement reconciliation • Provide monthly Paid Citation Distribution Report for surcharge payments to the County • Scan checks and deposit parking funds into Customer bank account. L. Out of State Citations - TDS shall process citations for non-California license plates by entering the citation information into the system database and reporting them along with all other citations on the database with the standard reports. If they become delinquent, requests for registered owner information will be sent to the appropriate out-of-state DMV. The Notice of Intent will be generated to the registered owner and the fine amount requested. TDS will incur all costs for out of state name retrieval, including out-of-state DMV fees and charges. TDS will receive payment from Customer based on the amount of revenues collected from out-ofstate citations after the Notice of Intent has been issued. This amount will be billed monthly for the prior months' receipts (as determined from our database and/or reports). Payments collected via credit card will also incur credit card fees. M. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 25  Packet Pg. 311 of 637  Professional Services Rev. Oct 16,2024 Page 18 of 54 N. Administrative Adjudication Processing - TDS will provide for the processing of requests for contesting citations, allowing for Customer processing of administrative reviews, tracking and monitoring all relevant dates on an automated system, mailing timely notification to respondents regarding the status of their claims, and scheduling of administrative hearings. All Administrative Adjudication information entered into the system is done in real time and is linked to existing database information to ensure proper tracking of relevant dates, mailing names and addresses and other pertinent information. Administrative Review requests will be entered within 2 business days of receipt. Adjudication documents will be stored for 2 years from their activity date and then shredded. O. Paperless Appeals (eAppealsPRO & Scanning) – TDS will provide online appeal capability for the public to appeal their citations online. TDS will provide the scanning of all mailed-in appeal documents and electronic storage of those documents. TDS will provide an online application to access the appeals, which will be searchable and sortable. TDS will keep an electronic history of processed appeals for at least two years. P. Online Inquiry Access for Customers’ Staff - Access includes online access 24 hours a day, 7 days a week for Agency personnel to inquire on Customer’s database. This access includes citation inquiry (includes citation status, history status, administrative adjudication status, notes, etc.), the ability to enter and view notes, post dismissals/payments, view daily deposits made at TDS’ facility and view daily file transfers sent from the handheld ticket writer software and received at TDS’ facility. TDS’ technical staff will provide support. TDS will provide a real-time secured high-speed connection to the citation database through the Customers' Internet connection. Q. Additional Notices– TDS will mail Other Correspondence as required for processing. R. ICS Collection Service – Special Collections - Outstanding citations (DMV No-Holds or DMV Transfer of Ownership Releases or Non-California plates) and any other citations deemed as delinquent citations by Customer are transferred into the ICS system on a weekly basis. Up to two collection letters will be mailed for each ICS account requesting payment. Payments are processed daily and deposited to the Customer’s regular citation processing bank account. The TDS Customer Service Center will handle all ICS related calls through a special toll-free number dedicated to ICS accounts. Monthly reporting shows all accounts moved to the ICS system and all payments received due to ICS efforts. S. Franchise Tax Board Offset Program – TDS will combine citations by license number for total amount due, eliminate corporate names, retrieve SSN’s by name from a 3rd party, combine accounts by SSN, mail required FTB letters in advance of placing accounts at FTB, process payments generated by the FTB process, receive phone calls generated by the FTB process, provide all systems and operational procedures required for the FTB process, and provide complete reporting and reconciliation for the FTB process. Customer will be required to complete required FTB paperwork and forms (with TDS’ assistance), establish a SWIFT account with the FTB, and provide whatever assistance may be required to work with the FTB regarding the FTB process. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 26  Packet Pg. 312 of 637  Professional Services Rev. Oct 16,2024 Page 19 of 54 T. Payment Plans - The Contractor will have a payment plan system in place to comply with all legislation. The plan will allow for waivers, when necessary, for indigent and non- indigent individuals. Plan requests will be submitted to the Customer for review/approval/denial. The Contractor will mail correspondence to let the applicant know the status of their payment plan application and other details. Payment Plans allow the agency to waive fees for indigent persons, adjust the length of the plan and set minimum payments due. If a plan defaults prior to full payment, the system automatically resumes the citation process (DMV, Collections, etc.). The Contractor will provide customized agency specific information for indigent payment plans on pticket.com. U. Handheld Ticketwriters – ticketPRO Magic TDS will provide ticketPRO Magic Units (phones and printers) and citations and envelopes as required at the pricing then in effect. TDS will provide maintenance and support for the Automated Citation Issuance System and the Field Units. RemoteConnect Support for devices while in the field. TDS will provide a data plan with unlimited voice/text messaging for field units. Software upgrades as newer versions become available. Support via email for support requests and for reporting software/hardware issues. TDS shall perform the following services in processing all Parking Permits: The Turbo Data Systems, Inc. (TDS) Parking Permit program is designed to allow residents to apply for and purchase parking permits, and to allow the Customer to track their parking permit program online using the Permit Manager. The system allows for annual permit renewals; either by letter generation and mailing, and/or electronic notification. The system is cloud-based based with a “self-service” ability for residents to purchase their permits. The applicant can register for an account and upload the required documents which can then be verified by the Customer or TDS. Upon approval, the applicant will be notified to submit a permit request for the district/zone that they live in. The permit management system is scalable and designed to handle multiple permit types: Virtual Permits – Use Vehicle plate Multiple physical permits and multiple combinations (stick-on, hangtag) Guest Permits RV permits Overnight Permits Residential Zones/Districts Annual residential permits Permit pricing can be tier-structured, prorated or allow for special exceptions, discounts, pickup, delivery, etc. The system will allow both TDS and designated Customer staff to issue and administer permits as needed. The process includes services for both online and manual over-the- counter permit processing. Online processing includes: New account registration online Review of account application and required documents Electronic notification of account approval or rejection to resident Permit application Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 27  Packet Pg. 313 of 637  Professional Services Rev. Oct 16,2024 Page 20 of 54 Review of permit application and required documents Electronic notification of permit approval or rejection to resident Online payment processing – via secure website Fulfillment If desired, TDS will perform the verification of required documents (proof of residence verification, vehicle license information, etc.), data entry, maintenance functions, permit fulfillment and all required mailings. TDS will provide Online Support to Agency personnel via email 8am-5pm Monday-Friday (excluding Holidays). Data Entry - All uploaded documents will be available for viewing by Customer staff. TDS will manually enter all data as it appears on the application. Applicant will be notified if there is a discrepancy or error on the application. Renewal Notification - Annual renewals will be mailed and/or emailed to each account as specified by the Customer. The notice will provide permit account information and payment options, with instructions for payment online and by mail. Other correspondence will be mailed and/or emailed as necessary (denial letters, requests for more information, etc.). Customer Online Access - TDS will provide the Customer with cloud-based access to the Permit application. This access will allow Customer staff to search for specific information. The Customer will designate individuals who can have access to the system. Resident Online “Self-Service” Access - TDS will provide a cloud-based “self-service” website that residents can use to complete a permit application, upload required documents and pay for their permits. The website will accept payments made with Visa, MasterCard or Discover. The website can display descriptions/FAQ related to the permit program, as well as provide forms and instructions for a manual permit application. A Link to the Customer website can also be provided. Residents have the option of saving the application prior to completion and returning to where they left off. Real-Time Enforcement - The TDS permit management system was designed to interface directly with our ticketPRO magic mobile solution to provide real-time information on parking permits. Officers in the field will be able to check on permit status and receive pertinent information regarding annual, monthly and daily permits even on the same day, including virtual permits. ticketPRO magic can search by Permit number as well as by Plate for virtual permits. Permit Manager can integrate with License Plate Recognition (LPR) systems by providing current permit information such as type, status, lost, stolen, temporary, etc. TDS will work with the Customer’s LPR vendor to ensure smooth integration. Reporting - TDS will provide daily reporting showing the dollar amounts collected and deposited on a daily basis. Detail and management summary reporting will be provided online. Monthly reporting will be provided showing the number of permits applied for, the number of permits pending, and the number of permits issued. Financial and statistical reports will be customized as needed. Management reports will identify all activity. Visual Mapping/Reporting is also available and provides management with an easy view of pertinent permit data and allocations. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 28  Packet Pg. 314 of 637  Professional Services Rev. Oct 16,2024 Page 21 of 54 Website Branding - Our permit solution supports branding features to provide assurance to the visitor that they have reached the correct web site. URL link will be set as paloalto.getapermit.net and a customized graphics can be used as a site banner. Multi-lingual Support - The website supports a multi-lingual translator to help non-English speaking citizens or visitors. Vehicle Changes/Permit Replacements - getaPERMIT allows for permits to be replaced at a cost or to have the fee waived in the event the permit is lost or stolen. Permits can also be replaced or transferred to a different vehicle. Unpaid Citation Notification (checkCITATION) - getaPERMIT supports the option to interface with the citation database and reports on outstanding citations. This can be used to prevent purchase/renewal of a permit until the outstanding citations are paid. Visitors will be redirected to the payment website and then return to the permit page to continue their purchase Section 2. Citation Management System The Citation Management System (CMS) is the turnkey software solution and support provided by the CONSULTANT to support the CITY with all parking citation processing functions and service features, as an integrated component of the overall CPMS. At a high level, the core functionality shall include citation inquiry, citation entry, customer service support, payment processing, noticing, adjudication and hold processing, enforcement analytics and reporting, access to documentation and images/photos, and citation history. Users shall have specific functionality access assigned by a designated software administrator. Software must support real- time access for multiple parties and be a web-based application requiring no software installation on personal computers (PCs). The CONSULTANT shall provide handheld citation issuance software to include all relevant fields, including citation issuance, parking status verification (paid session/valid permit), image/photo capture, tire marking, global positioning system (GPS) capture, vehicle notice history, and citation printing. The CONSULTANT shall support the software at no additional cost to the CITY for the entirety of the contract. All software should be customizable to CITY specifications, including violations, fines and penalties, locations, custom notes, badge numbers, etc. Included with the CMS is a requirement for the CONSULTANT to provide registered owner (RO) information for all violators, including California and out-of-state motor vehicle registration inquiries. CONSULTANT shall be responsible for sending notice of citation to registered owners based upon the CITY’s direction regarding the frequency of notices and timeframes. The CITY reserves the right to change its noticing frequency and timeframes with five (5) days’ notice to the CONSULTANT at no additional cost to the CITY. CMS Key Requirements The following is a list of key requirements for the citation management system: 1. Custom software training manuals and user guides for staff based on the CITY’s specific systems and customizations, to be created and managed by the CONSULTANT using the CITY’s system specification. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 29  Packet Pg. 315 of 637  Professional Services Rev. Oct 16,2024 Page 22 of 54 2. Real-time access to California DMV for registered owner information and DMV registration holds and releases. 3. Access to out-of-state registered owner names and addresses. 4. Responsibility for any fees associated with obtaining registered owner information. 5. Validate DMV vehicle makes upon return of registered owner information from DMV to ensure proper make of vehicle issued citation. 6. Continuously attempt to retrieve registered owner information for all unpaid parking citations without registered owner information on the CMS. 7. Reminder notices for unpaid citations by mail, including out-of-state owners. 8. Delinquent notification to the lessee and/or secondary owner when delinquent and following the lien process under California state law. 9. Review the DMV “No Hit” list to ensure the license plate and state have been entered correctly. 10. Store and track car rental agency reports of responsible billing parties from parking citations. 11. Mail notices to lessees or renters of cited vehicles, including loaner vehicles, when provided with proof of written lease or rental agreement as required by the CVC. 12. Store and track previous and current owner information when a transfer of vehicle ownership has occurred by clearly notating in the account with changes, not limited to the source, old address, new address, date of owner transfer, etc. 13. Process and mail “Drive Away” notices to registered owners of vehicles that drive away before the issuing officer attaches the citation to the vehicle. The notice must be mailed out to the registered owner within fifteen (15) calendar days of the citation issuance as required by the CVC. 14. Process citation correction notices where the issuing officer determines that there is incorrect data in the parking citation. A copy of the correction shall be mailed to the registered owner within a timeframe specified by the CITY. 15. Communicate with individuals outside the United States to whom the CITY issued a parking citation. 16. Maintain the system database and physical system security in such a way as to provide complete confidentiality and protection from unwanted access. 17. File and store citations in an easily retrievable format for a minimum of five (5) years and Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 30  Packet Pg. 316 of 637  Professional Services Rev. Oct 16,2024 Page 23 of 54 then dispose of records in accordance with CITY direction. 18. Allow for uploading electronic citations in real-time, allowing customers to pay for citations immediately once uploaded. 19. Send and receive electronic data files using a scheduler function. 20. Allow authorized account users to correct dates, duplicate citations, violation codes, and fine amounts and to suspend citations. 21. Allow for various timelines for invoicing. 22. Allow invoicing, late fees, appeals, and collections automation with a scheduler function. 23. Provide online confirmation showing the number of citations transferred and received by the CONSULTANT. 24. Immediate/real-time batching of files upon transfer of citation records. 25. Identify duplicate citations and correct dates, duplicated citations, violation codes, and fine amounts. 26. Maintain and update the confidential vehicle database for exemptions authorized by the CITY that are linked to the parking enforcement handled units. 27. Maintain online communication during primary work hours when the CMS, including all sub-systems, is available to the CITY and the public for its intended use. 28. Allow for updates to customer records and the ability to enter comments with an audit trail. 29. Prepare a report at the end of each Fiscal Year, per CVC Section 40200.3(b), setting forth the number of cases processed, all financial and/or citation payments received and distributed, and any other information the issuing agency may require. This report is public record and shall be delivered to each issuing agency at the end of each fiscal year. If the CITY requests, the CONSULTANT shall hire an independent auditor to prepare a report. The CITY shall pay the costs of the audit report upon the CITY’s written approval of the auditor’s cost. 30. Report templates developed to the CITY’s specification that may be exported to Excel or PDF. 31. Real-time reporting tool for ad-hoc reports. 32. Live customer service for CITY staff between 8:00 AM and 5:30 PM, PDT/PST, Monday through Friday, excluding CITY holidays, with emergency after-hours support 24/7. 33. Interactive Voice Response (IVR) system that allows for citation inquiry and payment, pre- recorded prompts to answer frequently asked questions, and routing of calls to live Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 31  Packet Pg. 317 of 637  Professional Services Rev. Oct 16,2024 Page 24 of 54 operators. 34. Technical support for the CONSULTANT’s customer portal website and IVR in English and Spanish. 35. Email support for technical issues with the CONSULTANT’s website and IVR (response within two (2) business days). 36. Multiple languages on the customer portal website (at least English and Spanish). 37. Ability to process and incorporate into reporting mail-in citation payments sent directly to the City of Palo Alto’s mailing address (CONSULTANT-coordinated). 38. Secondary collection efforts, to include skip-tracing, mailings (including postage), DMV holds, and FTB processing. 39. An open-source API that allows for current and future integration with third parties such as financial software, Parking Access and Revenue Control Systems (PARCS), LPR, permit management systems, as well as pay stations and mobile payment (to support future paid parking programs). 40. Initial in-person training for CITY staff with bi-annual refresher training (no additional cost). 41. Quarterly in-person meetings with CITY staff. 42. Sandbox/test environment available before award and ongoing for pre-release testing. 43. Data entry of citations. 44. Appeal preparation to include initial processing for initial hearing reviews. 45. The CMS must be able to accommodate parking citation payment plans. The software shall allow users to perform the following functions: 46. Entry form for manually issued citations. 47. Query for citation data by any input field, including, but not limited to, date, citation number, license plate number, name, location, and VIN. 48. Ability to query by partial information such as a partial plate. 49. Pay or dismiss citations on one or multiple plates in one transaction. 50. Add notes to citations and plates. 51. Attach documents to citation records. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 32  Packet Pg. 318 of 637  Professional Services Rev. Oct 16,2024 Page 25 of 54 52. Place citations on hold to suspend penalty and notice activity. 53. Print and email correspondence letters. 54. Void citations with custom CITY void codes. 55. Support for multiple vehicle owners. 56. View a copy of a citation and images/photos taken during citation issuance. 57. Assign permissions to access certain features based on user ID. 58. Provide a complete audit trail of all history in the citation record, including, but not limited to, escalations, payment history, adjudication history, copies of letters and correspondence, notes, and payment plan details. 59. Identify the user that performed each change or update in the audit trail. 60. Run ad-hoc real-time reports on all data fields. Adjudication 61. The CONSULTANT shall coordinate the citation adjudication process following prescribed timelines and processes for persons contesting parking citations per the laws of the State of California. 62. Suspend action while appeals are under investigation. 63. Record data and comments for historical background and attach them to the citation record. 64. Manage supporting evidence submitted by customers in support of their appeals. 65. Sort citations by type of violation and/or defense. 66. Record case decisions. 67. Generate decision letters and use customizable liability reason codes. Secondary Collections CONSULTANT shall provide collection efforts to include citations specified by the CITY and currently delinquent citations over sixty (60) days old to maximize collections and ensure compliance. Collection efforts should consist of, at a minimum: 68. Two (2) collection notices for all citations. 69. DMV holds for California registered owners. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 33  Packet Pg. 319 of 637  Professional Services Rev. Oct 16,2024 Page 26 of 54 70. Franchise Tax Board (FTB) collections for California residents. 71. Skip-tracing. 72. Outbound phone calls. Citations in collection status may be billed as an additional percentage of revenue collected during this process. DMV Registration Holds / Releases 73. Modify and correct DMV-originated files if the amount of the penalty on hold at DMV has changed without additional charges to the CITY. 74. Notify DMV of any change in the bail amount of citations on hold. 75. Provide additional grace periods, as authorized by the CITY, which will automatically allow for additional payment processing time. 76. Accept electronic files from DMV VPN (registered owner information) and DMV payment files. 77. Release registration holds daily upon CITY’s request. FTB Intercept Program 78. Generate mail notifications prior to file submission, adhering to the FTB guidelines. 79. Process FTB annual intercept program. 80. Provide timely modification/notification to the intercept program if the amount to be intercepted has changed. 81. Properly and thoroughly identify the individuals to be intercepted via the FTB program. 82. Process timely refunds in the event of overpayment or misidentification. Section 3. Citation Issuance Devices and Related Software The CONSULTANT will provide at least fifteen (15) handheld devices and fifteen (15) printers for citation issuance. The CONSULTANT shall be required to support all software, communication plans, and hardware for the agreement term. All equipment must include the protective infrastructure to ruggedize and protect equipment from working conditions and outdoor elements. 83. The following fields, at a minimum, must be captured during citation issuance by the CONSULTANT’s enforcement software: Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 34  Packet Pg. 320 of 637  Professional Services Rev. Oct 16,2024 Page 27 of 54 Citation number. License plate. State. VIN or last four digits of VIN. Violation code and description (up to three). Location of violation, including program zone. Issue date. Issue time. Officer ID. Officer signature. Notes to print on citation. Officer notes, not visible to the public. Fine and penalty schedules. Appeal and payment instructions. Electronic marking. Photos, videos, and audio. Ability to support pay-by-plate, pay-by-space, permit status, and mobile payment. The handheld citation issuance device software shall: 84. Provide a user-friendly interface for ease of use and durability. 85. Require a password/security sign to prevent unauthorized use. 86. Allow the user to view and void any citation written by the user since the last data upload to the host. A valid void code must be entered to void any completed citation. 87. Support the reprinting of an issued citation; this reprinted citation must contain the same time as the original citation, not simply the time it was reprinted. 88. Produce a voided ticket audit trail. 89. Automatically transfer and upload citations issued by the handheld computer. 90. CMS to promptly notify the CITY regarding citations unable to be entered for any reason (no violation code, unreadable license, etc.). 91. Upon entering a license plate during citation entry, automatically search the customer name, vehicle, and scofflaw request file for a match. If a match is found, automatically enter data into the proper fields. If a match is located in the scofflaw request file, the CMS should display the number of citations in the last 90 days. 92. Support monitoring of vehicles in a fixed time limit zone. 93. Timestamp transactions by the CMS’s internal clock. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 35  Packet Pg. 321 of 637  Professional Services Rev. Oct 16,2024 Page 28 of 54 94. Support the issuance and tracking of warnings and actual citations, including issuance history by license plate. 95. Support standard location codes and descriptions, location comments, and block numbers. Locations shall also be manually generated when necessary. 96. Able to report issues in the field in real-time reporting of malfunctioning. Section 4. Permit Management System The Permit Management System (PMS) is the software and support solution that shall supply the CITY with access to all parking permit processing functions. Such functions are outlined below. The core functionality must include the option to inquire by permit number, license plate number, account number, permit holder name, permit type, and location, at a minimum. Additional functionality shall include the support of waitlists by permit type and location, and the ability to process payments and manage all permit types, amounts, and locations, including all-day parking permits in the CITY’s parking lots and garages. Users should have specific functionality access assigned by a designated software administrator. Software shall support real-time access for multiple parties and shall be a web-based application requiring no software installation on personal computers (PCs). Software shall limit permit eligibility by the user-type and/or address. The PMS must validate documents to establish that a customer is eligible to purchase a permit. Documentation verification varies depending on the permit type and may include a driver’s license or ID, paystub from the last 30 days, letter from employer, vehicle registration, utility bill, rental agreement, and multiple acceptable types of proof of residency. CONSULTANTs shall fully support both physical and virtual parking permit programs. The PMS must be integrated with the entire CPMS. Integration means that, when CITY/CONSULTANT software users search for a citation, they should have access to permit information for the same license plate or name. Likewise, when a customer logs into their account, they can search for a permit and should have access to citations issued to the same license plate and/or name. The PMS shall support the ability to prevent permit processing/issuance when a customer has citation amounts due to the CITY. The CONSULTANT Project Manager will develop, in consultation with the CITY, a detailed implementation and project plan for the Permit Management System. PMS Key Requirements The following is a list of key requirements for the permit management system: 97. Custom software training manuals and user guides for staff based on the CITY’s specific systems and customizations, to be created and managed by the CONSULTANT using the CITY’s system specification. 98. Ability to support different permit types with differing permit business rules (example: Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 36  Packet Pg. 322 of 637  Professional Services Rev. Oct 16,2024 Page 29 of 54 residential parking permits, employee parking permits, guest parking permits, employer parking permits, all-day parking permits in CITY lots and garages). 99. Automatically email permit notifications based on a CITY-specified timeline. 100. Generate permit renewal notices by batch or individually. 101. Generate unique parking permit numbers. 102. Support the assignment of both physical and virtual permits. 103. Support rolling expiration dates (e.g., daily, weekly, monthly, annually) in addition to fixed expiration dates based on permit type. 104. Provide access to review permit applications and attached documents. 105. Restrict or allow multiple permit purchases for the same plate number depending on CITY rules. 106. Restrict or allow multiple permits issued by address. 107. Ability to allow for multiple account holders at a single household while still restricting the total number of permits per household. 108. Restrict or allow multiple permits to be issued to an individual. 109. Issue temporary permits. 110. Issue guest permits with custom date ranges and custom addresses. 111. Ability to have multiple vehicles on a single permit based on CITY policy. 112. Complete audit trail of all history in permit record; including, but not limited to date and time stamp, payment history, copy of letters and correspondence, administrative changes to the account, and notes. 113. Retain inactivated permit and account information. 114. Ability to upload multiple file types in support of permit applications including CSV, DOC, JPEG, PDF, etc. 115. Alert CITY too and prevent account holders with open/unpaid citations from purchasing permits. 116. Allow for administrative override. 117. Allow editing of any permit field (based upon user-assigned privileges). Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 37  Packet Pg. 323 of 637  Professional Services Rev. Oct 16,2024 Page 30 of 54 118. Ability to create/modify/delete permit zones. 119. Display all permits issued geographically on a map. 120. Entry of new permits and approve requests. 121. Processing of payment for permits. 122. Add notes to permit accounts. 123. Correct, autofill, and standardize address entries. 124. Validate permit program eligibility based on customer-entered address and supporting documentation. 125. Ability to cancel a permit. 126. Ability to refund a permit. 127. Ability to prorate or issue a discount on a permit. 128. Process multiple permit purchases in one transaction. 129. Query by customer name, business name, account number, permit type, permit number, license plate number, VIN, address, phone number, citation number, last 4 of credit card, and partial information. 130. Create, modify, and edit blacklists and whitelists. Section 5. Customer Portal / Website The CITY desires a customer-friendly, easily updated parking web/mobile portal (customer portal) to provide access to parking permit information, parking citation information, adjudication, and permit processes. The customer portal shall be “private label,” designed to meet the CITY’s branding and marketing standards and built to be consistent with the look and feel of the CITY’s existing website. 131. All content for the customer portal, including, but not limited to, text, graphics, images, and maps, will be the responsibility of the CONSULTANT to develop. CITY staff will review and approve all proposed data content prior to public release. 132. The CONSULTANT must develop the customer portal, allowing customers to create an account that will supply access to all relevant citation, adjudication, and permit requests. The customer portal shall be fully integrated with the CPMS. 133. The CONSULTANT will manage the customer portal. The CITY expects the customer portal to be updated with new information as required, such as changes to parking rules or citation fees. The CITY will forward website traffic to the CONSULTANT-hosted Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 38  Packet Pg. 324 of 637  Professional Services Rev. Oct 16,2024 Page 31 of 54 customer portal using forward URL links on the CITY’s website, and the CONSULTANT’s customer portal shall include links to send users back to the CITY of Palo Alto’s website. 134. The CONSULTANT must create a custom guide, specific to Palo Alto’s business rules and permit types on how to apply and pay for a parking permit, pay a citation, request a payment plan, or contest a citation, which must be available on the customer portal. The CONSULTANT must provide a call center for technical support for the customer portal. The calls must be accepted between 8:00 AM and 5:30 PM, PDT/PST, Monday through Friday, excluding CITY holidays. 135. The CONSULTANT shall also provide customer email support for technical issues regarding the customer portal. Emails shall be answered within one (1) business day. Customer complaints regarding service received by the CONSULTANT must be logged and reported to the CITY weekly. 136. The customer portal must be accessible on multiple browser platforms, including MS Edge, Google Chrome, Safari, and Firefox. The portal experience for the user shall provide device detection and display content according to device type, including desktop computers, laptops, mobile devices, and tablets. The CONSULTANT must be PCI compliant. In support of the CPMS, the portal shall be a comprehensive management tool for customers and shall allow users to perform, at a minimum, the following functions: 137. Account creation tying together permit, citation, adjudication, and payment data. 138. Inquiry by license plate, permit number, citation number, and account number. 139. Hide the customer’s name and address when an inquiry is performed. Only verified account holders shall have access to name and address information. 140. Request a new permit with supporting documentation. 141. Allow for custom documentation requirements based on permit type. 142. View the status of permit requests, including the position on a waitlist. 143. Allow customer to update permit application when denied or a correction is needed without needing to reapply for the permit. 144. Allow customer to update permit information (i.e., license plate, make, model, color, and address for certain permit types as defined by the CITY). 145. Allow management of multiple permits under a single account. 146. Restrict individual permit issuance to addresses/users within CITY-defined group management accounts. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 39  Packet Pg. 325 of 637  Professional Services Rev. Oct 16,2024 Page 32 of 54 147. Prevent account holders with open citations from purchasing permits. 148. Individual dwelling units within the same address number shall be able to have different eligibility statuses. 149. Allow partially completed online permit applications to be saved and completed at another time by the applicant or CITY staff. 150. Provide customers with email or text messages regarding the approval or status of their permit. 151. Email receipts for payments. 152. Renew an existing permit. 153. Request placement on a permit waitlist. 154. Auto-generate notice to the next person on the waitlist to notify them a permit is available. If no response is received within a CITY-designated timeframe, the system should automatically move on to the next person on the waitlist. 155. Removal from a waitlist. 156. Process payment for a waitlist position with the proper prorated amount, if applicable. 157. Process payment of a permit or citation by credit card and debit card. The CITY shall determine whether any convenience fee will be charged to customers. 158. View a copy of the citation, related photos, and citation notes. 159. Request an online, in-person, or by-mail administrative review of a citation. (CVC 40215) 160. Request an online, in-person, or by mail administrative hearing of a citation. (CVC 40215) 161. Request a payment plan and upload supporting documentation. (CVC 40220) Section 6. Customer Service Center (Phone/IVR) The duties and tasks of the Customer Service Call Center will include all parking permit and citation-related support shall consist of, but not be limited to, the following actions: 162. Provide year-round customer and staff online access (except planned CPMS maintenance or upgrades). 163. Provide a customer service support center for the CITY’s parking permit and citation Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 40  Packet Pg. 326 of 637  Professional Services Rev. Oct 16,2024 Page 33 of 54 program, at a minimum, from 8:00 AM and 5:30 PM, PDT/PST, Monday through Friday, excluding CITY holidays, subject to modification. 164. Staff must be well-trained, professional, and courteous customer service personnel equipped to handle clerical, customer service, supervisory, and managerial tasks in compliance with the approved operations and quality assurance plan. 165. Callers seeking a live Customer Service Representative (CSR) must not be placed on hold for longer than two (2) minutes. 166. The CONSULTANT will provide a toll-free number to be used exclusively for permit and citation support with live operators to assist customers. 167. Staff and reroute calls if the connection to the computer network is disrupted. 168. Collaborate with the CITY in establishing business processing rules. 169. Provide staff to respond to telephone inquiries regarding how to contest a violation, determine outstanding penalty amounts or delinquent fees, process payment, establish payment plans, identify time frames, and any other pertinent information to contest a citation by mail or in-person. 170. Operate a customized Interactive Voice Response (IVR) System in English and Spanish to accept payments and provide information. The interactive system must provide real- time information on each citation, including the issue date, delinquent date, the amount owed, and open citations by license plate number. The IVR system shall offer the caller the option of transferring directly to a live customer service representative during regular business hours. 171. Provide the CITY with a toll-free telephone line that accepts global payments by IVR 24 hours a day, seven days a week; must be Payment Card Industry (PCI) compliant, and the payment processor must be able to produce an Attestation of Compliance certificate initially upon contract execution and annually thereafter. 172. The IVR system must recognize user inputs by touch tones and speech and include language support options to accept payments and provide information. 173. The IVR system shall offer the caller the option of a live CSR during operating hours, and the CSR option must be provided early in the phone script and not at the end. 174. Respond to correspondence via paper or electronic email and calls in all other languages, as agreed to, through a language interpretation service as needed. 175. Provide live interpreters for Spanish telephone calls and guarantee a turnaround time of no less than one (1) business day from initial contact for correspondence. 176. Monitor and record calls for quality assurance for a term designated by the CITY subject to the same terms for English or Spanish-speaking customers. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 41  Packet Pg. 327 of 637  Professional Services Rev. Oct 16,2024 Page 34 of 54 177. Monitor the call acceptance rate, call completion rate, and longest and shortest call wait time. An incomplete telephone call is defined as a call terminated after 30 seconds have elapsed from the time an individual’s call is received in the CONSULTANT’s system. 178. Run ad-hoc reports on all data fields. 179. The CONSULTANT shall be expected to provide a call center for technical support of the CONSULTANT’s customer web portal. The calls must be accepted between 8:00 AM and 5:30 PM, PDT/PST, Monday through Friday, excluding CITY holidays. The CONSULTANT shall also provide customer email support for technical issues regarding the CONSULTANT’s web portal. Emails shall be answered within one (1) business day. 180. Complaints made by end customers regarding service received by the CONSULTANT must be logged and reported to the CITY within 24 hours. Section 7. Processing Services 181. CONSULTANT shall provide turnkey permit support services including, but not limited to, customer support, permit fulfillment, permit application review within 48 hours of submission. For physical permit fulfillment, permits must be mailed within 48 hours of purchase using First-class mail. The following is a list of key requirements: 182. Processing and fulfillment of permits. 183. Payment processing and coordinated reporting of payments processed by the City of Palo Alto directly, including the ability to process mail-in permit and citation payments sent directly to the City of Palo Alto mailing address (CONSULTANT-coordinated). 184. CONSULTANT review of permit application and supporting documentation within 48 hours of application. 185. Physical permits mailed within 48 hours of purchase. 186. Enter appeal documents for Administrative Reviews and Hearings. 187. Print and mail permit renewal notices, citation notices and adjudication decisions. Section 8. Payment Processing 188. The CITY requires the CPMS to adhere to payment handling standards including, but not limited to, receiving payments, tracking payments, issuing refunds, providing detailed receipts, and entering back-dated payments. Section 9. CITY Staff Support 189. The CONSULTANT shall be required to offer live customer support for CITY staff, at a minimum, between 8:00 AM and 5:30 PM, PDT/PST, Monday through Friday, excluding Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 42  Packet Pg. 328 of 637  Professional Services Rev. Oct 16,2024 Page 35 of 54 CITY holidays. This live customer support must include CPMS Software issues, CPMS Hardware issues, feature-related questions, and reporting. An after-hours emergency support line must be available 24/7. Section 10. System Audit Reporting CONSULTANT shall provide standard and custom audit reports specified by the CITY, including at a minimum: The number of citations paid and related citation revenue by parking program or district and type of revenue. The number of unpaid citations and total citations issued by parking program or district. The number of permits sold within a parking program or district by permit cycle, permit type and length of permit. Total permit revenue by parking program or district and type of revenue. Section 11. Liquidated Damages Both parties will agree that the annual liquidated damages shall be limited to the amount paid or due to the Contractor by the City during a one-year period except in the initial 12-month period of this Agreement, where liquidated damages shall be limited to 30% of the amount paid or due to the Contractor by the City during the initial 12-month period of this Agreement. The CONSULTANT agrees to pay (or provide invoice credit) these amounts to the CITY as set forth: System Failure: The system shall not be unavailable during peak hours (8:00 AM and 5:30 PM, PDT/PST, Monday through Friday, excluding CITY holidays) for more than thirty (30) minutes and/or for two (2) or more incidents during these hours totaling more than sixty (60) minutes within one (1) business day. During non-peak hours, the system shall not be unavailable for more than four (4) hours. Exceptions will be made if requested and approved in writing by the CITY. The CONSULTANT shall not be responsible for unavailability caused by third-party providers. Any system unavailability that prevents the processing of bank cards and the collection of related revenue shall result in damages of $500 per incident, not to exceed $1,000 within a twenty-four (24) hour period. Bank Card Processing Failure: Any failure of the bank card processing solution provided by the CONSULTANT that prevents the processing of bank cards and the collection of related revenue shall result in damages of $500 per twenty-four (24) hour period. The CITY shall provide the CONSULTANT with twelve (12) hours notice to respond to and repair the failure prior to being entitled to this liquidated damage. PCI Data Security Failure: Failure of the CONSULTANT to maintain Payment Card Industry (“PCI”) Data Security Standard Certification shall result in damages of $10,000 on the twenty-eight (28th) calendar day following non-compliance (“first assessment”). The twenty-eighth (28th) calendar day following the first assessment and every twenty-eight (28) calendar day thereafter shall constitute a “subsequent assessment.” On each additional Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 43  Packet Pg. 329 of 637  Professional Services Rev. Oct 16,2024 Page 36 of 54 twenty-eighth (28th) calendar day following the first assessment and any subsequent assessments, the CITY shall be entitled to liquidated damages of $25,000 until the failure is cured. Damages during subsequent assessments shall be prorated by day. Response Times: The CONSULTANT shall meet or exceed the response times as described in Table 1. Any delay longer than the following response times shall result in damages of $150 per incident. Table 1. Description of Response Times The CONSULTANT Project Manager shall always be available to the CITY by telephone or video access during the project and on-site within three (3) business days of notification, if necessary and requested, to respond to CITY needs, questions, and issues. CONSULTANT shall be required to offer live customer support for CITY staff, at a minimum, between 8:00 AM and 5:30 PM, PDT/PST, Monday through Friday, excluding CITY holidays. This live customer support must include the entire CPMS solution and related services, including the web portal, software, hardware, feature- related questions, and reporting. An after-hours emergency support line must be available 24/7. CONSULTANT shall also provide email support for technical issues regarding the entire CPMS solution and related services. Emails shall be answered within one (1) business day. CONSULTANT shall be expected to provide a call center for technical support of the CONSULTANT’s customer web portal. The calls must be accepted between 8:00 AM and 5:30 PM, PDT/PST, Monday through Friday, excluding CITY holidays. The CONSULTANT shall also provide customer email support for technical issues regarding the CONSULTANT’s web portal. Emails shall be answered within one (1) business day. Callers seeking a live Customer Service Representative (CSR) must not be placed on hold for longer than two (2) minutes. CONSULTANT shall provide live interpreters for Spanish telephone calls and guarantee a turnaround time of no less than one (1) business day from initial contact for correspondence. Complaints made by end customers regarding service received by the CONSULTANT must be logged and reported to the CITY within one (1) business day. CONSULTANT shall process and mail “Drive Away” notices to registered owners of vehicles that drive away before the issuing officer attaches the citation to the vehicle. The notice must be mailed out to the registered owner within fifteen (15) calendar days of the citation issuance as required by the CVC. CONSULTANT shall provide turnkey permit support services including, but not limited to, customer support, permit fulfillment, permit application review within two (2) business days of submission. For physical permit fulfillment, permits must be mailed within two (2) business days of purchase using First-class mail. Section 12. Data, System, & Integration Requirements A comprehensive CPMS requires a significant focus on data, integration, and system design and security. The CITY desires to partner with CONSULTANTs who focus on flexible and industry leading solutions while providing secure and compliant technology. The system provided by Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 44  Packet Pg. 330 of 637  Professional Services Rev. Oct 16,2024 Page 37 of 54 CONSULTANT shall meet the following additional data, system, and integration requirements. System and Security Requirements: 1. CONSULTANT shall provide secure hosting and support for all functions, ensuring availability through the Internet for all devices, including desktop and mobile computers, phones, tablets, and other wireless devices. The CITY shall not be required to install or maintain software on servers owned or managed by the CITY. 2. Computers that access the system shall not require special software packages or “client” software to access the system. Any computer shall be able to access the system through a standard web browser without plug-ins or other components. 3. CONSULTANT shall be responsible for taking every precaution to ensure that all systems, files, data, equipment, communications, and facilities are reliable. 4. CONSULTANT shall be responsible for virus detection, prevention, control, and eradication for all system servers and connected devices. 5. CONSULTANT shall have security features that are designed to maintain the security of all information contained in the system database and maintain the confidentiality of information. CONSULTANT’s security for the system and all connections thereto shall conform to current industry best practices. 6. CONSULTANT is expressly forbidden from selling, leasing, distributing, publishing, or otherwise sharing any personal information collected from Customers, including, but not limited to, transaction history, address, email address, phone number, and credit card information, Notwithstanding the preceding restrictions, CONSULTANT shall be permitted to use such information to enable Customers with Service accounts for CITY- managed parking spaces to use their accounts to pay for services provided by CONSULTANT to other entities, and vice versa. 7. All information security incidents shall be reported immediately to the CITY. Security incidents include theft, loss, damage or compromise to information systems and data, known vulnerabilities and exploits, website defacement or compromise, successful malware attacks, denial of services, and other security events as defined by the CITY’s Information Security Officer. 8. CONSULTANT shall establish and maintain data storage, retention, and archive procedures to maintain system performance. 9. The system shall provide full system backup and recovery capabilities. CONSULTANT shall be responsible for the maintenance of the database, which will include back-up and recovery procedures. CONSULTANT shall make sufficient backups to ensure that no data is lost in any circumstances. 10. System uptime is critical. The CONSULTANT will maintain a 99% or greater uptime for the system as whole, including any subsystems critical to solution operation. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 45  Packet Pg. 331 of 637  Professional Services Rev. Oct 16,2024 Page 38 of 54 a. Uptime will exclude scheduled maintenance. The CONSULTANT will notify the CITY of any scheduled downtime at least seven (7) days in advance. Scheduled maintenance shall be coordinated to have the least impact on CITY operations. PCI Compliance: 1. As required, the CONSULTANT solution shall be compliant with Payment Card Industry Data Security Standard Level 1 latest version at the time of contract execution. 2. As the PCI Data Security Standard evolves, CONSULTANT shall be responsible for maintaining compliance with that standard at CONSULTANT's sole expense. 3. CONSULTANT shall provide an Attestation of Compliance (AoC) as a declaration of compliance status with PCI DSS at the request of the CITY. Data Requirements: 1. The CITY shall be the exclusive owner of all data and rights to the data generated from the systems, regardless of whether the data is direct or derived, calculated, or modeled. 2. CONSULTANT shall store or archive (with the CITY’s approval) all transaction data generated during the term of the Agreement and retain it for at least five (5) years after its termination. 3. CONSULTANT shall deliver copies of all system data upon request of CITY, or its designee, and upon the termination of the Agreement in a format mutually agreed upon by both parties. 4. CONSULTANT shall be responsible for providing transaction data in a format that is readable by CITY using commonly available commercial off-the-shelf software. 5. At termination of the contract, for any reason, if the successor contract is awarded to another firm, CONSULTANT must develop and implement a Data Conversion Plan between CONSULTANT and the CITY or its designee. Integration Requirements: CONSULTANT’s hardware, software and services, which may include one or more systems and/or third-party systems, will be integrated by the time of contract execution as would be necessary to meet the requirements for their specific service. General Requirements: 1. CONSULTANT shall utilize open-source API’s that allow for current and future integration with third parties. 2. CONSULTANT shall provide real-time integration with the CITY’s current, new, and Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 46  Packet Pg. 332 of 637  Professional Services Rev. Oct 16,2024 Page 39 of 54 future parking technology and data management CONSULTANTs, including, but not limited to, parking equipment, license plate recognition (LPR), and mobile payment. These types of integrations are considered standard in the industry. 3. The CITY recognizes that standard integrations have a certain amount of latency between systems. However, timely data exchanges are required for efficient and accurate parking operations. Latency between any two systems shall not exceed an average of ninety (90) seconds for every 100 consecutive transactions. The latency measurement shall be defined as the moment a data request is made, or data is sent to the moment the data is delivered and is viewable to any end user. a. Should latency be observed in excess of ninety (90) seconds, CONSULTANT will work with the CITY to measure the latency, identify the point of default, and correct the default. 4. Custom integration, being nonstandard and not identified in this Agreement, may be considered in the future by the CITY. CONSULTANT agrees to provide the necessary development to achieve a custom integration for a mutually agreed cost and schedule to be memorialized in amendment to the Agreement. 5. Batch data transfer may be considered for certain integrations, at the sole discretion of the CITY. 6. CONSULTANT shall provide all necessary parking-related data in a format compatible with standard industry integrations. In the event that data formats between CITY CONSULTANTs do not match, the CITY may require either CONSULTANT to make reasonable changes to their format at no additional cost to the CITY. 7. CONSULTANT shall operate in good faith with the CITY and the CITY’s designated CONSULTANTs to implement, troubleshoot and complete necessary integration as defined by the CITY. 8. In the event that two or more CONSULTANTs cannot agree on the methodology used for any integration, the CITY with select the methodology most advantageous for the CITY. Standard Integration Examples: 1. Citation Issuance, Processing and Enforcement Systems shall integrate with: a. Parking Meter or Pay Station System b. Parking Access Revenue Control System c. Licenses Plate Recognition System d. Mobile or Text to Pay Payment System Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 47  Packet Pg. 333 of 637  Professional Services Rev. Oct 16,2024 Page 40 of 54 e. Permit Management System f. Department of Motor Vehicles for the CITY’s state g. Out of State motor vehicle registries h. Department of Justice or Police Depart for the CITY’s state (for wanted vehicle hotlists) i. California Franchise Tax Board (CA only) j. Delinquent collections agency (if applicable) 2. Permit Management Systems shall integrate with: a. Parking Access Revenue Control System b. Citation Issuance, Processing and Enforcement System c. Licenses Plate Recognition System d. Any local databases necessary for permit processing Integration with CITY Systems: Integration with CITY systems shall be considered a standard integration. Section 13. Additional Services The CITY has identified the following additional services for consideration and potential future implementation under this Agreement. Costs related to development and implementation are to be determined via Task Order, pursuant to Section 4 of this Agreement. 1. New/Additional Permit Types: The CITY may work with the CONSULTANT to explore opportunities to expand parking permit programs and services, utilizing CONSULTANT’s CMPS services for permit processing and fulfillment, as well as consider transitioning support for permit types from other CITY permit programs, including wide load permits. The current wide load permit program requires substantial staff time to manage, and the CITY anticipates that transitioning wide load permit processing and fulfillment under the CPMS would improve program efficiency and reduce administrative burdens on staff. 2. Automated Enforcement of Bus and Bike Lanes: The CITY may work with the CONSULTANT to develop a pilot program for transit-only and dedicated bike lane enforcement programs, in accordance with all applicable legal requirements. Such programs have been successful in other California cities, and the CITY may benefit from utilizing CONSULTANT’S CMS services to conduct a pilot enforcement program for bus- and bike-lane enforcement, if authorized by the CITY. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 48  Packet Pg. 334 of 637  Professional Services Rev. Oct 16,2024 Page 41 of 54 Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 49  Packet Pg. 335 of 637  Professional Services Rev. Oct 16,2024 Page 42 of 54 EXHIBIT A-1 PROFESSIONAL SERVICES TASK ORDER CONSULTANT shall perform the Services detailed below in accordance with all the terms and conditions of the Agreement referenced in Item 1A below. All exhibits referenced in Item 8 are incorporated into this Task Order by this reference. CONSULTANT shall furnish the necessary facilities, professional, technical and supporting personnel required by this Task Order as described below. CONTRACT NO. OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE) 1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): 1B. TASK ORDER NO.: 2. CONSULTANT NAME: 3. PERIOD OF PERFORMANCE: START: COMPLETION: 4 TOTAL TASK ORDER PRICE: $__________________ BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT $_______________ 5. BUDGET CODE_______________ COST CENTER________________ COST ELEMENT______________ WBS/CIP__________ PHASE__________ 6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:_____________________________________ 7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A) MUST INCLUDE: SERVICES AND DELIVERABLES TO BE PROVIDED SCHEDULE OF PERFORMANCE MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable) REIMBURSABLE EXPENSES, if any (with “not to exceed” amount) 8. ATTACHMENTS: A: Task Order Scope of Services B (if any): _____________________________ I hereby authorize the performance of the work described in this Task Order. APPROVED: CITY OF PALO ALTO BY:____________________________________ Name __________________________________ Title___________________________________ Date ___________________________________ I hereby acknowledge receipt and acceptance of this Task Order and warrant that I have authority to sign on behalf of Consultant. APPROVED: TURBO DATA SYSTEMS: ______________________ BY:____________________________________ Name __________________________________ Title___________________________________ Date ___________________________________ Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 50  Packet Pg. 336 of 637  Professional Services Rev. Oct 16,2024 Page 43 of 54 EXHIBIT B SCHEDULE OF PERFORMANCE CONSULTANT shall perform the Services as specified in Exhibit A, “SCOPE OF SERVICES,” as to be determined by CITY Project Manager so as to complete each of the requested services within 90-180 days from the date the contract is executed and the project plan has been approved. The time to complete each of the tasks identified in the project plan may be increased or decreased by mutual written agreement of the Project Managers for CONSULTANT and CITY so long as all work is completed within the term of the Agreement. CONSULTANT shall provide a detailed schedule of work within 2 weeks of receipt of the notice to proceed (“NTP”) from the CITY. Optional Schedule of Performance Provision for On-Call or Additional Services Agreements. (This provision only applies if checked and only applies to on-call agreements per Section 1 or agreements with Additional Services per Section 4.) The schedule of performance shall be as provided in the approved Task Order, as detailed in Section 1 (Scope of Services) in the case of on-call Services, or as detailed in Section 4 in the case of Additional Services, provided in all cases that the schedule of performance shall fall within the term as provided in Section 2 (Term) of this Agreement. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 51  Packet Pg. 337 of 637  Professional Services Rev. Oct 16,2024 Page 44 of 54 EXHIBIT C COMPENSATION CITY agrees to compensate CONSULTANT for Services performed in accordance with the terms and conditions of this Agreement, and as set forth in the budget schedule below. Compensation shall be calculated based on the rate schedule attached as Exhibit C-1. CONSULTANT agrees to complete all Services, any specified reimbursable expenses, and Additional Services (if any, per Section 4), within the terms of the rate schedule attached as Exhibit C-1. BUDGET SCHEDULE (ESTIMATED) PERIOD ESTIMATED ANNUAL EXPENSE* Year 1 $218,000.00 Year 2 $193,000.00 Year 3 $193,000.00 Year 4 $193,000.00 Year 5 $193,000.00 Sub-total for Services $990,000.00 Reimbursable Expenses (if any)$0.00 Total for Services and Reimbursable Expenses $990,000.00 Additional Services (if any, per Section 4)$49,500.00 Maximum Total Compensation $1,039,000.000 * Estimated annual amounts are based on calculated averages for FY2024 citations and permits issued, processing totals and the per unit costs described in the schedule of rates provided in Exhibit C-1. These are estimates only, and values for Years 1-5 are rounded to the nearest $1,000. REIMBURSABLE EXPENSES CONSULTANT’S ordinary business expenses, such as administrative, overhead, administrative support time/overtime, information systems, software and hardware, photocopying, telecommunications (telephone, internet), in-house printing, insurance and other ordinary business expenses, are included within the scope of payment for Services and are not reimbursable expenses hereunder. Reimbursable expenses, if any are specified as reimbursable under this section, will be reimbursed at actual cost. The expenses (by type, e.g. travel) for which CONSULTANT will be reimbursed are: NONE up to the not-to-exceed amount of: $0.00. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 52  Packet Pg. 338 of 637  Professional Services Rev. Oct 16,2024 Page 45 of 54 A. Travel outside the San Francisco Bay Area, including transportation and meals, if specified as reimbursable, will be reimbursed at actual cost subject to the City of Palo Alto’s policy for reimbursement of travel and meal expenses. All travel and related expenses must be approved by the City before costs are incurred. B. Long distance telephone service charges, cellular phone service charges, facsimile transmission and postage charges, if specified as reimbursable, will be reimbursed at actual cost. All requests for reimbursement of expenses, if any are specified as reimbursable under this section, shall be accompanied by appropriate backup documentation and information. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 53  Packet Pg. 339 of 637  Professional Services Rev. Oct 16,2024 Page 46 of 54 EXHIBIT C-1 SCHEDULE OF RATES CONSULTANT shall be paid per unit for operating, and maintaining a comprehensive citation and permit management system and providing related processing services. Per unit payment rates and estimated Year 1 and 5-Year costs, based on calculated averages from FY2024, are described below in Table 1. These costs are estimates only. CONSULTANT’s schedule of rates shall remain fixed for term of the Agreement and are as follows: Table 1. Schedule of Rates CITATION MANAGEMENT SYSTEM SYSTEM ITEM ESTIMATED # OF UNITS ANNUALLY PER UNIT COST TAX ELIGIBLE ESTIMATED YEAR 1 TOTAL ESTIMATED 5 YEAR TOTAL Per handheld citation issued 15,700 $0.45 No $7,065.00 $35,325.00 Per manual citation issued 700 $0.55 No $385.00 $1,925.00 Per in-state (California) DMV look up 15,800 $0.00 No $0.00 $0.00 Per out-of-state DMV look up 700 25% of amt paid No 25% of amt paid 25% of amt paid DELINQUENT COLLECTIONS ITEM APPROXIM ATE TOTAL ANNUALLY PERCE NTAGE TAX ELIGIBLE ESTIMATED YEAR 1 TOTAL ESTIMATED 5 YEAR TOTAL Delinquent Collections - fee paid by end-user $394,000.00 25%No $98,500.00 $492,500.00 INTEGRATIONS ITEM DESCRIPTION COST TAX ELIGIBLE Explain integration strategy, pricing, and itemized costs associated with implementation Out-of-State Collections 25% of amt collected No FTB Collection Letter $2.55 per Letter No FTB Collections 15% of amt collected No Postal increases will be applied to all mailings when required No Professional Services/Development $80 per hour No Adjudication Processing (Mail and Online) $1.25 per appeal No Payment Plan processing $5.00 per plan No Delinquent Collections pass through to Agency 20% billed to Agency No Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 54  Packet Pg. 340 of 637  Professional Services Rev. Oct 16,2024 Page 47 of 54 CITATION ISSUANCE DEVICES SOFTWARE ITEM ESTIMATED # OF UNITS ANNUALLY PER UNIT COST TAX ELIGIBLE ESTIMATED YEAR 1 TOTAL ESTIMATED 5 YEAR TOTAL Per monthly software license 15 $80.00 No $14,400.00 $72,000.00 HARDWARE ITEM ESTIMATED # OF UNITS ANNUALLY PER UNIT COST TAX ELIGIBLE ESTIMATED YEAR 1 TOTAL Handheld 15 $800.00 Yes $12,000.00 Printer 15 $850.00 Yes $12,750.00 CITATION STOCK ITEM ESTIMATED # OF UNITS ANNUALLY PER UNIT COST TAX ELIGIBLE ESTIMATED YEAR 1 TOTAL ESTIMATED 5 YEAR TOTAL Per handheld citation stock (for proposed printer) 16,400 $0.10 No $1,640.00 $8,200.00 INTEGRATIONS ITEM DESCRIPTION COST TAX ELIGIBLE Explain integration strategy, pricing, and itemized costs associated with implementation Envelopes for Citations Price varies w/ quantity Yes Monthly software license includes data plan, Included No remote support, software maintenance/upgrades Included No Citation Stock quoted is generic format Shown above Yes Custom Citation Stock will increase estimate Varies by size/quantity Yes Citation Stock-may purchase bulk as needed Bulk price/total ordered Yes PERMIT MANAGEMENT SYSTEM SYSTEM ITEM ESTIMATED # OF UNITS ANNUALLY PER UNIT COST TAX ELIGIBLE ESTIMATED YEAR 1 TOTAL ESTIMATED 5 YEAR TOTAL Per annual permit issued 12,300 $2.00 No $24,600.00 $123,000.00 Per daily permit issued 32,000 $0.75 No $24,000.00 $120,000.00 CONSUMABLES ITEM ESTIMATED # OF UNITS ANNUALLY PER UNIT COST TAX ELIGIBLE ESTIMATED YEAR 1 TOTAL ESTIMATED 5 YEAR TOTAL Per permit (stock provided by Contractor)12,300 Cost + 20% Yes Cost + 20% Cost + 20% INTEGRATIONS ITEM DESCRIPTION COST TAX ELIGIBLE Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 55  Packet Pg. 341 of 637  Professional Services Rev. Oct 16,2024 Page 48 of 54 Explain integration strategy, pricing, and itemized costs associated with implementation Monthly Hosting Maintenance & Support $1200.00 No Custom Bulk Group Email (Per Group)$85.00 No Permit Stock at Purchase Cost +20% Cost + 20% Yes Postal increases will be applied to all mailings as required Postal Increase No Per Monthly Permit Issued $2.00 each No No per user software license CUSTOMER PORTAL AND WEBSITE CUSTOMER FEES* ITEM ESTIMATED # OF UNITS ANNUALLY PER UNIT COST TAX ELIGIBLE ESTIMATED YEAR 1 TOTAL ESTIMATED 5 YEAR TOTAL Per citation payment convenience fee 9,600 $3.95 No $37,920.00 $189,600.00 Per permit payment convenience fee 11,000 $2.00 No $22,000.00 $110,000.00 CUSTOMER SERVICE CENTER (PHONE AND IVR) PHONE SUPPORT / IVR ITEM ESTIMATED # OF UNITS ANNUALLY PER UNIT COST TAX ELIGIBLE ESTIMATED YEAR 1 TOTAL ESTIMATED 5 YEAR TOTAL IVR system - monthly Monthly $0.00 No $0.00 $0.00 Per IVR payment convenience fee 250 $3.95 No $987.50 $4,937.50 Per call center call received by Contractor 6,000 $0.00 No $0.00 $0.00 PROCESING SERVICES CMS ITEM ESTIMATED # OF UNITS ANNUALLY PER UNIT COST TAX ELIGIBLE ESTIMATED YEAR 1 TOTAL ESTIMATED 5 YEAR TOTAL Per manual citation entered by Contractor 700 $0.00 No $0.00 $0.00 Per citation notice mailed by Contractor (include postage)1,500 $1.00 No $1,500.00 $7,500.00 Per citation payment received and processed by Contractor 1,700 $0.00 No $0.00 $0.00 PMS ITEM ESTIMATED # OF UNITS ANNUALLY PER UNIT COST TAX ELIGIBLE ESTIMATED YEAR 1 TOTAL ESTIMATED 5 YEAR TOTAL Per permit notice mailed by Contractor (include postage)4,500 $1.60 No $7,200.00 $36,000.00 Per virtual permit fulfilled; application processed, permit issued, payment processed by Contractor 5,400 $2.00 No $10,800.00 $54,000.00 Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 56  Packet Pg. 342 of 637  Professional Services Rev. Oct 16,2024 Page 49 of 54 Per physical permit fulfillment; application processed, permit mailed, payment processed by Contractor 600 $3.50 No $2,100.00 $10,500.00 OPTIONAL, ENHANCED, OR VALUE-ADD SERVICES CITATION ISSUANCE DEVICES DESCRIPTION QTY/UNIT OF MEASURE (ex. monthly, annual, per transaction… etc.)UNIT PRICE CURRENTLY AVAILABLE OR DATE OF AVAILABILITY TAX ELIGIBLE nFORCER-II PRINT with ticketPRO parking software 60- Month Lease (One-piece)Per month $150.00 Available Yes nFORCER-II PRINT Quad unit charging dock (up to 4 units and 4 spare batteries) Each $1,140.00 Available Yes nFORCER-II Spare Battery Each $138.00 Available Yes nFORCER-II Top Strap or Shoulder Strap Each $24.00 Available Yes nFORCER-II Soft Case Each $48.00 Available Yes nFORCER-II Car Charger Each $48.00 Available Yes iOS ticketPRO software hosting fee (required with options below); Up to 50/100/150 users Per month $300/$500/$750 Available No ticketPRO parking software for City owned iOS hardware (Zebra ZQ printer req'd); 1-50 users Per user/mo.$25.00 Available No ticketPRO parking software for City owned iOS hardware (Zebra ZQ printer req,d); 51- 100 users Per user/mo.$22.00 Available No ticketPRO parking software for City owned iOS hardware (Zebra ZQ printer req'd); 101- 150 users Per user/mo.$19.00 Available No * Customer fees are not included in the calculation of total compensation, as these fees are paid by the customer during online/phone payments, not by the CITY. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 57  Packet Pg. 343 of 637  Professional Services Rev. Oct 16,2024 Page 50 of 54 EXHIBIT “D” INSURANCE REQUIREMENTS CONTRACTORS TO THE CITY OF PALO ALTO (CITY), AT THEIR SOLE EXPENSE, SHALL FOR THE TERM OF THE CONTRACT OBTAIN AND MAINTAIN INSURANCE IN THE AMOUNTS FOR THE COVERAGE SPECIFIED BELOW, 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. AWARD IS CONTINGENT ON COMPLIANCE WITH CITY’S INSURANCE REQUIREMENTS, AS SPECIFIED, BELOW: REQUIRED TYPE OF COVERAGE REQUIREMENT MINIMUM LIMITS 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, PRODUCTS/COMPLETED OPERATIONS AND FIRE LEGAL LIABILITY BODILY INJURY PROPERTY DAMAGE BODILY INJURY & PROPERTY DAMAGE COMBINED. $2,000,000 $2,000,000 $2,000,000 $2,000,000 $2,000,000 $2,000,000 YES TECHNOLOGY ERRORS AND OMISSIONS LIABILITY COVERAGE. THE POLICY SHALL AT A MINIMUM COVER PROFESSIONAL MISCONDUCT OR LACK OF REQUISITE SKILL FOR THE PERFORMANCE OF SERVICES DEFINED IN THE CONTRACT AND SHALL ALSO PROVIDE COVERAGE FOR THE FOLLOWING RISKS: (i) NETWORK SECURITY LIABILITYARISING FROM UNAUTHORIZED ACCESS TO, USE OF, OR TAMPERING WITH COMPUTERS OR COMPUTER SYSTEMS, INCLUDING HACKERS, EXTORTION, AND (ii) LIABILITY ARISING FROM INTRODUCTION OF ANY FORM OF MALICIOUS SOFTWARE INCLUDING COMPUTER VIRUSES INTO, OR OTHERWISE CAUSING DAMAGE TO THE CITY’S OR THIRD PERSON’S COMPUTER, COMPUTER SYSTEM, NETWORK, OR SIMILAR COMPUTER RELATED PROPERTY AND THE DATA, SOFTWARE AND PROGRAMS THEREON. CONTRACTOR SHALL MAINTAIN IN FORCE DURING THE FULL LIFE OF THE CONTRACT. THE POLICY SHALL PROVIDE COVERAGE FOR BREACH RESPONSE COSTS AS WELL AS REGULATORY FINES AND PENALTIES AS WELL AS CREDIT MONITORING EXPENSES WITH LIMITS SUFFICIENT TO RESPOND TO THESE OBLIGATIONS. ALL DAMAGES $2,000,000 $2,000,000 Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 58  Packet Pg. 344 of 637  Professional Services Rev. Oct 16,2024 Page 51 of 54 YES CYBER AND PRIVACY INSURANCE. SUCH INSURANCE SHALL INCLUDE COVERAGE FOR LIABILITY ARISING FROM COVERAGE IN AN AMOUNT WITH LIMITS ADEQUATE TO COVER THESE EXPOSURES UNDER THE VENDOR’S CYBER LIABILITY POLICY TO COVER THE FULL REPLACEMENT VALUE OF DAMAGE TO, ALTERATION OF, LOSS OF, THEFT, DISSEMINATION OR DESTRUCTION OF ELECTRONIC DATA AND/OR USE OF CONFIDENTIAL INFORMATION, “PROPERTY” OF THE CITY OF PALO ALTO THAT WILL BE IN THE CARE, CUSTODY, OR CONTROL OF VENDOR, INFORMATION INCLUDING BUT NOT LIMITED TO, BANK AND CREDIT CARD ACCOUNT INFORMATION OR PERSONAL INFORMATION, SUCH AS NAME, ADDRESS, SOCIAL SECURITY NUMBERS, PROTECTED HEALTH INFORMATION OR OTHER PERSONAL IDENTIFICATION INFORMATION, STORED OR TRAMSITTED IN ELECTRONIC FORM. ALL DAMAGES $2,000,000 $2,000,000 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 YES 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 SUBCONSULTANTS, 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 URL: 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 Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 59  Packet Pg. 345 of 637  Professional Services Rev. Oct 16,2024 Page 52 of 54 THE COMPANY UNDER THIS POLICY. C. NOTICE OF CANCELLATION 1. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR ANY REASON OTHER THAN THE NON-PAYMENT OF PREMIUM, THE CONSULTANT 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 CONSULTANT SHALL PROVIDE CITY AT LEAST A TEN (10) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION. VENDORS ARE REQUIRED TO FILE THEIR EVIDENCE OF INSURANCE AND ANY OTHER RELATED NOTICES WITH THE CITY OF PALO ALTO AT THE FOLLOWING URL: HTTP://WWW.CITYOFPALOALTO.ORG/GOV/DEPTS/ASD/PLANET_BIDS_HOW_TO.ASP Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 60  Packet Pg. 346 of 637  P a g e | 1 ATTACHMENT I City of Palo Alto GIS Integration Guideline Prepared by: IT Department - GIS Date: Aug 14, 2021 Version: 1.01 Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 61  Packet Pg. 347 of 637  P a g e | 2 GIS Integration Guidelines • All GIS data will be exchanged via the City’s ArcGIS Enterprise system using ArcGIS services. o Utility data will be shared as ArcGIS Map Services o Non-Utility data can be shared as ArcGIS Map Services or ArcGIS Feature Services • Any utility data will be shared as an Esri map service. Deltas have to be identified using attributes associated with the Gas and Water datasets. ArcGIS editor tracking fields will not be available. • Preferably datasets edited in the new Gas and Water GIS systems should be retrievable by the City as Esri Map or Feature services. [These datasets might be needed by other departments such as Office of Emergency Services (OES) for disaster response planning, combined utility views, or operational dashboards] • The City has a Production and Test ArcGIS Enterprise environment. The ArcGIS Enterprise version as of August 2021 is 10.8.1. The City’s ArcGIS Server and Portal servers are federated. The City will upgrade its ArcGIS Enterprise system at its discretion. o Vendors can use the GIS services from the City’s Test ArcGIS environment to test integration with their systems. o Once the GIS services from the Test ArcGIS environment are successfully integrated and tested, a request can be made to promote the Services to the City’s Production ArcGIS environment. o Upon approval, the vendor will be given built-in ArcGIS service accounts to authenticate. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 62  Packet Pg. 348 of 637  City of Palo Alto Information Security Document Version: V3.0 Doc: InfoSec 110 Page 1 of 3 ATTACHMENT H CYBERSECURITY TERMS AND CONDITIONS In order to assure the privacy and security of the personal information of the City's customers and people who do business with the City, including, without limitation, vendors, utility customers, library patrons, and other individuals and companies, who are required to share such information with the City, as a condition of receiving services from the City or selling goods and services to the City, including, without limitation, the Software as a Service services provider (the "Consultant") and its subcontractors, if any, including, without limitation, any Information Technology ("IT") infrastructure services provider, shall design, install, provide, and maintain a secure IT environment, described below, while it renders and performs the Services and furnishes goods, if any, described in the Statement of Work, Exhibit B, to the extent any scope of work implicates the confidentiality and privacy of the personal information of the C ity's customers. The Consultant shall fulfill the data and information security requirements (the "Requirements") set forth in Part A below. A "secure IT environment" includes (a) the IT infrastructure, by which the Services are provided to the City, including connection to the City's IT systems; (b) the Consultant 's o perations and maintenance processes needed to support the environment, including disaster recovery and business continuity planning; and (c) the IT infrastructure performance monitoring services to ensure a secure and reliable environment and service availability to the City. "IT infrastructure" refers to the integrated framework, including, without limitation, data centers, computers, and database management devices, upon which digital networks operate. In the event that, after the Effective Date, the Consultant reasonably determines that it cannot fulfill the Requirements, the Consultant shall promptly inform the City of its determination and submit, in writing, one or more alternate countermeasure options to the Requirements (the "Alternate Requirements" as set forth in Part B), which may be accepted or rejected in the reasonable satisfaction of the Information Security Manager (the "ISM"). Part A. Requirements: The Consultant shall at all times during the term of any contract between the City and the Consultant: (a)Appoint or designate an employee, preferably an executive officer, as the security liaison to the City with respect to the Services to be performed under this Agreement. (b)Comply with the City's Information Privacy Policy: (c) Have adopted and implemented information security and privacy policies that are documented, are accessible to the City, and conform to ISO 27001/2 – Information Security Management Systems (ISMS) Standards. See the following: http://www.iso.org/iso/home/store/catalogue_tc/catalogue_detail.htm?csnumber=42103 http://www.iso.org/iso/iso_catalogue/catalogue_tc/catalogue_detail.htm?csnumber=50297 (d)Conduct routine data and information security compliance training of its personnel that is appropriate to their role. (e)Develop and maintain detailed documentation of the IT infrastructure, including software versions and patch levels. (f)Develop an independently verifiable process, consistent with industry standards, for performing professional and criminal background checks of its employees that (1) would permit verification of employees' personal identity and employment status, and (2) would enable the immediate denial of access to the City's confidential data and information by any of its employees who no Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 63  Packet Pg. 349 of 637  City of Palo Alto Information Security Document Version: v2.7 Form: InfoSec 100 Turbo Data Systems, Inc. 1551 Tustin Ave, #950, Santa Ana, CA Elie Sleiman elie@turbodata.com #Response from the Vendor Score Additional Information/Clarification Required from the Vendor 1.1 Turbo Data Systems will provide hardware, software, communication, and a hosting platform to facilitate the issuance and management of parking citations and permits. This includes field mobile devices and printers, as well as a SaaS environment for agency access to inquire into and manage transactions. ticketproweb.com (For agency access only - already accessible by PD for traffic) Support mobile issuance, parking citation inquiry and update, eAppeals, and Reporting getapermit.net (Agency and Public) Support parking permit-related activities. Public and Admin Portals Pticket.com (Public) Parking Payment and appeals portal (RBAC). Depending on each user and department's access needs, which the agency usually provides, permission can be set to satisfy these requirements. There is a comprehensive list of permissions for the parking citation and appeal applications. Read-Only/View-Only all the way to full access. For Parking permits, there is a dedicated Admin portal for the agency that individuals handling permit activities can use to assist the public. A public permit portal allows the public to register, order, and parking citations such as vehicle, violation, fines, and, location. For permits, account holder data such as name and address will be stored. There will be no credit card or Data stored is protect and accessible with permissions granted on a per-user basis. Data exchange between TDS and City of Palo Alto and County of Santa Clara will be handled in accordance with methods and facilities allowed and compliant with current policies. City services recipients through the application? VENDOR INFORMATION Vendor Organization Name: Vendor Address: 1.0 BUSINESS PROCESS AND DATA EXCHANGE REQUIREMENTS Question Please provide a detailed description of the Vendor’s business process that will be offered to the City related to the proposed requirements of the City’s RFP or other business requirements. City in order to provide services to the City? (List all) (PII), Sensitive Information (SI), the City’s Confidential & Protected Information (CPI), City’s Critical Infrastructure Information (CII) at the Vendor’s IT environment, how does the Vendor maintain the confidentiality of the information in accordance with applicable federal, state and local data and information privacy laws, rules and regulations? stored at the Vendor’s or other third party’s data storage location? (Provide data attributes with examples of the data to be stored) Example: Payment Card Information, Social Security Number, Driving License number, Patrons Name, Address, Telephone, etc.), which are examples of personal information, the privacy of which is protected by California VISA Questionnaire Page1 of 10 11/26/2025 Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 64  Packet Pg. 350 of 637  City of Palo Alto Information Security Document Version: v2.7 Form: InfoSec 100 #Response from the Vendor Score Additional Information/Clarification Required from the Vendor 2.1 We use Tenable One as our exposure management platform. This allows us to identify and remediate in accordance with various industry standards, including PCI, NIST, and others. Yes The CA DMV and NLETS mandate existing security requirements in addition to PCI. policy, which covers general and email security, privacy, and PCI-related information. Ongoing security awareness training has been put in place to ensure continuous education and inclusion of new threats and security concerns. Training is managed and guided by selecting relevant curricula and courses to ensure compliance with security, privacy, and PCI requirements. The training program includes testing and pass/fail grading. Additionally, random suspicious email messages are sent and and training if needed. These activities TDS requires whitelisting customer IP addresses to access our web application/platform. All data communication requires HTTPS protocols. Chrome browser is recommended. TLS 1.2 +. user session token and multi-session restrictions. MFA and application token restrictions are enforced. Scheduled internal and external scan via Tenable-One and PCI Security vendors. application? information security and privacy policies? statutory or industry practice requirements/standards? security at the user interface? (A set of detailed documentation should be provided to support the compliance). policies/standards that are documented and conform to ISO 27001/2 – Information Security Management Systems (ISMS) Standards or NIST 800-53 (National Institute of Standards – NIST Special Publication (SP) 800-53 Revision 4, Security and Privacy Controls for Federal Information Systems and Organizations) 2.0 SECURITY POLICIES AND STANDARDS Question VISA Questionnaire Page2 of 10 11/26/2025 Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 65  Packet Pg. 351 of 637  City of Palo Alto Information Security Document Version: v2.7 Form: InfoSec 100 #Response from the Vendor Score Additional Information/Clarification Required from the Vendor 3.1 Palo Alto and SonicWall Firewalls- HA Configuration Meraki Switches HPE Proliant and Dell Servers HPE Nimble and Alletra Storage Veeam Backup and Replication AWS S3 VMWare ESX 8.x Virtualization. Microsoft Windows Servers 2016, 2019, 2022, 2025 Microsoft SQL 2016, 2017, 2019 As a SaaS solution, we will host all applications in the environment described in 3.1. This involves securiy and data protection settings and measures. These application support the proposed Parking, Permtis, and, enforcement solutions. Using the Tenable One exposure management platform, all involved applications and systems are regularly scanned for vulnerabilities, and remediation steps are taken. The application and database architecture are separated and hosted on different servers. The database architecture supports a multi-tenant environment to segregate customer data. A unique identifier is assigned to each agency to ensure all relevant data are correctly identified and accessed. Application-level security and controls manage the process of assigning and granting access. No vulnerabilities and address any issues before deployment to production and after deployment? Example: Windows or Unix Operating System (OS) and other detail. data privacy and information security agreements are in place between the Vendor and any subcontractor/third party to ensure appropriate and accountable treatment of information? Note the City requires that the Vendor and each subcontractor and third-party formally acknowledge that will comply with the City's Information Privacy Policy and SaaS Security and Privacy Terms and Conditions data (related to its function as a local government agency) from the data of individuals providing services to or receiving services from the City? implementation to support this project. (For example, intricate solution architecture, secured data flow to support business processes, etc.). 3.0 APPLICATION/SOLUTION CONFIGURATION Question VISA Questionnaire Page3 of 10 11/26/2025 Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 66  Packet Pg. 352 of 637  City of Palo Alto Information Security Document Version: v2.7 Form: InfoSec 100 #Response from the Vendor Score 4.1 We employ the Tenable One suite of products and applications, which provides can provide the scan results. We employ the Tenable One suite of products and applications, which provides can provide the scan results. Patch management is dependent on vulnerability reporting and OS updates. Patching can be provided. We use application-level code/token. These are uniquely issued to each mobile application. Yes. Scans are performed on a quarterly basis. Scan results can be made available. Yes-Ransomware. Recovered/Rebuilt the environment. Implemented additional security measures to mitigate, including hardening and migration to a new Endpoint solution with 24/7 monitoring and controls. Updating hardware/software/firmware to the latest versions based on CVE evaluation. There was no loss of data. Access was restricted during the recovery process. Yes inspection, traffic throttling, and ISP-assisted black-holing. VLAN segmentation, ACLs, and MAC binding mitigate spoofing attacks. Logs are integrated with the SIEM for continuous SOC monitoring and rapid response to anomalous ingress/egress and DDoS traffic We use Sentinel One as an endpoint solution, including 24/7 monitoring, Monthly OS additional exposure management and remediation guidelines. A certificate of insurance will be provided. Currently usings Sentenel One (S1) Please describe the event(s) and the steps taken to mitigate the breach(es). What damages or exposure resulted? Are records of violations and issues maintained, and will these records be available for inspection by the City? Vendor’s cloud service offerings installed on all of your systems? 4.0 RISK & VULNERABITY MANAGEMENT Question What solution does the Vendor use to conduct network-layer vulnerability scans regularly? And what is the frequency of the network-layer vulnerability scans performed? If required can the Vendor submit the scan results to the City’s Information security officer? scans regularly? And what is the frequency of the local operating system-layer vulnerability scans performed? If required can the Vendor submit the scan results to the City’s Information security officer? the patch management policy to the City’s Information security officer? its installation and use, and how the code configuration checked to ensure that the authorized mobile code operates according to a clearly defined security policy? scans and periodic penetration tests on the Vendor applications and networks? If yes, how frequently the vulnerability scans and routine penetration tests are performed? If required can the Vendor submit the scan results to the City’s Information security officer? that the Vendor formally advise the City’s information security office within 24 hours. Will the Vendor commits to support this requirement? And will the Vendor make security incident information available to the City? (e.g., in-depth packet analysis, traffic throttling, and black-holing) for detection and timely response to network-based attacks associated with anomalous ingress or egress traffic patterns (e.g., MAC spoofing and ARP poisoning attacks) and distributed denial-of-service (DDoS) attacks? management access control to the necessary ports, protocols, and services to meet business needs using technical controls (e.g., antivirus, file integrity monitoring, and logging) as part of their baseline build standard or template? policy. Such insurance shall include coverage in an amount sufficient to cover the full replacement value of damage to, alteration of, loss of, theft, dissemination or destruction of electronic data and/or use of confidential information, “property” of the City of Palo Alto that will be in the care, custody, or control of vendor information including but not limited to bank and credit card account information or personal information, such as name, address, social security numbers, protected health information or other personal identification information stored or transmitted in electronic form. VISA Questionnaire Page4 of 10 11/26/2025 Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 67  Packet Pg. 353 of 637  City of Palo Alto Information Security Document Version: v2.7 Form: InfoSec 100 #Response from the Vendor Score Additional Information/Clarification Required from the Vendor 5.1 Data exchange between the City and the Vendor will occur over encrypted channels (TLS 1.2+), using secure transfer methods such as SFTP, HTTPS, or encrypted APIs. All transfers are encrypted in transit and at rest, and authenticated via MFA with audit HTTPS, SFTP The City’s data is backed up daily. Backups are stored in locked, access-controlled facilities and replicated to a secure offsite location. All data in transit is encrypted (TLS 1.2+). Backup systems are protected by Palo Alto NGFWs, restricted by RBAC and MFA, and tested quarterly to ensure data integrity and recoverability AES-256/512, SHA-256/512 or greater We use selective encryption for sensitive documents containing PII—additionally, encryption or masking is applied at the application level. Application-level protections include RBAC-based access control. Subcontractors have no direct production access. Access is strictly on a need-to-know basis. 256 encryption, TLS 1.2+, RBAC with MFA, network segmentation, IDS/IPS monitoring, and centralized SIEM logging. Controls are periodically validated through penetration testing and security audits to ensure ongoing protection and compliance. By providing whitelisting at the edge (encryption/decryption) tunnel We work with temp agencies to establish initial employee skillsets. In house training and verification of skillsets on site. We use RBAC for systems and applications. At employment termination a checklist ensures that network and application access are terminated as necessary. Security awareness training is provided upon employment and regularly thereafter. RBAC controls are in place upon employee separation and for employees on extended leave (e.g., disability / maternity leave). Question What will be the medium of data exchange between the City and Vendor? How will the data be kept secure during the data exchange process? Example: (VPN, Data Link, Frame Relay, HTTP, HTTPS, FTP, FTPS, etc.) storage location? Example: Locked storage, Digitally, Encrypted, etc. protect data if the data required to transfer through public networks/the Internet)? party's staff member from viewing unauthorized confidential information? For example, encryption, masking, etc. CSA Trusted Cloud Architectural Standard, FedRAMP, CAESARS)? data, like data may be produced for a designated tenant only, without compromising other tenant's information? If no, then please explain how the Vendor secures protected data within a multi-tenant hosting environment? Of their subcontractor/third party’s team(s)? (For example, criminal background verification before employment, providing security training after employment, and managing Role-Based Access Control (RBAC) during employment and network and application access termination upon employment termination. 5.0 DATA SECURITY & PROTECTION VISA Questionnaire Page5 of 10 11/26/2025 Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 68  Packet Pg. 354 of 637  City of Palo Alto Information Security Document Version: v2.7 Form: InfoSec 100 #Response from the Vendor Score Additional Information/Clarification Required from the Vendor 6.1 Backup occurs at a secure primary datacenter and is stored digitaly on an HA storage array. Backup copy is immediately processed onto a seconday storage array and another to an offsite AWS S3 encrypted backup bucket. Plans are underway to Currently offsite backup (AWS S3) are encrypted. We use a Symetric key with AES- 256-GCM. AWS Key Management Service (KMS) is used to create and maintain customer managed keys. Backup data is stored at a datacenter facility. This is a secure datacenter accessible to designated TDS staff 24/7. For redundancy and DR purposes, we replicate data to other secure datacenters (Sacramento DR site) and AWS S3. 2001 Dyer Rd, Santa Ana, CA 92705 Earl Momongan, 714.717.1317 emomongan@tpx.com TPx - Sacramento - Secondary Datacenter - DR 1515 K St, Sacramento, CA 95814 Anthony Ruggiero, 408.380.0920 aruggiero@tpx.com We maintain a multi-year contract term with TPx for their SSAE18 datacenters. We can provide an audit report statement if needed. TDS Admin staff only have access: Elie Sleiman - IT - VP/CIO Ryan Sleiman - IT - Operations Manager Sharon Watroba - IT - Systems Analyst Gio Stefani - IT - Network Architect specification with the type of encryption algorithm and detailed methodology of encryption handling. If, not please explain what is the Vendor’s method(s) to keep data secured during the data backup process? backup data storage media? (Provide Name and Role) location? provide: a. Company Name: b. Address: c. Contact person detail (Phone and Email): d. What contractual commitments are in place to guarantee security compliance from these vendors 6.0 DATA BACK-UP Question What types of storage media will the Vendor use for data backup purposes? Examples: Tape, Hard Disk Drive, or any other devices. What is the media transfer process (I.e., The lockbox process used to send tapes off-site)? VISA Questionnaire Page6 of 10 11/26/2025 Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 69  Packet Pg. 355 of 637  City of Palo Alto Information Security Document Version: v2.7 Form: InfoSec 100 #Response from the Vendor Score Additional Information/Clarification Required from the Vendor 7.1 Part of TDS BCP, in process of establishing a DR site in Sacramento with 4-hour to a secondary site equiped with the necessary servers and network components to recover and run "Mission Critical" systems. Sacramento DR site is planned for Q1 2026 or sooner. The DR site, once established will provide the required <8 hours RTO as required by the city. We are currently utilizing an HA Load Balancing solution to provide 99.99% update. Load Balancing will also be established at the DR site in Sacramento to provide the required SLA and uptime requirement. We are currently implementing a DR solution at a datacenter in Sacramento. This will serve as the failover recovery site. We will utilize various options, tools, and products to replicate and maintain an environment that is readly available in the case of a disaster. Yes, current solution can provide independent restore and recover capabilities. how frequently the business continuity plans tested to ensure continuing in the event of a disaster? continuity solutions with maximum 8 (eight) hours RTO (Recovery Time Objective), i.e., in the event of a disaster, the services offered by the Vendor shall not exceed 8 hours downtime, can the Vendor support this requirement? If no then what alternative solution can Vandor offer to satisfy this requirement. Service Level Agreement (SLA) with the Vendor shall ensure the 99.99% up-time requirement; if no, what alternative solution can Vendor offer to satisfy this requirement. 7.0 BUSINESS CONTINUITY PLANNING (DR-BCP) Question Does the Vendor's cloud solution offer independent restore and recovery capabilities? If no, then what alternative solution the Vendor offers? VISA Questionnaire Page7 of 10 11/26/2025 Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 70  Packet Pg. 356 of 637  City of Palo Alto Information Security Document Version: v2.7 Form: InfoSec 100 #Response from the Vendor Score Additional Information/Clarification Required from the Vendor 8.1 Via secure (https) webportals 1. What is the purpose of this requirement 2. Who are the individuals assigned, and what will they do with this access 3. What is the primary concern that requires this? Upon pre-authorization from the City's ISM, the user account is created using consistent naming conventions. New users can establish their own password. Activities are tracked for audit and reporting purposes. TDS and the agency will collaborate on account removals and maintenance. Reports can be made available for confirmation. Agency authorization is required for any additions or removals. Accounts are initially disabled for the period of 30-days and then permanently removed. shall have superuser/ super admin access to the Vendor's hosted environment with MFA authentication, can the Vendor support this requirement? If no then what alternative solution can Vendor offer to satisfy this requirement. 8.0 ACCESS CONTROL, ACCOUNT PROVISIONING & DE-PROVISIONING Question What is the account provisioning/removal process? Example: How are user accounts created and managed?) created and managed?) Area Network) through 'Ip" filtering? If not, what alternative solution can the Vendor offer? VISA Questionnaire Page8 of 10 11/26/2025 Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 71  Packet Pg. 357 of 637  City of Palo Alto Information Security Document Version: v2.7 Form: InfoSec 100 #Response from the Vendor Score Additional Information/Clarification Required from the Vendor 9.1 Upon creating a new account, the user will receive an email prompting them to complete the password reset process. Password requirements are visible and validated during this process. Users may change their password on demand. MFA is database. Login and passwords are stored in a security database using AES-256-GCM encryption. Yes, TDS meets all requirements listed, except #2. We do not send passwords via email due to the risk of compromised email accounts. Instead, we use alternative secure methods of transport (MFA). password management scheme? (Please provide a soft copy of the process) scheme detail. Vendor’s application meet these requirements? 1. First-time password must be unique to an individual and require the User to change it upon initial login. 2. If the password is sent via plain text email to the City employee to mitigate security exposure. 3. The City requires a first-time password to have a time-out capability of no more than 7 days. 4. The email notification must not be copied to anyone except the User. 5. The permanent/long term password must be changed frequently (at least TWICE a year) 6. Email notification must be sent to the User whenever the password has been updated. 7. User should not be able to view data or conduct business unless an initial password has been updated with a different password. 8. The Vendor shall inform the City’s users that, when a new password is created, the User shall not use the City’s LDAP (Lightweight Directory Access Control Protocol) password. 9. The password must have 8 or more alphanumeric (/) characters, and it must contain at least one character from each of the bullets noted below (i.e., Each line shall contribute at least one character): • abcdefghijklmnopqrstuvwxyz • ABCDEFGHIJKLMNOPQRSTUVWXYZ • 0123456789 • !@#$%^&*()-+=`~,></\"'?;:{[}] 9.0 PASSWORD MANAGEMENT Question VISA Questionnaire Page9 of 10 11/26/2025 Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 72  Packet Pg. 358 of 637  City of Palo Alto Information Security Document Version: v2.7 Form: InfoSec 100 Vendor Information Security Assessment (VISA) QuestionnairePurpose: This Vendor Information Security Assessment (VISA) Questionnaire requests information concerning a Cloud Service Provider (the Vendor), which intends to provide to the City of Palo Alto (the City) any or all of the following services: Software as a Service (SaaS); Platform as a Service (PaaS); and Infrastructure as a Service (IaaS). Note/Instructions: • SaaS, PaaS and IaaS are each a ‘cloud’ servicing model, in which software and database applications, computer network infrastructure and/or computer hardware/software platforms is/are hosted by the Vendor and made available to customers interconnected in a network, typically the Internet. • This Questionnaire is for the sole use of the intended Vendor and may contain confidential information of individuals and businesses collected, stored, and used the City. Any unauthorized collection, storage, use, review or distribution may be prohibited by California and/or Federal laws. If you are not the intended recipient of this Questionnaire, please contact the sender by e-mail and destroy all copies of the Questionnaire. • The Vendor shall provide answers to the questions or information to the requests provided below. • In the event that the Vendor determines that it cannot meet the City’s security and or privacy requirements, the Vendor may submit a request for an exception to the City’s requirements and propose alternative countermeasures to address the risks addressed in this Questionnaire. The City’s Information Security Manager (ISM) may approve or reject the exception request, depending on the risks associated with the exception request. • Security Exception Request shall be submitted if you cannot comply with this policy/requirements • Upon receipt of the Vendor’s response, the Information Security Manager will conduct a security risk assessment, using the scoring methodology listed below: A = Meets completely. B = Partially meets. The Vendor may be required to provide additional requested information. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 73  Packet Pg. 359 of 637  City of Palo Alto Information Security Document Version: V3.0 Doc: InfoSec 110 Page 2 of 3 longer would require access to that information or who are terminated. (g) Provide a list of IT infrastructure components in order to verify whether the Consultant has met or has failed to meet any objective terms and conditions. (h) Implement access accountability (identification and authentication) architecture and support role-based access control ("RBAC") and segregation of duties ("SoD") mechanisms for all personnel, systems, and Software used to provide the Services. "RBAC" refers to a computer systems security approach to restricting access only to authorized users. "SoD" is an approach that would require more than one individual to complete a security task in order to promote the detection and prevention of fraud and errors. (i) Assist the City in undertaking annually an assessment to assure that: (1) all elements of the Services' environment design and deployment are known to the City, and (2) it has implemented measures in accordance with industry best practices applicable to secure coding and secure IT architecture. (j) Provide and maintain secure intersystem communication paths that would ensure the confidentiality, integrity, and availability of the City's information. (k) Deploy and maintain IT system upgrades, patches and configurations conforming to current patch and/or release levels by not later than one (1) week after its date of release. Emergency security patches must be installed within 24 hours after its date of release. (l) Provide for the timely detection of, response to, and the reporting of security incidents, including on-going incident monitoring with logging. (m) Notify the City within one (1) hour of detecting a security incident that results in the unauthorized access to or the misuse of the City's confidential data and information. (n) Inform the City that any third party service provider(s) meet(s) all of the Requirements. (o) Perform security self-audits on a regular basis and not less frequently than on a quarterly basis, and provide the required summary reports of those self-audits to the ISM on the annual anniversary date or any other date agreed to by the Parties. (p) Accommodate, as practicable, and upon reasonable prior notice by the City, the City's performance of random site security audits at the Consultant's site(s), including the site(s) of a third-party service provider(s), as applicable. The scope of these audits will extend to the Consultant's and its third-party service provider(s)' awareness of security policies and practices, systems configurations, access authentication and authorization, and incident detection and response. (q) Cooperate with the City to ensure that to the extent required by applicable laws, rules and regulations, and the Confidential Information will be accessible only by the Consultant and any authorized third-party service provider's personnel. (r) Perform regular, reliable secured backups of all data needed to maximize the availability of the Services. Adequately encrypt the City of Palo Alto's data, during the operational process, hosted at rest, and the backup stage at the Vendors' environment (including Vendor's contracting organization's environment). (s) Maintain records relating to the Services for a period of three (3) years after the expiration or earlier termination of this Agreement and in a mutually agreeable storage medium. Within thirty (30) days after the effective date of expiration or earlier termination of this Agreement, all of those records relating to the performance of the Services shall be provided to the ISM. (t) Maintain the Confidential Information in accordance with applicable federal, state, and local data and information privacy laws, rules, and regulations. (u) Encrypt the Confidential Information before delivering the same by electronic mail to the City and or any authorized recipient. (v) Provide Network Layer IP filtering services to allow access only from the City of Palo Alto's IP address to the Vendor environment (primarily hosted for the City of Palo Alto). (w) Offer a robust disaster recovery and business continuity (DR-BCP) solutions to the City for the systems and services the Vendor provides to the City. Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 74  Packet Pg. 360 of 637  City of Palo Alto Information Security Document Version: V3.0 Doc: InfoSec 110 Page 3 of 3 (x) Provide and support Single Sign-on (SSO) and Multifactor Authentication (MFA) solutions for authentication and authorization services from the "City's environment to the Vendor's environment," and Vendor's environment to the Vendor's cloud services/hosted environment." The Vendor shall allow two employees of the City to have superuser and super-admin access to the Vendor's IT environment, and a cloud-hosted IT environment belongs to the City. (y) Unless otherwise addressed in the Agreement, shall not hold the City liable for any direct, indirect or punitive damages whatsoever including, without limitation, damages for loss of use, data or profits, arising out of or in any way connected with the City's IT environment, including, without limitation, IT infrastructure communications. (z) The Vendor must provide evidence of valid cyber liability insurance policy per the City’s EXHIBIT “D” INSURANCE REQUIREMENTS. Part B. Alternate Requirements: Item 20 Attachment A - TurboData Contract C25190778A        Item 20: Staff Report Pg. 75  Packet Pg. 361 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Public Works Meeting Date: December 15, 2025 Report #:2509-5248 TITLE Approval of a Purchase Order with Golden State Fire Apparatus in an Amount Not to Exceed $3,378,458, for the Purchase of One Hybrid Electric Pierce Enforcer Volterra 1500 GPM Pumper and One Diesel Pierce Enforcer 1500 GPM Pumper, Utilizing a Cooperative Purchase Agreement, as Part of the Scheduled Vehicle and Equipment Replacement Capital Improvement Fiscal Year 2025 and 2026 Projects (VR-25000 and VR-26000); CEQA Status – Not a Project RECOMMENDATION Staff recommends that the City Council approve and authorize the City Manager or their designee to execute a purchase order with Golden State Fire Apparatus, Inc., in an amount not to exceed $3,378,458, for the purchase of One Hybrid Electric Pierce Enforcer Volterra 1500 GPM Pumper and One Diesel Pierce Enforcer 1500 GPM Pumper, utilizing a cooperative purchase agreement via Sourcewell, a cooperative purchasing agency serving government and not-for-profit organizations. EXECUTIVE SUMMARY Staff recommends approval of the procurement of one Hybrid Electric Pierce Enforcer Volterra 1500 GPM Pumper and one Diesel Pierce Enforcer 1500 GPM Pumper through a cooperative purchasing agreement with Sourcewell. The replacement of the City’s two 2009 Pierce Arrow XT Pumpers (Units 6144 and 6146) is necessary to maintain the reliability and effectiveness of the Fire Department’s emergency response operations. The proposed electric and diesel combination supports the City’s long-term fleet electrification goals while addressing current service needs and equipment availability constraints. Funding for both vehicles is included in the Fiscal Year 2025 and Fiscal Year 2026 Vehicle and Equipment Replacement Capital Improvement Projects (VR-25000 and VR-26000); the purchase of a diesel fire engine instead of an electric hybrid engine in Fiscal Year 2026 is consistent with the approach approved by Council during the FY2026 budget reduction discussions. Item 21 Item 21 Staff Report        Item 21: Staff Report Pg. 1  Packet Pg. 362 of 637  BACKGROUND ANALYSIS Item 21 Item 21 Staff Report        Item 21: Staff Report Pg. 2  Packet Pg. 363 of 637  Table #1: City of Palo Alto Fire Engine Fleet Unit#Designation Location Current Mileage Replacement Yr 6151 Frontline FS 1 62,765 TBD 6146 Frontline FS 2 109,246 FY 2026 6145 Frontline FS 3 106,912 FY 2030 6150 Frontline FS 5 83,193 TBD 6144 Reserve FS 5 106,162 FY 2025 6148 Frontline FS 6 95,417 FY 2027 6149 Frontline FS 4 103,848 FY 2028 Unit 6144 has over 106,000 miles and is projected to reach approximately 120,000 miles by the time it will be replaced, with lifetime maintenance and operation costs exceeding $630,000. The 16-year-old apparatus has begun to show signs of significant internal wear due to the age of the vehicle, leading to increased breakdowns and operational costs. Some of the issues include consistent oil leaks in the engine, engine control module replacements, a pump system upgrade, and both steering boxes being replaced. However, staff proposes retaining Unit 6144 in 2027 and transitioning it to frontline status in place of unit 6145, which would concurrently shift to reserve status. This realignment ensures continuity of service while maintaining fleet redundancy. Unit 6146 has over 109,000 miles and is projected to exceed 130,000 by the time it will be replaced, with lifetime maintenance and operation costs exceeding $476,000. Recently, this vehicle underwent extensive upgrades to meet frontline standards after being transitioned from reserve status to replace another unit at Fire Station 2. Critical improvements included a fully revamped primer system, new hoses, a replacement gearbox, upgraded power steering, modern transmission controls, and new seat cushions. Despite these upgrades, staff advises retiring Unit 6146 from frontline service and retaining it as a reserve apparatus once we take delivery of the new diesel engine in 2029. This strategy returns a second reserve unit to bolster operational flexibility and emergency readiness. Additionally, unit 6148 is scheduled for replacement in FY 2027 and unit 6149 is scheduled in FY 2028. The remaining two frontline units, 6151 and 6150, will remain in service at Fire Station 1 and Fire Station 6, respectively. The proposed replacement units integrate advanced technology, including modernized pumping systems, real-time data connectivity, and electronically controlled engines with self- diagnostic and reporting capabilities. The electric Pierce Volterra model incorporates a dual- power system consisting of a battery-electric primary driveline supported by a clean-diesel Item 21 Item 21 Staff Report        Item 21: Staff Report Pg. 3  Packet Pg. 364 of 637  backup engine. This configuration allows the apparatus to operate in fully electric mode during most routine responses, significantly reducing emissions and noise, while the diesel engine automatically engages when extended operations, high-demand pumping, or low state-of- charge conditions require additional power. These apparatuses ensure compliance with safety standards, meeting both National Fire Protection Association (NFPA) guidelines and 2024/2025 California Air Resources Board (CARB) emissions requirements, thereby reducing carbon emissions and avoiding regulatory penalties. The modern, electric pumper promises long-term cost efficiency through reduced fuel consumption and maintenance expenses compared to the outdated models, optimizing taxpayer investment. Delaying action risks further mechanical failures, inflated repair costs, and compromised emergency response capabilities. Proactive replacement and strategic fleet realignment safeguard public safety while advancing the City’s commitment to sustainability, reliability, and fiscal stewardship. Item 21 Item 21 Staff Report        Item 21: Staff Report Pg. 4  Packet Pg. 365 of 637  Two payment options were provided by Golden State Fire Apparatus, Inc. for each vehicle type. Electric: FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 21 Item 21 Staff Report        Item 21: Staff Report Pg. 5  Packet Pg. 366 of 637  PREPARED ESPECIALLY FOR: CITY OF PALO ALTO One (1) Pierce Manufacturing, Inc. Enforcer Volterra™ 1500 GPM Pumper Item 21 Attachment A - Golden State Fire Apparatus Quotes        Item 21: Staff Report Pg. 6  Packet Pg. 367 of 637  PRODUCTPROPOSAL Item 21 Attachment A - Golden State Fire Apparatus Quotes        Item 21: Staff Report Pg. 7  Packet Pg. 368 of 637  OPTION A 100% PRE-PAYMENT This will be the price of the Product(s) contingent upon the Customer paying the Grand Total Purchase Price to GSFA within thirty (30) calendar days of the Executed Date pursuant to the Payment Terms Please note this discount is also available contingent upon a Third Party (Leasing Company) paying 100% of the Grand Total Purchase Price on behalf of the Customer to GSFA within thirty (30) calendar days of the Executed Date pursuant to the Payment Terms IF YOU ELECT THIS OPTION, IT RESULTS IN A SAVINGS OF ($152,464.53) OFF OF THE GRAND TOTAL OF OPTION B Item 21 Attachment A - Golden State Fire Apparatus Quotes        Item 21: Staff Report Pg. 8  Packet Pg. 369 of 637  goldenstatefire.com 7400 Reese Road, Sacramento, CA 95828 | 916.330.1638 PRODUCT PROPOSAL FOR: City of Palo Alto 250 Hamilton Avenue Palo Alto, CA 94301 Sales Consultant Ryan Wright ryan@goldenstatefire.com Mobile: (209) 613-3809 Golden State Fire Apparatus, Inc. (“GSFA”) is pleased to provide this proposal for the fire apparatus(es) and equipment identified below (the "Product”) to CITY OF PALO ALTO (“Customer”) for consideration. This proposal (this “Product Proposal”) includes the following exhibits attached hereto: the Standard Terms and Conditions attached as Exhibit A (the “Terms and Conditions”); the Product Specifications attached as Exhibit B (the “Specifications”); the Product Warranties attached as Exhibit C; and the Dealer Supplied Products and/or Services attached as Exhibit D (the “Dealer Supplied Products/Services List”) (all of the foregoing, collectively, the “Agreement”). Through its signature below or other Acceptance (as defined on page 2), Customer acknowledges having received and read, and agrees to be bound by, the Agreement. The Agreement shall be effective as of the latest date appearing in the signature blocks below (the “Executed Date”). PAYMENT TERMS – Customer shall pay the total purchase price set forth directly above (the “Grand Total Purchase Price”) to GSFA within thirty (30) calendar days of the Executed Date. If payment of the Grand Total Purchase Price is late, a late fee as specified in section 6 of the Terms and Conditions may be applied, and the Prepayment Discount may be adjusted, and the Grand Total Purchase Price increased in accordance with section 2.c of the Terms and Conditions. Customer shall pay any balance due as a result of Change Orders as described in the Terms and Conditions. MANUFACTURER – Customer acknowledges that GSFA is not an agent of the Product manufacturer identified above (“Manufacturer”) and is not capable of binding Manufacturer. Within five (5) business days of the Executed Date, GSFA shall submit an order form to the Manufacturer for the Product. GSFA’s further performance under the Agreement is contingent upon Manufacturer’s acceptance of such order form at the price and on the terms GSFA believed to be available when submitting this Product Proposal to Customer. If Manufacturer rejects such order as submitted or fails to respond to GSFA within a reasonable SUBMITTED DATE EXPIRATION DATE GSFA PROPOSAL #MANUFACTURER BID #MANUFACTURER CONSORTIUM 11/13/2025 12/29/2025 91113-25AV 951 Pierce Manufacturing, Inc. Sourcewell #113021- OKC-1, ID #2688 MEMBER #43092 ITEM PRODUCT DESCRIPTION UNIT PRICE A One (1) Pierce Manufacturing Inc. Enforcer Volterra™ 1500 GPM Pumper 2,166,427.00 B Pre-Payment Discount for 100% Payment at Time of Order (the “Prepayment Discount”) (139,436.00) C SUBTOTAL 2,026,991.00 D 9.125% State Sales Tax 184,962.93 E California Tire Fee 10.50 F 100% Performance Bond 4,624.00 G GRAND TOTAL PURCHASE PRICE 2,216,588.43 Item 21 Attachment A - Golden State Fire Apparatus Quotes        Item 21: Staff Report Pg. 9  Packet Pg. 370 of 637  OPTION B PAYMENT AT TIME OF DELIVERY OR PICKUP This will be the price of the Product(s) contingent upon the Customer paying the Grand Total Purchase Price to GSFA at time of delivery or pickup pursuant to the Payment Terms Item 21 Attachment A - Golden State Fire Apparatus Quotes        Item 21: Staff Report Pg. 10  Packet Pg. 371 of 637  goldenstatefire.com 7400 Reese Road, Sacramento, CA 95828 | 916.330.1638 PRODUCT PROPOSAL FOR: City of Palo Alto 250 Hamilton Avenue Palo Alto, CA 94301 Sales Consultant Ryan Wright ryan@goldenstatefire.com Mobile: (209) 613-3809 Golden State Fire Apparatus, Inc. (“GSFA”) is pleased to provide this proposal for the fire apparatus(es) and equipment identified below (the "Product”) to CITY OF PALO ALTO (“Customer”) for consideration. This proposal (this “Product Proposal”) includes the following exhibits attached hereto: the Standard Terms and Conditions attached as Exhibit A (the “Terms and Conditions”); the Product Specifications attached as Exhibit B (the “Specifications”); the Product Warranties attached as Exhibit C; and the Dealer Supplied Products and/or Services attached as Exhibit D (the “Dealer Supplied Products/Services List”) (all of the foregoing, collectively, the “Agreement”). Through its signature below or other Acceptance (as defined on page 2), Customer acknowledges having received and read, and agrees to be bound by, the Agreement. The Agreement shall be effective as of the latest date appearing in the signature blocks below (the “Executed Date”). PAYMENT TERMS – Customer shall pay the total purchase price set forth directly above (the “Grand Total Purchase Price”) to GSFA no later than the time of GSFA’s delivery of the applicable Product to Customer’s address listed above (or Customer’s pick up of such Product at GSFA’s facilities, if approved by GSFA). GSFA shall have no obligation to deliver, or permit pick up of the Product if the Customer does not have full payment ready when the Product is complete and ready to deliver or pick up, as applicable. Customer shall pay any balance due as a result of Change Orders as described in the Terms and Conditions. MANUFACTURER – Customer acknowledges that GSFA is not an agent of the Product manufacturer identified above (“Manufacturer”) and is not capable of binding Manufacturer. Within five (5) business days of the Executed Date, GSFA shall submit an order form to the Manufacturer for the Product. GSFA’s further performance under the Agreement is contingent upon Manufacturer’s acceptance of such order form at the price and on the terms GSFA believed to be available when submitting this Product Proposal to Customer. If Manufacturer rejects such order as submitted or fails to respond to GSFA within a reasonable amount of time, GSFA shall notify Customer in writing, and unless GSFA and Customer otherwise agree in writing, the Agreement shall then terminate and have no further force or effect. SUBMITTED DATE EXPIRATION DATE GSFA PROPOSAL #MANUFACTURER BID #MANUFACTURER CONSORTIUM 11/13/2025 12/29/2025 91113-25BV 951 Pierce Manufacturing, Inc. Sourcewell #113021- OKC-1, ID #2688 MEMBER #43092 ITEM PRODUCT DESCRIPTION UNIT PRICE A One (1) Pierce Manufacturing Inc. Enforcer Volterra™ 1500 GPM Pumper 2,166,427.00 B 9.125% State Sales Tax 197,686.46 C California Tire Fee 10.50 D 100% Performance Bond 4,929.00 E GRAND TOTAL PURCHASE PRICE 2,369,052.96 Item 21 Attachment A - Golden State Fire Apparatus Quotes        Item 21: Staff Report Pg. 11  Packet Pg. 372 of 637  PREPARED ESPECIALLY FOR: CITY OF PALO ALTO One (1) Pierce Manufacturing, Inc. Enforcer 1500 GPM Pumper Item 21 Attachment A - Golden State Fire Apparatus Quotes        Item 21: Staff Report Pg. 12  Packet Pg. 373 of 637  PRODUCTPROPOSAL Item 21 Attachment A - Golden State Fire Apparatus Quotes        Item 21: Staff Report Pg. 13  Packet Pg. 374 of 637  OPTION A 100% PRE-PAYMENT This will be the price of the Product(s) contingent upon the Customer paying the Grand Total Purchase Price to GSFA within thirty (30) calendar days of the Executed Date pursuant to the Payment Terms Please note this discount is also available contingent upon a Third Party (Leasing Company) paying 100% of the Grand Total Purchase Price on behalf of the Customer to GSFA within thirty (30) calendar days of the Executed Date pursuant to the Payment Terms IF YOU ELECT THIS OPTION, IT RESULTS IN A SAVINGS OF ($211,140.26) OFF OF THE GRAND TOTAL OF OPTION B Item 21 Attachment A - Golden State Fire Apparatus Quotes        Item 21: Staff Report Pg. 14  Packet Pg. 375 of 637  goldenstatefire.com 7400 Reese Road, Sacramento, CA 95828 | 916.330.1638 PRODUCT PROPOSAL FOR: City of Palo Alto 250 Hamilton Avenue Palo Alto, CA 94301 Sales Consultant Ryan Wright ryan@goldenstatefire.com Mobile: (209) 613-3809 Golden State Fire Apparatus, Inc. (“GSFA”) is pleased to provide this proposal for the fire apparatus(es) and equipment identified below (the "Product”) to CITY OF PALO ALTO (“Customer”) for consideration. This proposal (this “Product Proposal”) includes the following exhibits attached hereto: the Standard Terms and Conditions attached as Exhibit A (the “Terms and Conditions”); the Product Specifications attached as Exhibit B (the “Specifications”); the Product Warranties attached as Exhibit C; and the Dealer Supplied Products and/or Services attached as Exhibit D (the “Dealer Supplied Products/Services List”) (all of the foregoing, collectively, the “Agreement”). Through its signature below or other Acceptance (as defined on page 2), Customer acknowledges having received and read, and agrees to be bound by, the Agreement. The Agreement shall be effective as of the latest date appearing in the signature blocks below (the “Executed Date”). PAYMENT TERMS – Customer shall pay the total purchase price set forth directly above (the “Grand Total Purchase Price”) to GSFA within thirty (30) calendar days of the Executed Date. If payment of the Grand Total Purchase Price is late, a late fee as specified in section 6 of the Terms and Conditions may be applied, and the Prepayment Discount may be adjusted, and the Grand Total Purchase Price increased in accordance with section 2.c of the Terms and Conditions. Customer shall pay any balance due as a result of Change Orders as described in the Terms and Conditions. MANUFACTURER – Customer acknowledges that GSFA is not an agent of the Product manufacturer identified above (“Manufacturer”) and is not capable of binding Manufacturer. Within five (5) business days of the Executed Date, GSFA shall submit an order form to the Manufacturer for the Product. GSFA’s further performance under the Agreement is contingent upon Manufacturer’s acceptance of such order form at the price and on the terms GSFA believed to be available when submitting this Product Proposal to Customer. If Manufacturer rejects such order as submitted or fails to respond to GSFA within a reasonable SUBMITTED DATE EXPIRATION DATE GSFA PROPOSAL #MANUFACTURER BID #MANUFACTURER CONSORTIUM 11/13/2025 12/29/2025 91113-25A 994 Pierce Manufacturing, Inc. Sourcewell #113021- OKC-1, ID #259 MEMBER #43092 ITEM PRODUCT DESCRIPTION UNIT PRICE A One (1) Pierce Manufacturing Inc. Enforcer 1500 GPM Pumper 1,255,069.00 B Pre-Payment Discount for 100% Payment at Time of Order (the “Prepayment Discount”) (193,033.00) C SUBTOTAL 1,062,036.00 D 9.125% State Sales Tax 96,910.79 E California Tire Fee 10.50 F 100% Performance Bond 2,912.00 G GRAND TOTAL PURCHASE PRICE 1,161,869.29 Item 21 Attachment A - Golden State Fire Apparatus Quotes        Item 21: Staff Report Pg. 15  Packet Pg. 376 of 637  OPTION B PAYMENT AT TIME OF DELIVERY OR PICKUP This will be the price of the Product(s) contingent upon the Customer paying the Grand Total Purchase Price to GSFA at time of delivery or pickup pursuant to the Payment Terms Item 21 Attachment A - Golden State Fire Apparatus Quotes        Item 21: Staff Report Pg. 16  Packet Pg. 377 of 637  goldenstatefire.com 7400 Reese Road, Sacramento, CA 95828 | 916.330.1638 PRODUCT PROPOSAL FOR: City of Palo Alto 250 Hamilton Avenue Palo Alto, CA 94301 Sales Consultant Ryan Wright ryan@goldenstatefire.com Mobile: (209) 613-3809 Golden State Fire Apparatus, Inc. (“GSFA”) is pleased to provide this proposal for the fire apparatus(es) and equipment identified below (the "Product”) to CITY OF PALO ALTO (“Customer”) for consideration. This proposal (this “Product Proposal”) includes the following exhibits attached hereto: the Standard Terms and Conditions attached as Exhibit A (the “Terms and Conditions”); the Product Specifications attached as Exhibit B (the “Specifications”); the Product Warranties attached as Exhibit C; and the Dealer Supplied Products and/or Services attached as Exhibit D (the “Dealer Supplied Products/Services List”) (all of the foregoing, collectively, the “Agreement”). Through its signature below or other Acceptance (as defined on page 2), Customer acknowledges having received and read, and agrees to be bound by, the Agreement. The Agreement shall be effective as of the latest date appearing in the signature blocks below (the “Executed Date”). PAYMENT TERMS – Customer shall pay the total purchase price set forth directly above (the “Grand Total Purchase Price”) to GSFA no later than the time of GSFA’s delivery of the applicable Product to Customer’s address listed above (or Customer’s pick up of such Product at GSFA’s facilities, if approved by GSFA). GSFA shall have no obligation to deliver, or permit pick up of the Product if the Customer does not have full payment ready when the Product is complete and ready to deliver or pick up, as applicable. Customer shall pay any balance due as a result of Change Orders as described in the Terms and Conditions. MANUFACTURER – Customer acknowledges that GSFA is not an agent of the Product manufacturer identified above (“Manufacturer”) and is not capable of binding Manufacturer. Within five (5) business days of the Executed Date, GSFA shall submit an order form to the Manufacturer for the Product. GSFA’s further performance under the Agreement is contingent upon Manufacturer’s acceptance of such order form at the price and on the terms GSFA believed to be available when submitting this Product Proposal to Customer. If Manufacturer rejects such order as submitted or fails to respond to GSFA within a reasonable amount of time, GSFA shall notify Customer in writing, and unless GSFA and Customer otherwise agree in writing, the Agreement shall then terminate and have no further force or effect. SUBMITTED DATE EXPIRATION DATE GSFA PROPOSAL #MANUFACTURER BID #MANUFACTURER CONSORTIUM 11/13/2025 12/29/2025 91113-25B 994 Pierce Manufacturing, Inc. Sourcewell #113021- OKC-1, ID #259 MEMBER #43092 ITEM PRODUCT DESCRIPTION UNIT PRICE A One (1) Pierce Manufacturing Inc. Enforcer 1500 GPM Pumper 1,255,069.00 B 9.125% State Sales Tax 114,525.05 C California Tire Fee 10.50 D 100% Performance Bond 3,405.00 E GRAND TOTAL PURCHASE PRICE 1,373,009.55 Item 21 Attachment A - Golden State Fire Apparatus Quotes        Item 21: Staff Report Pg. 17  Packet Pg. 378 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Community Services Meeting Date: December 15, 2025 Report #:2510-5331 TITLE Approval of Amendment #1 for Professional Services Contract No. C26195143 in the Amount of $101,292 with Peninsula Healthcare Connection to continue the Downtown Food Closet Operations for a Revised Total Amount Not-to-Exceed $268,521 including the Provision of Outreach, Mental and Physical healthcare to Unhoused and Low-Income Members of the Community for a Period of Two Years; CEQA status – not a project. RECOMMENDATION Staff recommends that the City Council approve and authorize the City Manager or his designee to execute Amendment #1 to Contract No. C26195143 with Peninsula Healthcare Connection (Attachment A) in an amount not-to-exceed $101,292 for additional services for the operation of the Downtown Food Closet for unhoused and low-income members of the community for a term of two years. This amendment results in a revised total contract not-to-exceed amount of $268,521. BACKGROUND The Human Services Resource Allocation Process (HSRAP) serves as the City’s primary mechanism for soliciting, reviewing, and allocating General Fund dollars to human service organizations. Proposals for the current two-year grant cycle (July 1, 2025 – June 30, 2027) were submitted in January 2025. An ad hoc subcommittee of the Human Relations Commission (HRC) evaluated the proposals in February 2025 and developed funding recommendations, which were subsequently reviewed and approved by the full HRC in March 2025. The Commission’s recommendations were incorporated into the City’s proposed FY 2026 Operating Budget, which the City Council adopted in June 2025. The adopted FY 2026 budget includes a Item 22 Item 22 Staff Report        Item 22: Staff Report Pg. 1  Packet Pg. 379 of 637  HSRAP grant to Downtown Streets Team1 that included operational support for the Downtown Food Closet. ANALYSIS 2 was awarded a HSRAP contract for the period of July 1, 2025, through June 30, 2027 to provide outreach, mental and physical healthcare to unhoused and low-income members of the community. Given the importance of maintaining uninterrupted food services for vulnerable populations, City staff is recommending that the remaining unspent grant funds previously allocated to DST for Food Closet operations be reallocated to PHC to support ongoing and future operational needs at the site. For FY 2026, that amount is $42,930. As PHC will continue to perform this service, it is anticipated that in year two PHC will be allocated the portion of prior DST HSRAP funding dedicated to Food Closet operations. As a standard, HSRAP grantee contracts include additional funding authority in year two of the contract that is subject to City Council appropriation through the annual budget process. 1 Downtown Streets Team, provide outreach services and operate a food closet for unhoused and low-income individuals through HSRAP, Contract #C26195134; https://www.paloalto.gov/files/assets/public/v/1/community- services/human-services/grant-programs/downtown-streets-team-hsrap-contract-c26195134_executed.pdf 2 Peninsula Healthcare Connection, provide outreach and mental/physical healthcare to unhoused and low-income individuals through HSRAP, Contract #C26195143; https://www.paloalto.gov/files/assets/public/v/1/community- services/human-services/grant-programs/peninsula-healthcare-connection-hsrap-contract- c26195143_executed.pdf Item 22 Item 22 Staff Report        Item 22: Staff Report Pg. 2  Packet Pg. 380 of 637  An exemption from competitive solicitation per Palo Alto Municipal Code 2.230.360(b2) (impracticality to solicit) was approved by the City Manager. FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 22 Item 22 Staff Report        Item 22: Staff Report Pg. 3  Packet Pg. 381 of 637  Vers.: Aug. 5, 2019 Page 1 of 10 AMENDMENT NO. 1 TO CONTRACT NO. C26195143 BETWEEN THE CITY OF PALO ALTO AND PENINSULA HEALTHCARE CONNECTION This Amendment No. 1 (this “Amendment”) to Contract No. C26195143 (the “Contract” as defined below) is entered into as of November 24, 2025, by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and PENINSULA HEALTHCARE CONNECTION, a corporation duly organized and existing under the Nonprofit Corporation Law of the State of California, located at 1671 The Alameda, Suite 306, San Jose, CA 95126 (“CONSULTANT”). CITY and CONSULTANT are referred to collectively as the “Parties” in this Amendment. R E C I T A L S A. The Contract (as defined below) was entered into by and between the Parties hereto for the provision of outreach services for triage health community outreach for unhoused individuals in the community, as detailed therein. B. The Parties now wish to amend the Contract in order to expand the scope of services to include the provision of a food closet for unhoused and low income residents and increase compensation. The not-to-exceed amount for FY26 will increase by Forty-Two Thousand Nine Hundred Thirty Dollars ($42,930.00), from Seventy-Seven Thousand Seven Hundred Eighty- One Dollars ($77,781.00), to a total of One Hundred Twenty Thousand Seven Hundred Eleven Dollars ($120,711.00). The not-to-exceed amount for FY26 will increase by Fifty Thousand Seven Hundred Fourty-Nine Dollars ($50,749.00), from Seventy-Seven Thousand Seven Hundred Eighty- One Dollars ($77,781.00), to a total of One Hundred Twenty-Eight Thousand Five Hundred Thirty Dollars ($128,530.00). The additional funds in Section 5.1.2 increase from Eleven Thousand, Six Hundred Sixty-Seven Dollars ($11,667.00) to Nineteen Thousand Two Hundred Eighty Dollars ($19,280.00), which is 15% of the second-year consideration. The new total contract not-to- exceed compensation amount is Two Hundred Sixty-Eight Thousand Five Hundred Twenty-One Dollars ($268,521.00). The increased funding is reallocated from Downtown Streets Team, which ceased operations on October 31, 2025, and relinquished the remainder of its Human Services Resource Allocation Process (HSRPA) contract (PO C26195134). NOW, THEREFORE, in consideration of the covenants, terms, conditions, and provisions of this Amendment, the Parties agree: SECTION 1. Definitions. The following definitions shall apply to this Amendment: a. Contract. The term “Contract” shall mean Contract No. C26195143 between CONSULTANT and CITY, dated July 1, 2025. Docusign Envelope ID: A0695A60-B37B-4D8A-A0CF-0DD39CA4B6EE Item 22 Attachment A - Peninsula Healthcare Connection HSRAP Contract C26195143 Amendment 1        Item 22: Staff Report Pg. 4  Packet Pg. 382 of 637  Vers.: Aug. 5, 2019 Page 2 of 10 b. Other Terms. Capitalized terms used and not defined in this Amendment shall have the meanings assigned to such terms in the Contract. SECTION 2. Section 5.1 “COMPENSATION” of the Contract is hereby amended to read as follows: In consideration of the full performance of this Contract, CITY will compensate CONSULTANT in the amount not-to-exceed Two Hundred Sixty-Eight Thousand Five Hundred Twenty-One Dollars ($268,521.00) as follows, all subject to the provisions of 17.12 of this Contract: SECTION 3. Section 5.1.1 “COMPENSATION” of the Contract is hereby amended to read as follows: In consideration of the full performance of the Basic Services in Exhibit “A” to this Contract, including any authorized reimbursable expense, CITY will pay CONSULTANT a fee not to exceed One Hundred Twenty Thousand Seven Hundred Eleven Dollars ($120,711.00) for the first contract year (City’s Fiscal Year “FY” 2026, July 1, 2025, through June 30, 2026) subject to Section 17.12 of this Contract. SECTION 4. Section 5.1.2 “COMPENSATION” of the Contract is hereby amended to read as follows: In consideration of the full performance of the Basic Services in Exhibit “A” to this Contract for the second contract year (FY 2027), including any authorized reimbursable expenses, CITY will pay CONSULTANT a fee not to exceed One Hundred Twenty-Eight Thousand Five Hundred Thirty Dollars ($128,530.00) subject to Section 17.12 of this Contract. At CITY’s sole option, City may authorize additional funds of up to Nineteen Thousand Two Hundred Eighty Dollars ($19,280.00), which is 15% of the second-year consideration, subject to Section 17.12, to be used for the purposes of providing additional Basic Services under this Contract consistent with the additional funds provided. SECTION 5. The following exhibits to the Contract are hereby amended, as indicated below, to read as set forth in the attachments to this Amendment, which are hereby incorporated in full into this Amendment and into the Contract by this reference: a. Exhibit “A” entitled “SCOPE OF PROGRAM SERVICES: AMENDMENT 1”, REPLACES PREVIOUS. Docusign Envelope ID: A0695A60-B37B-4D8A-A0CF-0DD39CA4B6EE Item 22 Attachment A - Peninsula Healthcare Connection HSRAP Contract C26195143 Amendment 1        Item 22: Staff Report Pg. 5  Packet Pg. 383 of 637  Vers.: Aug. 5, 2019 Page 3 of 10 b. Exhibit “B” entitled “CONTRACT BUDGET: AMENDMENT 1”, REPLACES PREVIOUS. c. Exhibit “D” entitled “PROGRAM POSITIONS/SALARIES: AMENDMENT 1”, REPLACES PREVIOUS. SECTION 6. Legal Effect. Except as modified by this Amendment, all other provisions of the Contract, including any exhibits thereto, shall remain in full force and effect. SECTION 7. Incorporation of Recitals. The recitals set forth above are terms of this Amendment and are fully incorporated herein by this reference. (SIGNATURE BLOCK FOLLOWS ON THE NEXT PAGE.) // // // // // // Docusign Envelope ID: A0695A60-B37B-4D8A-A0CF-0DD39CA4B6EE Item 22 Attachment A - Peninsula Healthcare Connection HSRAP Contract C26195143 Amendment 1        Item 22: Staff Report Pg. 6  Packet Pg. 384 of 637  Vers.: Aug. 5, 2019 Page 4 of 10 SIGNATURES OF THE PARTIES IN WITNESS WHEREOF, the Parties have by their duly authorized representatives executed this Amendment effective as of the date first above written. CITY OF PALO ALTO ____________________________ City Manager Date: APPROVED: ______________________________ Director of Community Services APPROVED AS TO CONTENT: ______________________________ Manager of Human Services Community Services Department APPROVED AS TO FORM: ______________________________ Deputy City Attorney PENINSULA HEALTHCARE CONNECTION By: Name: Title: Date: Attachments: EXHIBIT “A”: SCOPE OF PROGRAM SERVICES: AMENDMENT 1 EXHIBIT “B”: CONTRACT BUDGET: AMENDMENT 1 EXHIBIT “D”: PROGRAM POSITIONS/SALARIES: AMENDMENT 1 Docusign Envelope ID: A0695A60-B37B-4D8A-A0CF-0DD39CA4B6EE 11/21/2025 Eileen Richardson CEO and President Item 22 Attachment A - Peninsula Healthcare Connection HSRAP Contract C26195143 Amendment 1        Item 22: Staff Report Pg. 7  Packet Pg. 385 of 637  Vers.: Aug. 5, 2019 Page 5 of 10 EXHIBIT “A” Peninsula Healthcare Connection FY26-27 SCOPE OF PROGRAM SERVICES AMENDMENT 1 I PROGRAM SERVICES CONSULTANT shall provide Outreach Services, Mental Health/Wellbeing Support Groups, Health Education Workshops, Health Screenings, Street Medicine Visits, navigation services and Harm Reduction supply distribution to low-income and unhoused members of the community. CONSULTANT shall operate a food closet for the provision of nutritional support to low-income and unhoused individuals. II. CONSULTANT’S PROGRAM GOALS (per fiscal year) Goal 1: Improve Mental Health and Personal Wellbeing Strategies: • Facilitate group-based support and education for individuals experiencing mental health challenges. • Provide targeted mental health workshops to address specific stressors and coping mechanisms. • Increase access to mental health resources through direct outreach. Objectives: 1.1 Facilitate 8 monthly Seeking Safety groups to provide structured, evidence-based support. 1.2 Deliver 4 mental health workshops on topics such as stress relief, boundaries, and health beliefs. 1.3 Distribute mental health resource information cards to 114 community members. 1.4 50% of attendees will engage directly with the navigator to discuss the resources shared on the card, receiving personalized guidance on accessing services and navigating available support options Outcomes: • Participants in Seeking Safety groups will demonstrate increased coping skills, as measured by pre- and post-session surveys. • Community workshop attendees will report a better understanding of stress management strategies as measured by pre- and post-session surveys. Goal 2: Enhance Physical Health and Wellbeing Strategies: • Conduct preventive health screenings and education in accessible community locations. • Implement street medicine initiatives to serve the unhoused and at-risk individuals Docusign Envelope ID: A0695A60-B37B-4D8A-A0CF-0DD39CA4B6EE Item 22 Attachment A - Peninsula Healthcare Connection HSRAP Contract C26195143 Amendment 1        Item 22: Staff Report Pg. 8  Packet Pg. 386 of 637  Vers.: Aug. 5, 2019 Page 6 of 10 in their environment. • Distribute harm-reduction tools to reduce overdose risks and promote safety. Objectives: 2.1 Conduct 18 community blood pressure screening clinics. 2.2 Provide health education to at least 57 community members, with interactions lasting a minimum of 5 minutes. 2.3 Conduct 7 street medicine visits annually to directly serve unhoused individuals. 2.4 Distribute 76 units of Narcan and 76 units of fentanyl test strips to community members and partners. Outcomes: • Increased awareness and education about blood pressure resources, as measured by the number of individuals who visit the clinic for blood pressure management following street medicine interactions and referrals. • Participants will be trained on the proper use of Narcan and will demonstrate their ability to administer it effectively. Additionally, they will be asked to report to clinic staff the number of overdoses they have helped prevent using Narcan. • Group participants receiving health education will gain tools and training to identify at least one actionable step to improve their physical health. Goal 3: Increase Healthcare Accessibility and Access Strategies: • Conduct direct outreach to connect vulnerable individuals with health resources and hygiene supplies. • Offer drop-in support for public benefit enrollments and healthcare navigation at resource centers. • Empower individuals to make and attend healthcare appointments. • Ensure the KKRC Resource Center maintains accessible hours for drop-in enrollment in CalFresh, Medi-Cal, VISPDAT surveys, and other community resources. • Equip staff to assist with making healthcare appointments and provide educational resources to patients. Objectives: 3.1 Conduct outreach to 114 vulnerable individuals, providing clinic information, hygiene kits, and other necessary supplies. 3.2 At least 11 outreach clients will be linked to care services through a navigator, reflecting the intensive time investment required to provide individualized navigation. 3.3 At least 38 community support referrals will be provided during drop-in hours, tracked through the referral log. Outcomes: • Participants utilizing healthcare navigation services will report accessing at least one service. • These strategies will reduce systemic barriers and improve healthcare access for underserved clients by meeting them where they are, building trust, and providing Docusign Envelope ID: A0695A60-B37B-4D8A-A0CF-0DD39CA4B6EE Item 22 Attachment A - Peninsula Healthcare Connection HSRAP Contract C26195143 Amendment 1        Item 22: Staff Report Pg. 9  Packet Pg. 387 of 637  Vers.: Aug. 5, 2019 Page 7 of 10 personalized support—ultimately leading to better health outcomes and increased self- sufficiency. Goal 4: Sustain and strengthen the Food Closet as a vital access point for essential nutrition and basic needs. Strategy: Maintain reliable weekly food distribution, leveraging Peninsula Healthcare Connection’s administrative infrastructure to ensure consistent operations, inventory management, and coordination with volunteers and community partners. Objectives: 4.1 Serve approximately 900 unduplicated client visits. 4.2 Track and report both duplicated and unduplicated counts once full-year data are available through Peninsula Healthcare Connection’s intake system, to confirm service outreach and trends. 4.3 Maintain a 95% service continuity rate (no unplanned closures) through proactive supply management of essentials such as food bags, gloves, and sanitation items. 4.4 Conduct quarterly inventory and safety audits to ensure compliance with health standards and operational efficiency. Outcomes: The Food Closet continues operating as a central, trusted resource addressing food insecurity for low-income and unhoused community members while connecting them to Peninsula Healthcare Connection healthcare and housing support services. Goal 5: Employ and empower a staff member with lived experience to manage Food Closet operations and build community connection. Strategy: Retain and support one part-time staff member with lived experience of homelessness or food insecurity to manage day-to-day Food Closet operations, ensuring consistent service, authentic engagement, and a trusted presence for clients. Objectives: 5.1 Employ a part-time (20 hrs/week) Food Closet Coordinator with lived experience to manage operations, supervise volunteers, and interface with Peninsula Healthcare Connection staff. 5.2 Provide ongoing supervision and training through PHC’s management team, with biannual professional development check-ins. 5.3 Recruit and retain at least 8–10 active volunteers per quarter to assist with distribution, setup, and inventory. 5.4 Develop a simple volunteer tracking log to capture engagement hours and retention. Outcomes: By centering lived experience, the Food Closet strengthens community trust, dignity, and workforce inclusion, while ensuring consistent, empathetic service delivery. Goal 6: Integrate “Food as Medicine” within Peninsula Healthcare Connection’s holistic care model. Strategy: Collaborate across PHC’s clinic, outreach, and case management teams to make food distribution an intentional part of care coordination and client stabilization. Docusign Envelope ID: A0695A60-B37B-4D8A-A0CF-0DD39CA4B6EE Item 22 Attachment A - Peninsula Healthcare Connection HSRAP Contract C26195143 Amendment 1        Item 22: Staff Report Pg. 10  Packet Pg. 388 of 637  Vers.: Aug. 5, 2019 Page 8 of 10 Objectives: 6.1 Establish a referral system linking PHC healthcare and outreach staff with Food Closet services by March 2026. 6.2 Pilot at least one partnership (e.g., with a shelter, clinic, or community nutrition program) to connect food access to health outcomes by June 2026. 6.3 Track client referrals and follow-ups quarterly to assess when Food Closet access contributes to improved health stability or reduced emergency service utilization. 6.4 Document three case studies annually highlighting how nutritional support has enhanced client wellbeing and engagement in care. Outcomes: By aligning food distribution with PHC’s healthcare services, the Food Closet advances PHC’s person-centered care model, addressing nutrition, housing, and health as interconnected pathways to stability and recovery. III. CONSULTANT’S DELIVERABLES CONSULTANT shall provide semiannual activity reports relating to this Scope of Program Services for the periods ending December 31, 2025, June 30, 2026, December 31, 2026, and June 30, 2027, within thirty days after these dates. Each report shall cover the preceding six months and other such information as the Program Manager may request. The final report shall focus on the preceding six months and also shall provide information on contract services for the entire year. Each report shall be prepared in the form agreed upon by the Program Manager and the CONSULTANT. As part of its responsibilities under this Scope of Services, CONSULTANT is expected to participate in surveys, assessments, and other information-gathering activities as requested by the CITY, for the purpose of identifying and understanding client and organizational needs in Palo Alto. IV TIME SCHEDULE Services shall run through the term of this Contract. Docusign Envelope ID: A0695A60-B37B-4D8A-A0CF-0DD39CA4B6EE Item 22 Attachment A - Peninsula Healthcare Connection HSRAP Contract C26195143 Amendment 1        Item 22: Staff Report Pg. 11  Packet Pg. 389 of 637  Vers.: Aug. 5, 2019 Page 9 of 10 EXHIBIT “B” Peninsula Healthcare Connection FY2026-27 CONTRACT BUDGET AMENDMENT 1 Salaries $70,710.00 (computer hardware/software) TOTAL CONTRACT BUDGET $120,711.00 Docusign Envelope ID: A0695A60-B37B-4D8A-A0CF-0DD39CA4B6EE Item 22 Attachment A - Peninsula Healthcare Connection HSRAP Contract C26195143 Amendment 1        Item 22: Staff Report Pg. 12  Packet Pg. 390 of 637  Vers.: Aug. 5, 2019 Page 10 of 10 EXHIBIT “D” Peninsula Healthcare Connection PROGRAM POSITIONS/SALARIES AMENDMENT 1 Program or Administrative Position Physical and Mental Health Salaries (per fiscal year) Food Closet Salaries (per fiscal year) TOTAL $70,710.00 $38,013.00 Docusign Envelope ID: A0695A60-B37B-4D8A-A0CF-0DD39CA4B6EE Item 22 Attachment A - Peninsula Healthcare Connection HSRAP Contract C26195143 Amendment 1        Item 22: Staff Report Pg. 13  Packet Pg. 391 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Community Services Meeting Date: December 15, 2025 Report #:2511-5423 TITLE Approval of Amendment No. 2 to Contract S20176706 with FolgerGraphics, Inc. to Reduce the Scope of Services for Professional Printing and Distribution Services of the Enjoy! Activity Guide through March 2026; CEQA Status – not a project. RECOMMENDATION Staff recommends the City Council approve and authorize the City Manager or their designee to execute Amendment No. 2 to Contract S20176706 with FolgerGraphics, Inc. (Attachment A) to reduce the scope of services to align with budgetary reductions for the department. BACKGROUND The Enjoy! Activity Guide that is produced by the Community Services Department (CSD) provides the community with information about class and program offerings, special events, facility rental information, locations and features of parks and open space preserves throughout the City, as well as information on programming for other City departments (for example, Library) and community partners. FolgerGraphics has printed roughly 160,000 Enjoy! Activity Guides per year (40,000 prints of four activity guides) and prepares the activity guide for mail distribution and delivers the copies to the Post Office. In the Fiscal Year 2026 revised budget action1, the Council directed staff to pinpoint areas where we could reduce our budget without significantly affecting services provided. The scope reduction for the contract will eliminate mailing and cut down the number of catalogs printed to roughly 1,000 copies per season (instead of 40,000). The Enjoy! Activity Guide will continue to be posted on our website in a digital, flip-through version, for the community to view in advance of registration. An expansion of on-call services for possible printing needs to support the Cubberley Master Planning efforts for the department is being added. 1 City Council, September 8, 2025; Agenda Item #18; SR #2506-4818, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=83564 Item 23 Item 23 Staff Report        Item 23: Staff Report Pg. 1  Packet Pg. 392 of 637  ANALYSIS FISCAL/RESOURCE IMPACT Item 23 Item 23 Staff Report        Item 23: Staff Report Pg. 2  Packet Pg. 393 of 637  Guide in future years. Funding for future years will be subject to Council’s adoption of future budgets, and if necessary, requests for additional funding in alignment with escalating contract costs will be brought forward as a part of the City’s annual budget development process. STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 23 Item 23 Staff Report        Item 23: Staff Report Pg. 3  Packet Pg. 394 of 637  Vers.: Aug. 5, 2019 Page 1 of 6 AMENDMENT NO. 2 TO CONTRACT NO. S20176706 BETWEEN THE CITY OF PALO ALTO AND FOLGERSGRAPHICS INC. This Amendment No. 2 (this “Amendment”) to Contract No. S20176706 (the “Contract” as defined below) is entered into as of December 8, 2025, by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and FOLGERSGRAPHICS INC., a California Corporation, located at 21093 Forbes Avenue, Hayward, CA 94545 (“CONTRACTOR”). CITY and CONTRACTOR are referred to collectively as the “Parties” in this Amendment. R E C I T A L S A. The Contract (as defined below) was entered into by and between the Parties hereto for the provision of providing printing and distribution of four (4) issues annually of the Enjoy Catalog for the Community Services Department, as detailed therein. B. The Parties now wish to amend the Contract in order to revise the scope, as detailed herein. NOW, THEREFORE, in consideration of the covenants, terms, conditions, and provisions of this Amendment, the Parties agree: SECTION 1. Definitions. The following definitions shall apply to this Amendment: a. Contract. The term “Contract” shall mean Contract No. S20176706 between CONSULTANT and CITY, dated March 16, 2020, as amended by: Amendment No.1, dated March 27, 2023 b. Other Terms. Capitalized terms used and not defined in this Amendment shall have the meanings assigned to such terms in the Contract. SECTION 3. The following exhibit(s) to the Contract is/are hereby amended or added, as indicated below, to read as set forth in the attachment(s) to this Amendment, which is/are hereby incorporated in full into this Amendment and into the Contract by this reference: a. Exhibit “A” entitled “SCOPE OF SERVICES, AMENDMENT NO. 2”, AMENDED, REPLACES PREVIOUS. b. Exhibit “C” entitled “SCHEDULE OF FEES, AMENDMENT NO. 2”, ADDED / AMENDED, REPLACES PREVIOUS. Docusign Envelope ID: 4B29CB82-D118-4306-8561-4DB9CF33E94D Item 23 Attachment A - Folger Graphics, LLC. Contract S20176706, Amendment 2        Item 23: Staff Report Pg. 4  Packet Pg. 395 of 637  Vers.: Aug. 5, 2019 Page 2 of 6 SECTION 4. Legal Effect. Except as modified by this Amendment, all other provisions of the Contract, including any exhibits thereto, shall remain in full force and effect. SECTION 5. Incorporation of Recitals. The recitals set forth above are terms of this Amendment and are fully incorporated herein by this reference. (SIGNATURE BLOCK FOLLOWS ON THE NEXT PAGE.) Docusign Envelope ID: 4B29CB82-D118-4306-8561-4DB9CF33E94D Item 23 Attachment A - Folger Graphics, LLC. Contract S20176706, Amendment 2        Item 23: Staff Report Pg. 5  Packet Pg. 396 of 637  Vers.: Aug. 5, 2019 Page 3 of 6 SIGNATURES OF THE PARTIES IN WITNESS WHEREOF, the Parties have by their duly authorized representatives executed this Amendment effective as of the date first above written. CITY OF PALO ALTO City Manager APPROVED AS TO FORM: City Attorney or designee FOLGERSGRAPHICS INC. Officer 1 By: Name: Title: Officer 2 By: Name: Attachments: Exhibit “A” entitled “SCOPE OF SERVICES, AMENDMENT NO. 2”, AMENDED, REPLACES PREVIOUS. Exhibit “C” entitled “SCHEDULE OF FEES, AMENDMENT NO. 2”, ADDED / AMENDED, REPLACES PREVIOUS. Docusign Envelope ID: 4B29CB82-D118-4306-8561-4DB9CF33E94D Kirk Folger VP of Sales Tom Jansen General Manager Item 23 Attachment A - Folger Graphics, LLC. Contract S20176706, Amendment 2        Item 23: Staff Report Pg. 6  Packet Pg. 397 of 637  Vers.: Aug. 5, 2019 Page 4 of 6 EXHIBIT A SCOPE OF SERVICES, AMENDMENT NO. 2 (AMENDED, REPLACES PREVIOUS) SCOPE OF SERVICES CONTRACTOR shall provide printing and distribution of four (4) issues annually of the Enjoy Catalog for the Community Services Department. 1. Scope of Services 1.1. Printing quality must be sharp and clear, centered and level on page, consistent ink coverage, etc. 1.2. Printer is to receive camera-ready art and deliver approximately 1,000 (1,500 for the summer catalog) printed catalogs to the Palo Alto Community Services Department at Lucie Stern Community Center (1305 Middlefield Rd, Palo Alto, CA 94301) on the agreed upon date for each season 1.3. Sample production schedule for the remainder of 2025-2026: Summer Camp 2026 Spring 2026 All copy due in Recreation Management November 12 December 18 2. ENJOY CATALOG: 2.1. QUANTITY: 2.1.1. FALL, WINTER, SPRING ISSUES: APPROXIMATELY 1,000 COPIES OF EACH ISSUE. 2.1.2. SUMMER CAMPS: APPROXIMATELY 1,500 COPIES OF EACH ISSUE. 2.2. PAGE COUNT: APPROXIMATELY 64 PAGES 2.3. COVER: 4CP + GAQ THROUGHOUT, 80# GLOSS BOOK 2.4. FINISH/ASSEMBLY: FOLD, STITCH AND TRIM, STRING TIE, SKID PACK. SORT 2.5. FINISH DIMENSIONS: 8.25” X 10.75” 2.6. INKS: CMKY COVER AND INSIDE; BLEEDS 2.7. DELIVERY: 1,000 CATALOGS (1,500 FOR THE SUMMER CATALOGS) DELIVERED TO COMMUNITY SERVICES ADMIN (PALO ALTO) 3. ADDITIONAL PRINTING PROJECTS Docusign Envelope ID: 4B29CB82-D118-4306-8561-4DB9CF33E94D Item 23 Attachment A - Folger Graphics, LLC. Contract S20176706, Amendment 2        Item 23: Staff Report Pg. 7  Packet Pg. 398 of 637  Vers.: Aug. 5, 2019 Page 5 of 6 3.1. Contractor will have the capability to provide printing services including, but not limited to, the following: 3.1.1. Full-color digital printing and/or photocopying (various sizes, weights, media, image types, duplexing, and finishes). 3.1.2. Ability to prepare and package additional printing projects to be Every Door Direct Mail (EDDM) ready for delivery to United States Post Office (USPS) in East Palo Alto (2085 E. Bayshore Road, East Palo Alto, CA 94303) for delivery to specified Palo Alto zip codes: 94301, 94303, 94304, and 94306. The balance of any additional printed material, if any, is to be delivered to Palo Alto Community Services Department at Lucie Stern Community Center (1305 Middlefield Road, Palo Alto, CA 94301) on the same date. Docusign Envelope ID: 4B29CB82-D118-4306-8561-4DB9CF33E94D Item 23 Attachment A - Folger Graphics, LLC. Contract S20176706, Amendment 2        Item 23: Staff Report Pg. 8  Packet Pg. 399 of 637  Vers.: Aug. 5, 2019 Page 6 of 6 EXHIBIT C SCHEDULE OF FEES, AMENDMENT NO. 2 (ADDED, REPLACES PREVIOUS) Catalog Season: November 12, 2025 – March 15, 2026 | 64+Cover 35# Electrobite (80) Printing Services Quantity Printed Unit of Measure Unit Pricing - *Actual pricing will be provided at time of order and based on actual quantity. Unit pricing will remain constant. Total item price will be provided at time of order and based on actual quantity and applicable sales tax. The City does not guarantee a minimum or maximum order quantity. Docusign Envelope ID: 4B29CB82-D118-4306-8561-4DB9CF33E94D Item 23 Attachment A - Folger Graphics, LLC. Contract S20176706, Amendment 2        Item 23: Staff Report Pg. 9  Packet Pg. 400 of 637  Certificate Of Completion Envelope Id: 4B29CB82-D118-4306-8561-4DB9CF33E94D Status: Completed Subject: Complete with Docusign: Final AMEND No.2 Folgers (S20176706).pdf Source Envelope: Document Pages: 6 Signatures: 2 Envelope Originator: Certificate Pages: 2 Initials: 0 Alice Harrison AutoNav: Enabled EnvelopeId Stamping: Enabled Time Zone: (UTC-08:00) Pacific Time (US & Canada) 250 Hamilton Ave Palo Alto , CA 94301 alice.harrison@paloalto.gov IP Address: 136.226.64.118 Record Tracking Status: Original 11/20/2025 4:12:04 PM Holder: Alice Harrison alice.harrison@paloalto.gov Location: DocuSign Security Appliance Status: Connected Pool: StateLocal Storage Appliance Status: Connected Pool: City of Palo Alto Location: Docusign Signer Events Signature Timestamp Kirk Folger kirkfolger@folgergraphics.com VP of Sales FolgerGraphics, Inc. Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 50.201.23.86 Sent: 11/20/2025 4:17:41 PM Viewed: 11/20/2025 6:05:37 PM Signed: 11/20/2025 6:06:06 PM Electronic Record and Signature Disclosure: Not Offered via Docusign Tom Jansen tom@folgergraphics.com General Manager Security Level: Email, Account Authentication (None)Signature Adoption: Pre-selected Style Using IP Address: 50.201.23.86 Sent: 11/20/2025 6:06:07 PM Viewed: 11/21/2025 6:47:53 AM Signed: 11/21/2025 6:48:44 AM Electronic Record and Signature Disclosure: Not Offered via Docusign In Person Signer Events Signature Timestamp Editor Delivery Events Status Timestamp Agent Delivery Events Status Timestamp Intermediary Delivery Events Status Timestamp Certified Delivery Events Status Timestamp Carbon Copy Events Status Timestamp Cayla Koga cayla.koga@paloalto.gov Administrative Assistant City of Palo Alto Security Level: Email, Account Authentication (None) Sent: 11/21/2025 6:48:45 AM Electronic Record and Signature Disclosure: Not Offered via Docusign Item 23 Attachment A - Folger Graphics, LLC. Contract S20176706, Amendment 2        Item 23: Staff Report Pg. 10  Packet Pg. 401 of 637  Witness Events Signature Timestamp Notary Events Signature Timestamp Envelope Summary Events Status Timestamps Envelope Sent Hashed/Encrypted 11/20/2025 4:17:41 PM Certified Delivered Security Checked 11/21/2025 6:47:53 AM Signing Complete Security Checked 11/21/2025 6:48:44 AM Completed Security Checked 11/21/2025 6:48:45 AM Payment Events Status Timestamps Item 23 Attachment A - Folger Graphics, LLC. Contract S20176706, Amendment 2        Item 23: Staff Report Pg. 11  Packet Pg. 402 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Planning and Development Services Meeting Date: December 15, 2025 Report #:2511-5561 TITLE Adoption of an Ordinance Amending the Fiscal Year 2026 Municipal Fee Schedule to Implement Technical Corrections. CEQA Status: Not a Project RECOMMENDATION Staff recommends that the City Council adopt an ordinance amending the Fiscal Year 2026 Municipal Fee Schedule to reflect the following technical corrections: 1) Implementing Council-directed subsidies for Day Care Centers, 2) Reinstating authority to the Chief Building Official to establish alternative fee arrangements for appropriate Development Services permits, 3) Reinstating the Noise Exception permit, and 4) Amending the title of the Building Demolition Permit to Demolition Permit. BACKGROUND As part of the adoption of the FY 2026 Operating Budget, the City Council voted to adopt the municipal fee schedule, which brought FY 2026 fees for services into alignment with a fee study presented to the Finance Committee on March 4, 2025. However, the Finance Committee recommended that the City continue to subsidize the cost of a conditional use permit for Day Care Centers as well as certain sustainability programs. These were not reflected in the final fee schedule as adopted. Additionally, a few sections were inadvertently omitted that need correction. ANALYSIS The recommended action of this report brings the FY 2026 Municipal Fee Schedule into alignment with the Finance Committee’s recommendation regarding Day Care Centers. Staff anticipate returning to the Finance Committee in early 2026 to further discuss subsidies for activities that support sustainability initiatives. This report also recommends reinstating, and slightly broadening, language that appeared in previous fee schedules related to alternative fee arrangements that was inadvertently excluded in the adopted resolution. Item 24 Item 24 Staff Report        Item 24: Staff Report Pg. 1  Packet Pg. 403 of 637  Day Care Center Subsidy Day Care Centers require a conditional use permit and this permit cost was subsidized in previous years. The Finance Committee unanimously recommended continuation of this subsidy in the FY 2026 Municipal Fee schedule as part of its March 4, 2025, discussion. The subsidy was inadvertently omitted from the final schedule of fee changes for FY 2026. Table 1 shows the FY 2025 Fee for Day Care Use Centers as well as its actual cost to the City along with the current and revised FY 2026 fees for this Conditional Use Permit. Fee Title Category FY 2025 Fee*Actual Cost FY 2025 Cost Recovery %FY 2026 Fee Cost Recovery Level to Apply Revised FY 2026 Fee Day Care Center Conditional Use Permit $218.59 $ 8,429.94 2.6% $ 9,280 2.6% $241 As seen in Table 1, if the FY 2025 subsidy was applied to the current FY 2026 Municipal Fee, it would generate a new fee of $241 representing a subsidy (discount) of $9,039 or 97.4% of the total cost. This supports the Finance Committee’s recommendation to continue subsidizing this important aspect of community development. Although this is a substantial subsidy, this subsidy would not have significant impacts on the department’s cost recovery levels based on the average annual volume of applications. As part of the Planning and Development Fee Services study, a new fee model was proposed and adopted for building permits. These costs are largely based on the construction value (cost) of the project for commercial or multi-family projects, and on square footage for residential projects, and stand-alone fees are applied for miscellaneous permits. Construction value and square footage are used in commercial and residential costing since they each represent proximate indicators for the complexity of the project. Previous fiscal years’ fee schedules included additional language for building permit fees that conferred authority to the Chief Building Official to establish alternative fee arrangements. They previously stated: “...if project is out of scope from a traditional building structure and/or additional services are required then an alternative fee arrangement may be established by the Chief Building Official to achieve cost recovery.” This language was inadvertently omitted when the list of proposed FY 2026 Municipal Fees was presented to City Council for adoption. Although construction value is an industry standard for determining building permit fees, indicating the approximate complexity of the project and thereby time needed to review, there are instances when an alternative fee arrangement would be warranted. For example, when a permit fee exceeds the project construction cost, or the provided construction cost valuation Item 24 Item 24 Staff Report        Item 24: Staff Report Pg. 2  Packet Pg. 404 of 637  disproportionately creates an unreasonable permit fee for a project scope, an alternative fee arrangement could be used. Technical Clean-Up Actions FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT Item 24 Item 24 Staff Report        Item 24: Staff Report Pg. 3  Packet Pg. 405 of 637  referenced in CMR 2501-4019.1 No additional stakeholder engagement was conducted for this report since it aligns FY 2026 Municipal Fees with previous feedback and intent and implements technical corrections. ENVIRONMENTAL REVIEW Council action on this item is not a project as defined by the California Environmental Quality Act (CEQA) because the proposed amendment to the 2026 Municipal Fee Schedule is a government funding mechanism which does not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment. CEQA Guidelines section 15378(b)(4). ATTACHMENTS Attachment A: Ordinance Amending the FY 2026 Municipal Fee Schedule to Update Fees for Service in the Planning and Development Services Department APPROVED BY: Jonathan Lait, Planning and Development Services Director 1 https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=64766 Item 24 Item 24 Staff Report        Item 24: Staff Report Pg. 4  Packet Pg. 406 of 637  ***NOT YET APPROVED*** 1 0160153_kb_20251125_ay Ordinance No. _____ Ordinance of the Council of the City of Palo Alto Amending the Fiscal Year 2026 Municipal Fee Schedule to Update Fees for Service in the Planning and Development Services Department The Council of the City of Palo Alto ORDAINS as follows: SECTION 1. Findings and Declarations. The City Council finds and declares as follows: A. The Department of Planning and Development Services charges user fees to applicants requesting planning entitlements and related services. B. On June 16, 2025, the City Council adopted the Fiscal Year 2026 Municipal Fee Schedule, reflecting updated fees for the Planning and Development Services Department. C. The City of Palo Alto has an interest in encouraging day care uses; this interest was inadvertently not reflected in the Adopted FY 2026 Municipal Fee Schedule. D. The Adopted FY 2026 Municipal Fee Schedule also inadvertently omitted a provision for alternative fee arrangements and the fee for a noise exception permit. E. The City now desires to amend the FY 2026 Municipal Fee Schedule. F. In accordance with the provisions of Chapter 8 of Division 1, of Title 7, commencing with Section 66016 of the Government Code, as applicable, the Council did on December 15, 2025, hold an open and public meeting on the proposed amendments to the Municipal Fee Schedule, after publication of notice and after availability of the data supporting the amendments was made available to the public at least 10 days prior to the hearing. G. Fees in the Municipal Fee Schedule are for government services provided directly to the payor that are not provided to those not charged. The amount of this fee does not exceed the reasonable costs to the City of providing the services. Consequently, pursuant to Art. XIII C, Section l(e)(2), such fees are not a tax. H. The amount of new or increased fees and charges is no more than necessary to cover the reasonable costs of the governmental activity, and the manner in which those costs are allocated to a payer bears a fair and reasonable relationship to the payer's burden on, or benefits received from, the governmental activity. SECTION 2. The Council of the City of Palo Alto amends the Fiscal Year 2026 Municipal Fee Schedule by adopting service fees for the Planning and Development Services Department as set forth in Exhibit “A” and incorporated here by reference to reflect its interest in encouraging day care uses. Item 24 Attachment A - Ordinance Amending the FY 2026 Municipal Fee Schedule to Update Fees for Service in the Planning and Development Services Department        Item 24: Staff Report Pg. 5  Packet Pg. 407 of 637  ***NOT YET APPROVED*** 2 0160153_kb_20251125_ay SECTION 3. The Council finds that this ordinance is not a “project” under CEQA because it has no potential for resulting in either a direct or reasonably foreseeable indirect change in the environment. SECTION 4. This ordinance shall be effective upon adoption as an amendment to the City’s Fiscal Year 2026 budget. Pursuant to Government Code Section 66017, all Planning and Development Services Department fees relating to a “development project,” as defined in Government Code Section 66000, shall become effective no sooner than sixty (60) days from the date of adoption. INTRODUCED and PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: ____________________________ ____________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: ____________________________ ____________________________ Assistant City Attorney City Manager ____________________________ Director of Planning and Development Services Item 24 Attachment A - Ordinance Amending the FY 2026 Municipal Fee Schedule to Update Fees for Service in the Planning and Development Services Department        Item 24: Staff Report Pg. 6  Packet Pg. 408 of 637  ***NOT YET APPROVED*** 3 0160153_kb_20251125_ay Attachment A Fee Category and Fee Title FY 2026 Cost ($) Unit Note: Building Permit Fees and/or additional services are required, then an alternative fee arrangement may be established by the Chief Building Official to achieve cost recovery. This exception may apply in cases when construction valuation (commercial), square footage (residential), Construction and Demolition Use Permit Item 24 Attachment A - Ordinance Amending the FY 2026 Municipal Fee Schedule to Update Fees for Service in the Planning and Development Services Department        Item 24: Staff Report Pg. 7  Packet Pg. 409 of 637  City Council Staff Report From: City Manager Report Type: ACTION ITEM Lead Department: Planning and Development Services Meeting Date: December 15, 2025 Report #:2510-5334 TITLE PUBLIC HEARING/QUASI-JUDICIAL. 1680 Bryant Street [25PLN-00204]. Approval of a Record of Land Use Action to Reclassify the Historic Building Located at 1680 Bryant Street From a Category 2 Resource on the Local Historic Inventory to a Category 3 Resource. RECOMMENDATION Staff recommends that City Council approve the Record of Land Use Action (Attachment B) reclassifying the building at 1680 Bryant Street from a Category 2 resource to a Category 3 resource on the Palo Alto Historic Resources Inventory. Note: This recommendation differs from the Historic Resource Board’s recommendation to retain the Category 2 listing by a 3-1-1 vote. BACKGROUND The residence at 1680 Bryant Street was originally the northern half of a larger two-story home constructed in 1914 for the Haehl family, as detailed in Attachment C. The original structure featured an H-shaped configuration with a one-story connecting wing and included a detached garage on the site. Designed by Berkeley-based architect John Hudson Thomas, the residence exemplified the Prairie architectural style with Secessionist detailing. The unified structure was oriented toward Lowell Avenue and originally carried the address 275 Lowell Avenue. In 1946, the property was subdivided into two parcels, and the one-story connector between the two two-story volumes was demolished, resulting in two separate residences. Despite this demolition, the subject property was added to the local historic register in 1979, in association with 275 Lowell Avenue, as a Category 2 historic resource based on its architectural significance. The historic resource inventory form described the paired residences at 1680 Bryant Street and 275 Lowell Avenue as “a superb example, even in its mutilated state, of Thomas’ ability to fuse Prairie Style, Secessionist, Craftsman, and Pueblo Revival architectural expressions,” further noting the design as “a milestone…in the career of an important Bay Area designer, John Hudson Thomas.” Item 25 Item 25 Staff Report        Item 25: Staff Report Pg. 1  Packet Pg. 410 of 637  In the decades following subdivision—and eighteen years after the property’s inclusion in the historic resources inventory—the associated structure at 275 Lowell Avenue was demolished and replaced with the current building on that site. As a result, the residence at 1680 Bryant Street is no longer contextually linked to the structure with which it was originally designed and evaluated. Historic Resources Board Review 1 At the hearing, a majority of the HRB cited concerns that a downgrade would exempt the property from historic review and demolition delay requirements per Palo Alto Municipal Code (PAMC) Chapter 16.49. Some members noted that approving such a request would reduce protections for the property since only Categories 1 and 2, or structures within a historic district, are subject to review procedures in PAMC Chapter 16.49. One HRB member suggested that, while there are no project plans submitted for the property, once the owner comes forward with a proposal, the City should help find a solution that fits what they want while still maintaining the historic structure. It was further noted that offering more incentives to historic properties such as the Mills Act could help with local preservation efforts. The HRB voted 3-1-1 (Board member Eagleston-Cieslewicz dissenting and board member Pease absent) to recommend that the existing Category 2 designation remain. Eagleston-Cieslewicz noted that while not enthusiastic about the downgrade, it was technically necessary since the current structure is fragmented and has strayed too far from the original design. ANALYSIS Although the HRB voted to retain the property’s Category 2 designation, its rationale was based on concerns that the property would otherwise lose historic preservation protections, such as demolition delay requirements, and on a belief that incentives for historic properties are currently insufficient. However, this perspective and recommendation overlook the actual criteria required for a Category 2 designation. Category 2 resources must retain their original character, with only limited exterior modifications permitted. While this category allows certain exterior alterations, such as removal of the one-story connector between the subject property and 275 Lowell Avenue, it nonetheless requires that the property’s original character remain largely intact. When 275 Lowell Avenue was demolished in 1997, half of the original architectural composition that supported the property’s Category 2 status was removed, rendering the subject property no longer eligible for a Category 2 designation.2 1 Link to October 9, 2025 HRB staff report with consultant assessment and inventory form: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=16687 2 Definitions for various historic resource categories is available online: https://codelibrary.amlegal.com/codes/paloalto/latest/paloalto_ca/0-0-0-74426 Item 25 Item 25 Staff Report        Item 25: Staff Report Pg. 2  Packet Pg. 411 of 637  By contrast, staff’s recommended Category 3 designation more accurately reflects the current condition and historical context of the property. Category 3 is intended for buildings that serve as good local examples of an architectural style and that contribute to the character of a Item 25 Item 25 Staff Report        Item 25: Staff Report Pg. 3  Packet Pg. 412 of 637  neighborhood through scale, materials, proportion, or related factors. This category also encompasses contributing buildings that have experienced extensive or permanent changes to their original design, such as inappropriate additions, removal of architectural details, or resurfacing of façades. These criteria align more closely with the property’s history and ensure that it remains listed on the City’s inventory. POLICY IMPLICATIONS Communities that preserve historic resources foster a strong sense of place, shared identity, and civic pride. Robust preservation efforts also contribute to economic development and environmental sustainability by encouraging rehabilitation and reducing construction waste. Although designated historic resources receive certain zoning and building code incentives, these benefits may be less meaningful to homeowners who have already made substantial improvements or who simply intend to maintain their properties. If the City wishes to strengthen protections or expand incentives for historic resources, the City Council may direct staff to explore such options. However, maintaining a resource in a designation category that does not align with the plain meaning of the City’s historic resource criteria is not a recommended approach to effective preservation policy. FISCAL/RESOURCE IMPACT PUBLIC COMMENT ENVIRONMENTAL REVIEW Maintenance of historic designation of a property or reclassification of historic designation of a property is not a project under the California Environmental Quality Act and CEQA Guidelines Item 25 Item 25 Staff Report        Item 25: Staff Report Pg. 4  Packet Pg. 413 of 637  Section 21065 because it will not cause a direct change to the physical environment nor a reasonably foreseeable indirect physical change in the environment. ATTACHMENTS APPROVED BY: Item 25 Item 25 Staff Report        Item 25: Staff Report Pg. 5  Packet Pg. 414 of 637  95.0' 50.0' 5.0' 175.0'50.0' 125.0' 50.0' 125.0' 150.0' 76.0' 150.0' 76.0' .'50.0' 60.0' 150.0'150.0' 90.0' 150.0' 90.0' 10 110.0' 65.0' 175.0' 65.0' 175.0' 150.0' 150.0' 149.0' 106.0' 57.0' 44.0' 92.0' 50.0' 43.0' 44.0' 57.0' 94.0' 100.0' 150.0' 75.0' 150.0' 75.0' 100.0' 200.0' 90.0' 150.0' 120.0'150.0' 120.0' 150.0' 150.0' 80.0' 200.0' 600 1650 1680 315 301 1628 275 271 249 25 280 290 290A LOWELL AVENUE BRYANT STREET This map is a product of the City of Palo Alto GIS This document is a graphic representation only of best available sources. Legend Project Site 0' 57' Attachment A Location Map CITY OF PALO ALTO I NC O R P O R A TE D CALI FORNIA P a l o A l t o T h e C i t y o f APRI L 1 6 189 4 The City of Palo Alto assumes no responsibility for any errors ©1989 to 2016 City of Palo Alto sswitze, 2025-09-24 08:52:34 (\\cc-maps\Encompass\Admin\Personal\Planning.mdb) Item 25 Attachment A - Location Map        Item 25: Staff Report Pg. 6  Packet Pg. 415 of 637  Page 1 of 2 APPROVAL NO. 2024-____ On November 17, 2025, the Council held a duly noticed public hearing and, after considering all of the evidence presented, approved the property owner’s request to reclassify the commercial building at 1680 Bryant Street, currently a Local Category 2 Historic Resource. The Council approved the staff recommendation to reclassify to a Category 3 Historic Resource on the City of Palo Alto Historic Resources Inventory. In approving the application, the Council makes the following findings, determination, and declarations: SECTION 1. Background. A.On July 25, 2025, with the owner’s request and funding, staff obtained a historic resource evaluation from the City’s consultant, Page & Turnbull. The historic resource evaluation concluded that the property does not meet the criteria for a Category 2 resource but retains sufficient integrity and significance to be classified as a Category 3 resource under local criteria 2, 5, and 6. Criterion 2 (The structure or is particularly representative of an architectural style or way of life important to the city, state or nation): The residence is a locally rare example of the Prairie style, a design movement more commonly associated with the Midwest and rarely executed in Palo Alto. Its asymmetrical massing, low-pitched hipped roof with broad eaves, and applied Secessionist motifs speak to an architectural vocabulary that is unusual and sophisticated within the regional context. As such, the structure is particularly representative of a stylistic expression that is extremely rare at the local level. Criterion 5 (The architect or building was important): The building was designed by John Hudson Thomas, a notable Berkeley-based architect whose work played a formative role in shaping the eclectic architectural character of the Bay Area. Thomas is particularly known for his fusion of Prairie, Arts & Crafts, and Secessionist design vocabularies. Although most of his known works are concentrated in the East Bay, this residence is one of two known Thomas commissions in Palo Alto, underscoring its architectural significance and satisfying this criterion. Criterion 6 (The structure or site contains elements demonstrating outstanding attention to architectural design, detail, materials or craftsmanship): Despite alterations, the residence at 1680 Bryant Street retains exceptional design features that reflect a high level of architectural detailing and craftsmanship. These include its massive front porch with shallow pointed-arch opening, geometric Secessionist ornamentation, corner piers with vertical battens, carved rafter tails, and inset four-square muntins in windows and doors. The use of these details, especially in conjunction with a restrained and well-executed material palette, reflect a level of design integrity that demonstrates Thomas’ outstanding attention to architectural details and craftsmanship. Item 25 Attachment B - Draft Record of Land Use Action        Item 25: Staff Report Pg. 7  Packet Pg. 416 of 637  Page 2 of 2 B.On August 19, 2025, the property owner requested a reclassification of a two-story residential building designed by John Hudson Thomas in the Prairie style completed in 1914 from a ‘Major Building’ Category 2 resource to a ‘Contributing Building’ Category 3 resource on the Palo Alto Historic Inventory. C.On October 9, 2024, the HRB received a staff report (ID #2509-5221), conducted a public hearing, and recommended against the consultant’s evaluation and staff’s recommendation to reclassify the current local historic inventory Category 2 to Category 3. The HRB recommended with a 3-1-1 vote (one member voting no and one member absent) to keep the existing Category 2 status. SECTION 2. Environmental Review. The project is exempt from the provisions of the California Environmental Quality Act (CEQA), as it is not a project under CEQA Guidelines per Section 21065. SECTION 3. Designation Findings. A. The following criteria, as specified in Municipal Code Section 16.49.040 (b), shall be used as criteria for designating historic structures/sites to the historic inventory: 1.The structure or site is identified with the lives of historic people or with important events in the city, state or nation; 2.The structure or site is particularly representative of an architectural style or way of life important to the city, state or nation; 3.The structure or site is an example of a type of building which was once common, but is now rare; 4.The structure or site is connected with a business or use which was once common, but is now rare; 5.The architect or building was important; 6.The structure or site contains elements demonstrating outstanding attention to architectural design, detail, materials or craftsmanship. The building at 1680 Bryant Steet met many of the above criteria when it was first listed on Palo Alto’s Historic Resource Inventory in 1978. While cumulative changes since the 1978 evaluation have affected some areas of integrity, 1680 Bryant Street retains sufficient integrity to convey its local significance under Criteria 2, 5, and 6 as a Category 3 resource. per Page & Turnbull’s conclusion. B. The definition of Category 3 in Municipal Code Section 16.49.020 (b) must be met to allow the structure’s category reclassification: Category 3 or 4 Definition: "Contributing building" means any building or group of buildings which are good local examples of architectural styles and which relate to the character of a neighborhood grouping in scale, materials, proportion or other factors. A contributing building may have had extensive or permanent changes made to the original design, such as inappropriate additions, extensive removal of architectural details, or wooden facades resurfaced in asbestos or stucco. Item 25 Attachment B - Draft Record of Land Use Action        Item 25: Staff Report Pg. 8  Packet Pg. 417 of 637  Page 3 of 2 Page & Turnbull historic consultant supported the applicant’s request. The City’s consultant found the building at 1680 Bryant Street meets the Palo Alto Inventory Category 3 Definition. 1680 Bryant Street no longer meets the criteria for a Category 2 resource which requires retention of the original character with limited exterior modifications. Given that over half of the original structure was demolished in the 1990’s and the inventory form prepared in 1978 was not updated to reflect this, the residence more appropriately aligns with the Category 3 definition that applies to buildings that have undergone sustain or permanent changes and still convey a good architectural style. Retaining the Category 2 listing would not be consistent with the Municipal Code. SECTION 4. Category Change Approved. The City Council approves the property owner’s request for re- classification of 1680 Bryant Street to a Category 3 historic resource on the City’s Historic Resources Inventory. // // // // INTRODUCED AND PASSED: November 17, 2025 AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: APPROVED: _________________________ ____________________________ City Clerk Mayor APPROVED AS TO FORM: ___________________________ ____________________________ Assistant City Attorney City Manager ____________________________ Director of Planning and Development Services Item 25 Attachment B - Draft Record of Land Use Action        Item 25: Staff Report Pg. 9  Packet Pg. 418 of 637  Sanborn Map Company Map Palo Alto, 1924 Sanborn Map Company Map Palo Alto, 1945 Palo Alto Property Information Map Item 25 Attachment C - Building Footprints        Item 25: Staff Report Pg. 10  Packet Pg. 419 of 637  1680 BRYANT STREET HISTORIC RESOURCE EVALUATION PALO ALTO, CALIFORNIA [24402.05] PREPARED FOR CITY OF PALO ALTO JULY 25, 2024 Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 11  Packet Pg. 420 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL i July 25, 2025 TABLE OF CONTENTS INTRODUCTION .................................................................................................................................... 1 Methodology ............................................................................................................................................... 2 Summary of Findings ................................................................................................................................. 2 National Register of Historic Places ......................................................................................................... 4 California Register of Historical Resources ............................................................................................. 4 California Historical Resource Status Codes ........................................................................................... 4 Palo Alto Historic Inventory ....................................................................................................................... 5 Building Description ................................................................................................................................... 8 Site Features .............................................................................................................................................. 21 Surrounding Neighborhood .................................................................................................................... 25 Palo Alto History ....................................................................................................................................... 27 History of Seale Addition ......................................................................................................................... 29 Prairie Architectural Style ........................................................................................................................ 31 John Hudson Thomas, Architect ............................................................................................................. 32 Site Development ..................................................................................................................................... 38 Ownership History .................................................................................................................................... 44 California Register of Historical Resources ........................................................................................... 48 City of Palo Alto Historic Inventory ......................................................................................................... 50 Appendix A – Preparer Qualifications .................................................................................................... 60 Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 12  Packet Pg. 421 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 1 July 25, 2025 INTRODUCTION This Historic Resource Evaluation (HRE) has been prepared at the request of the City of Palo Alto for the property at 1680 Bryant Street (APN 124-17-018) in the Seale Addition, or Old Palo Alto, neighborhood of Palo Alto (). The 11,400-square-foot parcel contains a two-story residence, built in 1914 and designed in the Prairie style by Berkeley-based architect John Hudson Thomas.1 The property also contains a one-story detached garage. The house was originally constructed to serve as the private residence of the Harry Haehl family and continues this use as a single-family residence at present. Figure 1. The location of the subject property is shaded red. Source: Office of the County Assessor of Santa According to the City of Palo Alto Property Information Map, 1680 Bryant Street is currently designated as a Category 2 historic resource, based on its past association with the neighboring property at 275 Lowell Avenue. 2 However, the two parcels were subdivided in 1946, and the portion 1 Research revealed that construction began in 1913, and the house was completed in 1914. Palo Alto Historical Society, Permit Card for 275 Lowell Avenue. City of Palo Alto City Directory, 1914, accessed online, www.ancestry.com. 2 City of Palo Alto Property Information Map (PIM). Accessed online, https://opengis.cityofpaloalto.org/parcelreports/. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 13  Packet Pg. 422 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 2 July 25, 2025 of the original 1914 residence located at 275 Lowell Avenue was demolished in 1997. Although 1680 Bryant Street retains its Category 2 status, approximately half of the original structure is missing, and it is no longer physically or historically connected to 275 Lowell Avenue or the building now on that site. More details on the construction chronology, parcel subdivision, and alterations that have occurred at 1680 Bryant Street are included in the section of this report. The subject property at 1680 Bryant Street does not appear to have previously been evaluated for listing in the California Register of Historical Resources (California Register) as an individual property or as a contributor to an eligible district. This report focuses on the eligibility of the existing residence at 1680 Bryant Street. A final determination of significance for both the California Register and the Palo Alto Historic Inventory will apply to the residence at 1680 Bryant Street as a stand-alone building, independent of its prior association with the now-demolished historic residential resource occupying the parcel addressed as 275 Lowell Avenue. Methodology This report follows a standard outline used for Historic Resource Evaluation (HRE) reports, and provides a summary of the current historic status, a building description, and historic context for the building at 1680 Bryant Street and the Seale Addition/Old Palo Alto neighborhood. Page & Turnbull prepared this report using research collected at various local repositories, including the Palo Alto Development Services and the Palo Alto Historical Association (PAHA), as well as online sources including Palo Alto Stanford (PAST) Heritage, Ancestry.com, the California Digital Newspaper Collection, and Newspapers.com. Key primary sources consulted and cited in this report include Sanborn Map Company maps, Palo Alto building permit applications, city and county directories, and historical newspapers. Page & Turnbull staff conducted a site visit to 1680 Bryant Street on July 1, 2025. All photographs within this report were taken at that time, unless otherwise noted. Summary of Findings This HRE finds that although 1680 Bryant Street does not appear to qualify as an eligible individual historic resource for the California Register, the building is a rare local example of the Prairie style as designed by notable Berkeley-based architect John Hudson Thomas, and appears to retain adequate integrity to remain a historic resource on the Palo Alto Historic Inventory. While the building is currently listed as a Category 2 (Major Building), the loss of the adjacent residence at 275 Lowell Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 14  Packet Pg. 423 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 3 July 25, 2025 Avenue has impacted the integrity of the original design and Page & Turnbull recommends that the building’s status is downgraded to a Category 3 (Contributing Building), as it is no longer able to meet the definition of a “Major Building” for the Palo Alto Historic Inventory. The building would remain a historic resource for the purposes of the California Environmental Quality Act (CEQA), as it is listed on a local historic register. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 15  Packet Pg. 424 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 4 July 25, 2025 EXISTING HISTORIC STATUS The following section examines the national, state, and local historic status currently assigned to the residence at 1680 Bryant Street. National Register of Historic Places The National Register of Historic Places (National Register) is the nation’s most comprehensive inventory of historic resources. The National Register is administered by the National Park Service and includes buildings, structures, sites, objects, and districts that possess historic, architectural, engineering, archaeological, or cultural significance at the national, state, or local level. The subject property is not listed in the National Register of Historic Places individually, or as part of a registered historic district. California Register of Historical Resources The California Register of Historical Resources (California Register) is an inventory of significant architectural, archaeological, and historical resources in the State of California. Resources can be listed in the California Register through a number of methods. State Historical Landmarks and National Register-listed properties are automatically listed in the California Register. Properties can also be nominated to the California Register by local governments, private organizations, or citizens. The evaluative criteria used by the California Register for determining eligibility are closely based on those developed by the National Park Service for the National Register of Historic Places. The subject property is not listed in the California Register of Historical Resources individually, or as part of a registered historic district. California Historical Resource Status Codes Properties listed or under review by the State of California Office of Historic Preservation are listed within the Built Environment Resource Directory (BERD) and are assigned a California Historical Resource Status Code (Status Code) of “1” to “7” to establish their historical significance in relation to the National Register of Historic Places (National Register) or California Register of Historical Resources (California Register).3 Properties with a Status Code of “1” or “2” are either eligible for listing in the California Register or the National Register, or are already listed in one or both of the registers. Properties assigned Status Codes of “3” or “4” appear to be eligible for listing in either 3 California State Office of Historic Preservation, Built Environment Resource Directory (BERD), Santa Clara County, updated September 2022. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 16  Packet Pg. 425 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 5 July 25, 2025 register, but normally require more research to support this rating. Properties assigned a Status Code of “5” have typically been determined to be locally significant or to have contextual importance. Properties with a Status Code of “6” are not eligible for listing in either register. Finally, a Status Code of “7” means that the resource has not been evaluated for the National Register or the California Register, or needs reevaluation. The subject property is not currently listed in the BERD database for Santa Clara County with a status code. This means the property has not been formally evaluated using California Historical Resource Status codes in a report submitted to an information center of the California Historical Resources Information System (CHRIS) of the California Office of Historic Preservation. The most recent update to the BERD database was in September 2022. Palo Alto Historic Inventory The City of Palo Alto’s Historic Inventory lists noteworthy examples of the work of important individual designers and architectural eras and traditions as well as structures whose background is associated with important events in the history of the city, state, or nation. The inventory is organized under the following four categories:  Category 1: An “Exceptional Building” of pre-eminent national or state importance. These buildings are meritorious works of the best architects, outstanding examples of a specific architectural style, or illustrate stylistic development of architecture in the United States. These buildings have had either no exterior modifications or such minor ones that the overall appearance of the building is in its original character.  Category 2: A “Major Building” of regional importance. These buildings are meritorious works of the best architects, outstanding examples of an architectural style, or illustrate stylistic development of architecture in the state or region. A major building may have some exterior modifications, but the original character is retained.  Category 3 or 4: A “Contributing Building” which is a good local example of an architectural style and relates to the character of a neighborhood grouping in scale, materials, proportion or other factors. A contributing building may have had extensive or permanent changes made to the original design, such as inappropriate additions, extensive removal of architectural details, or wooden façades resurfaced in asbestos or stucco. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 17  Packet Pg. 426 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 6 July 25, 2025 The subject property at 1680 Bryant Street is listed in association with 275 Lowell Avenue as a Category 2 historic resource for its architectural significance.4 The historic resource inventory form prepared in 1978 describes the building as “a superb example, even in its mutilated state, of Thomas’ ability to fuse Prairie Style, Secessionist, Craftsman, and Pueblo Revival architectural expressions” in addition its design being “a milestone…in the career of an important Bay Area designer, John Hudson Thomas.”5 Dames & Moore Survey Update, 1999-2001 Between 1997 and 2000, the historic preservation firm Dames & Moore conducted a comprehensive update to Palo Alto’s 1979 Historic Inventory, focusing on identifying additional properties eligible for listing in the National Register. 6 The effort began with a reconnaissance survey of approximately 6,600 properties built before 1947, resulting in two Study Priority lists: roughly 600 properties were classified as Study Priority 1 (potentially eligible under Criterion C for architecture), and about 2,700 as Study Priority 2 (not individually eligible under Criterion C but retaining high integrity). All Priority 1 and 2 properties were subsequently studied at the intensive level, with historical research conducted on owners, builders, architects, and broader context topics such as property types and architectural trends. In 1999, Dames & Moore issued an interim report identifying 291 properties as potentially eligible for both the National and California Registers, and 1,789 as potentially eligible for the California Register only. However, because the study prioritized National Register eligibility, preliminary California Register findings were not finalized. The subject property at 1680 Bryant Street was listed on the Palo Alto Historic Inventory in 1979 and thus was not studied in the Dames & Moore Survey Update. 4 Historic Environment Consultants, “Historical and Architectural Resources of the City of Palo Alto: Inventory and Report,” February 1979, 60. 5 City of Palo Alto Historic Resources Board and Palo Alto Historical Association, DPR 523 Form: 275 Lowell-1680 Bryant Street (Haehl Residence), 1978, revised 1981 and 1985. 6 Dames & Moore, Michael Corbett, and Denise Bradley. “Final Survey Report – Palo Alto Historic Survey Update: August 1997- August 2000.” Prepared for the City of Palo Alto Planning Division, February 2001. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 18  Packet Pg. 427 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 7 July 25, 2025 PROPERTY DESCRIPTION The rectangular residential parcel addressed as 1680 Bryant Street is located on the southwest corner of the intersection of Bryant Street and Lowell Avenue in the Seale Addition neighborhood of Palo Alto (). It contains a two-story residence and a one-story detached garage, both rectangular in footprint and facing Bryant Street. The buildings exhibit the Prairie style with Secessionist detailing. The wood-frame buildings feature rough-coat stucco cladding and generally symmetrical facades with typical windows being wood-frame divided-lite casement pairs, wood- frame single-lite casement pairs, and wood-frame fixed picture types. Many of the street-facing divided-lite windows and prominent glazed doors exhibit muntins arranged in an inset four-square pattern, evocative of the simple geometric details common of the Secessionist style (). Figure 2. Aerial view of 1680 Bryant Street with approximate property boundaries marked in dashed white. Source: Google Earth, 2022. Edited by Page & Turnbull. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 19  Packet Pg. 428 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 8 July 25, 2025 Figure 3. Detail of the inset four-square pattern found in the muntins of many windows as referenced throughout the following description. This specific window is located on the second floor of the primary façade. Building Description The main residence at 1680 Bryant Street exhibits horizontal massing across its two stories with a projecting front porch bay at the primary/front entrance. While both floors are generally symmetrical with balanced openings, the second floor is recessed and off-center from the ground floor, creating a shallow balcony across the primary (north) façade and an uncovered deck area at the west end of the building (). A solid parapet clad in rough-coat stucco serves as the railing around the perimeter of these elevated outdoor areas, the corners of which feature raised piers accentuated by four evenly spaced vertical wood battens atop a cantilevered stucco-clad base in the form of a trapezoidal bracket (). The battens are mounted to the face of the corner piers and extend above the pier’s cap, the verticality of which contrasts with the heavy, grounded quality of the pier and enhancing the layered, planar quality of the building’s façade. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 20  Packet Pg. 429 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 9 July 25, 2025 Figure 4. Oblique view of primary façade, view west. Figure 5. Corner pier with vertical batten detailing on the northwest corner, looking southwest. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 21  Packet Pg. 430 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 10 July 25, 2025 The roof over the second-floor volume is hipped and clad in asphalt shingles with deep eaves, creating cover for the north balcony. The soffit here features painted wood paneling and paired carved rafter tails (). A flat-roofed dormer is located near the northeast corner of the roof, which features gridded vents on each of its three elevations (refer to . The east and west ends of the second-floor volume are flanked by chimneys clad in rough-coat stucco; the uppermost portion of each chimney above the roofline is embellished with vertical grooves (). Figure 6. Roof eave with exposed rafter tails along primary façade, looking east. Figure 7. West chimney detail, looking east. Though the building is oriented slightly off the cardinal directions, with the primary façade facing northeast, cardinal directions are used in this report for simplicity in describing the façades. Therefore, the primary façade will be referred to as the north façade, and so on. PRIMARY (NORTH) FAÇADE The primary façade faces a landscaped front yard with a concrete semicircular driveway edged with brick pavers, a concrete sidewalk parallel with the street curb, and a concrete walkway edged with brick pavers connecting the sidewalk and concrete stairs to the elevated front porch (). Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 22  Packet Pg. 431 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 11 July 25, 2025 Figure 8. Primary facade, looking southwest from Bryant Street. The primary façade is defined by a broad, horizontal massing and a strong sense of symmetry, anchored by a central, projecting entrance bay with a tiered top. The entry is framed by a substantial, wide and shallow pointed archway with deep reveals, creating a sheltered porch that extends forward from the main volume of the ground floor. An ornate wrought-iron lamp hangs from the center of the shallow pointed archway. This porch is supported by thick, rectilinear corner piers ornamented with simple geometric reliefs (). The primary entrance is slightly recessed in a segmental-arched opening, and is comprised of a wood-frame door with a single lite in textured glass and flanked by sidelites with textured glass (). Paired wood-frame casement windows are located within the porch and flanking the main entrance . Short, stuccoed sidewalls sit under each of these windows, serving as sidewalls to the wood entry stairs. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 23  Packet Pg. 432 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 12 July 25, 2025 Figure 9. Projecting porch volume and main entrance at center of primary facade, looking southwest. Figure 10. Detail of openings under front porch roof, looking Figure 11. Front door detail, looking Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 24  Packet Pg. 433 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 13 July 25, 2025 The primary façade’s fenestration is carefully ordered and varies between levels. On the ground floor, grouped windows lie on either side of the central entrance bay. Typical windows to the west (right) of the central entrance bay are wood-frame single-hung types with the upper sash featuring the inset four-square divided-lite pattern (). The windows are recessed within unadorned surrounds that accentuate the wall thickness and create subtle shadow lines. To the east (left) of the central entrance bay, typical windows are composed of wood-frame casements, placed as a grouping and as a single unit (). A trio of small pyramidal reliefs adorn the headers of the east window grouping and the center window on the west. On the second floor, windows are regularly spaced, with minimal trim, and are tucked just beneath the roofline, emphasizing the low, sheltering eaves (). Windows at this level consist of wood-frame divided-lite casements, some grouped and others as single units, and wood-frame picture windows with sidelites. Both types feature sections of muntins in the inset four-square pattern. Figure 12. Typical windows on primary façade west of the central entrance bay, looking south. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 25  Packet Pg. 434 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 14 July 25, 2025 Figure 13. Typical windows on primary façade east of the central entrance bay, looking southwest. Figure 14. Primary facade at setback second floor, looking southeast. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 26  Packet Pg. 435 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 15 July 25, 2025 EAST FAÇADE The east façade overlooks a landscaped side yard with a dense row of tall shrubs and trees along the property line at Lowell Avenue. The two-story façade is symmetrical in composition and features a central stuccoed chimney stack that extends above the low-pitched hip roof (). The floors are visually divided by a projecting belt course clad in smooth-coat stucco. At each floor, windows are symmetrically placed to either side of the chimney. The ground-floor glazed sections, comprised of wood-frame fixed picture windows with a transom and projecting wood sill, are angled between the corner piers and the projecting center chimney, creating shallow balconettes below each window at the second floor (). Second-floor windows are tripartite configurations with a central fixed wood-frame picture window flanked by operable casements with muntins with the typical inset four-square pattern. Typical decorative embellishments are found on this façade, including paired pyramidal reliefs centered near at the top edge of the balconettes as well as arranged in vertical rows flanking a recessed, square-arched panel of the projecting chimney stack at the ground floor (). The façade also exhibits the typical corner piers with vertical wood battens atop a trapezoidal bracket. Figure 15. East facade, looking northwest. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 27  Packet Pg. 436 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 16 July 25, 2025 Figure 16. Oblique view of southeast corner, looking west. Rear facade at left and east facade at right. Figure 17. Oblique view of northeast corner, looking southwest. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 28  Packet Pg. 437 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 17 July 25, 2025 REAR (SOUTH) FAÇADE The rear (south) façade overlooks a shallow backyard containing majority concrete paving with some mature trees along the rear property line. The façade is visually divided into three sections with the center projecting bay. The east (right) section features paired wood-frame casement windows with fixed sidelites exhibiting the four-square muntin pattern. This window is topped with a trio of pyramidal reliefs and has a projecting wood sill. The second floor of this section is set back ( ). The ground floor of the projecting center bay features a tripartite-configured window on its east elevation (central fixed window with flanking divided lite casements), a large span of glass block on its south elevation, and a wood-frame divided-lite French door with four-square muntins on its west elevation (). There are no openings on the second floor of the projecting center bay. The west (left) section includes three pairs of wood-frame casement windows with projecting wood sills across the ground floor. The windows are slightly recessed and topped with pyramidal reliefs. The majority of the second floor at the west section is set back, creating a shallow balconette (which connects to the uncovered deck area described earlier). There is a paired wood- framed casement window in the small projecting section of the façade (at right) and a wood-frame fixed one-over-one window with channel glass projecting from within the projecting section at the left, separated by a recessed wall (). Figure 18. East end of rear facade, looking north. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 29  Packet Pg. 438 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 18 July 25, 2025 Figure 19. Central non-historic portion of rear facade, looking northeast. Figure 20. West end of rear facade, looking east. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 30  Packet Pg. 439 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 19 July 25, 2025 Figure 21. Southwest corner of rear facade, looking northeast. Arrow indicating the projecting window bay. Figure 22. Second-floor window at southwest corner of rear facade, WEST FAÇADE The west façade overlooks a concrete patio area with some landscaping. A wood gate with a grid of square cutouts and mounted to square columns. is located between the west façade’s north corner and the detached garage’s southwest corner to enclose the patio area. The ground floor of the west façade features a projecting volume on its north end with a flat roof, which serves as the uncovered deck area described earlier. A wood-frame fixed picture window featuring the typical inset four-square pattern is located on the ground floor to the south of the projecting volume. A similar window lies at the center of the projecting volume’s south elevation, while the west elevation features a centrally placed wood door and a pair of divided-lite casement windows with projecting wood sill to the north (left) of the door (). The door is accessible via wooden bilateral stairs with simple wood railings to a wood stoop covered by a wood arbor topped with clear roof panels. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 31  Packet Pg. 440 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 20 July 25, 2025 Figure 23. West facade of ground floor, looking east. The west façade at the second floor is deeply set back and features a chimney near its center. There is a wood-frame fixed picture window with projecting wood sill to the left (north) of the chimney and a sliding glass door with sidelites to the right (south) of the chimney (). Each door panel features the typical inset four-square pattern. A wood box-grid overhang with clear roof panels projects from the top of the door to the parapet edge of the deck area. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 32  Packet Pg. 441 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 21 July 25, 2025 Figure 24. West facade of setback second story, looking south. Site Features A detached one-story garage building is sited to the northwest of the primary residence, also facing Bryant Street (). The garage is rectangular in footprint with a flat roof behind a simple parapet. Like the primary residence, corner piers project from the facades and rise above the top of the parapet. The top of each corner pier features the repeating decorative trio of pyramidal reliefs at each side. Its facades are symmetrical and clad in rough-coat stucco to match the residence. Its primary (north) façade features a two-car-width metal garage door topped with a trio of pyramidal reliefs (). Its east façade features two paired wood-frame divided-lite casement windows with muntins arranged in the typical inset four-square pattern and with projecting wood sills. Another trio of pyramidal reliefs adorns the center of this elevation (. The rear (south) façade of the detached garage features another two-car-width wood-panel garage door, which is capped with a wood arbor and clear roof panels ). The west façade is not accessible given its proximity to the property line. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 33  Packet Pg. 442 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 22 July 25, 2025 Figure 25. Primary facades of the residence (left) and detached garage (right), looking southwest. Figure 26. North facade of detached garage, looking southwest from Bryant Street. Figure 27. East facade of detached garage, looking Figure 28. Rear (south) facade of detached garage, Figure 29. Detached garage roof, looking north from Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 34  Packet Pg. 443 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 23 July 25, 2025 As previously mentioned, a wood gate with a grid of square cutouts runs between the residence’s west façade and the detached garage’s east façade to enclose a side patio (). A concrete walkway leads from this gate to the semicircular driveway edged with and sectioned by brick pavers (). A straight driveway edged with brick pavers provides access to the garage from Bryant Street. The remainder of the front yard is grass with mature shrubs along the foundations of both the residence and detached garage. The straight concrete walkway that connects the Bryant Street sidewalk to the front entrance bay is lined with mature rose bushes. Mature trees line both Bryant Street and Lowell Avenue, with the eastern side yard of the property featuring more ornamental vegetation. The narrow backyard has concrete paving with a wood-board privacy fence along the south property boundary. A short stucco retaining wall with center steps runs from the southwest corner of the residence to the rear wood fence (). The north section of the wall exhibits a pair of pyramidal reliefs. Figure 30. Wood gate between front yard and side patio, looking southwest from the driveway. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 35  Packet Pg. 444 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 24 July 25, 2025 Figure 31. Sidewalk, driveway, and walkway on west side of front yard, looking southwest from Bryant Street. Figure 32. West end of backyard, looking south. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 36  Packet Pg. 445 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 25 July 25, 2025 Surrounding Neighborhood The subject property at 1680 Bryant Street is set within the established residential neighborhood of Seale Addition, also known as Old Palo Alto. Situated on a corner lot, the property lies within a regular street grid, outfitted with sidewalks and street trees, surrounded by other large homes (). Neighboring properties typically exhibit two-story homes in a variety of styles that appear to be constructed between the 1910s and present-day. Common architectural styles include Craftsman, Mediterranean Revival, Spanish Colonial Revival, Colonial Revival, and contemporary New Traditional (). In some instances, original one-story homes have been expanded with second-story additions. Many properties feature detached garages alongside the primary residence and walled/fenced front yards, with homes generally setback at similar distances from the street. Figure 33. Traffic-restriction islands across Bryant Street on the east side of its intersection with Lowell Avenue, looking north. Figure 34. Residence under construction at 290 Lowell Avenue, looking south. Figure 35. 301 Lowell Avenue, looking northeast. Figure 36. 1650 Bryant Street, looking south. Subject Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 37  Packet Pg. 446 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 26 July 25, 2025 Figure 37. 265 Coleridge Street, looking west. Figure 38. 1600 Bryant Street, looking south. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 38  Packet Pg. 447 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 27 July 25, 2025 HISTORIC CONTEXT Palo Alto History The earliest known settlement of the Palo Alto area was by the Ohlone people. The region was colonized in 1769 as part of Alta California. The Spanish and Mexican governments carved the area into large ranchos which contained portions of land that became Palo Alto including Rancho Corte Madera, Rancho Pastoria de las Borregas, Rancho Rincon de San Francisquito, and Rancho Riconada del Arroyo de San Francisquito.7 These land grants were honored in the cession of California to the United States, but parcels were subdivided and sold throughout the nineteenth century. The current city of Palo Alto contains the former township of Mayfield, which was located just southwest of Alma Street, and was established in 1855 . Starting in 1876, the railroad magnate and California politician Leland Stanford began to purchase land in the area for his country estate, and in 1882 he purchased an additional 1,000 acres adjacent to Mayfield for his horse farm.8 Stanford’s vast holdings became known as the Palo Alto Stock Farm. On March 9, 1885, Stanford University was founded on land of the Palo Alto Stock Farm through an endowment act by the California Assembly and Senate. Originally looking to connect Stanford University as a part of the already established town of Mayfield, Stanford asked residents of Mayfield to make the town a temperance town. Their refusal in 1886 caused Stanford to found the town of Palo Alto with aid from his friend, Timothy Hopkins of the Southern Pacific Railroad. Hopkins purchased and subdivided 740 acres of private land, that was known initially as University Park (or the Hopkins Tract).9 This land was bounded by the San Francisquito Creek to the north and the railroad tracks and Stanford University campus to the south. A new train stop was created along University Avenue and the new town flourished in its close connection with the university. University Park, under its new name of Palo Alto, was incorporated in 1894. In its early years, Palo Alto was a temperance town where no alcohol could be served. The residents were mostly middle and working class, with a pocket of University professors clustered in the neighborhood deemed Professorville. The development of a local streetcar in 1906, and the interurban railway to San Jose in 1910, facilitated access to jobs outside the city and to the 7 Ward Winslow and Palo Alto Historical Association, Palo Alto: A Centennial History (Palo Alto, CA: Palo Alto Historical Association, 1993), 12-17. 8 Winslow and Palo Alto Historical Association, Palo Alto: A Centennial History, 35. 9 City of Palo Alto, Comprehensive Plan 2030 (adopted by City Council, November 13, 2017), 16. Accessed online, https://www.cityofpaloalto.org/civicax/filebank/documents/62915. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 39  Packet Pg. 448 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 28 July 25, 2025 University, encouraging more people to move to Palo Alto.10 In July 1925, Mayfield was officially annexed and consolidated into the city of Palo Alto.11 Like the rest of the nation, Palo Alto suffered through the Great Depression in the 1930s and did not grow substantially. World War II brought an influx of military personnel and their families to the Peninsula; accordingly, Palo Alto saw rapid growth following the war as many families who had been stationed on the Peninsula by the military, or who worked in associated industries, chose to stay. Palo Alto’s population more than doubled from 16,774 in 1940 to 52,287 in 1960.12 Figure 39. Detail of “Official Map of Santa Clara, California” by Herrmann Brothers, 1890. Palo Alto’s city center greatly expanded in the late 1940s and 1950s, gathering parcels that would house new offices and light industrial uses and lead the city away from its “college town” reputation. Palo Alto annexed a vast area of mostly undeveloped land between 1959 and 1968. This area, west of the Foothill Expressway, has remained protected open space. Small annexations continued into the 1970s, contributing to the discontinuous footprint of the city today. Palo Alto remains closely tied to Stanford University; it is the largest employer in the city. The technology industry dominates 10 Dames & Moore, “Palo Alto Historic Survey Update,” 1-4. 11 City of Palo Alto, Comprehensive Plan 2030, 16. 12 “City of Palo Alto, Santa Clara County,” Bay Area Census. Accessed online, http://www.bayareacensus.ca.gov/cities/PaloAlto50.htm. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 40  Packet Pg. 449 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 29 July 25, 2025 other sectors of business, as is the case with most cities within Silicon Valley. Palo Alto consciously maintains its high proportion of open space to development and the suburban feeling and scale of its architecture.13 History of Seale Addition The subject property at 1680 Bryant Street is located in Palo Alto’s Seale Addition neighborhood, often referred to as “Old Palo Alto.” The following historic context of the Seale Addition is excerpted from Dames & Moore’s Final Survey Report: Palo Alto Historical Survey Update: That part of Palo Alto known as the Seale Addition consists of several subdivisions of the old Seale Ranch in an area bound by Embarcadero Road, Middlefield Road, Oregon Avenue, and Alma Street, excluding several blocks in the west and southwest parts of this area . The first and largest of these subdivisions, in 1898, occupied only a portion of the ranch. This was followed by subdivisions of additional ranch land and by re-subdivisions of portions of the original subdivision. The 1949 Map of the City of Palo Alto, prepared by the City Engineer, showed these several Seale Ranch subdivisions with ambiguous boundaries. Some of the subdivisions were separately labeled, including Seale Ranch Subdivision No. 8, indicating the number of subdivisions that took place. Altogether, the Seale Addition was referred to as “South Palo Alto” until after World War II when the newly developed area across Oregon Expressway, which was located further south, came to be called South Palo Alto. […] When the Seale Addition was first laid out, it was outside the Palo Alto city limits on unincorporated county land. The area was annexed to Palo Alto in 1917 followed by improvements in utilities and services including a streetcar line on Waverley Street. [Historian-Writer] Roland Davis has described the progress of development in the Seale Addition as follows: “43 houses were built from 1898 to 1911 and 52 houses were built from 1912 to 1923, followed by more rapid development in the 1920s.” Substantial development continued in the 1930s, 1940s, and 1950s, at which time the area was completely built up. The result of this pattern of development is a neighborhood that consists of a mix of houses of different decades and different styles. It may be that in the future, the entire neighborhood will appear eligible for the NRHP. For now, an area at the center of the neighborhood that contains a predominance of houses built between 1900 and 1940, deserves study as a potential 13 City of Palo Alto, Comprehensive Plan 2030, 11-20. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 41  Packet Pg. 450 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 30 July 25, 2025 historic district. Portions of this neighborhood have particularly rich concentrations of well-designed houses. Among these are the 200 to 600 blocks of Coleridge and the cross blocks of Bryant, Waverley, and Emerson streets, and the blocks of Cowper and Waverley streets between Seale and California avenues. These areas are characterized by Spanish Colonial, Mediterranean, Monterey, and Period Revival style houses for upper middle-class residents. The Seale Addition represents an expansion of the earlier neighborhood across Embarcadero Road called Professorville in its physical character. However, the population of this neighborhood was different than Professorville—by the time development of the Seale Addition was well underway, Stanford University had begun to provide housing for faculty on campus land, so that Stanford professors never constituted a large group in this neighborhood. The Seale Addition is also the earliest important example of several Palo Alto subdivisions with development restrictions designed to create an elite residential area.14 Figure 40. The Seale Tract in “South Palo Alto,” in an advertising for developable land, looking west,1905. Note the street grid has changed since 1905. The dashed line approximates the border of the Seale Addition. The black arrow marks the approximate location of 1680 Bryant Street. Source: Stanford University Special Collections. Edited by Page & Turnbull. 14 Dames & Moore, Final Survey Report: Palo Alto Historical Survey Update, 4-29 and 4-30. See also, Paula Boghosian and John Beach, Historical and Architectural Resources of the City of Palo Alto: Inventory and Report, Prepared by Historic Environment Consultants for the City of Palo Alto, 1979; J.F. Byxbee, Palo Alto City Engineer, Map of the City of Palo Alto, 1949. Roland C. Davis, A Summary History of the Early Development of Palo Alto’s “Seale Addition”: An Account of How the First “South Palo Alto” Became Part of the Present “Old Palo Alto,” Prepared for the Palo Alto Historic Building Survey. July 1998. Overland Monthly, Advertisement, September 1904. Ward Winslow and the Palo Alto Historical Association, Palo Alto: A Centennial History, Palo Alto: Palo Alto Historical Association, 1993. Alma Street Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 42  Packet Pg. 451 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 31 July 25, 2025 Prairie Architectural Style The subject property at 1680 Bryant Street was designed in the Prairie style, an unusual design choice for California residential architecture. Rooted in the American Midwest and most famously associated with architect Frank Lloyd Wright, Prairie-style architecture emerged in the early twentieth century as a distinctly modern and regionally attuned design movement . Another Minneapolis firm, Purcell & Elmslie, became strongly associated with the Prairie style and helped to increase its popularity . Dominant from the 1900s to the 1920s, the Prairie style is defined by its strong horizontal lines, low-pitched hipped roofs with broad overhanging eaves, and integration with the surrounding landscape. The Prairie style sought to reflect the expansiveness of the American grassland and to reject the rigid historical revivalism that dominated Victorian architecture. The origins of the style are found primarily in Chicago during the 1900s, but it quickly became an early prototype for suburban houses in the Midwest, due to the vast amounts of land available during this time period and the horizontal emphasis of these homes, which was intended to complement the vast grassland landscape. As one of the only distinctly American building styles, the Prairie style quickly took hold in the development of the American home. Frank Llyod Wright’s first “Prairie style” house was constructed in 1893, but the style did not become more widely recognized and adopted until circa 1900. Figure 41. Ward-Willits House, by Frank Lloyd Figure 42. Bradley Bungalow, by Purcell & Elmslie, The Prairie style often relies on rectilinear volumes and massive geometry, and its treatment of the primary façade with its intersecting rooflines and centrally placed chimney establish the weight that is generally given to the primary façade. Oftentimes, the primary entrance of Prairie style buildings is inconspicuous and placed asymmetrically. Characteristic features include ribbon windows (usually wood sash and multi-lite types), restrained ornamentation often drawn from geometric or nature- Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 43  Packet Pg. 452 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 32 July 25, 2025 inspired motifs, and open, flowing interior plans centered around a hearth. Exteriors typically emphasize unity and simplicity of form, with careful attention to material contrasts, such as stucco surfaces paired with wood trim or brick. While the Prairie-style design of the subject property at 1680 Bryant Street is unusual for its location in California, it features the quintessential elements of the aesthetic, including: • Two-story height • Horizontal and asymmetrical massing • Hipped roofline with broad eaves • Stucco cladding with wood-trimmed openings • Multi-lite wood sash windows • Substantial front porch volume. The 1979 Palo Alto Historical and Architectural Resources Inventory and Report also lists the following as character-defining features of the local interpretation of the Prairie style: • Ribbon windows with wooden casements • Massive and rectangular piers supporting roofs of porches or verandahs • Low, often hipped, roofs with projecting eaves • Distinctly horizontal flare to eave ends • Suppressed, heavy-set chimneys • Low terraces.15 John Hudson Thomas, Architect John Hudson Thomas (1878-1945) was a prolific and eclectic architect whose work significantly shaped the residential architecture of the San Francisco Bay Area in the early twentieth century. Born in Ward, Nevada, in 1878, Thomas was raised in the Bay Area and educated at Yale University (1901) and the University of California, Berkeley’s School of Architecture (1904), where he studied under Bernard Maybeck and John Galen Howard, two seminal figures in California architecture.16 After briefly working in Howard’s office, Thomas partnered with George T. Plowman from 1907 to 15 Historic Environment Consultants, “Historical and Architectural Resources of the City of Palo Alto: Inventory and Report,” February 1979, 41-42. 16 National Register of Historic Places, Loring House, Berkeley, CA, prepared by Anne B. Bloomfield (1989), 8.2–8.3. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 44  Packet Pg. 453 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 33 July 25, 2025 1910, designing at least 50 residential projects in the Arts & Crafts style, before launching an independent practice based in Berkeley.17 Thomas’ career was marked by a rapid and imaginative evolution of architectural styles. He is perhaps best known for his role in the first generation of the Bay Region Tradition, an architectural movement that emphasized craftsmanship, local materials, and a romantic integration with the landscape.18 This innovative design philosophy was also associated with luminaries like Bernard Maybeck and Julia Morgan. Thomas’ practice, spanning over three decades, included designs across a spectrum of styles, including Craftsman, Mission Revival, Tudor, and Pueblo Revival, but it was his selective and creative use of the Prairie School aesthetic that stands out for its originality and significance in the Bay Area context. Among his finest examples of Prairie School architecture is the Ernest L. Loring House (1914) at 1730 Spruce Street in Berkeley, widely regarded as the truest and earliest expression of the Prairie School in that city.19 The Loring House exhibits hallmark features of the style: a cross-shaped plan, horizontal massing, broad overhanging eaves, a flat roof that appears to float, and ribbon windows that emphasize horizontality and light ().20 Its interiors showcase redwood trim and white plaster walls, punctuated by Secessionist motifs in glasswork and paneling.21 Although deeply rooted in Usonian principles, drawing comparisons to Wright’s "Fireproof House for $5,000" and his Waller apartments, Thomas' adaptation is wholly original, reflecting both his responsiveness to the site and his personal artistic vocabulary.22 17 NRPH, Loring House, 8.2–8.3. National Register of Historic Places, Locke House, Oakland, CA, prepared by Margo M. Noble (1988), 8.2. UC Berkeley College of Environmental Design, “John Hudson Thomas (1876-1945). Accessed online, https://ced.berkeley.edu/collections/thomas-john-hudson. 18 David Gebhard, “Introduction: The Bay Area Tradition,” in Bay Area Houses, ed. Sally B. Woodbridge (New York: Oxford University Press, 1976), 3–22. 19 NRHP, Loring House, 8.1. 20 NRHP, Loring House, 8.1. 21 NRHP, Loring House, 7.1. 22 NRHP, Loring House, 7.1. Frank Lloyd Wright, “A Fireproof House for $5000,” Ladies’ Home Journal, April 1907, 24. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 45  Packet Pg. 454 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 34 July 25, 2025 Figure 43. Primary facade of Loring House, 1989. Source: Figure 44. Secondary facade of Loring Another significant and National Register-listed design, the Locke House (1911) in Oakland, further illustrates Thomas’ synthesis of Prairie School elements with other stylistic influences. Built shortly after Thomas dissolved his partnership with Plowman, the house features a solid, roughcast stucco exterior, parapet gables, and geometric window designs reminiscent of Frank Lloyd Wright, yet it also incorporates Craftsman and Mission Revival motifs ().23 The Locke House’s inventive massing, integration of interior windows, and commitment to total design unify what might otherwise be disparate architectural elements.24 Figure 45. Primary facade of Locke House, 1989. Figure 46. Secondary facade of Locke House, 1989. Source: National Park Service. 23 NRHP, Locke House, 7–8. 24 NRHP, Locke House, 7.2. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 46  Packet Pg. 455 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 35 July 25, 2025 Throughout his most productive years (1910–1920), Thomas was celebrated for his eclecticism and fearless experimentation. His architecture often reflected the influence of avant-garde European movements, particularly the Viennese Secession, whose motifs appear in several of his buildings as decorative panels and muntin patterns.25 As one scholar noted, Thomas operated like a nineteenth- century eclectic: absorbing diverse influences and recombining them into a personal style that was at once intellectual and sensuous.26 Nowhere is this more evident than in his unique integration of Secessionist detailing within the Prairie style, as seen at 1680 Bryant Street. Inspired by the Vienna Secession’s emphasis on abstract geometry, flat decorative panels, and a total work of art ethos, Thomas translated these elements into his California residential designs through leaded glass, carved wood, and rhythmic surface ornament. Rather than mimic the organic curves of Art Nouveau, he favored the Secession’s symmetrical motifs (grids, chevrons, and stylized florals) arranged with modern restraint. 27 This synthesis of European avant-garde aesthetics and West Coast sensibilities is also apparent in his design for the Loring House (1914), where repeated geometric patterns prefigure developments like Frank Lloyd Wright’s textile blocks. 28 In these works, Thomas demonstrated a cosmopolitan design language grounded in both international innovation and regional craftsmanship. In addition to the Loring House and 1680 Bryant Street, the year 1914 alone illustrates the breadth of his creative range, with designs that also include the rustic Roswell House with its shakes and boulders, the Pueblo-influenced Park House, and the ornamentally rich Secessionist-style Peters House. Yet none of these works rigidly adheres to a single architectural vocabulary. As architectural historian John Beach observed of the 1913 Bell-Wintermute House, “Of all the Bay Area designers of the teens, only Thomas, with his unique sense of synthesis and eclectic design, could have used such potentially discordant elements to create such a powerful and coherent design.”29 Following World War I, Thomas's style evolved once again, gravitating toward single-source historicist expressions. This later phase is exemplified by the 1928 Hume House, a romanticized miniature Spanish medieval castle, as well as by a series of dollhouse-scale Tudor Revival residences, including his own home and several speculative houses in Kensington. Despite being somewhat overlooked in mainstream architectural histories of the time, Thomas’ legacy has since been reevaluated, with scholars and preservationists acknowledging his masterful contributions to the East Bay’s built environment. His designs, characterized by their innovation, 25 NRHP, Loring House, 8.1; 8.3. Thomas Gordon Smith, John Hudson Thomas and the Progressive Spirit in Architecture, 1910– 1920 (M.A. thesis, UC Berkeley, 1975), 26–28. 26 John Beach, “The Bay Area Tradition, 1890–1918,” in Bay Area Houses, ed. Woodbridge, 87–95. 27 David Gebhard, Bay Area Houses, ed. Sally Woodbridge (New York: Oxford University Press, 1976), 87–88. 28 National Register of Historic Places, Loring House (Berkeley, CA), nomination by Anne B. Bloomfield (1989), 8.1–8.2. 29 NRHP, Loring House, 8.2. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 47  Packet Pg. 456 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 36 July 25, 2025 craftsmanship, and nuanced stylistic fusion, helped define the architectural tone of Berkeley, Oakland, and beyond in the early twentieth century.30 The City of Berkeley Landmarks Preservation Commission has locally designated nine significant architectural examples of Thomas’ work, including: • Captain Maury House (1317 Shattuck Avenue, 1870) – Landmark • Kluegel House (2667 Le Conte Avenue, 1911) – Landmark • John Hopkins Spring Estate (1960 San Antonio Avenue, 1912) – Landmark • Loring House (1730 Spruce Street, 1914) – Landmark • Heron Building (2136 University Avenue, 1915) – Landmark • Anita Jeffress Hill House (2944 Elmwood Court, 1920) – Structure of Merit • Daggett House (1427 Hawthorne Terrace, 1924) – Landmark • La Loma Steps (1500 LeRoy Avenue, 1924) in conjunction with Julia Morgan – Feature • Samuel and Portia Hume House (2900 Buena Vista Way, 1928) – Landmark ().31 30 Smith, Progressive Spirit in Architecture, iv–vii; Gebhard et al., The Guide to Architecture in San Francisco and Northern California (Salt Lake City: Peregrine Smith, 1985), 250–251, 528. 31 City of Berkeley, “List of Designated City Landmarks, Structures of Merik & Historic Districts,” updated January 2023. Accessed online, https://berkeleyca.gov/sites/default/files/2022-04/List-of-Designated-Landmarks.pdf. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 48  Packet Pg. 457 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 37 July 25, 2025 Other honorable mentions in Berkeley include: • Chisholm House (2821 Ashby Avenue, 1907) • Randall House (2733 Benvenue Avenue, 1909) • Dangan House (41 Oakvale Avenue, 1911) • Pratt-Verper House (959 Indian Rock Avenue, 1911) • Pratt-Thomas House (800 Shattuck Avenue, 1911) • Kay House (892 Arlington Avenue, 1912) • Bell-Wintermute House or “The Rocks” (227 Tunnel Road, 1913) • Kruse House (564 Santa Clara Avenue, 1914) • Park House (3115 Claremont Avenue, 1914) • Sellander House (35 Oakvale Avenue, 1914) • Ecole Bilingue de Berkeley (1001 Heinz Avenue, 1915) • Blum House (1505 Hawthorne Terrace, 1926).32 By the 1930s, Thomas had begun designing for a more affluent and established clientele, undertaking larger, more complex, and higher-budget residential commissions. While the scale and formality of these projects increased, Thomas’ sensitivity to site remained a defining characteristic of his work. His architectural approach continued to prioritize orientation to the landscape, integration with the surrounding environment, and the framing of key views. Notably, even within these refined and sophisticated commissions, he retained a distinctly personal and idiosyncratic design language. Purposefully unconventional elements, such as decorative friezes, unexpected finishes, unusual material juxtapositions, intricately carved woodwork, and intimate, spatially eccentric features like nooks and recesses, persisted as markers of his architectural identity, signaling both his eclectic inspirations and his ongoing commitment to individuality in design.33 Thomas continued to work from his home in Kensington until his death in 1945, with his later designs increasingly favoring historical revival styles, including Spanish and Tudor influences.34 With over 35 years of practice, Thomas’ geographical range is known to extend in California from Lake Tahoe to Santa Barbara, but most were concentrated in the East Bay cities of Berkeley and Oakland. His body of work remains a testament to a uniquely Californian interpretation of national and international design currents, adapted with a sensitivity to site, material, and the region’s progressive spirit. 32 Scribd, “John Hudson Thomas Self-Guided Tour,” 1979. Accessed online, https://www.scribd.com/doc/13654028/John- Hudson-Thomas-Self-Guided-Tour-1979-of-7-Berkeley-House. 33 Hewn and Hammered, “John Hudson Thomas.” Accessed online, https://web.archive.org/web/20160317092112/http://www.hewnandhammered.com/hewn_and_hammered/2007/08/john- hudson-tho.html#/. 34 NRHP, Loring House, 8.2. Gebhard et al., Guide to Architecture, 261. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 49  Packet Pg. 458 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 38 July 25, 2025 SITE HISTORY Site Development The current residence at 1680 Bryant Street, was originally part of a much larger parcel that was approximately one acre on the southwest corner of the intersection of Bryant Street and Lowell Avenue. This parcel contained a two-story, wood-frame residence with an H-shaped configuration that was constructed in 1914 for the Haehl family and designed by architect John Hudson Thomas (. The original builder is unknown. A detached one-story garage facing Bryant Street was also constructed in 1914 and the north façade also included a hip-roof porte cochere. 35 The residence that exists today at 1680 Bryant Street consists of the north half of the original H-shaped residence. As the original primary façade was oriented to Lowell Avenue, the property was originally addressed as 275 Lowell Avenue; however, for the sake of clarity the original H-plan volume will be referred to as “275 Lowell Avenue/1680 Bryant Street,” and each building after their separation will be referred to by their specific address: “1680 Bryant Street” or “275 Lowell Avenue.” The house was described in the January 1920 edition of The Building Review as follows: Echoes of the prairies come with Mr. Haehl’s house on Lowell Street, which, though transplanted, seems to thrive and harmonize with its setting of lawn and ivy --- thanks perhaps, to the continued horizontal lines ().36 Figure 48. Sanborn Map Company fire insurance map of Palo Alto, December 1924, Volume 1, Page 9. The subject property is outlined in red. Source: San Francisco Public Library, Fire Insurance Maps Online. 35 City of Palo Alto, Assessment #4177A, ca. 1945. 36 Harris Allen, “The Evolution of a College Town,” The Building Review, Volume XIX, Number 5, May 1921, 84-85. Accessed online, https://usmodernist.org/PCA/PCA-19-20.pdf. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 50  Packet Pg. 459 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 39 July 25, 2025 Figure 49. Haehl Residence, looking southwest from Lowell Avenue, 1921. Source: The Building Review, Volume XIX, Number 5, May 1921. While research did not uncover the original building permit, architectural drawings, or early narratives of the home, it appears it may have been designed as a “dual-family residence,” like Thomas’ 1911-era Kluegel House in Berkeley, in which the owner occupied one unit and the other housed relatives, household staff, or was rented to generate income.37 In the case of 275 Lowell Avenue/1680 Bryant Street, the dual two-story volumes had a side-by-side layout, appearing as a wide single-family home connected with a one-story hyphen. It appears that the primary entrance to both volumes was at the one-story central hyphen. This horizontal configuration was further emphasized by the low, planar massing of its Prairie architectural style (). 37 City of Berkeley, “Laura Belle Marsh Kluegel House.” Accessed online, https://berkeleyheritage.com/berkeley_landmarks/kluegel/kluegel_application.html. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 51  Packet Pg. 460 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 40 July 25, 2025 Figure 50. Original primary (east) facade of the subject property, looking southwest from the intersection of Bryant Street and Lowell Avenue, 1926. Source: Palo Alto Historical Association. Figure 51. Aerial photograph with approximate boundaries of the subject property outlined in red, 1930. Source: Fairchild Aerial Surveys, Flight C-1025, Frame Z-146, June 1930. Courtesy of UCSB Library Geospatial Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 52  Packet Pg. 461 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 41 July 25, 2025 In 1936, a “studio addition” (presumably a freestanding building) was constructed at an unknown location on the parcel.38 A “residence addition” at an unknown location was made in 1937 and another in 1947.39 According to the December 1945 Sanborn Company fire insurance map and confirmed in a July 1946 Daily Palo Alto Times article, the one-story hyphen between the two-story volumes was demolished, creating the two separate single-family residences at 275 Lowell Avenue (not extant) and 1680 Bryant Street (the subject building). Also by this time, the porte cochere had been removed from the north façade and two additional freestanding buildings had been constructed on the property, one of which may have been the “studio addition” from 1936 ( ). Figure 52. Sanborn Map Company fire insurance map of Palo Alto, December 1945. Volume 1, Page 9. The approximate boundaries of the original parcel are outlined in red, while dashed black lines show the approximate location of the current parcel of 1680 Bryant Street. Source: San Francisco Public Library, Fire 38 Peninsula Times Tribune, “Building Permits,” December 18, 1936. 39 Peninsula Times Tribune, “Building Permits,” January 26, 1937. Peninsula Times Tribune, ““Five building permits issued,” September 10, 1947. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 53  Packet Pg. 462 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 42 July 25, 2025 Along with the demolition of the one-story hyphen, the original parcel was subdivided, corresponding with the division of the main residence. At unknown dates, the original parcel was further subdivided to create the L-shaped parcel at 271 Lowell Avenue and the narrow rectangular parcel at 1650 Bryant Street (). Figure 53. Palo Alto Property Information Map with the current boundaries of the subject property parcel outlined in turquoise and the original parcel boundaries dashed in black. Source: City of Palo Alto PIM. The available permit history for 1680 Bryant Street outlines the roof being replaced in 1997 and again in 2017. However, additional alterations were identified through visual inspection during the site visit. These alterations include a tall span of glass block near the center of the rear façade (presumably infilling the location of the original hyphen), some replacement windows and/or replaced window glazing, a replacement door on the west façade, the construction of a wood arbor at the ground floor of the west façade, a roof wood box-grid roof extension at the second floor of the west façade, and installation of fencing and select paved outdoor areas. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 54  Packet Pg. 463 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 43 July 25, 2025 Finally, it must be noted that the original south volume of the 1914 residence at 275 Lowell Avenue, was demolished in 1997 for the purpose of constructing a new residence, which was built in 1998.40 Given this contextual loss, 1680 Bryant Street has not been associated with the neighboring parcel since the demolition of this building in 1997. CONSTRUCTION CHRONOLOGY The following table provides a timeline of construction activity at 1680 Bryant Street, based on building permit applications on file with the Palo Alto Development Services and building notifications posted in local newspapers. Cancelled and expired permits are not included. TABLE 1. PERMIT HISTORY FOR 1680 BRYANT STREET. May 20, 1936 Unknown Frank J. Frost Unknown unknown), designed by Aro & Okerman.41 January 26, 1937 Unknown C.L. Frost Aro & Okerman $500.”42 Location unknown. December 1945- 1946 43 Unknown Mrs. Frank J. Frost Unknown “A one-story connecting wing was bulldozed in the mid-20th century creating two separate houses.” September 1947 Unknown W.S. and R.B. Allen Unknown “Residence addition”44 November 25, 1997 97-3248 Kurt Francis Shelton Roofing Co. garage roof. July 18, 2017 17000-01673 Investments LLC GRC Roofing Inc. and apply composite shingle. 40 City of Palo Alto, Development Services, Permit #97000-00135, January 16, 1997. City of Palo Alto, Development Services, Permit #97002825B, February 18, 1998. 41 Historic Resource Board and Palo Alto Historical Association, DPR 523 Form: Haehl Residence/275 Lowell-1680 Bryant, 1978. Peninsula Times Tribune, “Building Permits,” May 20, 1936. 42 Peninsula Times Tribune, “Building Permits,” January 26, 1937. 43 Daily Palo Alto Times, “Mrs. Frost divides large house and sells half,” July 18, 1946. 44 Peninsula Times Tribune, “Five building permits issued,” September 10, 1947. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 55  Packet Pg. 464 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 44 July 25, 2025 Ownership History The following table provides a summary of the ownership history of 1680 Bryant Street, beginning with the year of construction, compiled from building permit applications and plans from the Palo Alto Development Services, newspaper articles, city directories, and other public records available through Ancestry.com. It must be clarified that Eugenia Frost maintained ownership of the south volume addressed as 275 Lowell Avenue after she demolished the one-story hyphen that connected the original dual-volume residence. She lived at 275 Lowell Avenue until at least 1950, before relocating to Santa Barbara by 1954.45 She sold the north volume, the subject property addressed as 1680 Bryant Street, to the Allen family in 1946. Therefore, the following table references the residence as a whole referred to as 275 Lowell Avenue/1680 Bryant Street until 1946 and then the north volume as the freestanding extant building at present, addressed as 1680 Bryant Street, from 1946 onwards. TABLE 2. OWNERSHIP HISTORY FOR 1680 BRYANT STREET. 275 Lowell Avenue/1680 Bryant Street 1914-1936 - Hilton H., son - Harry L., Jr., son - Veva Jane, daughter - Winifred Caldwell, companion - Yee Tom, servant 46 Harry: Mining and Civil Engineer47 275 Lowell Avenue/1680 Bryant Street 1936-1946 48 Treasurer of Standard Oil of New York, Vice- President of Guaranty Trust Co.49 45 United States Federal Census, 1950. Accessed online, www.ancestry.com. Santa Barbara City Directory, 1954. Accessed online, www.ancestry.com. 46 United States Federal Census, 1920. Accessed online, www.ancestry.com. 47 Historic Resource Board and Palo Alto Historical Association, DPR 523 Form: Haehl Residence/275 Lowell-1680 Bryant, 1978. 48 Daily Palo Alto Times, “Mrs. Frost divides large house and sells half,” July 18, 1946. 49 Historic Resource Board and Palo Alto Historical Association, DPR 523 Form: Haehl Residence/275 Lowell-1680 Bryant, 1978. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 56  Packet Pg. 465 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 45 July 25, 2025 1680 Bryant Street 1946-1954 - Peter, son - Marsha T., daughter - Susy Nakiama, helper Stanley: Import/Export Firm50 1954-1966 51 National Labor Bureau52 1680 Bryant Street 1968-at least 197653 - David B., son Clayton: Attorney at Elliott, Robertson & Rost 54 1978 Unknown 1680 Bryant Street 1997 Unknown 1680 Bryant Street 2017 Unknown SELECT OWNER AND OCCUPANT BIOGRAPHIES Harry and May Haehl (Owners & Occupants, 1914-1936) Harvey “Harry” Lewis Haehl (1876-1949) and his wife Addie May (Burrel) (1877-1962) were the first owners and occupants of the home at 1680 Bryant Street. They had two sons, Hilton H. (1908-1917) and Harry L., Jr. (1912-unknown), and a daughter Veva Jane (1912-2000). Hilton was hit and killed by a streetcar in Palo Alto in 1917.57 A native of Cloverdale, California, Haehl attended Stanford University, graduating in 1901 with a B.A. in Geology and Mining.58 After which time, he moved to San Francisco for employment with the Bay 50 United States Federal Census, 1950. Accessed online, www.ancestry.com. 51 Historic Resource Board and Palo Alto Historical Association, DPR 523 Form: Haehl Residence/275 Lowell-1680 Bryant, 1978. 52 Palo Alto Stanford Heritage, “Palo Alto Historic Buildings Inventory: 1680 Bryant Street.” Accessed online, https://www.pastheritage.org/inv/invB/Bryant/Bryant1680.html. 53 Palo Alto City Directory, 1976. Accessed online, www.ancestry.com. 54 Palo Alto Stanford Heritage, “Palo Alto Historic Buildings Inventory: 1680 Bryant Street.” Accessed online, https://www.pastheritage.org/inv/invB/Bryant/Bryant1680.html. 55 City of Palo Alto Development Services, Permit #97-3248, November 25, 1997. 56 City of Palo Alto Development Services, Permit #17000-01673, July 18, 2017. 57 Daily Palo Alto Times, “Accident Fatal to Hilton Haehl,” January 24, 1917. 58 Palo Alto Times, “Stanford University-Class of 1901,” May 31, 1901. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 57  Packet Pg. 466 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 46 July 25, 2025 City Water Company and returned to Palo Alto in 1906 upon his marriage to San Jose-native Addie May Burrell.59 Addie May Burrel went by her middle name “May.” Haehl was one of the lead engineers overseeing the design of the Carquinez Bridge and a member of the American Society of Civil Engineers.60 He also served on the board of directors of the Kings River Water Association and as a consulting engineer on “other boards throughout the San Joaquin Valley, including the Kern County Land Company, its subsidiaries and for the United States Bureau of Reclamation.”61 He was a trustee of the Palo Alto Union High School Board and a member of several other civic organizations. After moving from the house at 275 Lowell Avenue/1680 Bryant Street in 1936, the Haehls remained in Palo Alto until their deaths in 1949 and 1962, respectively. Frank and Jean Frost (Owners & Occupants, 1936-1950) Frank Jefferson Frost (November 22, 1877-April 14, 1939) was a distinguished amateur musician, philanthropist, and retired industrial executive whose legacy spanned the arts, education, and historic preservation. Born in Missouri, Frost earned his engineering degree from the University of Missouri and began his career as a mining engineer in Colorado and Montana.62 He later rose to prominent positions in the financial and industrial sectors, serving as treasurer of the Standard Oil Company of New York and as vice president of the Guaranty Trust Company. Upon retirement, Frost moved to Ojai, California, where he played a formative role in the region’s cultural life. He founded the Ojai Valley School and co-sponsored the Ojai Music Festival with Elizabeth Sprague Coolidge in 1924. His contributions to American music continued in Washington, D.C., where he founded both the National Symphony Orchestra and the Washington String Quartet. After the death of his first wife, Margaret Richardson Pratt, in 1919, with whom he had one son, Morris Pratt (1916-1990), Frost married Eugenia “Jean” Reynaud Morris (1899-1987) of Westchester, New York in 1927, after her graduation from Vassar College.63 The Frosts moved to Palo Alto in 1935 with their five children Emily Eugenia “Nemi” (1928-2014), Frank Jr. (dates unknown), Robert T.M. “Robin” (1930-2020), Anne Reynaud (1932-1976), and Mary Morris (dates unknown). After their purchase of the former Haehl Residence at 275 Lowell Avenue, Frost ordered the construction of a music studio on a portion of the property (location unknown) that became a hub of community life. 59 Peninsula Times Tribune, Personals, May 21, 1906, 6. 60 The Building Review, “Carquinez Bridge Aid to Industrial Development of Northern California,” Volume XXIII, Number 1, January 1923, 11. Accessed online, https://usmodernist.org/PCA/PCA-23-24.pdf. 61 The Fresno Bee, “Harry L. Haehl, Kings River Engineer, Dies in Palo Alto,” January 29, 1949. 62 Peninsula Times Tribune, “Death Takes Frank Frost, Generous Patron of Music,” April 15, 1939. 63 Brooklyn Eagle, “Frank Jefferson Frost Weds Manhattan Girl In Berkeley, Ca,” February 2, 1927. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 58  Packet Pg. 467 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 47 July 25, 2025 A passionate supporter of the arts, Frost was a director of the San Francisco Symphony Orchestra and a member of the Bohemian Club. He also practiced amateur lithography. Frost died suddenly of a heart attack on April 14, 1939 at the age of 62, after attending a concert by the San Francisco Symphony. Jean and their younger children stayed in the house until at least 1950, according to the Palo Alto City Directory. After which time, Jean, Frank Jr., and Robin relocated to Santa Barbara, while Nemi removed to San Francisco to attend the California School of Fine Arts and establish herself as a prominent painter.64 64 Ancestry.com, Profile for Emily Eugenia Frost. Accessed online, https://www.ancestry.com/family- tree/person/tree/77883341/person/272407813295/facts. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 59  Packet Pg. 468 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 48 July 25, 2025 EVALUATION California Register of Historical Resources The California Register of Historical Resources (California Register) is an inventory of significant architectural, archaeological, and historical resources in the State of California. Resources can be listed in the California Register through a number of methods. State Historical Landmarks and National Register-listed properties are automatically listed in the California Register. Properties can also be nominated to the California Register by local governments, private organizations, or citizens. The evaluative criteria used by the California Register for determining eligibility are closely based on those developed by the National Park Service for the National Register of Historic Places. In order for a property to be eligible for listing in the California Register, it must be found significant under one or more of the following criteria. • Criterion 1 (Events): Resources that are associated with events that have made a significant contribution to the broad patterns of local or regional history, or the cultural heritage of California or the United States. • Criterion 2 (Persons): Resources that are associated with the lives of persons important to local, California, or national history. • Criterion 3 (Architecture): Resources that embody the distinctive characteristics of a type, period, region, or method of construction, or represent the work of a master, or possess high artistic values. • Criterion 4 (Information Potential): Resources or sites that have yielded or have the potential to yield information important to the prehistory or history of the local area, California, or the nation.65 The following section examines the eligibility of 1680 Bryant Street for individual listing in the California Register. CRITERION 1 (EVENTS) The subject property at 1680 Bryant Street does not appear to be significantly associated with events that have made a demonstrable contribution to broad patterns of local, California, or national history. While the property lies within the historically significant Seale Addition (or Old Palo 65 California Office of Historic Preservation, Technical Assistance Bulletin No. 7: How to Nominate a Resource to the California Register of Historical Resources (Sacramento: California Office of State Publishing, September 4, 2001), 11. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 60  Packet Pg. 469 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 49 July 25, 2025 Alto), no compelling evidence connects the residence itself to formative developments or transformative events in Palo Alto’s social, political, or cultural life. The property’s broader neighborhood context and association with regional suburban expansion are not unique and do not elevate the property to meet Criterion 1 (Events). CRITERION 2 (PERSONS) The subject property at 1680 Bryant Street does not appear to be significant under Criterion 2 for its association with persons. While the original and other early owners held notable regional roles, such as Harry Haehl as a Bay Area civil engineer and Frank Frost as a philanthropist of the arts, neither individual has made historically significant contributions at a level sufficient to confer eligibility to their residence. Their primary achievements were not rooted in or directly associated with this property, and there is no clear indication that the residence served as the locus of any historically defining activity in their lives. Therefore, 1680 Bryant Street does not meet the eligibility requirements of Criterion 2 (Persons). CRITERION 3 (ARCHITECTURE) Originally conceived as a rare and accomplished Prairie-style design by notable Bay Area architect John Hudson Thomas, the residence at 1680 Bryant Street features Secessionist detailing and an innovative dual-family configuration. In its original state, the building represented a significant milestone in Thomas’ career and reflected broader architectural responses to the Bay Area’s rapid urbanization during the 1910s, when dual-family residences offered an elegant solution for increasing middle-class housing density while maintaining neighborhood character. 66 As noted in a 1978 DPR form, the house was considered “a superb example, even in its mutilated state, of Thomas’ ability to fuse Prairie Style, Secessionist, Craftsman, and Pueblo Revival architectural expressions.”67 However, the property has since undergone substantial physical alterations that have further compromised its integrity. The most consequential of these changes includes the demolition of the building’s south volume (at 275 Lowell Avenue) in 1997, following the earlier removal of the connecting corridor between both halves of the original residence in 1946. These and other subsequent modifications have significantly eroded the architectural coherence of Thomas’s original composition. While the extant north volume retains several notable Prairie-style features— such as its two-story horizontal massing, prominent front porch bay, and inset four-square muntins on windows and doors—it no longer fully conveys the artistic intent or design integrity required for listing in the California Register under Criterion 3 (Architecture). 66 Historic Resource Board and Palo Alto Historical Association, DPR 523 Form: Haehl Residence/275 Lowell-1680 Bryant, 1978. 67 Historic Resource Board and Palo Alto Historical Association, DPR 523 Form: Haehl Residence/275 Lowell-1680 Bryant, 1978. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 61  Packet Pg. 470 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 50 July 25, 2025 CRITERION 4 (INFORMATION POTENTIAL) The “potential to yield information important to the prehistory or history of California” typically relates to archeological resources, rather than built resources. When California Register Criterion 4 (Information Potential) does relate to built resources, it is relevant for cases when the building itself is the principal source of important construction-related information. The property does not appear to be eligible under Criterion 4 as a principal source of important construction-related information. Page & Turnbull’s evaluation of this property was limited to age-eligible resources above ground and did not involve survey or evaluation of the subject property for the purposes of archaeological information. SUMMARY OF CALIFORNIA REGISTER ELIGIBILITY The property at 1680 Bryant Street does not meet any of the criteria for individual listing on the California Register. City of Palo Alto Historic Inventory The Palo Alto Historic Inventory is the official list of sites, structures, and districts designated by the City Council as possessing significant historical and/or architectural value. Originally adopted in 1979, the following Criteria for Designation is used to designate historic structures, sites, and districts to the historic inventory: 1. The structure or site is identified with the lives of historic people or with important events in the city, state or nation; 2. The structure or is particularly representative of an architectural style or way of life important to the city, state or nation; 3. The structure or site is an example of a type of building which was once common, but is now rare; 4. The structure or site is connected with a business or use which was once common, but is now rare; 5. The architect or building was important; 6. The structure or site contains elements demonstrating outstanding attention to architectural design, detail, materials or craftsmanship.68 68 City of Palo Alto, Planning & Development Department, “Historic Registers: Legacies at All Levels.” Accessed online, https://www.paloalto.gov/Departments/Planning-Development-Services/Historic-Preservation/Historic-Registers. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 62  Packet Pg. 471 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 51 July 25, 2025 Although 1680 Bryant Street is currently included in the local inventory, the following analysis assesses its continued eligibility in light of significant changes, including the demolition of the associated building at 275 Lowell Avenue, with which it was originally listed, and the cumulative alterations to the subject property since its construction in 1914. The residence at 1680 Bryant Street was originally commissioned by Harry Haehl, a civil engineer associated with major infrastructure projects in California, including the Carquinez Bridge and water management systems in the San Joaquin Valley. It was later owned by Frank J. Frost, a prominent industrial executive and patron of the arts who played a founding role in institutions such as the National Symphony Orchestra and the Ojai Music Festival. While both men held positions of local and regional prominence, their associations with this property, though noteworthy, are not individually significant enough to meet this criterion at the local level. The residence is a locally rare example of the Prairie style, a design movement more commonly associated with the Midwest and rarely executed in Palo Alto. Its asymmetrical massing, low-pitched hipped roof with broad eaves, and applied Secessionist motifs speak to an architectural vocabulary that is unusual and sophisticated within the regional context. As such, the structure is particularly representative of a stylistic expression that is extremely rare at the local level. 1680 Bryant Street does meet the requirements of Criterion 2. Potentially designed as a dual-family residence, the house as originally designed may have reflected a transitional housing type that offered middle-class families of the early twentieth century a dignified and adaptable residential model in a suburban context. This building form, two conjoined homes with a discreet shared hyphen, is now uncommon in Palo Alto and more broadly. However, surviving north volume no longer functions in this way and therefore, is no longer able to illustrate this unusual approach to the design of a dual residence. Therefore, 1680 Bryant Street does not meet the requirements of Criterion 3. The property has been consistently used as a private residence and does not appear to have been associated with a business or other use. Criterion 4 does not apply to 1680 Bryant Street. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 63  Packet Pg. 472 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 52 July 25, 2025 The building was designed by John Hudson Thomas, a notable Berkeley-based architect whose work played a formative role in shaping the eclectic architectural character of the Bay Area. Thomas is particularly known for his fusion of Prairie, Arts & Crafts, and Secessionist design vocabularies. Although most of his known works are concentrated in the East Bay, this residence is one of two known Thomas commissions in Palo Alto, underscoring its architectural significance and satisfying this criterion. Therefore, 1680 Bryant Street does meet the requirements of Criterion 5. Despite alterations, the residence at 1680 Bryant Street retains exceptional design features that reflect a high level of architectural detailing and craftsmanship. These include its massive front porch with shallow pointed-arch opening, geometric Secessionist ornamentation, corner piers with vertical battens, carved rafter tails, and inset four-square muntins in windows and doors. The use of these details, especially in conjunction with a restrained and well-executed material palette, reflect a level of design integrity that demonstrates Thomas’ outstanding attention to architectural details and craftsmanship. Therefore, 1680 Bryant Street does meet the requirements of Criterion 6. SUMMARY OF PALO ALTO INVENTORY ELIGIBILITY AND HISTORIC CATEGORY The original evaluation of 1680 Bryant Street, documented in 1979 DPR 523 forms, identified its significance as associated with 275 Lowell Avenue for their joint original design with a fusion of “Prairie Style, Secessionist, Craftsman, and Pueblo Revival architectural expressions” and as a work by noted architect John Hudson Thomas. At the time of that evaluation, the documentation related to both 1680 Bryant Street and 275 Lowell Avenue, as two freestanding but clearly related volumes that when viewed together could still convey the original design intention of Thomas. Although physically separated, the two structures could be understood as having once been a single residence. It was for this reason that both buildings were identified as a Category 2 “Major Building” and were listed on the local inventory. The demolition and replacement of the original south volume of the residence at 275 Lowell Avenue significantly impacts the historic integrity of Thomas’ original design, and 1680 Bryant Street on its own, is unable to convey the full impact of the original sprawling Prairie design. However, 1680 Bryant Street retains a high degree of local architectural significance. It continues to convey local significance through its stylistic rarity, integrity of design elements, and association with a notable architect. 1680 Bryant Street continues to meet local Criteria 2, 5, and 6, and continues to be a historic resource eligible for the Palo Alto Historic Inventory, independent of its former association with 275 Lowell Avenue. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 64  Packet Pg. 473 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 53 July 25, 2025 1680 Bryant was listed in 1979 on the Palo Alto Inventory as a Category 2 property in association with the original (non-extant) building at 275 Lowell Avenue. Due to the demolition of 275 Lowell Avenue, the subject property is not able to meet the criteria for Category 2 listing, which includes the stipulation that “A major building may have some exterior modifications, but the original character is retained.” As the demolition of half of the original building cannot be considered a minor alteration, 1680 Bryant Street appears to be more closely aligned with the definition of a Category 3 (Contributing) building “which is a good local example of an architectural style and relates to the character of a neighborhood grouping in scale, materials, proportion or other factors. A contributing building may have had extensive or permanent changes made to the original design, such as inappropriate additions, extensive removal of architectural details, or wooden façades resurfaced in asbestos or stucco.” Although 1680 Bryant Street is a superb example of Thomas’ work melding Prairie and Secessionist architecture, the loss of its other half is an extensive and permanent change. Page & Turnbull recommends that the property is relisted on the Palo Alto Historic Inventory as a Category 3 resource. INTEGRITY In order to qualify for listing in any local, state, or national historic register, a property or landscape must possess significance under at least one evaluative criterion as described above and retain integrity. Integrity is defined by the California Office of Historic Preservation as “the authenticity of an historical resource’s physical identity evidenced by the survival of characteristics that existed during the resource’s period of significance,” or more simply defined by the National Park Service as “the ability of a property to convey its significance.” In order to evaluate whether the subject property retains sufficient integrity to convey its historic significance, Page & Turnbull used established integrity standards outlined by the National Register Bulletin 15: How to Apply the National Register Criteria for Evaluation. Seven variables, or aspects, that define integrity are used to evaluate a resource’s integrity—location, setting, design, materials, workmanship, feeling, and association. A property must possess most, or all, of these aspects in order to retain overall integrity. If a property does not retain integrity, it can no longer convey its significance and is therefore not eligible for listing in local, state, or national registers. The seven aspects that define integrity are defined as follows: Location is the place where the historic property was constructed or the place where the historic event occurred; Setting addresses the physical environment of the historic property inclusive of the landscape and spatial relationships of the building(s); Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 65  Packet Pg. 474 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 54 July 25, 2025 Design is the combination of elements that create the form, plan, space, structure, and style of the property; Materials refer to the physical elements that were combined or deposited during a particular period of time and in a particular pattern or configuration to form the historic property; Workmanship is the physical evidence of the crafts of a particular culture or people during any given period in history or prehistory; Feeling is the property’s expression of the aesthetic or historic sense of a particular period of time; and Association is the direct link between an important historic event or person and the historic property. The subject property at 1680 Bryant Street maintains integrity of location, remaining on its original site, and of setting, as the surrounding residential neighborhood and context has changed minimally. Its design and materials have been notably compromised due to the separation and later demolition of the building at 275 Lowell Avenue (which was formerly part of the original 1914 residence). Despite this loss of design and materials, 1680 Bryant Street remains highly expressive of Prairie and Secessionist stylings and of Thomas’ signature design idioms. Workmanship remains intact at the subject property, as many character-defining features of the Prairie style with Secessionist detailing remain intact, specifically its massing, original windows and doors, corner piers with vertical battens, and other simple geometric embellishments. The feeling of the property as a unified early-twentieth-century residential design is somewhat reduced, given the loss of approximately half the original structure; however, the building reads as a single-family residence, as originally intended. Similarly, the building retains a strong association with the work of Thomas and as a unique and rare example of Prairie design with Secessionist details. While cumulative changes have impacted the integrity of 1680 Bryant Street to a degree, it retains sufficient integrity of location, setting, workmanship, feeling, and association to express its local significance under Criteria 2, 5, and 6 as a Category 3 resource. CHARACTER-DEFINING FEATURES For a property to be eligible for national, state, and/or local historic designation, the essential physical features (or character-defining features) that enable the property to convey its historic identity and reason for significance must be evident. These distinctive character-defining features are the physical traits that commonly recur in property types and/or architectural styles, or that Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 66  Packet Pg. 475 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 55 July 25, 2025 convey an association with significant persons or patterns of events. Characteristics can be expressed in terms such as form, proportion, structure, plan, style, materials, and spatial relationships. To be eligible, a property must clearly contain enough of those characteristics, and these features must also retain a sufficient degree of integrity. The residence at 1680 Bryant Street retains sufficient character-defining features of the Prairie style and as a design by noted architect John Hudson Thomas, to be eligible as a Category 3 resource. These features include, but are not limited to: • Two-story height • Low, horizontal and asymmetrical massing • Low-pitch hipped roof with broad eaves and exposed, carved rafter tails • Chimneys with simple geometric embellishments • Stucco cladding with recessed and wood-trimmed openings • Multi-lite wood sash and paired casement windows o Muntins with an inset four-square pattern at the outer rail are seen in both sash and casement units as well as at a rear French door and a second-floor sliding glass door. • Substantial front porch volume with a deeply recessed entrance o Shallow pointed-arch opening o Supporting piers exhibit simple geometric embellishments and reliefs • Massive, rectangular corner piers with vertical wood battens atop stuccoed trapezoidal brackets • Grouped pyramidal reliefs, usually centered over openings • Semicircular driveway • Wood gate with cutout square design • Garage constructed in a matching style with stucco cladding, projecting corner piers, original windows, and grouped pyramidal relief decoration. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 67  Packet Pg. 476 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 56 July 25, 2025 CONCLUSION Based on historical evidence and field evaluation, while 1680 Bryant Street does not appear eligible for individual listing in the California Register of Historical Resources under any criteria, the property does appear to retain adequate integrity and significance to remain listed on the Palo Alto Historic Inventory. The residence continues to retain an adequate level of local significance as a rare and superb local example of Prairie-style design with Secessionist stylistic elements designed by noted regional architect John Hudson Thomas. While the building does not meet the criteria for a Category 2 building due to the demolition of the adjacent building at 275 Lowell Avenue, this evaluation supports the reclassification of 1680 Bryant Street as a Category 3 resource on the City of Palo Alto Historic Inventory. This would reflect its continued significance as an important architectural work, although at a lower level of overall historic integrity related to the loss of its original other half. As a listed historic resource on a local historic inventory, 1680 Bryant Street would be considered a historical resource for the purposes of CEQA. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 68  Packet Pg. 477 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 57 July 25, 2025 REFERENCES Published Works & Reports Beach, John. “The Bay Area Tradition, 1890–1918.” In Bay Area Houses, edited by Sally B. Woodbridge, 23–98. New York: Oxford University Press, 1976. California Office of Historic Preservation. Technical Assistance Bulletin No. 7: How to Nominate a Resource to the California Register of Historical Resources. Sacramento: California Office of State Publishing, September 4, 2001. California Office of Historic Preservation. Technical Assistance Bulletin No. 8: User’s Guide to the California Historical Resource Status Codes & Historic Resources Inventory Directory. Sacramento: California Office of State Publishing. November 2004. City of Berkeley. “List of Designated City Landmarks, Structures of Merik & Historic Districts,” updated January 2023. Accessed online, https://berkeleyca.gov/sites/default/files/2022- 04/List-of-Designated-Landmarks.pdf. Dames & Moore, Michael Corbett, and Denise Bradley. “Final Survey Report – Palo Alto Historic Survey Update: August 1997-August 2000.” Prepared for the City of Palo Alto Planning Division, February 2001. Gebhard, David. Bay Area Houses. Edited by Sally B. Woodbridge. New York: Oxford University Press, 1976. Gebhard, David, David Bricker, and Lauren Bricker. A Catalogue of the Architectural Drawing Collection: The University Art Museum, University of California, Santa Barbara. Vol. II. Santa Barbara: University of California, 1983. Gebhard, David, Roger Montgomery, Robert Winter, John Woodbridge, Sally Woodbridge, and Eric Sandweiss. The Guide to Architecture in San Francisco and Northern California. Salt Lake City: Gibbs M. Smith Inc., Peregrine Smith, 1985. Historic Environment Consultants. “Historical and Architectural Resources of the City of Palo Alto: Inventory and Report,” February 1979. Mallgrave, Harry Francis. Modern Architectural Theory: A Historical Survey, 1673–1968. Cambridge: Cambridge University Press, 2005. McNamara, Andrew, and Ann Stephen. “Modernism in the Southern Hemisphere.” Fabrications 12, no. 1 (2002). National Park Service. National Register Bulletin 15: How to Apply the National Register Criteria for Evaluation. Washington, D.C.: U.S. Department of the Interior, National Park Service, 1995. Olbrich, Joseph Maria. Die Architektur der Secession. Darmstadt: Alexander Koch, 1904. Smith, Thomas Gordon. John Hudson Thomas and the Progressive Spirit in Architecture, 1910–1920. Master’s thesis, University of California, Berkeley, 1975. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 69  Packet Pg. 478 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 58 July 25, 2025 Winslow, Ward and Palo Alto Historical Association. Palo Alto: A Centennial History (Palo Alto, CA: Palo Alto Historical Association, 1993). Witt-Dörring, Christian. Josef Hoffmann: Interiors 1902–1913. New York: Neue Galerie, 2006. Newspapers & Periodicals Brooklyn Eagle. “Frank Jefferson Frost Weds Manhattan Girl In Berkeley, Ca,” February 2, 1927. Daily Palo Alto Times. “Accident Fatal to Hilton Haehl,” January 24, 1917. ———. “Mrs. Frost divides large house and sells half,” July 18, 1946. Harris Allen, “The Evolution of a College Town,” The Building Review, Volume XIX, Number 5, May 1921, 84-85. Accessed online, https://usmodernist.org/PCA/PCA-19-20.pdf. Palo Alto Times. “Stanford University-Class of 1901,” May 31, 1901. Peninsula Times Tribune. Personals, May 21, 1906. ———. “Building Permits,” December 18, 1936. ———. “Building Permits,” January 26, 1937. ———. “Death Takes Frank Frost, Generous Patron of Music,” April 15, 1939. ———. “Five building permits issued,” September 10, 1947. The Building Review, “Carquinez Bridge Aid to Industrial Development of Northern California,” Volume XXIII, Number 1, January 1923, 11. Accessed online, https://usmodernist.org/PCA/PCA-23- 24.pdf. The Fresno Bee. “Harry L. Haehl, Kings River Engineer, Dies in Palo Alto,” January 29, 1949. Wright, Frank Lloyd. “A Fireproof House for $5000.” Ladies’ Home Journal, April 1907. Public Records Bay Area Census. “City of Palo Alto, Santa Clara County.” Accessed online, http://www.bayareacensus.ca.gov/cities/PaloAlto50.htm. California State Office of Historic Preservation, Built Environment Resource Directory (BERD), Santa Clara County, updated September 2022. City of Berkeley, “Laura Belle Marsh Kluegel House.” Accessed online, https://berkeleyheritage.com/berkeley_landmarks/kluegel/kluegel_application.html. City of Palo Alto. Comprehensive Plan 2030 (adopted by City Council, November 13, 2017). Accessed online, https://www.cityofpaloalto.org/civicax/filebank/documents/62915. City of Palo Alto Property Information Map (PIM). Accessed online, https://opengis.cityofpaloalto.org/parcelreports/. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 70  Packet Pg. 479 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 59 July 25, 2025 City of Palo Alto, Development Services. Permit records for 1680 Bryant Street and 275 Lowell Avenue, multiple dates. Historic Resource Board and Palo Alto Historical Association, DPR 523 Form: Haehl Residence/275 Lowell-1680 Bryant, 1978, revised 1981 and 1985. National Register of Historic Places. Loring House (Berkeley, CA). Nomination prepared by Anne B. Bloomfield. Washington, D.C.: U.S. Department of the Interior, National Park Service, 1989. ———. Locke House (Oakland, CA). Nomination prepared by Margo M. Noble. Washington, D.C.: U.S. Department of the Interior, National Park Service, 1988. Internet Sources City of Palo Alto, Planning & Development Department. “Historic Registers: Lagacies at All Levels.” Accessed online, https://www.paloalto.gov/Departments/Planning-Development- Services/Historic-Preservation/Historic-Registers. Hewn and Hammered. “John Hudson Thomas.” Accessed online, https://web.archive.org/web/20160317092112/http://www.hewnandhammered.com/hewn_a nd_hammered/2007/08/john-hudson-tho.html#/. Pacific Coast Architecture Database, “John Hudson Thomas (Architect).” Accessed online, https://pcad.lib.washington.edu/person/808/. Palo Alto City Directory, multiple years. Accessed online, www.ancestry.com. Palo Alto Stanford Heritage, “Palo Alto Historic Buildings Inventory: 1680 Bryant Street.” Accessed online, https://www.pastheritage.org/inv/invB/Bryant/Bryant1680.html. Scribd. “John Hudson Thomas Self-Guided Tour,” 1979. Accessed online, https://www.scribd.com/doc/13654028/John-Hudson-Thomas-Self-Guided-Tour-1979-of-7- Berkeley-House. United States Federal Census, multiple years. Accessed online, www.ancestry.com. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 71  Packet Pg. 480 of 637  Historic Resources Evaluation (HRE) 1680 Bryant Street [24402.05] Palo Alto, CA PAGE & TURNBULL 60 July 25, 2025 APPENDICES Appendix A – Preparer Qualifications This Historic Resource Evaluation was prepared by Page & Turnbull of San Francisco, California. Page & Turnbull staff responsible for this report include: Christina Dikas, Principal-in-charge; Barrett Reiter, Cultural Resources Planner, project manager; and Maggie Nicholson, Cultural Resources Planner, primary author, all of whom meet or exceed the Secretary of the Interior’s Professional Qualification Standards for Historic Architecture, Architectural History, or History. Item 25 Attachment D - Historic Evaluation by Page & Turnbull        Item 25: Staff Report Pg. 72  Packet Pg. 481 of 637  City Council Staff Report Report Type: ACTION ITEMS Lead Department: Transportation Meeting Date: December 15, 2025 Report #:2512-5637 TITLE Review and Selection of the Locally Preferred Alternative (LPA) to proceed with 15% design and Prepare CEQA and NEPA Documentation for the Grade Separations at Churchill Avenue, Meadow Drive, and Charleston Road Crossings; CEQA status – CEQA and NEPA will be conducted on this project as part of the upcoming scope of work. BACKGROUND This item is a continuation of Agenda Item Number 1 on the City Council December 10, 2025 agenda. The report for this item can be found here under Agenda Item Number 1 here: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=18178 On December 10, 2025, Council will receive staff presentation(s) and Public Testimony; this item continued to the December 15, 2025 City Council meeting is for, as needed, Council discussion, deliberation and action – No Public Testimony will be heard on December 15, 2025. APPROVED BY: Ria Hutabarat Lo, Chief Transportation Official Item 26 Item 26 Staff Report        Item 26: Staff Report Pg. 1  Packet Pg. 482 of 637  City Council Staff Report From: City Manager Report Type: INFORMATION REPORTS Lead Department: Planning and Development Services Meeting Date: December 15, 2025 Report #:2510-5386 TITLE Feasibility of Marketing Different Housing Typologies without On-Site Parking (2023-2031 Housing Element Program 3.9(B)). CEQA Status: Exempt under CEQA Guidelines Section 15378. RECOMMENDATION This is an informational report, and no Council action is required. EXECUTIVE SUMMARY The City of Palo Alto’s 2023-2031 Housing Element (Housing Element) includes Program 3.9(B), requiring staff to conduct outreach concerning the “feasibility of marketing different housing typologies without on-site parking (paid through in-lieu fee) and implications to City parking resources,” and present findings to the City Council by December 31, 2025. This informational report summarizes the outreach and analysis for Program 3.9(B) (Attachment A). The program also requires that amendments to the Palo Alto Municipal Code (PAMC) directed as a result of this Program be adopted by December 31, 2026. Because State law (including AB 2097) eliminates minimum parking requirements within ½ mile of major transit stations, the City cannot impose or rely on residential parking in-lieu fees in areas where Program 3.9(B) was intended to apply. As a result, staff do not recommend any amendments to the PAMC related to Program 3.9B. This reports fulfills the City’s obligations under Program 3.9(B), and related, though separate, parking policy work is expected to continue as part of broader mobility and parking management efforts beginning in 2026. BACKGROUND The City’s Housing Element contains a number of programs intended to increase housing supply, including Programs 3.1 through 3.9, intended to remove existing potential constraints to residential development. Program 3.9 considers the constraints impacting the conversion of Item A Item A Staff Report        Item A: Staff Report Pg. 1  Packet Pg. 483 of 637  commercial uses to mixed-use residential development. The program is based on the tenets that: Mixed-use projects are a more efficient use of land and can make housing development more profitable and therefore more likely to be constructed and are appropriate in certain areas. Mixed-use development downtown or near high quality transit and rail service can enhance the local economy and support small businesses. The City’s jobs/housing balance can be improved by encouraging mixed-used residential development over commercial development. Palo Alto will implement development standards that incentivize greater housing production and temper the strong market demand for commercial development. ANALYSIS State Law (namely Assembly Bill [AB] 2097 adopted in 2022) precludes the City from enforcing minimum parking requirements near the Downtown and California Avenue Item A Item A Staff Report        Item A: Staff Report Pg. 2  Packet Pg. 484 of 637  Caltrain stations for most uses, including residential development. Because in-lieu fees must be tied to a minimum parking requirement that is being waived, AB 2097 also eliminates the legal basis for imposing parking in-lieu fees in these transit-rich locations. If residential developers voluntarily elected to pay a fee to obtain off-site parking spaces or the City implemented a new parking impact fee, the existing commercial in-lieu fee of $130,823 per space for non-residential development would be cost-prohibitive and infeasible for residential projects. On-site parking is still the norm for multi-family and mixed-use developments along the Peninsula. Generally, 1 to 1.2 spaces per unit is the minimum typically required by lenders, investors and developers. There is support among developers for eliminating or reducing parking requirements beyond what is prescribed in State law to allow the market to determine appropriate parking needs, however, because State law already eliminates most residential parking minimums near transit, any further reductions would apply only in areas where justifying such reductions is more challenging. Furthermore, there are existing measures developers can take to request a site-by-site parking reduction if warranted (e.g., State Density Bonus Law concessions or objective parking reductions). Some stakeholders believe that potential tenants will self-select, for example, residents who do not own cars will choose to live in units that do not have a parking space. Other stakeholders believe that, especially given high rents and amenities of units in Palo Alto, a parking space is required and expected as part of a unit. According to property managers, units that do not have any parking can be difficult to lease. Consider a parking impact fee, or other fees or regulations to support alternative modes of transportation, such as walking, biking, and transit, instead of parking in-lieu fees in areas within ½ mile of the transit stations. Item A Item A Staff Report        Item A: Staff Report Pg. 3  Packet Pg. 485 of 637  Consider a lower parking fee for residential developments if underutilized space in City lots and garages can be identified for such a purpose. Once completed, staff could monitor the City’s California Avenue and Downtown Automated Parking Guidance Systems (APGS) to identify if there are excess parking spaces which could be set aside for permit parking. Consider in which instances off-site parking may be in the interest of both the developers and residents (existing and future) in targeted locations. Off-site parking may be viable for some developers and some projects (e.g., smaller projects, missing middle projects), but would need to be provided within a block or two of a project site. Off-site parking facilities would need to be available at occupancy to address tenants’ needs and community concerns about spillover. Consider when on-site parking may not be desirable for the community on smaller or mid-block projects in pedestrian oriented commercial areas; due to the addition of more curb cuts and traffic crossing pedestrian sidewalks and bike lanes. Consider funding of bicycle and pedestrian improvements (as identified in the City’s Comprehensive Plan and Bicycle Pedestrian Transportation Plan) and transportation demand management measures by either the City or private developers to encourage households to shift away from reliance on personal vehicles, reducing the long-term need for parking. While some relatively minor changes could be made at this time to City policies or ordinances to further reduce parking requirements for residential development, the most appropriate locations to consider initially are transit rich areas where State Law already supersedes local zoning requirements. The downtown area would be appropriate to consider broader, holistic parking demand management solutions as part of a future policy review. OOT staff expects to begin discussions in 2026 concerning potential parking policy changes that may address current challenges. This work is expected to consider parking issues for businesses and visitors, and future resident parking options might also be included. These discussions will incorporate a more contemporary understanding of how parking demand works, including how excessive parking resources induce vehicle miles traveled (VMT), traffic congestion, and car dependency. Potential topics include opening up City parking resources to wider paid use cases, including long-term residential tenant leases of public parking, which could support housing affordability, how parking cash out programs could fund transportation demand management (TDM) and active transportation priorities, and how trip generation fees could be assessed to support mobility programs rather than parking capital projects. Additionally, Planning and Development Services staff will monitor applications from developers who are either exempt from or request a waiver from PAMC parking minimums to determine if there are market trends where future code amendments may be warranted. Item A Item A Staff Report        Item A: Staff Report Pg. 4  Packet Pg. 486 of 637  FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item A Item A Staff Report        Item A: Staff Report Pg. 5  Packet Pg. 487 of 637  www.lexingtonplanning.com MEMORANDUM Date: November 26, 2025 From: Jean Eisberg To: Planning and Development Services, City of Palo Alto Subject: Housing Element Implementation – Task 3.9B Parking Research PURPOSE This memo provides background research and summary of stakeholder interviews to support the following Housing Element program (3.9B): B. Conduct outreach with home builders and other stakeholders regarding the feasibility of marketing different housing typologies without on-site parking (paid through in-lieu fee) and implications to City parking resources; present findings to the City Council with options on how to proceed, including extension of the University Ave In-Lieu Parking program to residential projects and creation of an in-lieu parking program for the California Avenue area. SUMMARY The project team conducted a review of applicable Palo Alto parking programs, requirements, and reports, as well as State Law, to understand the existing parking situation, with a focus on the transit- rich areas of Downtown and California Avenue. Additionally, the project team conducted stakeholder interviews to understand public perception of parking in Palo Alto. The below findings and analysis are based on current practices, which could change in the future. Palo Alto’s Office of Transportation (OOT) is tasked with beginning a public conversation in fiscal year 2025-2026 concerning potential parking policy changes available to the City, and how such changes might impact current parking concerns primarily for businesses and visitors, however future resident parking options might also be included. Key findings are as follows: • State Law (namely Assembly Bill [AB] 2097) precludes the City of Palo Alto (City) from enforcing minimum parking requirements in Downtown and California Avenue for most uses. As a result, it also prevents the City from assessing parking in-lieu fees within 1/2 mile Item A Attachment A - Housing Element Program 3.9B Parking Research and Analysis Memorandum        Item A: Staff Report Pg. 6  Packet Pg. 488 of 637  2 of major transit locations (i.e., Downtown and California Avenue Caltrain stations). The City could instead consider a parking impact fee, or other fees or regulations to support alternative modes of transportation, such as walking, biking, and transit. • Off-site parking may be viable for some developers and some projects (e.g., smaller projects, missing middle projects), but would need to be provided within a block or two of a project site. Sufficient off-site parking facilities would need to be available to address: (1) tenants’ needs; and (2) community concerns including both spillover parking and use of the City’s residential permit parking program by residents in new developments. • If residential developers voluntarily elected to pay an in-lieu fee to obtain off-site parking spaces, or the City implemented an impact fee, the existing fee of $130,823 per space for non-residential development would be too expensive to be feasible. • Some stakeholders believe that potential tenants will self-select—i.e., residents who do not own cars will choose to live in units that do not have a parking space. Other stakeholders believe that—especially given high rents and amenities of units in Palo Alto—a parking space is required and expected as part of a unit. According to property managers, units that do not have any parking can be difficult to lease in Palo Alto. • Stakeholders support eliminating or reducing parking requirements to allow the market to determine appropriate parking needs. Generally, 1 to 1.2 spaces per unit is the minimum required by developers and investors based on developer feedback. • From an urban design perspective and alternative transportation advocate’s perspective, on- site parking may not be desirable. Additional curb cuts degrade the pedestrian experience, can be especially challenging for small sites and mid-block locations where parking garage circulation is tight. ANALYSIS State Law Context State law limits the City’s ability to enforce its minimum residential parking standards—and in turn in-lieu fees—for housing projects close to major transit stops and for affordable housing projects. A developer would have to specifically want and request off-site parking and/or voluntarily pay into a parking district to obtain off-site parking spaces. AB 2097 (Gov. Code Section 65863.2) enables 100% reductions in required parking spaces for most residential and commercial uses within 1/2-mile of the three Caltrain stations, as shown in Figure 1 below. AB 2097 also applies in locations with intersecting bus lines with service at least every 20 minutes during peak commute hours. Item A Attachment A - Housing Element Program 3.9B Parking Research and Analysis Memorandum        Item A: Staff Report Pg. 7  Packet Pg. 489 of 637  3 Figure 1: AB 2097 Applicability in Palo Alto Source: City Council Staff Report Attachment B, August 12, 2024: https://cityofpaloalto.primegov.com/api/compilemeetingattachmenthistory/historyattachment/?historyId=9c8478b3- 8641-4b68-b55d-adab62632f8e Item A Attachment A - Housing Element Program 3.9B Parking Research and Analysis Memorandum        Item A: Staff Report Pg. 8  Packet Pg. 490 of 637  4 Figure 2: Downtown Parking District Boundaries Source: City of Palo Alto. Item A Attachment A - Housing Element Program 3.9B Parking Research and Analysis Memorandum        Item A: Staff Report Pg. 9  Packet Pg. 491 of 637  5 In Downtown Palo Alto, AB 2097 applies to nearly the entire Downtown Parking Assessment District, as shown in Figure 2 above. The exception is a few parcels between Tasso and Webster Streets at the far east end of the District. As a result, most multifamily housing projects would already be exempt from the City’s minimum parking requirements and can therefore choose the amount of parking to provide or whether to provide parking at all. In other words, such projects would not be required to pay an in-lieu fee, except in the small area outside of the ½-mile boundary. Senate Bill (SB) 35 provides alternate parking requirements for housing projects with a certain amount of affordable housing (currently 50% in Palo Alto). It sets a maximum of one space per dwelling unit, but requires no parking if the project meets certain standards, including but not limited to: • The development is located within 1/2 mile of public transit (including bus stops); • The development is located within an historic district, such as the Professorville and Ramona Street Historic Districts; or • On-street parking permits are required but not offered to the occupants of the development. Similar to AB 2097, these provisions of SB 35 would preclude the City from requiring an in-lieu fee payment for off-site spaces within 1/2 mile of major transit. A developer would need to choose to pay into a parking district to park off-site because it is too expensive or physically infeasible to locate parking on-site. Stakeholder Feedback Feedback from five stakeholders, including residential developers, property managers, and a housing and transportation advocate, is summarized below. In total, these developers/property managers manage hundreds of units in Palo Alto, and have thousands of units proposed within Palo Alto. Stakeholders generally support reduced parking minimums. Eliminating or reducing residential parking requirements allows the market to determine the appropriate parking requirement for a given project. Generally, developer stakeholders indicated that a ratio of 1 to 1.2 spaces per unit is the rule of thumb to meet tenant demand and investors’ expectation. By comparison, for multi- family housing units, the City’s zoning ordinance requires a minimum of 1 space per studio/1- bedroom unit and 2 spaces per 2-bedroom unit or larger. According to developer stakeholders, in a suburban location like Palo Alto, investors will not finance a project with a parking ratio of less than one space per unit, especially for ownership units and even in locations near transit or other modes of travel. Perspectives on alternative parking strategies are mixed. Parking stackers can be a good way to fit more parking, but decision-makers and community members have expressed concerns. Some developers are concerned about whether stackers actually get used by tenants, but others think they are a great option. Educating decision-makers and community Item A Attachment A - Housing Element Program 3.9B Parking Research and Analysis Memorandum        Item A: Staff Report Pg. 10  Packet Pg. 492 of 637  6 members through videos or site visits to completed projects in the region to see how stackers operate could be a way to improve understanding about these options. Similarly, there was mixed support for residential permit parking programs. Stakeholders generally acknowledge the sensitivity among existing residents about street parking and the potential for “spillover” of parking into existing neighborhoods. Developer stakeholders see providing sufficient parking on-site as a way to address those concerns during entitlement. Off-site parking within a block or two of a project site could work, but is less desirable according to developer stakeholders, especially given high rent levels in Palo Alto. Some developers indicated that for small lots and small projects (e.g., 4-10 units), off-site parking may be viable since it’s just a few cars. Others indicated that there may be a missing middle market of residents who are willing to park off-site in exchange for more modest rent levels for units that do not come with parking. The market for housing without parking/tenants without cars is unclear. Stakeholders provided a range of feedback regarding whether or not the market would support housing without parking. Some stakeholders believe that potential tenants will self-select—i.e., residents who do not own cars will choose to live in units that do not have a parking space. Some stakeholders believe that the market for housing without parking will improve over time, as tenants have access to shared driverless vehicles among other advanced technologies. Some project proponents are trying to be more forward looking now to attract a more missing middle housing market of residents who are willing to forego a nearby parking space, and potentially vehicle ownership, in exchange for reduced rent. Other stakeholders believe that—especially given high rents and amenities of units in Palo Alto—a parking space is required and expected as part of a unit. Units that do not have any parking can be difficult to lease. One stakeholder looked up the data on residents in Palo Alto who own cars and found that their database shows that over 98% of their tenants own at least one vehicle. According to the City’s Rental Registry database for FY24-25, of the 7,653 registered rental units in the City, over 90% of units offered parking on-site and included parking in the monthly rent amount. This finding does not necessarily correlate with car ownership, but one can conclude that parking is a typical amenity provided with rental housing. Moreover, stakeholders did not believe that the types of housing affected these findings that parking is an expected amenity. There are parking demands for both ownership and rental units, market rate and affordable units, and units geared toward young professionals vs. families. Rental and affordable units tend to have larger household sizes and may have more vehicles per household. There was generally a sense among developers that even if residents only use their vehicles on the weekends, they still have vehicles that need to be parked somewhere. In Downtown, near Caltrain and close to Stanford campus, parking demand may be lower, but a minimum 1:1 ratio is still appropriate. Item A Attachment A - Housing Element Program 3.9B Parking Research and Analysis Memorandum        Item A: Staff Report Pg. 11  Packet Pg. 493 of 637  7 Development typologies with no parking are common in highly urban areas and strong student housing markets. Developers are building multifamily without parking spaces in certain markets of the Bay Area. However, according to developer stakeholders, more suburban conditions in Palo Alto do not support these types of developments. The images represent two recent housing developments on small lots (< 5,000 sq. ft.) that contain no parking spaces. Located in Downtown Berkeley, these developments are walkable, near bus and rail lines, and target students (i.e., studios with built-in furniture). The current in-lieu fee, assessed on commercial developers, may be too high for residential developers. The FY24-25 Parking In-Lieu Fee for Downtown Assessment District is $130,823.17 per space. This generally exceeds the cost of constructing a parking space, which is roughly $80,000 to $100,000 per space, for at-grade structured and underground, respectively, according to stakeholders. The City can impose an impact fee in an amount below the actual cost to construct new parking and fund the balance of the cost through operating revenues (permits or leases), but the fee amount still needs to be financially feasible. The fee assessed on non-residential projects is unlikely to be viable for residential projects, especially since it is less attractive than having access to a space on-site. There is a sense that fees are already high and that projects cannot take on more fees. Mountain View and Redwood City allow residential projects to make fee payments in-lieu of providing parking in the Downtown Zones. However, these cities are also subject to AB 2097 given the proximity of their downtowns to transit and therefore may no longer require those fees. Still, Mountain View’s fee is substantially lower at $64,472 per space. There was somewhat more support among stakeholders for off-site parking in existing garages as opposed to funding in-lieu fees for future parking supply. Item A Attachment A - Housing Element Program 3.9B Parking Research and Analysis Memorandum        Item A: Staff Report Pg. 12  Packet Pg. 494 of 637  8 Fees to support alternative modes of transportation as an alternative. Additionally, some stakeholders suggested that in-lieu fees could instead be used to support transportation demand management (TDM) measures or other related transportation improvements within the vicinity of a project site. Such alternative transportation strategies could better support tenants who do not own cars to encourage alternative modes of travel. Some stakeholders believe there may be less need for parking in the future as alternative modes increase and technologies improve. Stakeholders agree that on-site parking is expensive and drives site planning and reduces the number of units achievable on a site. Finding ways to reduce on-site parking supplies can make room for more housing units. CONCLUSION AND RECOMMENDATIONS In conclusion, based on feedback from developer stakeholders, at present the market is unlikely to bear housing development projects without parking, even in locations near transit. In the future, with mode share shifts, availability of shared and autonomous vehicles, and expansion of transportation alternatives, this trend could change and projects with reduced or no parking could be viable as way to lower construction costs and in turn rental rates. To monitor these trends over time the City could: • Monitor parking levels for projects approved within ½ mile of major transit. Identify parking ratios for housing projects approved within and outside areas where AB 2097 applies. Determine whether projects are choosing to use AB2 097 parking exemptions or whether they are building on-site parking consistent with anticipated tenant demand. Compare parking ratios approved for individual projects to the City’s minimum parking requirements to identify potential changes to City standards. • Monitor parking garage usage. Once completed, monitor the City’s California Avenue and Downtown Automated Parking Guidance Systems (APGS) to identify if there are excess parking spaces which could be set aside for permit parking. This memo concludes that expanding parking districts to residential uses is not viable in Downtown and California Avenue given AB 2097 exemptions which prevent the City from collecting residential parking fees in-lieu of on-site parking. Instead, the City could consider other impact fees and/or transportation demand management (TDM) measures as part of holistic parking policies considered by the OOT, which continue to make alternative modes easier to choose and use, and in turn may reduce on-site parking demand. • Consider assessing transportation impact fees and expanding TDM: The more that the City is able to fund and construct bicycle and pedestrian facilities identified in the Comprehensive Plan and Bicycle and Pedestrian Transportation Plan, the more one can expect community members to shift at least some trips to alternative transportation modes. Likewise, as TDM measures fund free transit passes and public transit reliability and speeds improve, transit ridership may expand as well. However, any new fee or requirements will need to balance these potential benefits against effects on financial feasibility. At present, Item A Attachment A - Housing Element Program 3.9B Parking Research and Analysis Memorandum        Item A: Staff Report Pg. 13  Packet Pg. 495 of 637  9 commercial development is likely to be able to bear additional development costs, but housing development—especially rental housing—may not. Over time, these mode shifts may reduce the need for car ownership and therefore reduce demand for on-site parking spaces. Item A Attachment A - Housing Element Program 3.9B Parking Research and Analysis Memorandum        Item A: Staff Report Pg. 14  Packet Pg. 496 of 637  City Council Staff Report From: City Manager Report Type: INFORMATION REPORTS Lead Department: Utilities Meeting Date: December 15, 2025 Report #:2509-5161 TITLE Informational Report on the Annual Review of the City’s Renewable Procurement Plan, Renewable Portfolio Standard Compliance, and Carbon Neutral Electric Supplies for 2024 RECOMMENDATION This is an informational report and no action is requested. EXECUTIVE SUMMARY Like all electric utilities in California, Palo Alto is subject to the state’s Renewable Portfolio Standard (RPS) mandate of 60% by 2030. The City has also adopted a Carbon Neutral Plan, which led to the achievement of a carbon neutral electric supply portfolio starting in 2013 (and which was updated by Council in August 2020). In 2011, in compliance with state RPS regulations, the Council also formally adopted an RPS Procurement Plan and an RPS Enforcement Program that recognize certain elements of the state’s RPS law applicable to publicly-owned utilities. The RPS Enforcement Program requires the City Manager, or their designee, the Utilities Director, to conduct an annual review of the Electric Utility’s compliance with the procurement targets set forth in the City’s RPS Procurement Plan. This staff report satisfies the reporting requirements of the City’s RPS Enforcement Program, while also providing an update on the City’s compliance with the Carbon Neutral Plan. The City continues to meet both its RPS and Carbon Neutral Plan objectives—even after selling about 162,000 MWh of renewable energy in 2024. BACKGROUND The City currently has two independent procurement targets related to renewable and carbon neutral electricity: RPS Procurement Plan (60% by 2030): The City’s official renewable electricity goal is contained in the RPS Procurement Plan that the City adopted pursuant to Section Item B Item B Staff Report        Item B: Staff Report Pg. 1  Packet Pg. 497 of 637  399.30(a) of California’s Public Utilities Code. This was adopted in December 2011 (Staff Report 22251, Resolutions 92142 and 92153) and updated in November 2013 (Staff Report 41684, Resolution 93815), December 2018 (Staff Report 97616, Resolution 98027), and December 2020 (Staff Report 116508, Resolution 99299). The last update to the RPS Procurement Plan brought it into alignment with the state’s 60% RPS requirement (SB 100), which was signed into law in 2018. The RPS Procurement Plan and RPS Enforcement Program complement each other: the Procurement Plan establishes official procurement targets, while the Enforcement Program specifies the reporting and monitoring that is required of the Utilities Director while working to achieve those targets. 1 City Council, Staff Report 2225, December 12, 2011, Adoption of Two Resolutions Adopting a Program for Enforcement of the City’s Renewable Portfolio Standards Program and a Renewable Energy Resources Procurement Plan: https://www.cityofpaloalto.org/files/assets/public/v/1/from-archive/agendas-minutes-reports/reports/city- manager-reports-cmrs/2011/final-staff-report-id-2225-renewable-energy-procurement-enforcement-prog-12-12- 11.pdf 2 City Council, Resolution 9214, December 12, 2011: https://www.cityofpaloalto.org/files/assets/public/v/1/city- clerk/resolutions/reso-9214.pdf 3 City Council, Resolution 9215, December 12, 2011: https://www.cityofpaloalto.org/files/assets/public/v/1/city- clerk/resolutions/reso-9215.pdf 4 City Council, Staff Report 4168, November 12, 2013, Recommendation that the City Council Adopt a Resolution Amending the City’s Renewable Energy Resources Procurement Plan in Compliance with the California Energy Commission's Enforcement Procedures for the Renewables Portfolio Standard for Local Publicly Owned Electric Utilities: https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes-reports/reports/city-manager- reports-cmrs/year-archive/2013/final-staff-report-id-4168_rps-procurement-plan-update.pdf 5 City Council, Resolution 9381, November 12, 2013: https://www.cityofpaloalto.org/files/assets/public/v/1/city- clerk/resolutions/reso-9381.pdf 6 City Council, Staff Report 9761, December 3, 2018, Finance Committee Recommendation that the City Council 1) Adopt a Resolution Approving the 2018 Electric Integrated Resource Plan (EIRP), Updated Renewable Portfolio Standard Procurement Plan and Enforcement Program, and 2) Approve Two EIRP Planning Documents: https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes-reports/reports/city-manager-reports- cmrs/year-archive/2018/final-staff-report-id9761_approval-of-the-2018-electric-integrated-resource-plan-and- related-documents.pdf 7 City Council, Resolution 9802, Dec 3, 2018: https://www.cityofpaloalto.org/files/assets/public/v/1/city- clerk/resolutions/reso-9802.pdf?t=40498.07 8 City Council, Staff Report 11650, December 7, 2020, Adoption of a Resolution Approving the Updated Renewable Portfolio Standard Procurement Plan and Enforcement Program: https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes-reports/reports/city-manager-reports- cmrs/year-archive/2020-2/id-11650.pdf?t=41063.12 9 City Council, Resolution 9929, December 7, 2020: https://www.cityofpaloalto.org/files/assets/public/v/1/city- clerk/resolutions/resolutions-1909-to-present/2020/reso-9929.pdf Item B Item B Staff Report        Item B: Staff Report Pg. 2  Packet Pg. 498 of 637  Carbon Neutral Plan (100% Carbon Neutral Electricity): The Carbon Neutral Plan was adopted in March 2013 (Staff Report 355019, Resolution 932220) and updated in August 2020 (Staff Report 1155621, Resolution 991322) and requires that the City procure a carbon neutral electric supply portfolio starting in calendar year (CY) 2013. In general, this goal has been achieved primarily through purchases made under the City’s long-term renewable power purchase agreements (PPAs) and output from its hydroelectric resources. However, when the City Council approved an update to the Carbon Neutral Plan in August 2020, they also approved a new procurement strategy (the REC Exchange Program) whereby the City does not keep all of the output of its long-term, in-state PPAs, but instead exchanges that output for less expensive out-of-state renewable generation. The Council also directed that a portion of the proceeds from the electric utility’s cap- and-trade allowance revenues (equivalent to one-third of the net revenue from the REC Exchange Program) be used for funding local decarbonization programs and the remainder going toward rate reduction. In December 2022 (Staff Report 1473523), Council reauthorized the REC Exchange Program, and directed that an amount equal to all the net proceeds from the exchanges be utilized from electric cap-and-trade revenues to fund local decarbonization programs. ANALYSIS The City continues to meet its objectives under the RPS Procurement Plan and the Carbon Neutral Plan, and achieved an RPS level of 45.6% in 2024. This value is slightly above of the state’s 44% RPS procurement “soft target” for the year. Additionally, the City was compliant with the state RPS procurement mandate, which is evaluated over a multi-year horizon (2021-2024 in this case). The City continues to hold more than enough RPS supplies under contract to satisfy the state’s target levels in the coming years. Below is a summary of CPAU’s progress toward satisfying its renewable energy and carbon neutral procurement targets. 19 City Council, Staff Report 3550, March 4, 2013, Finance Committee Recommendation that the City Council Adopt a Resolution Approving a Carbon Neutral Plan for the Electric Supply Portfolio to Achieve Carbon Neutrality by 2013: https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes-reports/reports/city-manager- reports-cmrs/year-archive/2013/final-staff-report-id-3550_electric-supply-portfolio-carbon-neutral-plan.pdf 20 City Council, Resolution 9322, March 4, 2013: https://www.cityofpaloalto.org/files/assets/public/v/1/city-clerk/resolutions/reso-9322-33835.pdf 21 City Council, Staff Report 11556, August 24, 2020, Staff and Utilities Advisory Commission Recommend the City Council Adopt a Resolution Amending the City's Electric Supply Portfolio Carbon Neutral Plan and Electric Utility Reserves Management Practices: https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes- reports/reports/city-manager-reports-cmrs/year-archive/2020-2/id-11566.pdf 22 City Council, Resolution 9913, August 24, 2020: https://www.cityofpaloalto.org/files/assets/public/v/1/city-clerk/resolutions/reso-9913.pdf?t=40151.26 23 City Council, Staff Report 14735, December 12, 2022, Utilities Advisory Commission Recommend the City Council Affirm the Continuation of the REC Exchange Program: https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=82045&dbid=0&repo=PaloAlto Item B Item B Staff Report Item B: Staff Report Pg. 3 Packet Pg. 499 of 637  RPS Procurement Plan Compliance 29, Resolution 991330) the City sold 161,900 MWh of in-state renewable energy supplies, yielding $11.609 million in sales revenue, while purchasing 160,000 MWh of out-of-state renewable energy31, at a cost of $750,000. Figure 1 below depicts the City’s load and supply resources for CY 2024, before and after the REC Exchanges described above. Accounting for these transactions, the City’s net renewable energy supplies totaled 477,557 MWh, which represents 53.5% of the City’s total retail sales for 2024. However, under the state’s RPS regulations the majority of the out-of-state renewable energy purchases were not able to be applied to the City’s RPS requirement, hence the City’s RPS level under the state’s accounting method was only 45.6%. Figure 1: CY 2024 Electric Load and Supply Resources, With and Without REC Exchange Transactions 29 City Council, Staff Report 11556, August 24, 2020, Staff and Utilities Advisory Commission Recommend the City Council Adopt a Resolution Amending the City's Electric Supply Portfolio Carbon Neutral Plan and Electric Utility Reserves Management Practices: https://www.cityofpaloalto.org/files/assets/public/v/1/agendas-minutes- reports/reports/city-manager-reports-cmrs/year-archive/2020-2/id-11566.pdf 30 City Council, Resolution 9913, August 24, 2020: https://www.cityofpaloalto.org/files/assets/public/v/1/city- clerk/resolutions/reso-9913.pdf?t=40151.26 31 Not including 30,000 MWh of RECs purchased on behalf of PaloAltoGreen customers. Item B Item B Staff Report        Item B: Staff Report Pg. 4  Packet Pg. 500 of 637  For CY 2025 to date, the City has contracted to sell 115,000 MWh of in-state renewable generation and has purchased 180,000 MWh of out-of-state renewable generation. Figure 2 below depicts the City’s projected load and supply resources for CY 2025, before and after the REC Exchanges described above. Once these transactions are accounted for, they are projected to yield a total of about $3.2 million in net revenue, and a 46% RPS level under the state’s accounting method (equal to the state’s RPS soft target for 2025). Figure 2: Projected CY 2025 Electric Load and Supply Resources, With and Without REC Exchange Transactions Table 1: RPS Compliance Period Procurement Targets and Actual Procurement RPS Compliance Period Years Retail Sales (MWh) Procurement Target (MWh) Actual/Projected Procurement (MWh) % of Retail Sales 1 2011-2013 2,837,773 567,555 607,740 21.4% 2 2014-2016 2,801,056 605,949 826,855 29.5% 3 2017-2020 3,487,686 1,043,426 1,619,303 46.4% 4 2021-2024 3,302,501 1,318,639 1,318,639 39.9% TOTALS 12,429,016 3,535,570 4,372,537 35.2% Item B Item B Staff Report        Item B: Staff Report Pg. 5  Packet Pg. 501 of 637  Carbon Neutral Plan th consecutive year. Carbon neutrality was achieved in CY 2024 through existing hydro and renewable generation (wind, solar, and landfill gas). As discussed above, due to the Council’s adoption of the REC Exchange Program in August 2020, the City sold 161,900 MWh of in-state renewable energy supplies, yielding $11,609,000 in sales revenue, while purchasing 160,000 MWh of out-of-state renewable energy, at a cost of $750,000. Accounting for these transactions, the City’s net renewable energy supplies totaled 477,557 MWh, which represents 53.5% of the City’s total retail sales for 2024. The remainder of the City’s needs were supplied by large hydroelectric resources. hourly carbon accounting methodology as the basis for determining whether the City has met its carbon neutrality objective. Using an annual accounting approach, the City had an overall surplus of 72,452 MWh of carbon neutral generation compared to its load (equal to 7.8% total load) in 2024, and thus substantially exceeded the carbon neutrality standard. Meanwhile, under the hourly carbon accounting approach,35 the City’s electric supply portfolio also exceeded the carbon neutrality standard, being responsible for a net negative amount of GHG emissions: -21,393 metric tons of CO2 equivalent. See Figure 3 below for a depiction of the City’s monthly total net CO2 emissions for 2024, as well as the monthly average emissions intensity for the California electric grid. 35 The City’s hourly carbon accounting methodology entails calculating the City’s net surplus or deficit carbon neutral supply position relative to its load in every hour of the year. The grid average electricity emissions intensity for each hour is then applied to each of these hourly surpluses or deficits to yield a net emissions contribution (or reduction) that the City’s electric supply portfolio is responsible for in that hour. These hourly emissions totals are then summed across the entire year to yield the City’s annual emissions total for the year. Item B Item B Staff Report        Item B: Staff Report Pg. 6  Packet Pg. 502 of 637  Figure 3: CY 2024 Monthly Net Electric Supply Emissions and CAISO Emissions Intensity For CY 2025, average hydro conditions are expected to result in about 46% of the City’s electric supply needs being supplied by hydroelectric resources (compared to a long-term annual average of about 45%), with the remainder coming from non-hydro renewable energy resources. This is an informational report that has no fiscal or resource impact to the Utilities Department or the City. As noted above, the City’s REC transactions resulted in net revenue of $10.86 million for CY 2024, of which $2.83 million was attributable to the REC Exchange Program, and that amount will therefore be allocated to decarbonization programs (from CY 2024 electric Cap & Trade auction revenue). In early 2026, staff will bring the REC Exchange Program to City Council for updates on the treatment of these funds. This is an informational report only and no stakeholder engagement is necessary. The Council’s review of this report does not meet the definition of a “project” pursuant to Public Resources Code Section 21065, thus California Environmental Quality Act review is not required. None : Alan Kurotori, Director of Utilities Item B Item B Staff Report        Item B: Staff Report Pg. 7  Packet Pg. 503 of 637  City Council Staff Report From: City Manager Report Type: INFORMATION REPORTS Lead Department: City Manager Meeting Date: December 15, 2025 Report #:2509-5261 TITLE Surveillance Technology Report for Fiscal Year 2025; CEQA Status – Not a Project RECOMMENDATION This is an informational report about the City’s use of surveillance technology in Palo Alto during the Fiscal Year 2025, and no City Council action is required. BACKGROUND In September 2019, the City Council adopted the Surveillance and Privacy Protection Ordinance, establishing criteria and procedures for the protection of personal privacy when considering the acquisition and use of surveillance technologies by the City.1 Codified in the municipal code at Chapter 2.30, Part 6A, the ordinance also outlines ongoing monitoring and annual reporting of such technologies. Annual reporting must include the following information pursuant to PAMC section 2.30.680(a): 1.A description of how each Council-approved surveillance technology was used, including whether it captures images, sound, or information regarding members of the public who are not suspected of engaging in unlawful conduct; 2.Whether and how often data acquired through the use of surveillance technology was shared with outside entities, the names of any recipient entity, the types of data disclosed, and the reason for the disclosure; 3.A summary of any community complaints or concerns about surveillance technology; 4.Non-privileged and non-confidential information regarding the results of any internal audits, information about violations of the surveillance use policy, and any actions taken in response; 5.Whether the surveillance technology has been effective at achieving its identified purpose; 1 City Council 9/10/2018, Item #8 https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=2185 Item C Item C Staff Report        Item C: Staff Report Pg. 1  Packet Pg. 504 of 637  6. The number and nature of Public Records Act requests relating to the surveillance technology; 7. Annual costs for the surveillance technology and for compliance with this surveillance; and 8. Other relevant information as determined by the City Manager. This report covers the activity in Fiscal Year 2025. ANALYSIS Pursuant to the Surveillance and Privacy Protection Ordinance, the following departmental activities are summarized in this report. IT DEPARTMENT Council Chambers Security Cameras. In April 2025, Council approved the purchase of security cameras to enhance the safety and security of the Council Chambers.3 Equipment necessary for facilitating public meetings, including computers, monitors, and microphones, is kept in Council chambers and the general area. Access to Council Chambers is accessible to the general public for public meetings or authorized special events. Outside of these instances, use is limited to staff to minimize the risk of damage to city property, tampering with equipment. There have been repeated incidents of vandalism, theft, and interference with A/V equipment, imperative in supporting public meetings in Council Chambers. Installation of these cameras is intended to deter such incidents and increase the security and safety of Council Chambers. Surveillance from security cameras will also assist staff should an incident occur. Installation of the security cameras in Council Chambers was completed in November. The total contract cost is $4,886, which includes acquisition of surveillance cameras, monitoring systems, storage, maintenance, and personnel for oversight. To date, there have been no formal complaints, no reported violations of use, and no Public Records Act requests related to this system. No data was shared externally during the reporting period, and no technology-use violations occurred. This project includes a one-time cost of $5,400 and an annual licensing fee of $605, both funded by the IT department. POLICE Body Worn, Vehicle, and Interview Cameras. On June 18, 2024, Council approved the contract with Lenslock, a technology system used to document public contacts.4 This Digital Evidence Management system is fully integrated with in-car, interview, and body-worn cameras that is 3 City Council Meeting 4/21/2025, Agenda Item #10, https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=16054 4 City Council Meeting 06/18/2024, Agenda Item #AA1, https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=14317 Item C Item C Staff Report        Item C: Staff Report Pg. 2  Packet Pg. 505 of 637  used to capture video and audio. This includes but is not limited to: traffic stops, parking enforcement, suspect interviews, witness interviews, victim interviews, and other citizen contact in response to a call for service or when investigating criminal activity through user-activated audio and video recordings. The system’s metadata will automatically flow into the evidence management system application, where video assets are verified as original or exact duplicates (non-edited data) and managed as evidence. This technology has been successful in achieving its intended purpose. The Police Department has also worked with the vendor to make improvements to their DEMS system. These updates delayed the body-worn and in-car systems implementation. Vehicle installation began in August 2025 and the fleet will be fully upgraded to LensLock by December 2025. GPS Vehicle Tracking. On April 15, 2025, Council approved the contract with Starchase LLC for GPS Vehicle tracking implementation to track vehicles that may have been used in the commission of crime.7 This technology can be launched from a patrol vehicle onto a fleeing suspect vehicle to capture the GPS location of the vehicle. Tracking implementation has been successful and many suspect vehicles have yielded after realizing a vehicle tracking device has been deployed. The total cost of a three-year term is not to exceed $224,657. eCitation Devices. On March 14, 2022, Council approved the acquisition of handheld electronic citation devices with Optical Character Recognition (OCR) technology for the purposes of traffic violation enforcement by police officers.8 When used by staff, the device’s camera captures license plate images, which are processed through OCR to extract vehicle make and model 7 City Council Meeting 04/15/2024, Agenda Item #11, https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=13591 8 City Council Meeting 3/14/2022, Agenda Item #9, PDF Page 113, Item C Item C Staff Report        Item C: Staff Report Pg. 3  Packet Pg. 506 of 637  information, eliminating the need for manual entry into the records management system (RMS). In FY 2025, the total contract and maintenance costs to the General Fund was $23,714. The Police Department issued over 1,468 electronic citations in FY 2025. By implementing electronic citations, citations are automatically uploaded to the Police Records Management System (RMS), reducing staff time required to manually enter citations thereby effective at achieving its intended purpose. Additionally, citations are electronically uploaded to the Santa Clara Traffic Court system. To date, there have been no formal complaints, no reported violations of use, and no Public Records Act requests related to this system. Fixed Automatic License Plate Recognition (ALPR). On April 3, 2023, Council approved the contract with Flock Safety to implement fixed ALPR surveillance technology as well as approved a use policy for the new camera equipment11. In December 2024, Council approved the deployment of 10 additional ALPR cameras. ALPR technology uses a combination of cameras and computer software to scan the license plates of passing vehicles and other vehicle characteristics such as make, model, type, and color. The technology provides real-time alerts when stolen or wanted cars enter an area and provides enhanced investigative capabilities when a crime has already occurred. The contract cost in FY 2025 was $90,808. This was paid using a combination of COPS grant funding ($52,500), State BSCC grant funding ($35,000), and the General Fund ($3,308). ALPR data sharing among local law enforcement partners allows agencies to investigate collaboratively, identify and apprehend multi-jurisdictional offenders, or those who commit crimes in one jurisdiction but reside in another. The City currently has a Memorandum of Understanding (MOU) with local agencies listed in Attachment A, where data is shared for law enforcement investigative purposes related to a specific criminal investigation. The Department has taken steps to minimize any potential misuse by limiting data sharing strictly with local law enforcement agencies per the MOU, and requiring them to abide by California law, which prohibits sharing data with Federal or out-of-state agencies. To date, there have been no formal complaints, no reported violations of use. There have recently been some concerns raised regarding Flock data sharing among agencies, but this is not applicable to Palo Alto. The department received one Public Records Act Request during the report period.12 The information included: 11 City Council Meeting 4/3/2023, Item#11 https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=2307 12 Public Records Request for ALPR Data 08/14/2025 https://www.paloalto.gov/files/assets/public/v/1/city- manager/surveillance-technology/pra-flock-technology.pdf Item C Item C Staff Report        Item C: Staff Report Pg. 4  Packet Pg. 507 of 637  -Policy 462: Automated License Plate Reader -Contract between Flock and City of Palo Alto -List of agencies with whom PAPD shares data pursuant to MOU The use of real-time alerts has aided in the recovery of stolen and wanted vehicles, while investigative searches have supported the identification and apprehension of criminal suspects and the safe recovery of missing persons. The technology has been effective at achieving its intended purpose. There were no complaints during the reporting period. TRANSPORTATION Automatic License Plate Recognition (ALPR) for Parking Enforcement. In February 2021, Council approved the use of license plate recognition technology to be used for parking enforcement and permit management.15 ALPR technology captures images of license plates to identify vehicle information and track parking time. During the reporting period, there have been no formal complaints filed, violations of its use, or PRA requests. In assessing its effectiveness, ALPR has been successful in supporting City Residential Preferential Parking (RPP) programs provide both enforcement and permit management efficiencies. Images of license plates are only utilized as supporting documentation when parking time limits are exceeded. All other images are routinely purged in compliance with the City surveillance policy adopted for this program. To date, there have been no formal complaints, no reported violations of use, and no Public Records Act requests related to this system. No data was shared externally during the reporting period, and no technology-use violations occurred. Ongoing costs are included in combined Duncan & LAZ costs. The total annual contract cost is $7,500, funded by the General Fund and Parking Program Funds. Traffic Signal Detection Hardware. On February 6, 2023, Council approved the contract with Iteris for traffic signal operations.16 The devices are only able to detect when a vehicle is approaching an intersection to serve the vehicle a green light phase. Data collected is used to inform appropriate traffic control measures or roadway improvements, signal timings, pedestrian, and bicycle roadway improvements. These collectively optimize traffic signal operations. This technology as used in Palo Alto does not capture images, sound, or any identifying information. In some instances, live or sample video feeds may be used in the configuration and testing to make sure detection capabilities are set up and operating correctly. Upon completion of configuration, the live video feed is turned off. This technology has been effective in detecting vehicle presence and allowing for optimal signal operations. In the past, 15 City Council Meeting 2/22/2021, https://www.paloalto.gov/files/assets/public/v/2/agendas-minutes- reports/reports/city-manager-reports-cmrs/year-archive/2021/id-11492.pdf 16 City Council Meeting 2/06/2023, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=82235 Item C Item C Staff Report        Item C: Staff Report Pg. 5  Packet Pg. 508 of 637  staff have used live video feeds to observe real-time traffic conditions to improve traffic signal operations. During this reporting period, a PRA was requested on 04/24/25 for video or camera footage on the intersection of E. Charleston and Middlefield Road. No information was provided other than a notification that video footage is not collected. Additionally, there have also been multiple requests annually, typically though email and not an official PRA. The contract cost is $80,000, which is funded by CIP PL-05030. Annual ongoing maintenance cost is less than $50,000, funded by the Electric Utilities maintenance fund. Traffic Data Collection Cameras. In April 2021, Council approved the use of video technology for traffic data collection19. The low-resolution is used solely to capture bicycle, pedestrian, parking occupancy, and vehicle turning-movement counts. This data helps inform appropriate traffic control measures, roadway enhancements, signal timing adjustments, and pedestrian and bicycle safety improvements. The system does not collect or retain audio, high-resolution images, location data, or any other personally identifiable information of individuals. During this reporting period, no complaints or concerns were submitted. Cameras are installed only for the duration of the data-collection period and are accompanied by visible hang-tags labeled “Traffic Data Camera,” along with the service provider’s name and contact phone number. This technology supplies Office of Transportation with data that is expensive to collect manually, while minimizing the potential for error. The total cost was for a 4-year term is not to exceed $200,000 funded by the Capital Improvement Program and the General Fund. TENANTS ON CITY PROPERTY ADA’s café Security Cameras. On June 16, 2025, Council approved the Surveillance Use Policy for Security Cameras at Ada’s Café at Mitchell Park Community Center and Library.20 Incidents of vandalism to Ada’s property have increased in the past year, and the owners have an interest in installing cameras to deter such incidents. According to the owners, some of the vandalized items include the cafe’s outdoors furniture and equipment. The goal of this technology is to enhance safety and security both inside and outside Ada’s café. The surveillance system captures real- time video and audio of the interior and exterior areas. Cameras are positioned to monitor key entry points to monitor key entry points and café seating areas. Staff at Ada have indicated feeling safe. Surveillance footage will be accessible only to designated café management and City police personnel for law enforcement purposes. To date, there have 19 City Council Meeting 4/5/2021, https://www.cityofpaloalto.org/files/assets/public/v/2/agendas-minutes- reports/reports/city-manager-reports-cmrs/year-archive/2021/id-11985.pdf 20 City Council Meeting 06/16/2025, Item #9 https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=83475 Item C Item C Staff Report        Item C: Staff Report Pg. 6  Packet Pg. 509 of 637  been no formal complaints, no reported violations of use, and no Public Records Act requests related to this system. No data was shared externally during the reporting period, and no technology-use violations occurred. There is no cost to the City for this project. Any technology that collects information exclusively on or regarding City employees or contractors; Any technology used as part of the Foothill Fire Early Warning System to detect fires within the following area: o West Side: Skyline Blvd (Hwy 35) from Route 84 (Woodside Rd/La Honda Rd.) to Hwy 9 o North Side: Route 84 from Skyline to Alameda de las Pulgas o East Side: Alameda de las Pulgas to Santa Cruz Ave to Junipero Serra Rd. To Foothill Expwy o Southside Side: Draw a line from the intersection of Hwy 9 and Hwy 35 to the intersection of Foothill Expwy at Magdalena. Foothill Fire Safety Cameras. As part of the improvement to the Foothills Management Plan and the Office of Emergency Services deployed several AlertWildfire cameras in the Foothills for early detection of wildfires as part of an interagency and countywide effort. STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item C Item C Staff Report        Item C: Staff Report Pg. 7  Packet Pg. 510 of 637  ATTACHMENT A Data is shared with the below entities, pursuant to MOU, on an on-going basis. Data is shared for legitimate law enforcement investigative purposes if responsive to a specific query made by an entity relating to a specific criminal investigation. Alameda County SO Albany PD Belmont PD Benicia PD Burlingame PD California Department of Corrections California Highway Patrol Campbell PD Capitola PD Carmel PD Central Marin PD Citrus Heights PD Clayton PD Colma PD Concord PD Danville PD Dixon PD Dublin PD (ACSO) East Palo Alto PD El Cerrito PD Elk Grove PD Fairfield PD Folsom PD Foster City PD Fremont PD Gilroy PD Hayward PD Hillsborough PD Lincoln PD Livermore PD Los Altos PD Marin County SO Menlo Park PD Mill Valley PD Milpitas PD Monterey County SO Monterey County District Attorney's Office Mountain View PD Napa County SO Newark PD Oakland PD Oakley PD Pleasant Hill PD Pleasanton PD Redwood City PD Rohnert Park DPS Roseville PD Sacramento District Attorney’s Office Salinas PD San Bruno PD San Francisco PD San Joaquin County SO San Jose PD San Leandro PD San Mateo PD San Mateo County SO Santa Clara PD Santa Rosa PD Seaside PD Solano County SO Stanford University DPS Stockton PD Suisun City PD Sunnyvale DPS Town of Los Gatos PD Tracy PD Turlock PD Union City PD Vacaville PD Vallejo PD Walnut Creek PD Watsonville PD West Valley Mission College Dist. Campus Item C Attachment A - Attachment A - List of agencies sharing Police ALPR data within MOU terms        Item C: Staff Report Pg. 8  Packet Pg. 511 of 637  Item C Attachment A - Attachment A - List of agencies sharing Police ALPR data within MOU terms        Item C: Staff Report Pg. 9  Packet Pg. 512 of 637  City Council Staff Report From: City Manager Report Type: INFORMATION REPORTS Lead Department: Public Works Meeting Date: December 15, 2025 Report #:2507-4978 TITLE Semiannual Update on the Status of Capital Improvement Program Projects; CEQA Status – Not a Project RECOMMENDATION This report is provided for information only and requires no Council action. EXECUTIVE SUMMARY The City Council and Palo Alto community can be proud of the City’s capital improvement program (CIP). The CIP represents major investments in infrastructure functionality and sustainability, funded largely through the transfer of funding from the General Fund, including dedicated Transient Occupancy Tax (TOT) funding, as well as utility rates and various other sources. The 2025-2029 five-year CIP totaled $1.7 billion for 206 projects as reviewed by the Council in its adoption of the FY 2025 Capital Budget. Since July 2016, the City of Palo Alto has completed 112 individual community-serving projects totaling $446,969,862 in improvements. Given the volume of projects included and to provide accurate financial accounting, this report presents information current as of July 2025. A summary of all completed CIP projects is provided at the end of Attachment A. The CIP also represents a major effort for much of the City workforce. The following table summarizes the status of all projects for the six-month period of January to June 2025. One Time Projects CIP Workgroup Recurring Projects Pre-Design Design Construction Completed Airport 0 0 5 1 0 Buildings and Facilities 13 5 10 9 0 Item D Item D Staff Report        Item D: Staff Report Pg. 1  Packet Pg. 513 of 637  One Time Projects CIP Workgroup Recurring Projects Pre-Design Design Construction Completed Electric 9 2 3 6 0 Fiber Optic 2 0 2 0 0 Gas 4 0 2 0 1 Parks and Open Space 8 2 5 8 1 Stormwater Management 2 0 1 3 0 Streets and Sidewalks 8 0 3 0 0 Traffic and Transportation 5 1 8 3 0 Wastewater Collection 4 0 0 1 0 Wastewater Treatment 2 1 2 4 0 Water 7 1 1 1 0 Subtotals 64 12 42 36 2 Totals 156 BACKGROUND This report provides Council with an update on the status of CIP projects, with detailed and useful information for the Council and public regarding general fund and enterprise fund projects that appear on Council agendas and will be visible throughout the community. The report does not include Internal Service Funds projects (Information Technology and Vehicle). ANALYSIS Project Update Organization The City of Palo Alto has a robust capital improvement program, and many individual projects are in progress at any given time. The 2025-2029 five-year CIP totaled $1.7 billion for 206 projects as reviewed by the Council in the adoption of the FY 2025 Capital Budget. The attached CIP project tables are intended to provide a quick overview of each project, including budgetary information, the anticipated completion date, a brief description of the project scope, the status of the project, and upcoming activities including Council actions. Also included in the report is a list of all completed projects since the introduction of the Infrastructure Management System. Major/Significant Projects Summary The 2014 Council Infrastructure Plan is a major focus of staff’s capital improvement program Item D Item D Staff Report        Item D: Staff Report Pg. 2  Packet Pg. 514 of 637  efforts and ties to several 2024 City Council Priorities and related objectives. The following table details the Total Project Budget and Total Actual Expenses through September 09, 2025, for the Infrastructure Plan projects. Council Infrastructure Plan Projects CIP Number Project Update Total Project Budget Total Actual Expenses Completion Date Fire Station 3 Replacement PE-15003 Completed $10,600,734 $10,600,734 Spring 2020 New California Avenue Area Parking Garage PE-18000 Completed (Day 2 items are in progress) $50,207,727 $49,481,033 Winter 2020 Highway 101 Pedestrian/Bicycle Overpass Project PE-11011 Completed $23,734,218 $23,734,218 Fall 2021 Charleston Arastradero Corridor Project PE-13011 Completed $21,600,000 $20,810,587 Summer 2024 Downtown Automated Parking Guidance Systems PL-15002 Council approved a design-build contract in May 2023. Construction is underway and expected to be completed in spring 2025. $5,197,827 $4,415,679 Winter 2025 New Public Safety Building PE-15001 Phased staff move-in is expected in summer 2025, following May 2025 issuance of a Temporary Certificate of Occupancy. $123,529,764 $123,914,461 Fall 2025 Fire Station 4 Replacement PE-18004 Project is going through building permit review. Staff completed a pre-qualification process, with construction bidding anticipated in summer 2025. $18,225,946 $3,602,142 Spring 2027 Byxbee Park Completion PE-18006 On hold pending completion of the Baylands Comprehensive Conservation Plan. $3,699,189 $368,192 Spring 2028 Bicycle and Pedestrian Transportation Implementation Plan PL-04010 This project funds the Bicycle and Pedestrian Transportation Plan Update, which has kicked off recently and is slated to take approximately 18 months to complete. This project also funds the implementation of various bicycle and pedestrian projects. $14,400,000 $10,233,139 On-Going Item D Item D Staff Report        Item D: Staff Report Pg. 3  Packet Pg. 515 of 637  Council Infrastructure Plan Projects CIP Number Project Update Total Project Budget Total Actual Expenses Completion Date New Downtown Parking Garage PE-15007 Council gave direction to staff in December 2023 to advance the project in conjunction with advancement of affordable housing in the Downtown area. A design contract for the garage was approved by Council in December 2024. Design is ongoing. $17,300,000 $1,745,648 Spring 2028 The last phase of the Public Safety Building project is expected to be completed in fall 2025. Current Infrastructure Plan project schedules can be found at https://www.infrastructure.cityofpaloalto.org Key considerations for the information presented in the project update tables include: Project status information is current as of June 30, 2025. The individual project tables align with the Capital Improvement Fund categories in the Fiscal Year 2025-2029 capital budget: Buildings and Facilities, Parks and Open Space, Streets and Sidewalks, and Traffic and Transportation. Enterprise Fund projects follow the order of their respective Fund in the capital budget. Department Technology Upgrades and Improvements projects and Cubberley Property Infrastructure Fund projects are included in the Buildings and Facilities table. Additional project information is available in the Fiscal Year 2025-2029 capital budget. Each project table is divided into a section for one-time projects and a section for recurring projects that have ongoing annual funding. Budgetary figures include staff oversight costs for projects to which staff costs have been allocated. The table of completed projects, located at the end of Attachment A provides a summary of all CIP projects completed since the Biannual CIP updates to council began in 2016. The data is sorted from most recent to oldest. Completed Projects There were two completed one-time projects in the second half of Fiscal Year 2025 (January through June 2025). Cubberley Field Restroom (CB-17002) Gas Main Replacement Project 24 (GS-14003) Item D Item D Staff Report        Item D: Staff Report Pg. 4  Packet Pg. 516 of 637  One-time projects do not include the significant amount of annual work completed under ongoing recurring projects, such as streets and sidewalks repairs, parking lot maintenance, roofing replacements, and regular maintenance of Utilities assets. Item D Item D Staff Report        Item D: Staff Report Pg. 5  Packet Pg. 517 of 637  One-Time Projects Under Construction The 36 projects underway as of June 30, 2025 include the following: Capital Improvement Fund (general fund): Baylands Interpretive Signage Program (OS-24001) Boulware Park Improvements (PE-17005) Churchill Avenue/Alma Street Railroad Crossing Safety Improvements (PL-20000) Churchill Avenue Enhanced Bikeway (PL-14000) Civic Center Fire Life Safety Upgrades (PE-18016) Downtown Automated Parking Guidance Systems, Access Controls & Revenue Collection Equipment (PL-15002) Eucalyptus Tree Removal (PG-25002) Foothills Nature Preserve Dam Seepage Investigation and Repairs (PE-20000) Heritage Park Site Amenities Replacement (PG-21000) Homekey Facilities (PE-24005) JMZ Renovation (AC-18001) Library Automated Material Handling (LB-21000) Lucie Stern Community Theatre Stage Rigging System Refurbishment (AC-24000) New Public Safety Building (PE-15001) Palo Alto Art Center Ceramics Equipment (AC-28003) Ramos Park Improvements (PG-14000) Roth Building Rehabilitation Phase 1 (PF-23001) Performing Arts Venues Seat Replacement (AC-18000) Roth Building Rehabilitation Phase 1 (PF-23001) Stanford Palo Alto Community Playing Fields Turf Replacement (PG-26000) Airport Layout Plan (AP-21000) Colorado Distribution Feeder Outlet Replacement (EL-22002) Grid Modernization for Electrification (EL-24000) Inter Substation Line Protection Relay (EL-17005) Foothills Rebuild Fire Mitigation (EL-21001) Smart Grid Technology Installation (EL-11014) Substation Physical Security (EL-16003) Corporation Way System Upgrades and Pump Station (SD-21000) West Bayshore Road Trunk Line Improvements (SD-23000) West Bayshore Road Pump Station (SD-20000) Item D Item D Staff Report        Item D: Staff Report Pg. 6  Packet Pg. 518 of 637  Wastewater Collection Fund: Wastewater Collection System Rehabilitation Augmentation Project 32(WC-20000) Joint Intercepting Sewer Rehabilitation (Phase 1) (WQ-24000) Secondary Treatment Upgrades (WQ-19001) Horizontal Levee Pilot (WQ-22001) Local Advanced Water Purification System (WQ-19003) Water Tank Seismic System Upgrades (WS-09000) Item D Item D Staff Report        Item D: Staff Report Pg. 7  Packet Pg. 519 of 637  Joint Intercepting Sewer Rehabilitation (Phase 1) (WQ-24000) Item D Item D Staff Report        Item D: Staff Report Pg. 8  Packet Pg. 520 of 637  Secondary Treatment Upgrades (WQ-19001) Item D Item D Staff Report        Item D: Staff Report Pg. 9  Packet Pg. 521 of 637  pavement repairs, has been finished. Electrical work is approximately 45% complete, including loop installations, modifications to lighting systems, and traffic signal work. Roadway striping is about 80% complete, with bike lane striping underway in Mountain View. The bike lane striping in Palo Alto began in May. The bike lane implementation was scheduled for completion in fall 2025, pending weather and the progress of other related tasks. FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item D Item D Staff Report        Item D: Staff Report Pg. 10  Packet Pg. 522 of 637  ATTACHMENT A Semiannual Update on the Status of Capital Improvement Program Projects Capital Improvement Fund CIP Projects • Buildings and Facili�es Projects • Parks and Open Space Projects • Streets and Sidewalks Projects • Traffic and Transporta�on Projects Enterprise Fund CIP Projects • Airport Projects • Electric Projects • Fiber Op�cs Projects • Gas Projects • Stormwater Management Projects • Wastewater Collec�on Projects • Wastewater Treatment Projects • Water Projects List of Completed Project Item D Attachment A - Semiannual Update on the Status of Capital Improvement Program Projects        Item D: Staff Report Pg. 11  Packet Pg. 523 of 637  Buildings and Facilities Projects                   Status as of June 2025  Buildings and Facilities Projects – Page 1 of 11  One‐Time Projects  Animal Shelter  Renovation   (PE‐19002)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $2,950,078  $6,181,882 Public Works Design Winter 2028  Project Status: A new five‐year agreement with Pets in Need (PIN) was approved by Council in March 2024. Discussions with  PIN and City staff regarding capital projects started in late 2024, with a scope of work finalized with PIN in May 2025. Staff is  working on the RFP package to bring a consultant on board. The tentative schedule shows that the design should be complete  by fall 2026.    Children’s  Theater Facility  Upgrade/Repair (AC‐28002)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $ 3,874 $137,628 Community Services Pre‐Design Summer 2026  Project Status:  This project will upgrade and repair the Children’s Theatre Facility, including backstage work and storage areas,  classrooms, performance stages, restrooms and public spaces. Phase 1 will focus on procuring a consultant to conduct a facility  needs assessment and provide cost estimates.     City Hall Space  Planning  (PE‐19000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $85,525  $700,343 Public Works Design Fall 2026  Project Status: This project involves space planning to determine future workgroup space needs and programming for the City  Hall office building focused on the Police Department areas that will be vacated once the new Public Safety Building is  complete. The City has contracted with an architectural firm to perform a space needs assessment for the two City facilities.   Phase 1, Data collection and analysis is currently underway.    City Radio  Replacement  Program  (PD‐25000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $0 $2,710,140 Police Department Design Summer 2029  Project Status: Two‐way commercial radios are used by many Departments in the City of Palo Alto. The City operates  approximately 772 radios across 9 workgroups, including Police, Fire, Office of Emergency Services (OES), Community Services  Park Rangers, Public Works, Utilities, Development Center, and Information Technology. This project will be used to replace  the original digital radios.    Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 12  Packet Pg. 524 of 637  Buildings and Facilities Projects                   Status as of June 2025  Buildings and Facilities Projects – Page 2 of 11  Civic Center  Electrical  Upgrade & EV  Charger  Installation  (PE‐17010)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $759,159  $2,176,935  Public Works Design Winter 2027  Project Status: This project has installed EV chargers in existing downtown garages and will replace the aging Civic Center  electrical switchgear and motor control centers. EV charger construction at the Civic Center, Bryant Street garage and Webster  Street garage was completed in December 2021. A contract was awarded in June 2021 for the design of the Civic Center  switchgear replacement and is currently at the 90 percent design stage. Lead times on switch gear are now taking 18 months,  so the project completion date has been extended. The structural analysis design of the switchgear area and its permit set is  complete.  Recent plan check comments required a redesign to accommodate fire code updates and provided some cost  savings benefit.    Civic Center Fire  Life Safety  Upgrades   (PE‐18016)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $1,046,227  $1,117,335 Public Works Construction Winter 2026  Project Status: This project will assess, update, and replace the Civic Center fire alarm system and the emergency responder  radio communication system (ERRCS). The fire life safety system is approaching the end of its useful life.  The fire alarm panel  and associated equipment need an upgrade to meet current code requirements.  The award of a design‐build contract was  approved by Council in June 2021. Construction is complete. The fire permit will be finalized as soon as the City receives as‐ built drawings from the contractor. The ERRCS study will be conducted upon the completion of the planning and design for  275 Forest Avenue. Modifications to the Fire Alarm system and fire suppression systems will also need re‐evaluation.    Civic Center  Waterproofing   Study and  Repairs  (PE‐15020)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $798,592   $1,830,089 Public Works Design Fall 2027  Project Status: This project includes a condition assessment of the Plaza deck structural system to the Civic Center. In 2016,  RDH Building Science, Inc. determined that the expansion joint on the plaza could be repaired and that replacing the  waterproof coatings on the inside of the plaza perimeter planter boxes was needed. Repair of the waterproofing joint in front  of City Hall was completed in winter 2023. Further study of the water intrusion into the garage was performed by a consultant  in summer 2024; a design contract for repair of the planter boxes and garage water damage is expected in fall 2025.       Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 13  Packet Pg. 525 of 637  Buildings and Facilities Projects                   Status as of June 2025  Buildings and Facilities Projects – Page 3 of 11  Cubberley Gym  HVAC  Replacement  (CB‐24000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $0 $826,113 Public Works Pre‐Design Spring 2026  Project Status: The existing heating system in Cubberley Gyms A & B is original to the building, which was constructed in the  mid‐1950s. The system is currently not functioning because multiple leaks have developed in the steel hot water piping, which  is in the walls and under the floor. These leaks contributed (in addition to a domestic water main supply leak) to significant  water damage in the walls, floors, and crawl spaces of the gyms. Asbestos and mold were remediated from the under‐floor  crawl space.  All the old heating units and piping were removed from the ceilings in both gyms. The next step is to hire a  consultant to create design drawings for a new heating system. This project has been put on hold due to the City’s pending  purchase of the remaining Cubberley buildings and then ultimately rebuilding a new Cubberley Community Center.     Fire Station 4  Replacement  (PE‐18004)    Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $3,284,233  $ 18,255,946 Public Works Design Winter 2026  Project Status: This project will replace Fire Station #4 at the corner of Middlefield Road and East Meadow Drive. The design  consultant completed design development and received Planning approval for the project in November 2023. A construction  management contract was awarded in December 2023. Pre‐qualification of bidders was completed in November 2024, and  solicitation for construction is anticipated for summer 2025 with construction to follow in fall 2025. Construction of the  temporary fire station at Cubberley Community Center was completed in June 2025.    Fire Training  Facility  Replacement  (FD‐24000)    Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $487   $55,293 Public Works Pre‐Design Summer 2026  Project Status: This project will identify an appropriate site and construct a new fire training facility in Palo Alto. This will be  the first City‐owned and City‐maintained permanent fire training facility, and it will allow training to be conducted within City  limits and therefore reduce the downtime associated with the need for staff to travel for training and when responding to  calls.    Homekey  Facilities  (PE‐24005)    Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $2,256,042  $4,944,710 Public Works Construction Spring 2026  Project Status: This project involves relocating the City of Palo Alto (City) GreenWaste facility from its current site on one  portion of 1237 San Antonio Road to the rear portion of the same site as a result of adding the Homekey Palo Alto interim  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 14  Packet Pg. 526 of 637  Buildings and Facilities Projects Status as of June 2025 Buildings and Facilities Projects – Page 4 of 11  housing shelter. Homekey Palo Alto will be operated by LifeMoves who will provide intensive, customized case management  for  clients  including  counseling,  employment and  housing  search  services  with the   goal of   paving a   dignified  path to   self‐ sufficiency. The relocation of the GreenWaste facility has been completed. Site preparation for the modular units is finished,  and work  is  currently  underway  to  set  the  units  in place, connect  utilities, and complete  interior  finishes. Simultaneously,  interior  work  continues  in  the  community  building,  along  with  overall  site  landscaping.  Construction  is  expected  to  be  completed by spring 2026.  JMZ Renovation  (AC‐18001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $4,366,001  $5,020,310 Community Services Construction Summer 2026  Project Status: This project funds remediations and equipment purchases for the Junior Museum. In FY 2025    purchases  of  new equipment included washing machines and dryers for the education hub and zoo, a gate for guest services to protect  delivered packages and lunches for school field trips, and new housing for reptiles.  A  portion of the project was extended  through FY 2026 to complete the list of remediations and equipment not purchased in FY 2025 due to staffing shortages. The  projects for FY 2026 include shade structures for the Fossil Dig exhibit, net replacement in the treehouse, and ventilation  improvements. Completion is expected in summer 2026.   Library  Automated  Material  Handling  (LB‐21000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $480,829  $1,898,292 Public Works Construction Fall 2028  Project Status: This project will provide the design and construction of three new Automated Material Handling (AMH) Systems  for the Children’s, Mitchell Park and Rinconada Libraries. AMH systems efficiently sort returned library materials based on the  Radio Frequency Identification Devices (RFID) on the materials. Construction for the Children’s Library will be completed in  July 2025.  Lucie Stern  Community  Theatre  Mechanical  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $60,772  $2,443,408 Public Works Pre‐Design Winter 2027  Project Status: This project will upgrade and replace the Heating Ventilation and Air Conditioning (HVAC) system at the Lucie  Stern Community Theatre. As a first step, the project will include a detailed feasibility study to determine if natural gas‐ Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 15  Packet Pg. 527 of 637  Buildings and Facilities Projects                   Status as of June 2025  Buildings and Facilities Projects – Page 5 of 11  Equipment  Replacement  (PE‐24002)  powered equipment in the facility can be electrified per the recommended results of the City‐wide electrification assessment.  An RFP for design services is currently being compiled.    Lucie Stern  Community  Theatre Fire  Curtain  (AC‐24001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $0 $241,374 Community Services Pre‐Design Winter 2027  Project Status: This project will replace the fire curtain and its associated rigging at the Lucie Stern Community Theatre. The  fire curtain work will be coordinated with the Theatrical and House Lighting System Replacement Project (PE‐24003).    Lucie Stern  Community  Theatre Stage  Rigging System  Refurbishment  (AC‐24000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $0 $116,113 Community Services Construction Fall 2025  Project Status: This project will refurbish the most heavily used components of the stage rigging system at the Lucie Stern  Community Theatre. The construction contract was approved by Council on June 3, 2024. Work was scheduled to start in July  2024, but parts needed for the installation were delayed.  Work was completed in July 2025 with additional follow up work in  October 2025 to complete the project.    Lucie Stern  Community  Theatre  Theatrical  and House  Lighting System  Replacement  (PE‐24003)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $41,347  $333,210 Public Works Design Winter 2027  Project Status: This project will upgrade and replace lighting systems at the Lucie Stern Community Theatre for stage work  areas, the performance stage, and audience areas. The building documents for the new system are complete, and an RFP for  a Design Build Entity will be submitted for bidding. The timing of this project will coincide with the Community Theatre  Mechanical Equipment Replacement (PE‐24002). A design build method of project delivery has been approved.    Mitchell Park  Library Repair  (PE‐24006)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $61,386  $266,540 Public Works Design Spring 2026  Project Status: This project will repair the damage caused by a vehicular accident in January 2023. A vehicle ran into the north  wall of the Mitchell Park Library near the center of the building. The car impacted an area of the stone cladding on cold‐formed  steel studs, causing the cladding to fall from the wall and the wall to bulge into the building’s interior. Architectural and  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 16  Packet Pg. 528 of 637  Buildings and Facilities Projects                   Status as of June 2025  Buildings and Facilities Projects – Page 6 of 11  structural surveys and reports were completed. The stone cladding wall will require replacement, but the structural steel frame  was not damaged.  The project will be submitted to the Building Department for plan check review in July 2025.  Municipal  Service Center  Lighting,  Mechanical,  and Electrical  Improvements  (PF‐16006)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $1,223,795  $8,850,720 Public Works Design Winter 2027  Project Status: This project replaces original mechanical, electrical, and lighting systems installed in 1966. It also includes  design and construction for office renovations for the Zero Waste group.  The electrical design is complete, and the planning  permit was approved in spring 2024. However, additional stakeholder review is needed to ensure the scope aligns with  anticipated future capacity requirements.    New Downtown  Parking Garage  (PE‐15007)   Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $1,669,257 $7,188,904 Public Works Design Fall 2027  Project Status: In December 2021, Council directed staff to look at the feasibility of partnering with a private entity to develop  new parking using downtown in‐lieu parking fees in conjunction with housing or other uses, including the use of City surface  lots or privately held parcels. A Request for Information was issued in December 2022 and staff reviewed proposals and held  interviews in May 2023. Council gave directions to staff in December 2023 to advance the project in conjunction with  advancement of affordable housing in the Downtown area. In December 2024, the City executed a contract with Watry Design,  Inc. to provide for design, environmental review, and construction administration services for the New Downtown Parking  Garage. Concept designs were presented to Council in April 2025. Design is ongoing.    New Public  Safety Building  (PE‐15001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $122,812,614  $ 127,329,764 Public Works Construction Summer 2025  Project Status: This project will provide a new, modern Public Safety Building (PSB) that will meet essential services standards  and the current and future needs of the public safety departments.  The PSB and new garage in the California Avenue business  district are now an integrated project and both are part of the 2014 Council Infrastructure Plan.  Construction on the PSB  started in March 2021 and will continue into spring 2025. The project obtained temporary certificate of occupancy at the end  of May 2025. The first phase of staff move‐in is expected in early September 2025.    Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 17  Packet Pg. 529 of 637  Buildings and Facilities Projects Status as of June 2025 Buildings and Facilities Projects – Page 7 of 11  Palo Alto Art  Center  Ceramics  Equipment  (AC‐28003)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $74,039  $181,367 Community Services Construction Fall 2026  Project Status: This project renews and replaces ceramics program equipment, upgrades   electrical  infrastructure, and  waterproofs outdoor kiln sheds. The majority of the Art Center’s existing ceramics equipment was obtained during the  renovation of the Art Center in 2011 and 2012. These pieces of equipment show signs of aging, necessitating facility updates.  The entire project has been completed, apart from the purchase of the gas kiln, which is currently in the bid process and  anticipated arrival and installation is fall 2026.  Performing Arts  Venues Seat  Replacement   (AC‐18000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $1,215,428  $1,281,909 Public Works Construction Winter 2025  Project Status:  This project will replace all the seats in the Community and Children’s Theatres.  Staff  hired a consultant to  design the seat replacements and ADA upgrades for the Children’s Theatre portion of the project.  The Children’s Theatre seats  replacement was completed in November 2022.  A contract for the design of the Community Theatre was issued in June 2023.   Council approved the construction contract on April 22, 2024, and the ADA upgrades along with the installation of auditorium  seating were completed in spring 2025.  Painting of the auditorium is anticipated in fall 2025, with additional conduit work  and ramp modifications expected in winter 2026.  Rinconada Pool  Family  Changing Room  (PE‐24004)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $88,395  $1,397,698 Public Works Design Winter 2026  Project Status:  The  project will construct a gender‐neutral restroom and family changing facility that is compliant with the  Americans with Disabilities Act (ADA) at the Rinconada Pool. The facility will include two separate rooms, each consisting of a  toilet, sink, shower, and child/adult changing station. The facility will provide community members who have special needs,  and individuals who require privacy, an accessible space for changing and personal hygiene. Design of the family changing  rooms started in December 2024.  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $11,032,176  $11,367,366 Public Works Construction Summer 2025  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 18  Packet Pg. 530 of 637  Buildings and Facilities Projects                   Status as of June 2025  Buildings and Facilities Projects – Page 8 of 11  Roth Building  Rehabilitation  Phase 1  (PF‐23001)  Project Status: This project implements Phase 1 of the rehabilitation and build‐out of the Roth Building facility. Phase I will  make the building suitable for occupancy, also known as a “warm shell. Phase II of the rehabilitation includes the interior build‐ out of the museum and exhibits, readying the facility to welcome visitors, and will be funded by the Palo Alto History Museum  (PAHM). A Tenant Work Letter was approved by Council in April 2023, and construction is underway including underground  utilities, roof, demolition, and abatement. Phase I of this project will be substantially completed in February 2025. The project  was accepted as fully complete effective June 12, 2025. Further meetings are being held for completion of construction for  the City archives’ location and activation of community spaces, i.e. consisting of a community room, boardroom, archives  room, education resource room, and the park restroom. Access to these rooms as well as janitorial services, maintenance and  technology support are among the areas being planned and will be coordinated with the museum over the coming months.          Recurring Projects  Americans With  Disabilities Act  Compliance   (PF‐93009)   Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $0 $880,820 Public Works N/A Recurring  Project Status: This project provides accessibility upgrades to City facilities and equipment. It includes continued funding for  improvements such as path of travel, restrooms, drinking fountains, and counters. An updated ADA Transition Plan was  adopted by Council in June 2021. Staff is waiting to solicit new software that will allow staff to identify and log new barriers,  track grievances from the public, and update the ADA Transition Plan Report.    Building  Systems  Improvements   (PF‐01003)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $77,759 $1,366,177 Public Works N/A Recurring  Project Status: This project provides electrical, mechanical, plumbing, structural, and security upgrades for City facilities.  The  permit process for Building and Fire has been completed for the UCC Emergency Generator Replacement project.  An IFB for  this project was put out for public bid, and a contractor has been selected.  The next step is to prepare the Staff Report for City  Council. The City Hall Cooling Tower Overhaul project was completed in March 2025.     Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 19  Packet Pg. 531 of 637  Buildings and Facilities Projects                   Status as of June 2025  Buildings and Facilities Projects – Page 9 of 11  California  Avenue Parking  District Parking  Improvements  (PF‐25000)  Prior Year Actual Current Year Budget Implementing Department Project Phase Project Completion  $0 $110,102 Public Works N/A  Recurring   Project Status: This project will implement parking improvements in the California Avenue parking district such as parking lot  resurfacing, striping and signing; parking structure painting or staining; electrical system upgrades needed to support improved  lighting security, parking, fountains and/or other systems; and replacement or rehabilitation of parking lot signs.    City Facility   Parking Lot  Maintenance   (PE‐09003)     Prior Year Actuals  Current Year Budget Implementing Department Project Phase Project Completion  $0 $567,564 Public Works  N/A  Recurring   Project Status: This project repairs, resurfaces, or reconstructs parking lots and walkways at various City facilities, including  restriping and signage. The Cubberley Community Center restriping and base‐failure repair work was completed in fall 2024.  The Golf Course Lot, Golf Course Service Parking Lot and Terman Center Parking will be resurfaced as part of the FY 2025 Street  Resurfacing Project.  This project is expected to start in summer 2025.    Cubberley  Repairs  (CB‐17001)   Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $309,506 $746,556 Public Works N/A Recurring   Project Status:   This project is for general maintenance needs of the Cubberley campus.   Cubberley Roof  Replacements  (CB‐16002)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $27,039 $1,224,164 Public Works N/A Recurring  Project Status: This project replaces existing roofs at Cubberley Community Center. The Pavilion Roofing project was canceled  due to the City’s pending purchase of the remaining Cubberley buildings and then ultimately rebuilding a new Cubberley  Community Center.     Electric Charger  Infrastructure  Installation  (PF‐23000)   Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $63,243 $ 122,453 Public Works N/A Recurring  Project Status: This project designs and installs electric vehicle chargers at various City facilities. The primary use of the electric  vehicle chargers will be for City fleet vehicles. The City Hall Level C EV Charger project to install six new chargers on Level C for  the parking garage was completed in summer 2024.    Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 20  Packet Pg. 532 of 637  Buildings and Facilities Projects                   Status as of June 2025  Buildings and Facilities Projects – Page 10 of 11  Electrification  of City Facilities  (PE‐24001)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $ 204,162 $1,358,531 Public Works Pre‐Design Fall 2030  Project Status: This project will evaluate feasibility, prepare designs, and implement construction for the electrification of  fossil fuel consuming building systems in coordination with the Building Systems Improvements project (PF‐01003). The City  Facility Electrification assessment report will act as a workplan to implement the electrification of City facilities. An RFP for an  on‐call task order consultant for all City facilities requiring electrification will be issued in fall 2025. Facilities will be electrified  in order by priorities set by the Electrification Assessment to facilitate reaching the S/CAP goals. Funding is also included for  the HVAC electrification upgrade at the 445 Bryant Street property. Mechanical design is complete, and a contractor was  selected for installation of the mechanical systems, which will occur in July 2025.    Facility Interior  Finishes  Replacement  (PF‐02022)   Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $83,323 $615,564 Public Works N/A Recurring  Project Status: This project improves the interior finishes of City facilities, including flooring, walls, cabinets, paint, lighting,  ceiling tiles, soundproofing, and fixed office furniture, doors, windows, and associated fire/life safety, mechanical, electrical  and plumbing code compliance requirements. New carpet for the Children’s Library has been installed, and the interior has  been repainted.    Fire Equipment  Replacement  (FD‐25000)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $0 $113,405 Fire Department N/A Recurring  Project Status: This project funds ongoing replacement of Fire and Emergency Medical Services (EMS) equipment used for  training, medical response, and technical rescue in all emergency situations. In FY 2025, forcible entry equipment was  purchased.     Police Video  Recording  Systems  Replacement  (PD‐20000)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $ 10,751 $ 214,900 Police Department N/A Recurring  Project Status: This project maintains the Palo Alto Police Department video recording systems used to record events in the  field with up to five in‐car cameras as well as body‐worn cameras (BWC).  In FY 2024, the City solicited for a new vendor to  include the in‐car and BWC systems and newly added fixed interrogation systems in the PSB. A vendor was selected, and City  Council approved a Purchase Order. Materials have been shipped, and the transition is in process. Full implementation is  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 21  Packet Pg. 533 of 637  Buildings and Facilities Projects                   Status as of June 2025  Buildings and Facilities Projects – Page 11 of 11  expected to be completed on or around the end of FY 2025. The CIP will remain open to coordinate with the vehicle  replacement cycle.    Roofing  Replacement   (PF‐00006)   Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $447,681 $1,316,825 Public Works N/A Recurring  Project Status: This project replaces existing roofs at City facilities that have outlived their useful lifespans.  The Animal Shelter  roof recoat has been delayed due to roof modifications required for the proposed kennel remodel. Permits for the Phase 2 of  the Lucie Stern Community Center roof replacement project have been completed. An IFB for construction was issued in spring  2025 with construction expected to begin in summer 2025.    University  Avenue Parking  Improvements  (PF‐14003)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $0 $171,116 Public Works N/A Recurring  Project Status: This project maintains parking lots and parking structures within the University Avenue Downtown Business  Parking District. There is no work planned for parking improvements in the second half of FY 2025.                     Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 22  Packet Pg. 534 of 637  Parks and Open Space Projects                    Status as of June 2025    Parks and Open Space Projects – Page 1 of 8  One‐Time Projects  Baylands  Comprehensive  Conservation  Plan  (PG‐17000)    Prior Years Actuals    Total Project Budget Implementing Department Project Phase Project Completion  $386,401 $438,413 Community Services Design Summer 2026  Project Status: This project will implement a conservation plan that will examine native vegetation, wildlife habitat resources,  and wildlife‐appropriate public access for the entire Baylands, including Byxbee Park. This plan will provide information to  successfully manage wildlife habitat and provide trails or other recreation amenities; provide a design overlay for appropriate  types and locations of public art in the Baylands; and design interpretive messaging throughout the Baylands. The plan seeks  to optimize opportunities for low‐impact recreation ensuring that these are compatible with the Baylands Master Plan direction  for passive use of the nature preserve. The Conservation Plan will also provide input for the Byxbee Park Completion project.  The Parks and Recreation Commission has created an Ad Hoc Committee to work with staff on this project. Staff and the Ad  Hoc Committee have been reviewing the draft plan and identifying gaps and highlighting where updates are required.     Baylands  Interpretive  Signage  Program  (OS‐24001)  Prior Years Actuals    Total Project Budget Implementing Department Project Phase Project Completion  $ 117,962 $178,366 Community Services Construction Fall 2025  Project Status: The grant‐funded project will install interpretive signage and exhibits on two miles of trails and on the boardwalk  at the Palo Alto Baylands. The graphics and stanchions have been fabricated and are in storage. All interpretive signage will be  installed in September 2025, after the Ridgeway’s Rail’s breeding season has ended.      Boulware Park  Improvements  (PE‐17005)  Prior Years Actuals    Total Project Budget Implementing Department Project Phase Project Completion  $5,793,204.00 $5,782,383 Public Works Construction Summer 2025  Project Status: This park renovation project was initially planned in FY 2018 but was postponed due to an increase in scope to  incorporate the adjacent AT&T lot purchased by the City in 2019. A Park Improvement Ordinance for the improvements was  adopted by the City Council in October 2021. A construction contract was awarded in June 2023, and the project construction  began in August 2023. The bulk of project construction was completed and opened to the public in spring 2025, but the final  completion date is anticipated for fall 2025.      Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 23  Packet Pg. 535 of 637  Parks and Open Space Projects                    Status as of June 2025    Parks and Open Space Projects – Page 2 of 8  Byxbee Park  Completion  (PE‐18006)   Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $368,192 $3,699,189 Public Works Pre‐Design Summer 2028  Project Status: This project allows for the remaining improvements to Byxbee Park that follow the completion of the landfill  capping work. The Baylands Comprehensive Conservation Plan (BCCP), which is currently undergoing CEQA analysis, will include  recommendations on the scope of the Byxbee Park project. The BCCP and the conceptual plan for Byxbee Park need additional  outreach and review which is anticipated to continue through FY 2026. The project has been moved to FY 2028 pending  completion of the BCCP.      Cubberley Field  Restroom   (CB‐17002)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $1,369,323 $1,452,876 Public Works Completed Spring 2025   Project Status: This project will install a new restroom in the sports field area of the Cubberley Community Center. In June  2023, Council approved a purchase order with the Public Restroom Company for a four‐stall prefabricated restroom building.  The City Council awarded a construction contract for site work in September 2024. The prefabricated restroom building was  installed in December 2024. Project construction was completed in spring 2025.                              El Camino Park  Turf  Replacement  (PG‐24000)    Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $ 41,620 $931,121 Community Services Design Summer 2026  Project Status: This project has been paused and Council has provided direction to use a portion of this project’s funding to  complete a comprehensive study comparing synthetic turf to natural grass with a case study focused on El Camino Park. The  study is underway and anticipated to be presented to Council in October 2025. The study will assess environmental and health  impacts, field utilization capacity, and capital and operating costs required for both types of fields. Once complete, the study  will provide recommendations to Council for replacement of turf at El Camino Park.     Eucalyptus Tree  Removal  (PG‐25002)    Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $ 105,860 $110,102 Community Services Construction Fall 2027  Project Status: This Hazardous Fuel Abatement project identified Eucalyptus trees from the City of Palo Alto’s open space  preserves for removal. During Phase 1 of this CIP, 36 Eucalyptus trees were removed within Esther Clark Park to reduce  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 24  Packet Pg. 536 of 637  Parks and Open Space Projects                    Status as of June 2025    Parks and Open Space Projects – Page 3 of 8  hazardous fuels adjacent to homes in the Palo Alto Wildland Urban Interface. Foothills Nature Preserve and Arastradero  Preserve are to be evaluated for further Eucalyptus tree removals. This project is being expanded through Fiscal Year 2027.  Staff is working cross‐departmentally to prioritize Arastradero Preserve and Foothills Nature Preserve for phases 2 and 3.    Foothills Nature  Preserve  Boronda Lake  Dock  Replacement  (OS‐18000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $1,675 $278,470 Public Works Design Summer 2026  Project Status: This project is a refurbishment of the existing dock. The dock was originally built in 1965 and was last refurbished  in 2010 with repairs to the wood decking. The current condition of the dock has declined and now requires complete  replacement with new decking, ramp, floats, and pilings. Design for the Foothills Nature Preserve Boronda Lake Dock  renovation is currently in review.  Currently, staff is sourcing materials and tools for this work to be done in‐house.     Foothills Nature  Preserve Dam  Seepage  Investigation  and Repairs  (PE‐20000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $118,549 $112,716 Public Works Construction Spring 2026  Project Status: This project will study the location of historic seepage from the Foothills Nature Preserve Dam at the sharp bend  in the road on the face of the dam and will locate and investigate the pipe and trench backfill material. The source of the  seepage is suspected to be the trench backfill around the pipe that returns shallow groundwater to Boronda Lake.   Staff  continue to monitor and investigate the seepage per the Department of Water Resources Division of Safety of Dams (DSOD)  inspections and recommendations. Staff completed camera inspections of the underdrain pipes to identify potential  obstructions and leakage issues. Per the DSOD recommendations, the City’s consultant completed a field assessment in fall  2024 identifying location of a seepage weir on the downstream side of the Foothill Nature Preserve Dam. The weir was installed  in spring 2025 which will allow the City to collect quantitative measurements of the seepage flow and inform the seepage  trends and needs for a long‐term solution as necessary.     Foothills Nature  Preserve  Improvements  (PE‐21000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $363,899 $3,710,577 Public Works Design Summer 2030  Project Status: This project has repaired the bridge to Sunfish Island, and will complete the design and permitting to replace  the footbridge in Los Trancos Valley, replace the grade control structures along Buckeye Creek, provide new split rail fencing  to protect sensitive areas, new pedestrian pathways to keep park visitors safe while walking along the park road, and  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 25  Packet Pg. 537 of 637  Parks and Open Space Projects                    Status as of June 2025    Parks and Open Space Projects – Page 4 of 8  improvements to some of the existing parking areas to make them safer and more efficient. Council awarded a professional  services contract for additional outreach, detailed design, and bid package preparation for pathways, fencing, and parking  improvements in spring 2024. Preliminary renderings for the project improvements are being refined, and staff plans to obtain  input from the Parks and Recreation Commission and seek recommendations on a Park Improvement Ordinance in fall 2025.  The replacement of the footbridge in Los Trancos Valley and the grade control structures along Buckeye Creek have been  moved to FY 2029 and FY 2030 due to staffing constraints.     Golf Course Net  and Artificial  Turf  Replacement  (PG‐18000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $0 $925,056 Community Services Pre‐Design Summer 2027  Project Status: This project will remove and replace the golf course driving range netting and synthetic turf. This project has  been delayed due to the assessment of additional ball retention needs throughout the golf course. Staff has partnered with  First Tee Silicon Valley on a short‐term agreement and is currently developing a long‐term agreement for driving range and  practice facility improvements. Concurrently, staff is finalizing a Second Deck Study that could impact the timing and extent of  replacement.     Heritage Park  Site Amenities  Replacement   (PG‐21000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $37,275 $143,134 Community Services Construction Summer 2025  Project Status: The project will replace select walkways and all of the site amenities in Heritage Park including benches, picnic  tables, trash receptacles, playground arbor, bicycle racks and drinking fountain. Improvements completed include replacement  of retaining walls in the playground area and repairs to decomposed granite pathways throughout the park. Further work  throughout summer 2025 includes repairs to asphalt pathways, benches, and landscape improvements.    Ramos Park  Improvements   (PG‐14000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $646,631 $682,057 Community Services Construction Summer 2026  Project Status: This project replaces the playground equipment at Ramos Park. Council awarded a cooperative agreement with  Ross Recreation in June 2024 to replace and install the playground equipment for Ramos Park. Playground equipment was  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 26  Packet Pg. 538 of 637  Parks and Open Space Projects                    Status as of June 2025    Parks and Open Space Projects – Page 5 of 8  replaced in spring 2025. Funding has been added to this project for replacement of site amenities and basketball court  resurfacing repairs to occur in FY 2026.       Rinconada Park  Improvements  (PE‐08001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $5,761,775 $10,176,310 Public Works Construction Fall 2030  Project Status: This project provides upgrades to safety, site amenities, playground facilities, a new restroom, irrigation,  drainage, and ADA accessibility improvements at Rinconada Park. These improvements were identified in the Rinconada Long  Range Plan (LRP).  Phase 1 park improvements to the western half of the park were completed in spring 2022. A new restroom  was installed and opened to the public in summer 2024. Funding was approved by Council in FY 2025 to complete structural  and electric design for replacement of a storage unit (purchased by Palo Alto Tennis Club (PATC) at Rinconada Park. The design  has been completed and a Memorandum of Understanding between the City and PATC is in progress. Per PATC request, further  work on the project has been paused. According to the LRP, future improvement phases will include improvements to the  eastern half of the park by FY 2030, including pathway improvements, ADA upgrades, planting, irrigation, lighting, and site  furnishings.      Robles Park  Improvements  (PE‐18015)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $210,874 $742,055 Public Works Design Fall 2026  Project Status: This project will replace playground equipment. Community meetings were held in September 2023 and March  2024 to obtain community input. An online community survey regarding the play equipment was completed in January 2025.  The project completion has been extended to fall 2026 due to staffing constraints.     Stanford Palo  Alto Community  Playing  Fields Turf  Replacement  (PG‐26000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $36,504 $2,707,547 Community Services Construction Fall 2025  Project Status: The project will replace the synthetic turf at the Stanford Palo Alto Community Playing Fields. The Stanford Palo  Alto Community Playing Fields accommodate year‐round play, including additional evening play with some temporary lighting.  Since the turf was installed in 2016, it has been in high demand and is used by youth and adult leagues as well as walk‐on play.  Synthetic turf has a typical lifespan of approximately eight to ten years with each year of use contributing to gradual wear and  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 27  Packet Pg. 539 of 637  Parks and Open Space Projects                    Status as of June 2025    Parks and Open Space Projects – Page 6 of 8  tear resulting in loss of pile height, turf fiber, and infill. The design was completed in fall 2024, and construction is scheduled to  begin in summer 2025 through an approved sole source contract.        Recurring Projects  Art in Public  Spaces  (AC‐86017)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $189,175  $1,823,508 Community Services N/A Recurring  Project Status: This project provides the ongoing temporary and permanent artworks throughout the City of Palo Alto. Artist‐ in‐Residence Aleo Landeta completed their residency and installed a temporary sculpture on King Plaza. One more artwork  is fabricated and ready to install at the Public Safety Building, and artwork is under development for Fire Stations 4 and 5,  and for three murals downtown. Preparations for the 2025 Code: ART festival are underway, with five interactive  installations throughout downtown and three 3‐D projection mapping artworks on the front façade of City Hall on view  nightly October 16‐25.     Athletic Courts  Resurfacing   (PG‐06001)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $22,294 $194,499 Community Services N/A Recurring  Project Status: This project repairs and resurfaces athletic courts in various Palo Alto parks. The reconfiguration and  resurfacing of the Greer Park basketball courts is to be completed in July 2025. Design for the Bike Safety Park (formerly  referred to as the Traffic Garden located at Ventura Community Center) was completed in May 2025 and the project is  scheduled for implementation and completion in summer 2025.    Benches, Signage,  Walkways,  Perimeter  Landscaping   (PG‐06003)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $513,204 $325,544 Community Services N/A Recurring  Project Status: This project restores and replaces existing benches, signage, fencing, walkways, and landscaping at various  City facilities. In June 2025, 13 replacement picnic benches were installed at Rinconada Pool.  Design for 26 Park signs has  been completed and new signage has been installed at Boulware and Fred Eyerly Tower Well Park.  Additionally, trailhead  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 28  Packet Pg. 540 of 637  Parks and Open Space Projects                    Status as of June 2025    Parks and Open Space Projects – Page 7 of 8  signage was installed at Pearson‐Arastradero Preserve. Other Park amenities replaced include tennis court windscreens at  Weisshaar Park and drinking fountains at Mitchell Park. Lastly, Lytton Plaza fountain grate design was completed in May  2025, with installation planned for fall 2025.     Dog Park  Installation and  Renovation   (PG‐18001)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $30,278 $0 Community Services N/A Recurring   Project Status: This project enables the construction of dog parks at various City parks and facilities for constructing new or  renovating existing dog parks. A renovated Mitchell Park Dog Park was opened to the public in April 2025 which improved  the dog park with separate areas for large and small dogs. A new dog park was built as part of the Boulware Park expansion  project and opened to the public in May 2025.    Off‐Road Pathway  Resurfacing and  Repair   (OS‐09001)   Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $22,075  $269,457 Public Works N/A Recurring  Project Status: This project repairs, resurfaces, or replaces pathways as needed within the City of Palo Alto.  Pathways are  chosen based on safety inspections, condition, and usage. Open Space pathways are currently under review for repair.    Open Space Lakes  and Pond  Maintenance   (OS‐00002)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $27,900 $78,037 Community Services N/A Recurring  Project Status: This project rehabilitates lakes and ponds in open space nature preserves to protect wildlife habitat and  recreational safety and to meet State Division of Safety of Dams requirements. A new three‐year contract was awarded in  July 2024 for the removal of aquatic vegetation in Boronda Lake and conducted twice annually in the spring and fall.     Open Space Trails  and Amenities   (OS‐00001)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $360,820  $296,701 Community Services N/A Recurring  Project Status: This project restores unpaved trails, fences, picnic areas, and campgrounds at Foothills, Baylands, and  Pearson‐Arastradero Nature Preserves. A new five‐year maintenance contract was awarded in November 2024. Work to be  performed in summer 2025 includes approximately 60 acres of firebreak maintenance and fire road mowing.    Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 29  Packet Pg. 541 of 637  Parks and Open Space Projects                    Status as of June 2025    Parks and Open Space Projects – Page 8 of 8  Parks and Open  Space Emergency  Repairs   (PG‐09002)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $ 192,024 $335,109 Community Services N/A Recurring  Project Status: This project replaces or repairs playgrounds, play yard surfaces, wooden structures, park amenities, and play  equipment in the event of storms, fire, vandalism, or structural failure. In spring 2025, slide replacements were installed at  Johnson and Juana Briones Parks. Repairs were made at the Magical Bridge playground including two saucer swings, wooden  play elements, and rubber surfacing.  The Mitchell Park splash pad also had rubber surfacing repairs performed.    Park Restroom  Installation  (PG‐19000)  Prior Years Actuals Current Year Budget Implementing Department Project Phase Project Completion  $485,995 $693,359 Community Services N/A Recurring  Project Status: This project installs new restrooms at City parks that currently do not have restroom facilities. In summer  2024, the Ramos Park restroom construction was completed and opened to the public. Staff began preliminary work on the  Magical Bridge restroom in spring 2025 for installation of a new prefabricated restroom building.                        Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 30  Packet Pg. 542 of 637  Streets and Sidewalks Projects                      Status as of June 2025    Streets and Sidewalks Projects – Page 1 of 5    One‐Time Projects  California Avenue  District Gateway  Signs   (PE‐17004)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $26,943  $162,783 Public Works Design Spring 2026  Project Status: This project includes the design and replacement of two existing gateway signs for the California Avenue  business district. Initial public outreach was completed in winter 2021. The California Avenue District Gateway Signs project  is in the next phase of improvements following the California Avenue Streetscape update and near‐term improvements. The  signage plan, including district gateway signs, will be discussed with the Architectural Review Board in fall 2025 and presented  to City Council for approval later in 2025.    Newell Road  San  Francisquito  Creek Bridge   Replacement  (PE‐12011)        Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $ 4,416,929 $23,456,670 Public Works Design Spring 2027  Project Status: This project removes and replaces the Newell Road bridge over San Francisquito Creek with a clear span to  allow the channel to convey up to the natural capacity of the San Francisquito Creek, approximately 7,500 cubic feet per  second, and to improve safety for vehicular, bicycle, and pedestrian traffic. The project is being closely coordinated with the  City of East Palo Alto, Valley Water, and San Francisquito Creek Joint Powers Authority (SFCJPA).   On April 10, 2025, Caltrans  issued the Authorization to Proceed with the construction phase with Advance Construction. The project was advertised for  construction, bids were received, and a construction contract was awarded in June 2025.     Streetlights  Condition  Assessment  (PE‐13014)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $8,799 $274,309 Public Works Design Fall 2026  Project Status: This project will assess the condition of the City’s streetlight system. The assessment will include an inventory  of the entire lighting system, including age and condition of conduit, wiring, streetlight poles, foundations, luminaires, and  lighting coverage. The project will also determine the inspection, maintenance, repair, and rehabilitation necessary to prolong  the life of the City’s streetlight system. This project has not started due to staffing constraints.         Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 31  Packet Pg. 543 of 637  Streets and Sidewalks Projects                      Status as of June 2025    Streets and Sidewalks Projects – Page 2 of 5    Recurring Projects  City Bridge  Improvements  (PE‐20001)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $200,258 $1,704,161 Public Works N/A Recurring  Project Status: This project includes bridge inspections, maintenance, repair, and an improvement program over the next five  years. This program will include on‐going inspections to report physical changes to the structures, recommendations for work  to be done, and additional information to meet functional and structural standards in accordance with industry standards.  Staff hired an on‐call structural engineering firm to assist with the bridge inspection and repair program. Staff completed  design and bidding for repairs of seven bridges identified for repairs in winter 2023. A construction contract was awarded by  the Council in March 2024. Bridge construction repair work began in September 2024 and was completed in December 2024.  A new on‐call structural contract was awarded by Council in spring 2025. Staff will continue recurring inspections and repairs  of City bridge structures as needed. This CIP also provides funding for San Francisquito Creek bank stabilization project under  a memorandum of understanding between Caltrain and Cities of Palo Alto and Menlo Park. Design for the project is underway,  and construction is anticipated in summer 2026.    Curb and Gutter   Repairs  (PO‐12001)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $1,519 $114,506 Public Works N/A Recurring  Project Status: This project repairs curbs and gutters uplifted by tree roots. Funding for FY 2023 was carried over into FY 2024  for a larger curb and gutter repairs project focusing on the City’s Sidewalk Districts 1 & 2 that includes Downtown North and  University South neighborhoods (Palo Alto Avenue to Embarcadero Road and Alma Street to Middlefield Road) in addition to  addressing hot spot locations from 311 requests. Approximately 2,136 linear feet of curbs and gutters are included in the FY  2024 Sidewalk Repair ADA Improvement Project. Council approved the construction contract on June 10, 2024.  Construction  of curb and gutter repairs began in September 2024, prioritizing locations with CDBG funding, construction work was  completed in February 2025.     Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $108,514  $220,205 Public Works N/A Recurring  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 32  Packet Pg. 544 of 637  Streets and Sidewalks Projects                      Status as of June 2025    Streets and Sidewalks Projects – Page 3 of 5    San Francisquito  Creek Joint  Powers  Authority  Ongoing Creek  Projects  (PE‐22000)  Project Status: This project will implement creek studies and the completion of the design for the San Francisquito Creek Joint  Powers Authority (JPA) upstream projects including channel widening and Continuing Authority Program Section 205 (CAP  205) study.  In FY 2024, the JPA awarded a contract with WRA Environmental Consultants to analyze the creek hydraulics and  the improvement alternatives that could reduce flooding. The Master Service Agreement includes the design and  implementation of Reach 2 project elements. WRA completed their initial field survey, developed a preliminary list of  improvement alternatives and provided the initial presentation to the public in November. Their efforts will be driven based  on public feedback and direction from the SFCJPA Board. A preferred alternative will be determined in 2025.     Sidewalk Repairs  (PO‐89003)   Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $1,265,080  $ 1,445,415 Public Works N/A Recurring  Project Status: This project repairs and replaces broken and uplifted sidewalks. The program completed all twenty‐three  sidewalk districts in 2017, a 30‐year (1986–2017) sidewalk repair district cycle. Council approved a sidewalk assessment  contract in November 2017 to evaluate the sidewalk program and assess potential improvements to the current district‐based  program. Funding for FY 2023 has been carried over into FY 2024 for a larger sidewalk project. The FY 2024 Sidewalk Repair  ADA Improvement Project will focus on sidewalk repairs (PO‐89003) and curb and gutter repairs (PO‐12001) in the Downtown  Professorville neighborhoods (Palo Alto Avenue to Embarcadero Road and Alma Street to Middlefield Road). Council approved  the construction contract on June 10, 2024. The project aims to replace approximately 23,199 square feet of concrete  sidewalk, 4,309 square feet of driveways, install 86 new curb ramps, and retrofit 33 existing curb ramps with truncated domes  to conform to the Americans with Disabilities Act (ADA). All sidewalk repairs included in this project were completed in  February 2025.     Sign Reflectivity   Upgrade  (PO‐11000)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $6,692  $ 55,052 Public Works N/A Recurring  Project Status: This project includes the annual inventorying, upgrading and maintaining of all traffic signs.  A list of signs not  meeting the minimum requirement is derived from MUTCD approved Nighttime Visual Inspection surveys.    Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 33  Packet Pg. 545 of 637  Streets and Sidewalks Projects                      Status as of June 2025    Streets and Sidewalks Projects – Page 4 of 5    Staff will continue to work on replacing the 405 signs identified for replacement from the FY 2024 survey.  Due to continuing  staffing constraints, nighttime reflectivity surveys were not performed during FY 2025 and are not planned for FY 2026.     Streetlight  Improvements  (PO‐05054)   Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $210,264 $399,481 Public Works N/A Recurring  Project Status:   This project replaces streetlights, including poles, pole foundations, luminaires and wiring as needed to  restore or improve street lighting.  In the second half of FY 2025, there were six knockdown locations with nine completed  repairs and seven are still in progress to be completed in FY 2026.    Street  Maintenance  (PE‐86070)   Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $3,892,921 $5,531,353 Public Works N/A Recurring  Project Status: Street Maintenance Projects include the annual resurfacing, micro‐seal, crack seal, and reconstruction of  various city streets in support of the Council’s goal of achieving a citywide average pavement condition index (PCI) score of  85, representing very good or excellent conditions. The FY 2024 Street Resurfacing Project is completed except for the  California Avenue Street Improvements Project. The Project is in permitting process with Caltrans. The FY 2025 Street  Resurfacing Project construction contract was approved by council on June 2, 2025. This project will repave 5.61 lane‐miles  of arterial and residential streets and replace approximately 4,900 linear feet of curbs and gutters, 3,058 square feet of  driveways, and 7,128 square feet of sidewalks. Additionally, 30 new curb ramps will be installed, and 1 existing curb ramps  will be retrofitted with truncated domes to conform to the Americans with Disabilities Act (ADA). . The FY 2025 Street  Preventive Maintenance Project construction contract was approved by council on June 9, 2025. The FY 2025 Preventive  Maintenance Project will micro‐surface  11.2 lane‐miles of streets, replace 13,940 LF of thermoplastic striping, install 38  thermoplastic legends, and update 36 blue markers Together, both the Street Resurfacing and Preventive Maintenance  Projects will maintain and improve the City’s Pavement Condition Index (PCI) beyond its average of 84 and will address many  streets whose PCI scores fall below the City’s minimum goal of 60.  Work is estimated to start in August 2025.      Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 34  Packet Pg. 546 of 637  Streets and Sidewalks Projects                      Status as of June 2025    Streets and Sidewalks Projects – Page 5 of 5    Thermoplastic  Lane Marking  and Striping  (PO‐11001)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $0 137,628 Public Works N/A Recurring  Project Status: This project maintains thermoplastic markings on roadways. Thermoplastic lane marking and striping are  incorporated into annual Pavement Preventive Maintenance Projects. The FY 2025 Streets Preventive Maintenance Project  (PE‐86070, PO‐11001) is estimated to start in August 2025 and will install 8,700 LF of thermoplastic striping and 62  thermoplastic legends.          Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 35  Packet Pg. 547 of 637  Traffic and Transportation Projects   Status as of June 2025  Traffic and Transportation Projects – Page 1 of 8  One‐Time Projects  California Avenue  Streetscape  Update  (PL‐23000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $278,523  $560,583 City Manager’s Office Design Spring 2026  Project Status: The project implements interim changes to the California Avenue Streetscape and for necessary CEQA  analysis for the future configuration of the street. Interim improvements were completed in summer 2025 with the  exception of paving the California Avenue/El Camino Real intersection, which is anticipated to happen in spring 2026. CEQA  analysis was approved by Council in March 2025.    Charleston  Road/Alma Street  Railroad Crossing  Safety  Improvements  (PL‐25002)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $85,948.00 $1,298,512 Office of Transportation Design Fall 2027  Project Status: The California Department of Transportation, in cooperation with the Peninsula Corridor Joint Power Board  (JPB) and the City of Palo Alto, proposed a railroad crossing improvement project at Charleston Road and Alma Street to  enhance traffic safety. This crossing was identified for possible funding of hazard elimination and safety improvements  through Section 130 funds. The Section 130 program is a federal‐funded program, administered at the state level, for the  elimination of hazards at at‐grade highway‐rail crossings. Section 130 funding will reimburse the actual and direct costs of the  design and construction of the improvements. This project is separate and independent from the on‐going rail grade  separation projects and addresses more immediate safety concerns at this crossing. The railroad crossing at Alma Street and  Charleston Road experiences a large volume of pedestrian and bicycle traffic during the morning and afternoon school  commute hours. JPB and the City will be responsible for the construction of the improvements within each respective agency’s  right of way.    Churchill Avenue  Enhanced  Bikeway  (PL‐14000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $564,143 $4,914,801 Public Works Construction Spring 2026  Project Status: This project includes planning, design and construction of a shared‐use path along the north side of Churchill  Avenue between the existing shared‐use path at Castilleja Avenue and the Stanford Perimeter Trail.   It also includes  intersection improvements at Churchill Avenue and El Camino Real, which will include a new dedicated westbound right‐turn  lane. PAUSD approved the easements required for the project in August 2023. Staff has worked with Caltrans for re‐issuance  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 36  Packet Pg. 548 of 637  Traffic and Transportation Projects   Status as of June 2025  Traffic and Transportation Projects – Page 2 of 8  of the encroachment permit and received approval in June 2024. The construction contract was approved by Council on  December 9, 2024. Construction for this project started in June 2025 and is anticipated to be complete by spring 2026.   Churchill Avenue  Rail Grade  Separation and  Safety  Improvements  Main  (PL‐24001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $118,034  $198,542,138 Office of Transportation Design Spring 2028  Project Status: This project provides for the planning, design, and construction of the grade separation at the existing at‐ grade crossing on Churchill Avenue in the Caltrain Rail Corridor. The project will provide improvements to accommodate  bicycles, pedestrians, and vehicular movement at the crossing. After reviewing various studies and refinements to the  alternatives, the Rail Committee recommended proceeding with a Partial Underpass Alternative with Bicycle and Pedestrian  crossing at Seale Avenue. On June 10, 2024, the City Council selected the Churchill Underpass with Ped/bike crossing at Seale  Avenue. The funding agreement with the Federal Railroad Administration was approved by City Council on June 17, 2024.  Staff collaborated with Caltrain and the Valley Transportation Agency to develop a cooperative agreement for the Preliminary  Engineering and Environmental Documentation phase and funding from Measure B Grade Separation funds. This cooperative  agreement between the City, Caltrain, and VTA was approved by the City Council on December 9, 2024. Staff is working closely  with Caltrain, VTA, and the Federal Railroad Administration (FRA) to refine the grade separation alternatives. As part of this  process, staff will hold community meetings to present updated concepts and gather public input before bringing the project  to the Rail Committee and City Council for review in fall 2025.    Churchill Avenue  Alma Street  Railroad Crossing  Safety  Improvements  (PL‐20000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $2,575,381 $9,243,271 Public Works Construction Summer 2025  Project Status: This project is a railroad crossing improvement project to enhance safety at the intersection of Churchill  Avenue and Alma Street. The design includes traffic signal modifications, street lighting improvements, roadway resurfacing,  sidewalk realignment, drainage improvements, utility relocations, signage, and striping.  Staff is coordinating with Caltrain,  Caltrans, and California Public Utilities Commission (CPUC). CPUC approved General Order 88‐B for the project in November  2022 and authorized the City to move forward with construction.  The construction contract was awarded and started in  summer 2023 but was delayed due to prolonged procurement of the traffic controller cabinet, received in May 2025.  Coordination with Caltrain required a short and strict installation window due to their electrification and restrictions on train  shutdowns. After obtaining approval from Caltrain, the traffic system was switched over to the new signals in June 2025. The  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 37  Packet Pg. 549 of 637  Traffic and Transportation Projects   Status as of June 2025  Traffic and Transportation Projects – Page 3 of 8  remaining work includes finalization of the concrete pedestrian areas, repaving, and installation of new striping. Construction  is anticipated to be complete in July 2025.     Downtown  Automated  Parking   Guidance  Systems, Access  Controls &   Revenue   (PL‐15002)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $4,375,179  $5,197,827 Public Works Construction Fall 2025  Project Status: This project includes design and installation of new downtown parking guidance systems, access controls, and  revenue collection equipment that will be coordinated with both the Downtown Parking Wayfinding, PL‐15004 project and  the 2016 Downtown Parking Management. Staff contracted with Dixon Resources for additional management support in  design and procurement for the system installation in the Downtown garages on University Avenue. Building permits for the  garage interior work were approved in June 2024 for all four garages. The High Street Parking Garage (Lot R) and Bryant Street  Parking Garage (Lot S/L) passed final inspections in early December 2024. The Webster/Cowper Parking Garage (Lot J) passed  final inspection in March 2025. The City Hall Garage interior infrastructure is complete. The contractor is working on mounting  the remaining cameras throughout the garage and programming the server in the coming weeks. Staff presented the exterior  digital matrix signs to ARB on May 1, 2025, and received comments for revisions. Staff is working with the consultant on  sending the revised plans for Planning approval.    Meadow  Drive/Charleston  Road Rail Grade  Separation and  Safety  Improvements  (PL‐24000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $224,204  $401,639,254   Office of Transportation Design Spring 2028  Project Status: This project provides for the planning, design, and construction of the grade separations at the existing at  grade crossings on Meadow Drive and Charleston Road in the Caltrain Rail Corridor. The project will provide improvements  to accommodate bicycles, pedestrians, and vehicular movement at the crossings. After reviewing various studies and  refinements to the alternatives, the Rail Committee recommended proceeding to advance two alternatives, the Hybrid and  Underpass Alternatives, into the early phase of Preliminary Engineering and Environmental Documentation. The committee  also recommended refining these alternatives to reduce right‐of‐way impacts and improve bicycle and pedestrian facilities.  The City Council after reviewing directed staff to advance these alternatives into Preliminary Engineering and Environmental  phase at Council Meetings in June 2024. The funding agreement with the Federal Railroad Administration was approved by  City Council on June 17, 2024. Staff collaborated with Caltrain and the Valley Transportation Agency to develop a cooperative  agreement for the Preliminary Engineering and Environmental Documentation phase and funding from Measure B Grade  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 38  Packet Pg. 550 of 637  Traffic and Transportation Projects   Status as of June 2025  Traffic and Transportation Projects – Page 4 of 8  Separation funds. This cooperative agreement between the City, Caltrain, and VTA was approved by the City Council on  December 9, 2024. City staff is working closely with Caltrain, VTA, and the Federal Railroad Administration (FRA) to refine the  grade separation alternatives. As part of this process, staff will hold community meetings to present updated concepts and  gather public input before bringing the project to the Rail Committee and City Council for review.    Parking  Management and  System  Implementation  (PL‐16002)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $433,182  $627,247 Office of Transportation Design Summer 2026  Project Status: This project provides   for the design and installation of the Comprehensive Parking Permit and Citation  Management System. The all‐inclusive system is a tool staff will utilize in the management of parking permits for eight parking  permit programs and associated on and off‐street parking citations. A vendor has been selected and will be awarded by  Council in fall 2025.    Quarry Road  Improvements  and Transit  Center Access  (PL‐16000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $1,282,050 $1,682,068 Office of Transportation Design Fall 2026  Project Status: This project implements the planning, design, and construction of bicycle and pedestrian improvements along  Quarry Road between El Camino Real and Welch Road, including, but not limited to, upgraded bicycle lanes and crosswalks,  innovative intersection treatments for bicyclists, and improved access to transit stops. The required parkland un‐dedication  for this project was approved by the voters in November 2024.  To begin design work, a cost‐sharing agreement between  Stanford and City was developed.  Pending Council approval of the agreement and budget amendment tentatively scheduled  for August 2025, the design phase could begin in September 2025.    Railroad Grade  Separation and  Safety  Improvements  (PL‐17001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $4,501,430  $11,735,179 Office of Transportation Pre‐Design Fall 2028  Project Status: This project involves development of conceptual alternatives and review through a  community‐based process  to advance the railroad grade crossing for the Palo Alto Avenue crossing. It will also fund the preparation of a Project Study  Report and environmental analysis that will be required for the City to realize its goals of advancing grade separations. The  project will perform preliminary engineering design, conduct project related studies, and prepare environmental documents  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 39  Packet Pg. 551 of 637  Traffic and Transportation Projects   Status as of June 2025  Traffic and Transportation Projects – Page 5 of 8  for the improvements. This project is currently on hold while the City is considering quiet zone implementation for interim  conditions, and staff will initiate the conceptual plan development for grade separation at this crossing in 2026.     Traffic  Intersection  Accessibility  Improvement  Project  (PL‐25001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $0 $550,512 Office of Transportation Design Summer 2027  Project Status: This project will provide traffic intersection accessibility improvements at four identified locations across the  City to enhance traffic congestion relief efforts. These modifications may include the addition of new crosswalks and curb  ramps; accessible pedestrian system (APS) push buttons; updating existing 8” traffic signal indication heads to 12”; video  detection for improved operations; and implementation of Automated Traffic Signal Performance Measures (ATSPM) for  ongoing data collection and operational/safety analysis. Funding for this project will be provided by 2016 Measure B Local  Streets and Roads (LSR) grant funds. Since the City’s pavement condition index (PCI) is above 70, the City is eligible to use this  funding for traffic congestion relief projects. This project is currently upgrading traffic signal indication heads at three  intersections and APS buttons at five intersections.   Design for improvements is currently in progress at two additional  intersections with anticipated implementation in late FY 2026 and FY 2027.    University Ave  Streetscape  Update  (PE‐21004)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $631,408 $1,625,909 Public Works Design Summer 2027  Project Status: This project includes a study to reconfigure University Avenue between Alma Street and Middlefield Road to  adapt the public realm to maximize pedestrian and bicycle use, reduce congestion, and enhance the retail  environment/economic activity, while maintaining two‐way vehicular access, parking opportunities, delivery and loading  zones, ride share spaces, and other amenities including performance space. Council awarded a professional services contract  for CSW/Stuber‐Stroeh Engineering in February 2022. The project uses a phased approach with Phase 1 consisting of public  outreach, conceptual design, preliminary environmental studies, and financial assessment. Staff presented an alternatives  analysis and a preferred streetscape concept plan to Council on December 18, 2023. Council did not approve the plan and  directed staff to identify additional concept alternatives for Council discussion. Staff conducted additional outreach to the  Retail Committee, Stakeholder Working Group, and received input from Council on June 3, 2024. On December 9, 2024,  Council approved staff’s recommended preferred concept plan. Staff is continuing coordination with the stakeholders and is  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 40  Packet Pg. 552 of 637  Traffic and Transportation Projects   Status as of June 2025  Traffic and Transportation Projects – Page 6 of 8  identifying cost reduction options. Staff will seek Council approval for a consultant contract amendment for Phase 2 services,  including preliminary design, environmental review, and Engineer’s Report for an Assessment District.          Recurring Projects  Bicycle and  Pedestrian  Transportation  Plan  Implementation  (PL‐04010)     Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $211,611  $2,900,000 Office of Transportation N/A Recurring  Project Status: This project implements the Bicycle and Pedestrian Transportation Plan Update effort, which kicked off in fall  2023 and is scheduled to share a draft plan  by the end of 2025. This project also includes the implementation of various  individual bicycle and pedestrian projects, such as the design and construction of bicycle boulevards, enhanced bikeways,  shared‐paths, bicycle parking, pedestrian improvements, and quick‐build implementation of the City’s existing 2012 Bicycle  and Pedestrian Transportation Plan. This project also funds the Embarcadero Road Improvements between Alma and  Emerson.    Parking District  Implementation  (PL‐15003)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $0 $180,457 Office of Transportation N/A Recurring  Project Status: This project introduces additional parking permit programs throughout the City. One aspect of this project is  to update City Council‐approved Residential Preferential Parking (RPP) ordinance language to establish uniform and  streamlined procedures and processes to implement RPP districts through the process outlined in Municipal Code 10.50.    Safe Routes  to School  (PL‐00026)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $77,526 $610,103 Office of Transportation N/A Recurring  Project Status: This project enables the City’s Safe Routes to School program, including school commute planning,  encouragement activities, and capital improvements along local and collector streets that may be impacted by school  commute activities. The capital improvements include traffic calming devices, enhanced crosswalks, and improved signage  along suggested safe routes to school. This project will also support the local match and pre‐grant activities of the federal  “Safe Streets for All”‐funded South Palo Alto Bikeways Demonstration Project in FY 2026 once staff resources are available  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 41  Packet Pg. 553 of 637  Traffic and Transportation Projects   Status as of June 2025  Traffic and Transportation Projects – Page 7 of 8  for project management. The quick‐build project will implement buffered or protected bike lanes on East Meadow Drive from  Alma Street to Fabian Way and on Fabian Way from East Meadow Drive to East Charleston Road.    Traffic Signal  and Intelligent  Transportation  Systems  (PL‐05030)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $223,813 $994,336 Office of Transportation N/A Recurring  Project Status: This project includes design and construction of traffic signals, traffic signal communications networks,  detection, and data projects for transportation use, and maintenance of the City’s traffic signal central management  system. The project includes the replacement of traffic signal controllers and cabinets, video detection systems, accessible  pedestrian buttons, and related field equipment. Design for traffic signal safety and operational improvements at the  intersection of San Antonio Road and Charleston Road is nearing 100% completion. Staff is finalizing the plans and will be  preparing bid documents for construction to be released in fall 2024, with construction anticipated to begin in spring  2025. Staff is in the process of updating the Centralized Traffic Management system servers to improve operational functions  and system security. An IFB for the Quarry Road Traffic Signal and Intelligent Transportation System upgrade project was  completed in FY 2025, and the project is currently in progress in the materials procurement phase. Staff continually provide  traffic signal modifications, installations, and operational upgrades throughout the City.    Transportation  and Parking  Improvements   (PL‐12000)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $309,115 $442,611 Office of Transportation N/A Recurring  Project Status: This project implements miscellaneous parking and transportation related improvements including  neighborhood traffic calming, neighborhood traffic studies, minor striping and signs installation, and parking improvements.  This project also funds the development of grant proposals used to procure funding for future projects. For the traffic calming  project in the Crescent Park neighborhood, City Council approved proceeding with the design of permanent improvements in  November 2023. Staff has procured the services of the consultant to design improvements and conduct community outreach.  In addition, staff initiated an Engineering and Traffic Survey to select roadway segments to study prevailing speeds and review  traffic conditions in order to establish and/or certify posted speed limits. Staff is also working on the quiet zone project for all  railroad crossings along the Caltrain corridor. A quiet zone study was performed for the Palo Alto Avenue and Alma Street  crossing in collaboration with City of Menlo Park in 2022. The design of the required improvements for Quiet Zone at Palo  Alto Avenue was completed. The project is currently in construction. After the completion of the project, staff will send the  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 42  Packet Pg. 554 of 637  Traffic and Transportation Projects   Status as of June 2025  Traffic and Transportation Projects – Page 8 of 8  Notice of Intent to implement Quiet Zone to FRA.  In addition, staff procured the services of the consultant to conduct a study  for evaluation of quiet zones at the other three crossings of Churchill Avenue, Meadow Drive, and Charleston Road.  Preparation of the Final Draft of this report is currently in progress. Staff will seek Rail Committee review and direction in Fall  2025.  The $200K Safe Streets for All (SS4A) Safety Action Plan is funded via this project but will be reimbursed up to $160K  by a federal grant. The plan will target eliminating traffic deaths and life‐changing injuries on local streets.         Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 43  Packet Pg. 555 of 637  Airport Projects         Status as of June 2025    Airport Projects – Page 1 of 2    One‐Time Projects   Airfield  Electrical  Improvements  (AP‐19001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $0   $ 5,789,450 Public Works Design Summer 2030  Project Status: This project is for the design and construction of electrical improvements and installation of LED lighting at the  airport runway and taxiway. This project has not received FAA funding and is currently on hold.   Airport Access  Road  Reconstruction  (AP‐24000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $0   $ 3,700,002 Public Works Design Summer 2027  Project Status: This project is for the design and reconstruction of the pavement on Embarcadero Way, which is the main access  road for airport businesses and the Air Traffic Control Tower at the Airport. The Airport did not receive FAA funding for this  project, and the project is currently on hold.     Airport Layout  Plan  (AP‐21000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $1,306,851    $ 967,100 Public Works Construction Summer 2027  Project Status: This project provides updates to the Airport Layout Plan, also known as the Long‐Range Facilities and  Sustainability Plan, including a narrative report and environmental study.  The Airport received funding for a Phase I portion of  this project in fall 2020.  The airport conducted five public meetings for the project, and additional meetings are currently being  planned for this project. Phase I is approximately 100% complete and grant has been closed out, and Phase II is approximately  75% complete. This project is currently on hold for CY 2025 to allow airport staff to focus on noise and leaded fuel issues. The  project will be recommenced in CY 2026 with an expected completion date in summer 2027. The FAA granted an extension on  this project to accommodate the additional timeline.     Airport Parking  Lot Electric  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $0   $28,993 Public Works Design Summer 2026  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 44  Packet Pg. 556 of 637  Airport Projects         Status as of June 2025    Airport Projects – Page 2 of 2  Vehicle  Charger  Installation  (AP‐24001)  Project Status: This project will install electric vehicle charging stations in the Airport customer parking lot. The Airport is  currently unable to offer electric vehicle charging to its customers, but there is increasing demand for vehicle charging capability  from Airport tenants. This project has been delayed as the Airport explores further funding options.   Airport  Temporary  Office Buildings  (AP‐22001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $947   $431,005 Public Works Design Winter 2026  Project Status:   This project provides funding for the installation and Furniture, Fixtures, & Equipment (FF&E) of existing  temporary modular buildings at the airport to provide adequate office space for airport staff as well as terminal space for the  public. This project has been delayed while the Airport explores further funding options.    Automated  Weather  Observation  System  (AWOS)  AP‐19000  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $87,309  $1,588,533 Public Works Design Summer 2026  Project Status: This project provides a new weather information system to be installed at the Palo Alto Airport.  The Airport  has applied for FAA funding and is waiting for the grant agreement to start design. The Airport received a bid for the project  and is submitting a grant application to the FAA. The Airport has received funding from the FAA and it is anticipated the project  will start in winter 2026.        Recurring Projects    2024‐2028 – Airport Capital Improvements Program Projects: There are no recurring projects scheduled at this time.   Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 45  Packet Pg. 557 of 637  Electric Fund Project Status as of June 2025    Electric Fund Projects – Page 1 of 7  One‐Time Projects  115 kV Electric  Intertie   (EL‐06001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $864,219 $1,364,625 Utilities Pre‐Design Summer 2027  Project Status: This project will perform a technical feasibility study to determine the general project requirements to  establish a 115 kV electric intertie line and construct a 115/60 kV substation to connect the City's electric system directly to  the 115 kV transmission line at an additional location.  Staff did not receive California Independent System Operator’s  (CAISO) commitment to support this interconnection.   Staff have retained the services of a consultant to evaluate the  options available to the City. Staff submitted CPAU electric load forecast and proposal for an additional 115 kV transmission  line in October 2024 to CAISO for review and acceptance. In May 2025, CAISO approved CPAU’s application for a second  transmission line. A new 4‐mile transmission line extension between Palo Alto and Ames in Mountain View will leverage  existing right‐of‐way and vacant tower positions which will be replaced with 60KV insulators with 115kV insulators. The  estimated cost of the transmission line project ranges between $42M‐$84M and has an expected in‐service date of May  2034. The total product budget will be updated once the actual figures have been determined, but in the meantime, staff  will continue to engage the designated consultant for support with PG&E requests. The next steps involve working with  PG&E to schedule the work.     Colorado  Distribution  Feeder Outlet  Replacement  (EL‐22002)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $10,576 $400,000 Utilities Construction Fall 2025  Project Status: This project is for the installation of a new underground duct bank and cable at Colorado Substation.  The  installation will improve reliability for all Colorado circuits.  The design was completed in spring 2024 and construction will  begin by summer 2025. Council approved the contract in April 2024 and an order for the material has been issued.   The  construction is delayed due to the procurement of the 12 kV pad‐mount switches which are expected to arrive in July 2025.  The fiber hut installation is delayed due to the permitting process. December 2025 is still the expected construction  completion date.    Colorado Power  Station  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $4,468,548  $11,293,873 Utilities Design Fall 2027  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 46  Packet Pg. 558 of 637  Electric Fund Project Status as of June 2025    Electric Fund Projects – Page 2 of 7  Equipment  Upgrades  (EL‐19001)  Project Status: This project is for the upgrades to equipment at the Colorado Power substation. In FY 2022 staff completed  the evaluation of existing equipment and will proceed with replacing the COP‐3 115 kV/60 kV transformer bank and the 115  kV breaker.   Engineering is continuing to work on the design for the RFP and construction IFB for contract services to  complete the substation projects. The station’s service voltage transformers (SSVT1) were purchased and installed. The 60  kV Bus 1 & 2 Potential Transformers (PT) have been purchased for their eventual replacement.    Colorado  Substation Site  Improvements  (EL‐19002)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $286,233  $1,416,912 Utilities Design Fall 2025  Project Status: This project will make modifications to the substation driveways and fence to provide adequate ingress and  egress for utility vehicles used for maintenance and repair. Staff has prepared an overall master plan for Colorado Substation  to include all proposed improvements. Detailed designs for lighting, driveway, fences, walls, and an improvement of oil  containment have been prepared. The Planning Department approved the Utility engineering’s design in May 2024.  Engineering staff are currently preparing the IFB for construction. The solicitation for a construction IFB has been paused  for staff to develop a master plan for the Colorado substation.     Foothills Rebuild  (Fire Mitigation)  (EL‐21001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $11,432,250  $14,999,581 Utilities Construction Fall 2025  Project Status: This project will rebuild the approximately 11 miles of overhead line in Foothills Park, as necessary to  mitigate the possibility of wildfire due to overhead electric lines. This could include the utilization of more robust equipment  or construction practices, rerouting to avoid vegetation and improve access for inspection and maintenance, or converting  the overhead lines to underground where feasible.  Two proposals were received for this project and both proposals were  rejected because they did not provide an option to underground existing overhead electric lines. Substructure for Phases 1,  2, 3, and 5 are completed. Phase 4 construction has been approved and is scheduled to begin construction in July 2025 and  is expected to be completed by September 2025.    Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $14,047,521  $300,000,000 Utilities Construction Winter 2030  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 47  Packet Pg. 559 of 637  Electric Fund Project Status as of June 2025    Electric Fund Projects – Page 3 of 7  Grid  Modernization  for Electrification  (EL‐24000)  Project Status: This project will provide the City with an electric infrastructure adequate to support the City’s goal of 100%  electrification and 80% carbon emissions reduction by the year 2030. To attain the 100% electrification scenario, the City  must maximize use of electric energy and phase out carbon‐based end uses such as natural gas appliances and internal  combustion vehicles. The electric system must be updated to meet the needs of electrification, and older components in  the distribution infrastructure must be replaced to mitigate chances of overloading the system. Examples of assets to be  replaced are distribution and substation transformers, primary/secondary distribution circuits. A Pilot area was designated  and engineering staff in conjunction with a consultant have completed the distribution system design for the Pilot area,  with a handful of power poles replaced and installed as initial construction efforts start to take shape. Starting in FY 2025,  this project will incorporate and consolidate the scope of work from the following projects into one CIP: Coleridge Cowper  Tennyson 4/12kV Conversion (EL‐14000), Hopkins Substation 4/12 kV Conversion (EL‐20000), Rebuild Underground District  15 (EL‐11003) and Rebuild Underground District 16 (EL‐13003). Engineering design and construction is complete in the Pilot  area. The engineering design for the remainder of Phase 1 is in progress and is expected to be completed by January 2026.     Inter‐Substation  Line Protection  Relay  (EL‐17005)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $371,146  $1,805,866 Utilities Construction Summer 2027  Project Status: This project replaces the existing HCB pilot wire relays with a new microprocessor line differential protective  relay to protect the city’s 60 kV sub‐transmission line sections and equipment from damage due to faults (i.e. short circuits)  on the 60 kV line sections. This project is being done in phases, with design and construction happening concurrently on  the different phases.  Construction of these improvements relies on work completed by other projects to install fiber optic  connections. Engineering design for segments Colorado substation to Adobe Creek substation, Park Boulevard substation  to Quarry substation, and Maybell substation to Park Boulevard substation is in progress. A test plan is being implemented  to prove the equipment will work as designed.  The Quarry to Park substation segment is delayed due to resources and is  expected to be completed by fall 2025. Park to Maybell segment is still in progress, fiber installation is complete, and  completion is expected in winter 2026. Staff have completed the testing and verification of a fiber optic transfer switch  proof of concept project required to proceed with replacement of HCB relays at COP.    Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 48  Packet Pg. 560 of 637  Electric Fund Project Status as of June 2025    Electric Fund Projects – Page 4 of 7  Rebuild  Underground  District 24   (EL‐10006)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $1,949,767 $2,240,451 Utilities Design   Summer 2026  Project Status: This project rebuilds and replaces the underground electric system in Underground District 24, the area  bounded by Lytton Avenue; Bryant Street; Forest Avenue; and Alma Street. The engineering design work has been delayed  due to the limited number of resources focused on other critical projects. Completion of the engineering work has been  pushed out to December 2025, with the expectation that construction will be completed by summer 2026.     Smart Grid  Technology  Installation  (EL‐11014)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $ 17,420,618 $19,430,985 Utilities Construction Spring 2025  Project Status: Council approved the Advanced Metering Infrastructure (AMI) with Sensus on October 18, 2021.  The project  includes replacement of 30,000 electric meters and retrofitting of 20,800 water and 24,200 gas meters with radio endpoints  to transmit meter data to the AMI network. The proof‐of‐concept phase including AMI network installation, meter testing,  and system integration will occur between January 2022 and August 2023. Full deployment is anticipated to run from  September 2023 through April 2025.    Substation  Breaker  Replacement   (EL‐17002)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $1,581,171  7,312,009 Utilities Pre‐Design Summer 2028  Project Status: This project replaces high voltage circuit breakers that interconnect the nine electric substations and two  power switching stations that are reaching the end of their useful life and are now underrated for their use.  This project is  being done in phases, with design and construction happening concurrently on the different phases.  Staff completed the  construction in the first phase and are working to procure a multi‐year contract with a contractor to complete the design  and replacement of the remaining breakers. Staff are working on the design RFP and the construction IFB for contract  services to complete substation projects. Lead times for circuit breakers are currently at around 18 months.      Substation  Physical Security   Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $3,308,562  $7,394,072 Utilities Construction Spring 2026  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 49  Packet Pg. 561 of 637  Electric Fund Project Status as of June 2025    Electric Fund Projects – Page 5 of 7  (EL‐16003)  Project Status: This project installs facilities providing physical protection for nine electric substations from vandalism and  intrusion. The installation for the first phase was completed for seven of the nine substations in December 2024. The bid  package for the 2nd phase and final two substations are being prepared for solicitation. Construction is to be completed by  summer 2026. The IFB preparation/solicitation is being paused to develop a master plan for Colorado substation.         Recurring Projects  Communications  System  Improvements   (EL‐89031)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $45,733 $100,000 Utilities N/A Recurring  Project Status: This project installs high frequency coaxial cable, fiber optic cable, and related equipment to provide  communications services for traffic signal coordination, telephone links, computer data transmission, and the Electric  Supervisory Control and Data Acquisition (SCADA) system. This project is funding a portion of the design phase of an  expanded Utilities fiber optic network. The contract for design of this network was approved by Council in June 2020. Staff  installed 48F FO Cable between Maybell MB and PBS Park Boulevard substations in Existing Aerial Innerduct for pilot wire  relay protection.     Electric Customer  Connections   (EL‐89028)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $2,202,541  $2,700,000 Utilities N/A Recurring  Project Status: This project installs services, transformers, and meters for new customers; upgrading of existing services;  temporary service connections; and overhead and underground extensions for new or existing customers. Projects are in  many stages of design and construction to provide temporary and permanent power to residential and commercial  customers in Palo Alto.      Electric System  Improvements   Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $1,567,547 $2,980,070 Utilities N/A Recurring  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 50  Packet Pg. 562 of 637  Electric Fund Project Status as of June 2025    Electric Fund Projects – Page 6 of 7  (EL‐98003) Project Status: This project consists of various projects that replace deteriorated facilities or install protective devices that  improve the Electric Distribution System. Projects are in many stages of development to replace transformers, replace poles,  replace overhead wires, and install protective devices to improve service reliability.      Electric Utility  Geographic  Information  System   (EL‐02011)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $68,397  $165,000 Utilities N/A Recurring  Project Status: This project enhances the citywide Geographical Information System (GIS). The project scope includes on‐ going maintenance/technical support of the existing GIS system and implementation of the new GIS platform, ESRI.      SCADA System  Upgrades   (EL‐02010)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $136,591  $225,000 Utilities N/A Recurring  Project Status: This is an annual recurring project that focuses on upgrades to the Supervisory Control and Data Acquisition  (SCADA) system hardware.    Staff is working on a replacement project for the Quarry Lane Substation Remote Terminal  Unit (RTU) which is at end‐of‐life. The new RTU is expected to be in service by December 30, 2025. Additionally, Staff is  working on a Disaster Recovery (DR) solution with a new mirror Master Station to be installed at the UCC by December 31,  2025.    Substation  Facility  Improvements   (EL‐89044)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $29,240  $400,000 Utilities N/A Recurring  Project Status: This project makes improvements to facilities at the electric substations in Palo Alto.  Staff is working on the  replacement of Remote Terminal Units (RTU) at various substations, upgrading gravel and grounding, 60 kV air switches,  and reconfiguring steel trusses and associated devices. Engineering is working on design and construction for contract  services to complete substation projects. Staff has completed the refurbishment of capacitor cans and fuses at Adobe Creek,  the procurement and replacement of 12kV Alllis‐Chalmers circuit breakers at Hansen Way (7ea) and Hanover (9ea) as well  as completed the installation of new Nexus meters at Hansen Way (22/23) and Colorado (20/21). The design of new Nexus  meters at Hansen Way (20/21) is in progress.        Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 51  Packet Pg. 563 of 637  Electric Fund Project Status as of June 2025    Electric Fund Projects – Page 7 of 7  Substation  Protection  Improvements   (EL‐89038)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $262,000  $300,000 Utilities N/A Recurring  Project Status: This project makes improvements to equipment used at electric substations to protect the substation  equipment and circuits emanating from the substation from damage due to faults (i.e. short circuits) on the electric system.  Staff issued a task order with Soudi Consultants to review and revise protection settings and training on the commissioning  of Park Boulevard relay.    Underground  System Rebuild   (EL‐16001)   Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $0 $350,000 Utilities N/A Recurring  Project Status: This project replaces underground electric equipment in areas that were originally installed underground,  that are not part of an Underground District. Staff is working to identify areas where the age of the existing cables is a high  priority for cable replacement. To date, this includes areas in the Stanford Research Park, Arastradero Road, and along East  Bayshore Road. New areas have been identified, and progress has been made on the development of the project. Projects  are in many stages of development to replace underground transformers, cables, vaults, and to install protective devices to  improve service reliability.    Wood Pole  Replacement  (EL‐19004)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $533,613  $750,000 Utilities N/A Recurring  Project Status: This project will fund the annual replacement of deteriorated wood power poles.  CPAU staff and contract  consultants are continuously working on pole replacement designs for construction. Replacement of poles in the Grid  Modernization Pilot area is the top priority.          Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 52  Packet Pg. 564 of 637  Fiber Optics Fund Projects Status as of June 2025    Fiber Optics Fund Projects – Page 1 of 2  One‐Time Projects  Fiber Optic  Network  System  Rebuild  (FO‐16000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $3,733,768  $29,974,211 Utilities Design December 2027  Project Status: This project is for the System Capacity Improvement that rebuilds portions of the "dark" fiber optic network around  Palo Alto. In September 2022, Council approved the City’s fiber expansion plan including construction of a new fiber backbone and  a phased buildout of a fiber‐to‐the‐premises network. Due to the Fiber to the Premises pilot and Wildfire Mitigation project in the  Foothills, materials and resources have been reassigned from this project. Staff anticipate restarting this review phase of the new  fiber backbone in early 2026 after the Foothills undergrounding, grid modernization pilot, and FTTP pilot are completed.  Staff will  be designing and constructing the new Fiber Backbone in phases based on areas of congestion and in alignment with Grid  Modernization where feasible, with a tentative completion of the phase 1 Fiber Backbone by end of December 2027.    Fiber to the  Premises  (FTTP)  (FO‐24000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $2,995,192  $ 20,000,000 Utilities Design Winter 2030  Project Status: This project will build Fiber‐to‐the‐Premises (FTTP) to deliver broadband (high‐speed internet) for homes and  businesses in the City of Palo Alto. As the City builds the FO‐16000 ‐ Fiber Optics Network ‐ System Rebuild. Staff have divided up  the City into smaller sections for a phased approach of the Fiber‐to‐the‐Premises project. Furthermore, Staff has proceeded to  combine the Phase 1 Fiber‐to‐the‐Premise design with a Grid Modernization Project covering the same area. Staff is capitalizing on  inherent synergies between the two projects, as well as taking advantage of economies of scale deployment that can be realized  as a result of combining the two projects. Staff has contracted with an Engineering firm to produce design drawings and  specifications. The City is implementing a pilot during Phase 1 of the FTTP project to evaluate various new technologies and to  assess various construction methodologies to closely align with Grid Modernization and inform on future phases of deployment.  In conjunction with the grid modernization pilot, FTTP make ready work such as pole replacements and installation of messenger  strands is being performed. Permits for the fiber hut have been approved. FTTP pilot construction including fiber lashing and fiber  distribution cabinets is scheduled to begin in November 2025 and customers in the pilot area are tentatively scheduled to be served  in Q1  2026.        Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 53  Packet Pg. 565 of 637  Fiber Optics Fund Projects Status as of June 2025    Fiber Optics Fund Projects – Page 2 of 2      Recurring Projects  Fiber Optics  Customer  Connections  (FO‐10000)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $18,434  $253,100 Utilities  N/A Recurring  Project Status: This project enables the installation of fiber optic infrastructure for new service connections. Projects are  developed as needed to meet customer requests for leasing fibers on the Dark Fiber system.  There were 18  new external and  internal connection inquiries in FY 2025. The City is partnering with a non‐profit agency under a dark fiber licensing agreement  to provide fiber broadband service to customers in the foothills area.    Fiber Optics  Network  System  Improvements  (FO‐10001)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $36,608  $602,500 Utilities N/A Recurring  Project Status: This project improves reliability within the fiber optic network system.   As part of the City’s wildfire mitigation  plan, this project will add new fiber conduit and substructure in the foothills to support city infrastructure and improve  telecommunication and connectivity in the open space. This project will rebuild approximately 11 miles of overhead electric  and fiber lines in Foothills Nature Preserve. Staff have completed the underground work of 7,000 feet of fiber. Staff will also be  extending the fiber backbone from Dahl reservoir to Montebello reservoir. The foothills project is scheduled to be completed  by December 2025.      Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 54  Packet Pg. 566 of 637  Gas Fund Projects                        Status as of June 2025       Gas Fund Projects – Page 1 of 3    One‐Time Projects  Gas Line  Repair at  Arastradero  Creek  (GS‐25001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $ 442 $1,000,000 Utilities Design Summer 2027  Project Status: This project is for the design of the Arastradero Creek to address a creek bed erosion project that exposed an 8”  natural gas pipeline and threatened the integrity of an 18” potable water pipeline and 10” sanitary sewer pipeline.  The project will  address requirements outlined by the Water Board in the City emergency work permit to re‐bury the exposed 8” gas pipeline. The  design and permitting is expected to finish by spring 2026, with construction starting in summer 2026 and finishing in summer 2027.    Gas Main  Replacement  Project 24  (GS‐14003)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $10,222,939  $11,409,309 Utilities Completed Spring 2025  Project Status: This project enabled the design and construction to replace approximately 20,100 linear feet (which represents 1.9%  of the City's Gas distribution main system) of distribution main and 260 gas services constructed mainly of PVC on various streets  within the University Park and Crescent Park neighborhoods. Release of the project for bidding has been delayed, to include the  Town & Country Village scope. This project was split into GMR24A and GMR24B. GMR24A (Stanford Shopping Center) was completed  in spring 2023. GMR24B construction started in winter 2024 and was completed in spring 2025.     Gas Main  Replacement  Project 25  (GS‐15000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $170,459 $8,743,849 Utilities Design Spring 2027  Project Status: This Gas Main Replacement (GMR) project replaces approximately 26,000 linear feet (which represents 2.3% of the  City’s Gas Distribution System) of leaking, inadequate sized, and structurally deficient gas mains and services located on various  streets in the neighborhoods of Community Center, Leland Manor, Midtown, and Palo Verde neighborhoods. Staff identified  problematic mains and services by researching maintenance and leak histories, analyzing performance of the entire Gas Distribution  System, and considering risk ratings of the Distribution Integrity Management Plan. A federal grant application was submitted in  August 2023, and the City was awarded $16.5 million in grant funding for this project.  Staff completed the Tier 2 Environmental  documentation to meet federal grant requirements and the project has been released to Purchasing for solicitation. The project is  on track for construction to begin in winter 2026.      Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 55  Packet Pg. 567 of 637  Gas Fund Projects                        Status as of June 2025       Gas Fund Projects – Page 2 of 3      Recurring Projects  Gas  Distribution  System  Improvements  (GS‐11002)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $458,481  $1,166,723 Utilities N/A Recurring  Project Status: This project enables Gas Distribution System improvements that include increasing distribution system capacity for  load growth, replacing deteriorated capital facilities, reconfiguring and adding and improving service reliability, and conducting  research related to performance of the gas distribution system or its various components making general improvements to the  system.  The City must continuously evaluate service reliability needs and make improvements to the system to maintain top level  service to City customers and to minimize potential economic losses due to service interruptions. In the second half of FY 2025, City  crews completed the replacement of various gas services and valves throughout the system.    Gas  Equipment  and Tools  (GS‐13002)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $80,226  $100,000 Utilities N/A Recurring  Project Status: This project purchases polyethylene (PE) fusion equipment and tools, directional boring/locating equipment and  tools, and general shop equipment and tools. The equipment needs to be upgraded on an annual basis to safely operate and  maintain a natural gas distribution system and to ensure operators’ safety and productivity. In the second half of FY 2025, new gas  Polyethylene squeeze off tools were purchased.    Gas Meters  and  Regulators  (GS‐80019)   Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $365,663  $688,545 Utilities N/A Recurring  Project Status: This project provides replacement of the existing gas meters and regulators annually. The coordination of gas meters  and regulator replacements with gas meters identified to be replaced under the AMI contract, which is generally gas meters that  are twenty‐five years or older. The gas meter replacement program ensures the accuracy of gas consumption measurement,  reduces possible revenue loss due to under‐registered gas, and provides customers with accurate monthly bills. Replacement of  aged gas meters and regulators is on‐going. The next major replacement of meters and regulators will be coordinated with Gas  Main Replacement Project 25 (GS‐15000) and the Advanced Metering Infrastructure project.    Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 56  Packet Pg. 568 of 637  Gas Fund Projects                        Status as of June 2025       Gas Fund Projects – Page 3 of 3    Gas System,  Customer  Connections  (GS‐80017)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $499,142  $700,000 Utilities  N/A Recurring  Project Status: This project enables the Gas Distribution System to be extended to provide gas services to new customers and  augment service to customers with increased natural gas demands. Improvements include new mains, services, valves, regulators,  meters, and accessories to meet changes in existing customer service demands and respond to changes in gas service requirements  due to new development or redevelopment. This project is funded partially from reimbursements by customers. City crews  completed 29 gas service installations, 14 gas service repair/relocations and 56 gas service demolitions in the second half of FY  2025.                    Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 57  Packet Pg. 569 of 637  Stormwater Management Projects                    Status as of June 2025  Stormwater Management Projects ‐  Page 1 of 3  One‐Time Projects  Corporation  Way System  Upgrades and  Pump Station  (SD‐21000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $414,051  $4,146,554 Public Works Construction Summer 2026  Project Status: This project incorporates a design of a new small pump station with a 25 cubic feet per second capacity and  upgrades 700 linear feet of pipe to 30‐inch diameter High Density Polyethylene pipe.  The existing system does not have the  force needed to discharge storm flows into the Adobe Creek. Adding a pump station in advance of the outfall and upsizing the  storm pipe will eliminate the routine flooding along East Bayshore Road and convey runoff from a 10‐year storm event. Staff  secured an easement for the pump station from adjacent property owners. The consultant completed the design of the project  in June 2024. A construction contract was awarded in April with the notice to proceed issued on May 27, 2025. Construction will  start summer 2025.      Hamilton  Avenue System  Upgrades  (SD‐25000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $ 235,132 $6,152,539 Public Works Design   Fall 2026  Project Status:  This project adds approximately 3,700 linear feet of new 48‐inch high‐density polyethylene (HDPE) pipe and  manholes on Hamilton Avenue to increase the capacity of the storm drain system. This project  upsizes the storm drainpipes on  Hamilton Avenue between Center Drive and Rhodes Drive and discharges runoff into the 96‐inch line located at the intersection  of Hamilton Avenue and Rhodes Drive. In addition, the project will add new infrastructure on the 1500 block Hamilton Avenue  to capture runoff that would have others drained into the storm drain  system under Channing Avenue. The design and project  bid documents were completed during the second half of FY 2025. The project will be out to bid in summer 2025 with  construction contract issuance in fall 2025.     West Bayshore  Road Pump  Station  (SD‐20000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $474,138  $4,177,865  Public Works Construction   Summer 2026  Project Status: This project incorporates the design and construction of a new small pump station with 15 cubic feet per second  capacity.  Installing a new pump station will allow storm flows to be pumped into the Adobe Barron Creek confluence while  adding a pump station in advance of the outfall would eliminate the routine flooding along West Bayshore Road and allow the  system to convey runoff from a 10‐year storm event. Staff secured an easement for the pump station from adjacent property  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 58  Packet Pg. 570 of 637  Stormwater Management Projects                    Status as of June 2025  Stormwater Management Projects ‐  Page 2 of 3  owners. The consultant completed the design of the project in June 2024.  A construction contract was awarded in April with  the notice to proceed issued on May 27, 2025. Construction will start summer 2025.      West Bayshore  Road Trunk Line  Improvements  (SD‐23000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $75,930  $4,924,529 Public Works Construction Summer 2026  Project Status: This project replaces approximately 1,400 linear feet of existing 15‐inch diameter pipe with 36‐inch High Density  Polyethylene pipe.  These improvements along with the new West Bayshore Road Pump Station (SD‐20000) will eliminate the  routine flooding along West Bayshore Road and allow the system to convey runoff from a 10‐year storm event. Staff secured an  easement for the pump station from adjacent property owners. The consultant completed the design of the project in June  2024.  A construction contract was awarded in April with the notice to proceed issued on May 27, 2025. Construction will start  summer 2025.                Recurring Projects  Green  Stormwater  Infrastructure  (SD‐22001)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $77,092  $1,819,870 Public Works N/A Recurring  Project Status: This project implements Green Stormwater Infrastructure (GSI)  and the integration of GSI features in the design  and implementation of planned CIP projects supported by other funds. GSI mimics the natural environment to slow, spread,  infiltrate, and filter pollutants from stormwater runoff through native or engineered soils or other pervious material rather than  discharging it directly into the storm drain system, creeks, and the SF Bay. Types of GSI include bioretention areas, flow‐through  planters, tree wells, and pervious pavement to manage stormwater runoff. The City released a request for proposals in June  2025 to develop a GSI design for the proposed location at Juana Briones Park. The City anticipates entering into a contract in  January 2026 and kicking off the project design soon after.     Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 59  Packet Pg. 571 of 637  Stormwater Management Projects                    Status as of June 2025  Stormwater Management Projects ‐  Page 3 of 3  Storm Drainage  System  Replacement  and  Rehabilitation  (SD‐06101)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $598,188  $1,941,186 Public Works N/A Recurring  Project Status: This project provides for annual replacement and rehabilitation to maintain the integrity of the storm drain  system, including deteriorated storm drain piping, manholes, and storm drain inlets. The rehabilitation includes replacement of  broken corrugated metal pipe with High Density Polyethylene pipe. As a result of the December 31, 2022, flood event, the  existing 12‐inch line on Alester Avenue is proposed to be upsized to 36‐inch pipe for additional storage capacity as part of CIP  SD‐25000. The design of the project was completed during the second half of FY 2025.       Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 60  Packet Pg. 572 of 637  Wastewater Collection Fund Projects                    Status as of June 2025    Wastewater Collection Fund Projects – Page 1 of 2  One‐Time Projects  Wastewater  Collection  System  Rehabilitation  Augmentation  Project 32  (WC‐20000)   Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $0 $3,000,000 Utilities Construction Summer 2028  Project Status: This project designs and constructs high priority main and lateral replacements, which reduces inflow of rainfall  and infiltration of groundwater into the collection system. The project will replace approximately 5,200 linear feet (which  represents 0.5 percent of the City’s Wastewater Collection System) for streets in the Middlefield Road, Webster Street, Santa  Rita Avenue, and North California Avenue neighborhoods. The project will be comprised of laterals identified in video inspection  work or through maintenance records as deficient and in need of replacement. Priority will be given to areas identified by Public  Works as targeted work zones ensuring coordination between departments. This project is on hold pending finalizing the Sewer  Master Plan, coordinating an integrated CIP with water, and funding availability which is anticipated to occur in FY 2028.                Recurring Projects  Sewer  Lateral/Manhole  Rehabilitation  and  Replacement   (WC‐99013)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $688,486  $875,500 Utilities N/A Recurring  Project Status: This project replaces defective sewer laterals, cleanouts, manholes, backwater devices, and equipment to  support these activities to maintain the Wastewater Collection System, as well as to comply with the Sanitary Sewer Master  Plan (SMP).  Information collected during routine annual maintenance activities is used to prioritize work. The continued work  performed will also help to reduce both sewage blockage and the City's treatment expenses to treat rainwater or groundwater  infiltration.  In the second half of FY 2025, 15 sewer replacements were completed by City staff; no sewer lateral replacements  were completed by the prior construction contract. A new sewer lateral replacement contract will be coming out in FY 2026 or  FY 2027, depending on the availability of funds.      Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 61  Packet Pg. 573 of 637  Wastewater Collection Fund Projects                    Status as of June 2025    Wastewater Collection Fund Projects – Page 2 of 2  Sewer System,  Customer  Connections   (WC‐80020)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $386,388 $450,000 Utilities N/A Recurring  Project Status: This project installs sewer lateral connections and additions or extensions of existing mains to serve new  customers and to respond to changes in sewer requirements due to redevelopment. Old existing non‐plastic sewer laterals with  condition deficiencies per Utilities Operations’ criteria are required to be replaced in accordance with the latest 2024 WGW  Standards. In the second half of FY 25, ten new lateral connections were installed.        Wastewater  General  Equipment and  Tools   WC‐13002)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $44,679  $90,000 Utilities N/A Recurring  Project Status:   This project willprocure new general equipment and new tools. In the second half of FY 2025, Lodge/Foothills  Lift Station Pump No. 1 was rehabilitated. In the second half of FY 2025, no new general equipment or tools was procured.  Wastewater  System  Improvements   (WC‐15002)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $133,144  $200,000 Utilities N/A Recurring  Project Status: This project implements improvements to the Wastewater Collection System by increasing system capacity for  growth, flow monitoring, hydraulic modeling and system analysis, load simulations, asset management analysis and assessment,  system infiltration analysis and sanitary sewer overflow monitoring and reduction. Part of this project funds the Sewer Master  Plan Study, which is evaluating the City’s existing wastewater collection system, flows, and flow patterns to determine system  capacity to meet current and future flows and recommend and prioritize capital improvement projects where needed. The  consultant contract was approved in November 2023 and work began in December 2023. The project completed calibrating the  collection system model in fall 2024 and is beginning to run the model to quantify existing system flows and buildout system  flows. Project completion is anticipated in summer 2025. In addition, in the second half of FY 2025, Lodge/Foothills Lift Station  Pump No. 1 was rehabilitated with this project paying half the cost or $25,672.        Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 62  Packet Pg. 574 of 637  Wastewater Treatment Fund Projects         Status as of June 2025    Wastewater Treatment Fund Projects – Page 1 of 4  One‐Time Projects  Local  Advanced  Water  Purification  System  (WQ‐19003)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $2,737,035  $67,138,041 Public Works Construction Winter 2027  Project Status: This project enables the design and construction of an Advanced Water Purification Facility to further improve the  quality of the tertiary‐treated recycled water by ultrafiltration followed by reverse osmosis to reduce the level of total dissolved  solids. The water reuse partnership agreement with Valley Water and Mountain View provides $16 million in funding from Valley  Water grant funding for a portion of the project costs and a State low‐interest loan for the design and construction phases.  Mountain View pays the remainder of the capital costs associated with this project. The design was completed in summer 2024.  Staff executed construction contracts and financial agreements with funding agencies in spring 2025. The project is in the process  of receiving a building permit. Construction began in spring 2025.         Headworks  Facility  Replacement  (WQ‐16002)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $1,210,336  $55,820,790 Public Works Pre‐Design Fall 2032  Project Status: This project replaces the existing two outdated influent pump stations and their associated equipment and  ancillary systems, including the suction and discharge piping manifolds, valves, electrical and controls system, screening  equipment, grit handling equipment, pumps, flow meters and yard piping. The consultant is currently performing the preliminary  design to finalize the design criteria. At the preliminary design conclusion, either the same or a different consultant will be selected  to perform detailed design.    Horizontal  Levee Pilot  (WQ‐22001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $231,263  $754,625 Public Works Construction FWinter 2026  Project Status: This project consists of the design, permitting, and construction of a horizontal levee pilot system. The system will  utilize treated wastewater to create a transitional brackish habitat on the Bayside of a future flood control levee located in the  Palo Alto Baylands, adjacent to the Regional Water Quality Control Plant (RWQCP). Information and data collected by this pilot  system could support broader implementation of horizontal levees as green infrastructure components in larger flood control  levee improvement projects within Palo Alto and beyond. The project completed design, CEQA review, coCommission and  stakeholder outreach events, created a project webpage, obtained all construction permits from resource agencies, received a  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 63  Packet Pg. 575 of 637  Wastewater Treatment Fund Projects         Status as of June 2025    Wastewater Treatment Fund Projects – Page 2 of 4  recommendation from the Parks and Recreation Commission, and obtained Council approval of the Park Improvement Ordinance  as well as a Cooperative Agreement between project partners. The project is currently onboarding a construction firm, preparing  for required monitoring, and coordinating future community engagement activities including BioBlitz and King Tide Walks. The  San Francisco Estuary Partnership/Association of Bay Area Governments will be awarding the construction contract with  construction scheduled to start in summer 2025.    Joint  Intercepting  Sewer  Rehabilitation  (Phase 1)   (WQ‐24000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $4,116,738  $12,590,181 Public Works Construction Fall 2025  Project Status: This project will rehabilitate 2,364 linear feet of the 60‐inch and 72‐inch Joint Intercepting Sewer (JIS) trunk line  leading to the Regional Water Quality Control Plant (RWQCP). The entire trunk sewer line, constructed in 1972, is approximately  9,000 feet long consisting of thirteen manholes and three junction structures. The JIS conveys raw wastewater mainly from the  City of Mountain View, City of Los Altos, Los Altos Hills, and a portion of Palo Alto, which accounts for more than half of the  RWQCP’s influent flows. A construction contract was awarded, and work began in winter 2024 but faced delays due to unforeseen  conditions and contractor challenges. Construction resumed in the 2025 dry season. While the major trunk lining work is  complete, additional efforts were needed to isolate and assess a critical junction box structure, requiring additional temporary  bypass rerouting. Construction is anticipated to be complete by fall 2025.    New  Laboratory  and  Environmental  Services  Building  (WQ‐14002)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $484,611 $17,051,434 Public Works Design Fall 2030  Project Status: The original plan to construct a new laboratory and office building at the Regional Water Quality Control Plant  (RWQCP) has been replaced with a lease‐based solution. This change reflects a broader shift toward a campus‐wide facilities  strategy, which emphasizes flexibility by leasing and potentially acquiring nearby properties to meet evolving space needs at the  RWQCP. The relocation will also free up critical space on‐site for construction staging and future capital projects. In 2025, City  Council approved a 20‐year lease for a 13,946 sq. ft. building at 2470 Embarcadero Way, located directly across from the RWQCP.  This building will house the Laboratory and Engineering Groups and includes $4.5 million in tenant improvements funded by this  capital project. Staff are currently onboarding an architect to complete the design of the tenant improvements.    Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 64  Packet Pg. 576 of 637  Wastewater Treatment Fund Projects         Status as of June 2025    Wastewater Treatment Fund Projects – Page 3 of 4  Outfall Line  Construction  (WQ‐19000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $0 $18,237,754 Public Works Design Summer 2027  Project Status:  This project consists of the construction of a new parallel outfall pipe to convey final plant effluent to San Francisco  Bay. A re‐design of the pipeline is needed to accommodate a potentially future runway shift at Palo Alto Airport. Staff is currently  working with the Airport staff and Federal Aviation Administration (FAA) to gain FAA concurrence for the pipeline construction  and permanent easements on Airport property. The re‐design is anticipated to begin in 2025, moving immediately to construction  upon design completion.       Secondary  Treatment  Upgrades  (WQ‐19001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $120,079,017  $193,322,311 Public Works Construction Summer 2028  Project Status: This project upgrades the Secondary Treatment process at the RWQCP. The existing Secondary Treatment process  has two main components, the Fixed Film Reactors (FFR) and the Activated Sludge (AS) Process.   This project includes the  reconstruction of the AS process, rehabilitation and reconfiguration of the AS Aeration Basins, the elimination of the FFRs, addition  of denitrification capabilities, and replacement of equipment beyond its useful life. Construction began in winter 2023 with the  completion of new nitrification denitrification treatment and retirement of the FFR’s is expected in summer 2028. Construction  is still in progress with much of the underground support infrastructure in place. Reconfiguration of the first AS Aeration Basin  was completed and it is in service. The second Aeration Basin is under construction and is expected to be in service in fall 2025.       Recurring Projects  Plant Master  Plan   (WQ‐10001)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $559,871  $442,061 Public Works N/A Recurring  Project Status: This project enables the ongoing program management support for major capital projects. Current tasks include  developing scopes of work, evaluating consultant proposals, coordinating project management activities, pursuing State low‐ interest loans for multiple projects, and updating partner agreements. The consultant provides support for the projects associated  with the Long‐Range Facilities Plan (LRFP) update.    Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 65  Packet Pg. 577 of 637  Wastewater Treatment Fund Projects Status as of June 2025 Wastewater Treatment Fund Projects – Page 4 of 4  Plant Repair,  Retrofit and  Equipment  Replacement  (WQ‐19002)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $5,804,943  $13,727,555 Public Works N/A Recurring  Project  Status:  This  project  enables  the  assessment, repair,  and  retrofit of   the  RWQCP’s  concrete  and  metal  structures; the   replacement  of  necessary  equipment  and  ancillary  facilities,  including  electrical  equipment/systems,  to  maintain treatment   reliability and  existing infrastructure; and the   replacement of   large diameter   flow  meters  built  into the  wastewater   treatment  system on sewers, pipes, and water lines. A construction contract for phase 1 was executed in winter 2023 and completed in spring  2025. A construction contract for Phase 2 of the 12 kV Electrical Loop Upgrade Project was executed in fall 2024 and is scheduled  to be completed by fall 2026. The project also supports the Long Range Facilities Plan Update, including updating the Biosolids  Facility Plan and evaluating cost of service allocation methodologies. Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 66  Packet Pg. 578 of 637  Water Fund Projects                        Status as of June 2025    Water Fund Projects – Page 1 of 4  One‐Time Projects  Water Main  Replacement  Project 30  (WS‐16001)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $5,371  $9,809,000 Utilities Design Spring 2026  Project Status: This project replaces  structurally deficient water mains and appurtenances in Fiscal Year 2026. Mains are  selected by researching the maintenance history of the system and identifying those that are undersized, corroded, and subject  to breaks. The project scope includes approximately 10,000 linear feet (which represents 0.8 percent of the City’s Water  Distribution System) of mains and services on various streets within the City, including areas in Midtown/Midtown West, Palo  Verde, and Green Meadow neighborhoods.     Water Recycling  Facilities  (WS‐07001)   Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $710,106 $852,674 Utilities Pre‐Design   Fall 2027  Project Status: This project allows the City to hire a consultant to prepare a business plan, prepare preliminary design, and  secure funding options for an expansion of the existing recycled water delivery system in the City. The expansion pipeline is  one of several water reuse projects being considered in the Northwest County Recycled Water Strategic Plan. One Water Plan  development is underway to evaluate alternative water supplies, define existing and future uncertainties and supply risks, and  identify community needs and priorities. Funding contribution from the Water Fund to the Recycled Water project has ended  and funding for Operations and Maintenance will be reviewed for budget cycle FY 2027.    Water Tank  Seismic Upgrade  and  Rehabilitation  (WS‐09000)  Prior Years Actuals Total Project Budget Implementing Department Project Phase Project Completion  $9,952,452  $26,816,199 Utilities Construction Fall 2028  Project Status: This project for Seismic Water System Upgrades includes seismic upgrades at the Montebello, Mayfield, Corte  Madera, Park, Boronda, and Dahl Reservoirs in compliance with the American Society of Civil Engineers (ASCE 7) seismic codes.  Mayfield Reservoir was seismically retrofitted in 2011. Seismic upgrades of Boronda and Montebello Reservoirs were  completed in 2016 and 2018. The new concrete Corte Madera Reservoir was completed in April 2022. The Park Reservoir and  Dahl Reservoir Tanks are scheduled next for retrofit or replacement. An Engineering and structural assessment of Park  Reservoir was completed in spring 2023, and Dahl Reservoir will be assessed in 2025.       Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 67  Packet Pg. 579 of 637  Water Fund Projects                        Status as of June 2025    Water Fund Projects – Page 2 of 4    Recurring Projects  Water  Distribution  System  Improvements  (WS‐11003)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $161,813  $975,388 Utilities N/A Recurring  Project Status: This project enables improvements to water distribution system deliverability and reliability. Typical activities  include installing restraining joints at critical pipelines and bridge crossings, increasing the size of inadequate facilities, system  leakage surveys, network modeling, and fire flow studies or other system improvements as required. Continuous evaluation of  system needs and making required improvements is necessary to maintain adequate quantities of quality water, meeting local,  state, and federal safe drinking water standards. The Pump Station Painting project to paint the five foothill pump stations was  completed in May 2024. A three‐year services contract for an annual full system leakage survey of the water distribution system  was solicited in 2025, and the first year of full system leak survey is expected to be completed by 2026.    Water, Gas,  Wastewater  Utility GIS Data  (WS‐02014)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $249,154  $578,800 Utilities N/A Recurring  Project Status: This project enables contracts related to Utilities GIS (Geographic Information System) needs.  AME database is  heavily utilized by Utilities Engineering staff to update the utility information in GIS.  The updated information is used by various  City staff, such as marking/locating underground utilities to comply with USA (Underground Service Alert) requirements;  developing design drawings for pipeline replacement projects; verifying existing underground utilities during construction  activities; creating customized utility map books for field crews and on‐call personnel to meet their specific needs.  Annual  surveying contracts collect GPS points of existing above‐ground utility features within CIP project areas. The data being  collected continues to be used to correct the GIS database. Accurate utility data helps the design to select new pipe alignment  to minimize construction conflicts and provides data for additional road feature linework to be corrected in the older GIS/AVEC  database via ESRI.    Water General  Equipment  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $0.00 $100,000 Utilities N/A Recurring  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 68  Packet Pg. 580 of 637  Water Fund Projects Status as of June 2025  Water Fund Projects – Page 3 of 4  Tools  (WS‐13002)  Project Status: This project acquires new equipment and tools, the replacement of existing fusion equipment, and other  associated tools. The fusion equipment is used to fuse together pipe joints in the City's water distribution system. Equipment  and tools are required to be upgraded on an annual basis to maintain high quality standards for the installation of the City's  water distribution mains, along with the associated service standards and worker safety and productivity measures.   No   equipment or tools were purchased in FY 2025.  Water Meters  (WS‐80015)   Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $2,801,577 $367,440 Utilities N/A Recurring  Project Status: This project enables the purchasing of meters for new customers, upgrading meters for current customers,  installing meter bypasses, and replacing obsolete meters that are no longer repairable. This funding also allows for annual  testing and calibration of selected meters to maintain meter accuracy and reliability. During the AMI implementation process,  approximately 50% of the meters will be replaced with a focus on meters more than twenty years old.  Staff continue to test  additional larger diameter meters.  Water Service  and Hydrant  Replacement   (WS‐80014)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $152,163  $412,000 Utilities N/A Recurring  Project Status: This project replaces system control valves, deteriorated galvanized service lines, lead goosenecks, and fire  hydrant valves and assemblies per the Fire Department’s flow testing, upgrades fire hydrants in main line replacement project  areas, replaces damaged fire hydrants, and replaces existing undersized or deteriorated copper water services on an as needed  basis. Staff has been working on an extensive valve audit and to date have operated and evaluated approximately 74% of the  City’s 6,500 water valves. This project will be increasing work to replace inoperative and leaking valves identified during this  audit process. In addition, the City will be doing additional work to look for possible lead whips in our distribution system as we  continue to comply with the new lead and copper rule revisions (LCRR).  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $1,373,705.86  $960,500 Utilities N/A Recurring  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 69  Packet Pg. 581 of 637  Water Fund Projects Status as of June 2025  Water Fund Projects – Page 4 of 4  Water System  Customer  Connections  (WS‐80013)  Project Status: This project allows for improvements that include new main extensions, valves, domestic services, meters on  upgraded services, backflow devices, fire services, and fire hydrants. System extensions are required to provide service to new  large developments and to serve existing customers requesting expanded service on Development Services projects. A total of  66 water services were installed in the second half of FY 2025.  Water System  Supply  Improvements  (WS‐11004)  Prior Year Actuals Current Year Budget Implementing Department Project Phase Project Completion  $23,648  $4,133,706 Utilities N/A Recurring  Project Status: This project evaluates and improves the City’s water distribution system on an as‐needed basis. This project  includes piping modifications, equipment replacements associated with water delivery, supervisory control software upgrades,  system modifications for water system quality compliance, conditional assessment of the reliability of transmission mains, and  security system installations. The water system includes the connection facilities between the City’s and the San Francisco  Public Utility Commission’s pipelines, emergency water wells within the City’s pumping stations, water reservoirs, and pipelines.  Security cameras will also be added to various tanks, pump stations, and turnouts as part of the Security Cameras project.  Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 70  Packet Pg. 582 of 637  List of Completed Projects CIP #Project Name Project Description Project Type Fund Source Department Season  Completed Year  Completed Total Project Budget  **CMR Date GS‐14003 Gas Main Replacement  Project 24  This project enableds the design and construction to replace approximately 20,100 linear feet  (which represents 1.9% of the City's Gas distribution main system) of distribution main and 260  gas services constructed mainly of PVC on various streets within the University Park and Crescent  Park neighborhoods. This project  was completed in spring 2025.   Construction Gas Utilities Spring 2025 11,409,309.00$          CB‐17002 Cubberley Field Restroom   This project will install a new restroom in the sports field area of the Cubberley Community  Center. In June 2023, Council approved a purchase order with the Public Restroom Company for  a four‐stall prefabricated restroom building. The construction contract for was completed in  spring 2025. Construction Parks and Open  Space Public Works Spring 2025 1,452,876.00$             AP‐23000 Airport Zero Emission  Vehicle Fleet Replacement  Program This project provided the funding to replace existing support vehicles used by Airport staff with  zero emission vehicles. The Airport received delivery of the final new electric truck in fall 2024  which replaced both airport vehicles with electric vehicles.  Procurement Airport Airport Summer 2024  $               377,696.00  PE‐24000 Baylands Boardwalk Piling  Repair  This project provided funding for the identification and implementation of a long‐term repair  solution to damage caused by aquatic borers to the Lucy Evans Baylands Interpretive Center’s  boardwalk pilings. The project received permits from the San Francisco Bay Regional Water  Quality Control Board, Bay Conservation and Development Commission, United States Fish and  Wildlife Services, and United States Army Corps of Engineers. Project construction was  completed in October 2024.  Construction Buildings and  Facilities Public Works Fall 2024 276,461.00$                PG‐14002 Cameron Park Improvements This project upgraded and renovated safety and accessibility features at Cameron Park with a  primary focus on the park playground improvements. The Cameron Park Improvements Project  were completed in November 2024.  Construction Parks and Open  Space Community  Services Fall 2024  $               205,627.00  PE‐20002 City Facilities Assessment  and Record Plan  Management System     This project provided a complete Facility Condition Assessment (FCA)  to renew cost estimates of  the deferred maintenance, planned maintenance, capital renewal and electrification costs of city  facilities over the next 30 years.  A detailed list of buildings for electrification has been analyzed  to determine prioritization to help meet SCAP goals. The data has been updated into the City of  Palo Alto’s newly customized Infrastructure Management System to provide long range capital  planning based on the results of the FCA.  The Record Plan Management System is being  implemented through TE‐13004. The project reached completion in fall 2024.  Construction Buildings and  Facilities Public Works Fall 2024  $               333,134.00  SD‐22000 East Meadow Drive System  Upgrades  This project added 407 linear feet of new twenty‐four inch high density polyethylene (HDPE) to  be parallel to the existing thirty‐six inch pipe within East Meadow Drive to increase the capacity  of the storm drain system. This project included upsizing manholes based on new pipes and  reconnecting laterals from private property and catch basins. Project was completed in  September 2024.  Construction Stormwater  Management Public Works Summer 2024 636,405.00$                SD‐26000 East Meadow Circle  Connection to Adobe Creek  Pump Station  This project installed 506 linear feet of fifteen‐inch pipe and manholes along East Meadow Circle.  The upgraded line will eliminate flooding that occurs within East Meadow Circle when the water  level within Barron Creek is higher than the flap‐gate, and flows are not able to drain into the  creek. The new fifteen‐inch HDPE line extension allows flows to drain away from Barron Creek  and into Adobe Creek, where they can be pumped. The project also included a small bioretention  area to treat low flow runoff within East Meadow Circle before discharging into either creek. The  project was completed in September 2024.  Construction Stormwater  Management Public Works Summer 2024 634,016.00$                Ju n e  20 2 5 De c e m b e r  20 2 4 1 Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 71  Packet Pg. 583 of 637  List of Completed Projects CIP #Project Name Project Description Project Type Fund Source Department Season  Completed Year  Completed Total Project Budget  **CMR Date SD‐22002 Trash Capture Device  Installation  This project included both the design and construction of a large trash capture device (TCD)  installed in the planting strip along Embarcadero Road located in front of the Palo Alto Baylands  Golf Links parking lot. The TCD was integrated into a thirty‐six inch storm pipe to capture trash as  small as five millimeters from a section of the storm drain system prior to discharging to the San  Francisco Bay. The 189‐acre drainage area treated by the TCD consists of 169 acres of  commercial and office land use in the City’s jurisdiction and twenty acres in the California  Department of Transportation (Caltrans) right‐of‐way. Construction was completed October 1,  2024. Construction Stormwater  Management Public Works Fall 2024 818,837.00$                EL‐24001 Hanover Substation  Improvement  This project  installed two 12 kV 50 MVA transformers to replace two 4kV transformers that  served 1501 Page Mill Road and make all substation improvements necessary to accommodate  the installations. Project construction is 100% complete and new Hanover substation  transformers and switchgear have been successfully tested and commissioned and released to  the Utility Operations group. Final project close out and settlement of Public‐Private Partnership  Contract between the City and Tesla still remain.  Construction Electric Utilities Fall 2024  $         15,000,000.00  WS‐15002 Water Main Replacement  Project 29  This project funded the design and replacement of structurally deficient water mains and  appurtenances. Mains are selected by researching the maintenance history of the system and  identifying those that are undersized, corroded, and/or subject to breaks. The project scope  included approximately 7,500 linear feet (which represents 0.6 percent of the City’s Water  Distribution System) of mains and services on various streets within the City, including areas in  the Evergreen Park and Ventura neighborhoods. The project was completed in September 2024.  Construction Water Utilities Fall 2025 9,307,828.00$             OS‐24000 Baylands Nature Preserve  Entrance Gate This project installed a new automated gate at the Baylands Nature Preserve main entrance. The  existing gate was manually opened and closed by staff each day for public access. The scope of  work included an electrical transformer, trenching, wiring, and gate automation equipment.  The  project started  June 24, 2024 and reached substantial completion on June 30, 2024.   Construction Parks and Open  Space Community  Services Spring 2024 132,701.00$                PE‐13011 Charleston Arastradero  Corridor Project  The Charleston Arastradero Corridor was reconfigured to provide new landscaped median  islands, bulb outs, enhanced bike lanes, traffic signal improvements, and new street trees to  complement the new lane configurations that were approved for permanent retention.  Phase 1  (Arastradero Road between Foothill Expressway to Clemo Avenue), Phase 2 (Charleston Road  from Alma Street to Middlefield Road) and Phase 3 (Arastradero Road from Los Palos Avenue to  El Camino Real, Charleston Road from El Camino Real to Alma Street and from Middlefield Road  to San Antonio Road) have all been completed as of spring 2024. Construction Traffic and  Transportation Public Works Spring 2024  $         20,788,951.00  WC‐19001 Wastewater Collection  System Rehabilitation  Augmentation Project 31  This project funded the design and construction of high priority main replacement work, which  reduces inflow of rainfall and groundwater into the collection system. The project replaced  approximately 11,000 linear feet (which represents 1.0 percent of the City's Wastewater  Collection System) for El Camino Real from Page Mill Road to Cesano Court, and Page Mill Road  from Ramos Way to Ash Street. The project wais comprised of mains identified in video  inspection work or through maintenance records as structurally deficient and in need of  replacement. The work was in Caltrans (El Camino Real) and the County of Santa Clara (Page Mill  Road) right‐of‐way.  Construction was completed May 5, 2024.  Construction Wastewater  Collection Utilities Spring 2024 8,635,244.00$             WQ‐14003 Primary Sedimentation Tank  Rehabilitation  This project enabled the design and construction for new protective coatings on each of the four  concrete primary sedimentation tanks, with replacement of worn rotating parts and mechanical  and electrical equipment.  These tanks were installed in 1972 and the recoating project will will  extend the concrete life for another thirty years.  Substantial completion was achieved on June 1,  2024.  Construction Wastewater  Treatment Public Works Spring 2024 20,449,644.00$          Ju n e  20 2 4 2 Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 72  Packet Pg. 584 of 637  List of Completed Projects CIP #Project Name Project Description Project Type Fund Source Department Season  Completed Year  Completed Total Project Budget  **CMR Date WS‐07000 Water Regulation Station  Improvements  This project for Water Regulation Station Improvements included seismic upgrades, piping  improvements and other various upgrades to increase the structural reliability of two of the  City's turnouts with SFPUC.  Work under this project includes Seismic Upgrades of California  Avenue and Page Mill Road Turnouts.  Structural evaluation for restraining the Page Mill turnout  and piping was included in the design.   The construction  was completed in May 2024.  Construction Water Utilities Spring 2024 2,960,477.00$             PE‐19001 Water, Gas, Wastewater  Office Remodel This project incorporated renovations to the Utilities Water Gas Wastewater (WGW) office space  at the Municipal Service Center (MSC).  The new work area includes a small reception area, a  renovated kitchen and printer area, additional offices and cubicles, upgrades to the HVAC  system, lighting improvements and fire life safety systems upgrade.  Construction was completed  in April 2023. Construction Buildings and  Facilities Public Works Spring 2023  $           1,234,354.00  FD‐22000 Extrication Tool Replacement This project provided funding for the replacement of all extrication tools for the Fire  Department. Extrication tools, also known as "Jaws of Life", are used to rescue victims of car  accidents and other emergencies where the victims are trapped in confined spaces.  Equipment  was purchased in winter 2023 and the project is complete.  Procurement Buildings and  Facilities Fire  Department Winter 2023 298,200.00$                WS‐14001 Water Main Replacement  Project 28 This project has replaced approximately 18,600 linear feet (which represents 1.6% of the City's  water distribution system) of mains and 265 services on various streets in the City, including  areas in the Duveneck, St. Francis, Barron Park and Charleston Meadows neighborhoods.   Construction started in April 2022 and the project was substantially completed in spring 2023. Construction Water Utilities Spring 2023 10,305,619.00$          WC‐17001 Wastewater Collection  System Rehabilitation  Augmentation Project 30  This project included the design and construction of high priority mains with structural defects  that could not be addressed with routine maintenance.  The wastewater mains on various streets  in the City were replaced with approximately 10,000 linear feet of HDPE sanitary sewer mains  and associated laterals in the Ventura, Charleston Meadows, Fair Meadow, and Palo Verde  neighborhoods.   The project achieved substantial completion in April 2023.  Construction Wastewater  Collection Utilities Spring 2023 4,656,777.00$             AP‐16000 Airport Apron  Reconstruction This project included the design and reconstruction of the Palo Alto Airport apron.  The need to  reconstruct the aircraft parking apron is critical to airport safety.  Construction Phase I was  completed in November 2017.  Construction Phase II was completed in winter 2020.  Construction on Phase III reached substantial completion  in June 2023 Construction Airport Airport Spring 2023 41,563,570.00$          Ju n e    20 2 3 3 Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 73  Packet Pg. 585 of 637  List of Completed Projects CIP #Project Name Project Description Project Type Fund Source Department Season  Completed Year  Completed Total Project Budget  **CMR Date PE‐21003 Magical Bridge Playground  Rubber and Synthetic Turf  Resurfacing This project replace rubberized and synthetic turf surfacing in the playground and replace play  equipment including swings, climbing net, and playhouse.  An IFB was issued in November 2021  and Council awarded a construction contract in spring 2022.  Installation of rubberized and  synthetic surfacing, replacement of climbing nets and renovation of the playhouse took place in  fall 2022. Project was completed in December 2022. Construction Parks and Open  Space Public Works Fall 2022 857,380.00$                GS‐13001 Gas Main Replacement  Project 23 This project designed and constructed approximately 21,700 linear feet (which represents 1.9%  of the City's Gas distribution main system) of distribution main and 320 gas services constructed  mainly of PVC material on various streets within the Midtown, Evergreen Park, Ventura, College  Terrace, Charleston Terrace, and Research Park neighborhoods.   Construction began in winter  2021and was completed in summer 2022  Construction Gas Utilities Summer 2022 7,951,858.00$             FD‐21000 Automated External  Defibrillator Replacement This project replaced the entire complement of Automated External Defibrillators (AEDs)  throughout City facilities and emergency response vehicles, which currently totals 93 AEDs.  The  RFP process was completed in fall 2021.  The new AEDs were purchased and deployed in summer  2022.   Procurement Buildings and  Facilities Fire  Department Summer 2022  $               237,500.00  PF‐17000 Municipal Service Center A,  B, & C Roof Replacement This project replaced the existing MSC roofs.  The existing asphalt and gravel roofs have reached  the end of their useful life and needed to be replaced.  The new roofs will meet current cool  roofing codes to optimize energy efficiency.   Construction was completed in November 2022.  Construction Buildings and  Facilities Public Works Fall 2022 2,013,475.00$             EL‐16002 Capacitor Bank Installation  This project installed capacitor banks at electric substations and on distribution lines to ensure  Northern California Power Association Power Factor requirements are met.   Capacitor banks  were installed at Hanover Avenue, Hansen Way, Maybell Avenue, and Park Boulevard  Substations.    The project was substantially completed in June 2022 and will be commissioned  and energized in summer 2022.   Construction Electric Utilities Spring 2022  $                 1,050,443  EL‐17007 Facility Relocation for  Caltrain Modernization  Project The Utilities Department removed the overhead lines allowing for the installation of the  Overhead Catenary System above the rails for the Caltrain Modernization.  This project was  completed in spring 2022 Construction Electric Utilities Spring 2022  $                 3,055,472  PE‐08001 Rinconada Park  Improvement This project upgraded safety, site amenities, playground facilities, a new restroom, irrigation,  drainage, and ADA accessibility improvements at Rinconada Park.  These improvements were  identified in the Rinconada Long Range Plan (LRP).  Phase 1 of construction started in August  2021 and construction was completed in spring 2022.  Construction Parks and Open  Space Public Works Spring 2022  $                 4,646,247  EL‐14005 Reconfigure Quarry Feeders  This project reconfigured the distribution circuits to the substation transformer at Quarry  Substation.  Design of QR 27 feeder replacement was completed in spring 2021. Construction  was completed in December 2021 . Construction Electric Utilities Fall 2021 792,034$                      De c e m b e r  20 2 2 Ju n e  20 2 2 4 Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 74  Packet Pg. 586 of 637  List of Completed Projects CIP #Project Name Project Description Project Type Fund Source Department Season  Completed Year  Completed Total Project Budget  **CMR Date AC‐18001 JMZ Renovation  This project provided for the relocation of the Junior Museum and Zoo to Cubberley for two  years while a new JMZ was being built, tenant improvements to the Cubberley Auditorium and  then removal of tenant improvements post‐construction.  Construction of the new Junior  Museum and Zoo started in June 2018 and was completed in late 2021. The new Junior Museum  and Zoo was opened to the public on November 12, 2021.   Construction Buildings and  Facilities Community  Services Fall 2021 2,927,870.00$             PE‐18002 High and Bryant Street  Garages Waterproofing and  Repairs  This project included a systems analysis and repaired the water proofing system in the High  Street and Bryant Street parking garages.  Water proofing repairs were completed in the High  Street parking garage.   Additional funding was added and the contractor completed  waterproofing repairs in the subterranean stairwells in the Bryant Street garage in fall 2021. Construction Buildings and  Facilities Public Works Fall 2021 264,235.00$                PE‐11011 Highway 101 Pedestrian  Bicycle Overpass Project As part of the 2014 Council Infrastructure Plan, this project designed and constructed a new  pedestrian bridge across Highway 101 at Adobe Creek. Council approved a contract with Granite  Construction in November 2019.  Construction began in January 2020.  The project construction  completed on November 20, 2021,  with a ribbon‐cutting ceremony and a community  celebration. Construction Traffic and  Transportation Public Works Fall 2021 22,889,453$                EL‐12001 Underground District 46   Charleston This project undergrounded the existing overhead utility systems in the area along the 400 block  of West Charleston and El Camino Real.   Staff  completed  cable, equipment installation and  100% of customer service conversions. The construction for the final phase of the project to  install two 60 foot tall steel poles and to reconductor the 60 kV sub‐transmission lines was  completed in the fall 2021. Construction Electric Utilities Fall 2021  $                 3,904,425  OS‐18001 Pearson Arastradero  Preserve Parking lot  Improvement This project improved the Pearson Arastradero Preserve parking lot by improving the base rock  surfacing, adding drainage, widening the entrance for safety, and new fencing.  This new  improvement will allow the overflow parking area to be open year round.  The work was  completed in May 2021. Construction Parks and Open  Space Community  Services Spring 2021  $                     170,300  CB‐16001 Cubberley Community  Center Master Plan This project developed the master plan  for future use of the Cubberley Community Center site  by the City and Palo Alto Unified School District.Study Buildings and  Facilities Community  Services Spring 2021  $                     926,792  CB‐19001 Cubberley Building  Management Systems This project replaced the Building management System(BMS) controls for the pavilion, Theater,  Wing I, and Gyms A and B boiler rooms at the Cubberley Community Center.  The project  included the installation of control points for each building along with controllers, valve and  damper actuators. Construction Buildings and  Facilities Public Works Spring 2021  $                     350,000  FD‐14002 Fire Ringdown System  Replacement This project replaced the current ring down system that provides an audible alert of calls in the  fire stations.  Ongoing installations started in 2018 and were completed with Fire Station #3.Construction Buildings and  Facilities Fire Departent Spring 2021  $                     400,144  PD‐14000 Internal Alarm System  Replacement The project replaced the citywide internal alarm system.  The alarms at City Hall migrated to this  new system in FY 2019, but was completed in early 2021.Construction Buildings and  Facilities Police  Department Winter 2021  $                       77,569  De c e m b e r  20 2 1 Ju n e  20 2 1 5 Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 75  Packet Pg. 587 of 637  List of Completed Projects CIP #Project Name Project Description Project Type Fund Source Department Season  Completed Year  Completed Total Project Budget  **CMR Date FD‐20001 Self Contained Breathing  Apparatus (SCBA) Air  Compressor Replacement This project replaced the central air compressor that provides air for the self‐contained breathing  apparatus (SCBA) tanks to ensure firefighter safety when entering environments with hazardous  air quality. Construction Buildings and  Facilities Fire  Department Spring 2021  $                       94,500  AP‐20000 Airport Electrical  Improvements This project replaced the outdated electrical panels for the Palo Alto Airport office rental spaces.   Construction was completed in January 2021.Construction Airport Public Works Winter 2021  $                     146,466  PE‐18000 New California Avenue Area  Parking Garage  This project built the California Avenue Area Parking Garage, as part of the 2014 Council  Infrastructure Plan.   The parking garage has 627 parking spaces with 2 basement levels and 4  above grade floors.  The garage features an automated parking space guidance system, EV  charging stations, bicycle parking, and motorcycle parking. The garage was opened to the public  on December 8, 2020. Construction Buildings and  Facilities Public Works Fall 2020  $               50,119,976  PF‐14002 Fire Station 1 Improvements  This project updated the individual sleeping quarters in the firehouse to address gender issues  and privacy concerns.  Fire Station #1 was the only fire station in the City that did not have  separate bedrooms to accommodate male and female firefighters.   This project was completed  in fall 2020. Construction Buildings and  Facilities Public Works Fall 2020  $                     187,064  GS‐18000 Gas ABS/Tenite Replacement  Project  This project replaced gas services laterals constructed of Acrylonitrile‐butadiene‐styrene (ABS) or  Tenite material on various streets.  Council approved funding in June 2019.  The project replaced  104 ABS and Tenite gas services.  The WQCP ABS gas service is assigned to Utility Operations for  replacement and the remaining five ABS gas services will be scheduled for replacement once the  five‐year moratorium ends on those streets.  As of November 2020, this project is complete. Construction Gas Utilities Fall 2020  $                 2,615,100  SD‐19000 Loma Verde Avenue Trunk  Line Improvements  This project replaced 1,750 linear feet of storm drain with 48‐inch diameter High Density  Polyethylene (HDPE) pipe and associated catch basins, laterals and manholes.  In addition to  underground work, additional street restoration and concrete work was completed. Work  includes resurfacing one full lane on Loma Verde from the beginning to the end of the project  limits, replacement of driveways, sidewalk, and 718 linear feet of curb and gutter.   The contract  was awarded in June 2020, construction work began in August 2020,  and was completed in  December 2020. Construction Storm Drain Utilities Fall 2020  $                 2,976,813  WS‐19000 Mayfield Reservoir Subgrade  and Venting Repair  This project is part of the City’s recent Seismic Upgrade and Emergency Water Supply and  Storage Projects.  The reservoir was drained in 2012 for approximately two years to allow  extensive seismic rehabilitation work to be performed and construction of a new pump station.   Subsequently hairline cracks were sealed in the reservoir.  A geotechnical consultant was hired to  evaluate the tank foundation.  This study was completed and there were several options  identified.  Staff has completed the design and construction of the vent screen replacement and  crack sealing.   Construction Water Utilities Fall 2020  $                     600,000  EL‐11010 Underground District 47   Middlefield, Homer,  Webster, Addison  This project undergrounded the existing overhead distribution system in the area bounded by  Middlefield Road, Homer Avenue, Webster Street, and Addison Avenue. Installation of  substructures and utility electric system is completed.  Where possible, the overhead electric  lines were removed and poles cut down to the level of the communication lines.   Construction Electric Utilities Fall 2020  $                 3,649,356  De c e m b e r  20 2 0 6 Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 76  Packet Pg. 588 of 637  List of Completed Projects CIP #Project Name Project Description Project Type Fund Source Department Season  Completed Year  Completed Total Project Budget  **CMR Date WC‐16001 Wastewater Collection  System Rehabilitation   Augmentation Project 29  This project replaced of 8,972 linear feet of wastewater mains.  The sanitary sewer mains,  laterals, and manholes to be rehabilitated or replaced in this project are located in the  Charleston Meadows neighborhood.  Construction started in February 2020 and was suspended  for almost 3 months due to COVID‐19 County’s Shelter‐in‐Place Order.  The project is complete as  of December 2020. Construction Wastewater  Collection Utilities Fall 2020  $                 4,434,839  PF‐18000 Parking Lot J Elevator  Modernization This project modernized the existing elevators at parking Lot J.  The project involves upgrading  the interior of the elevators, elevator control interface, call buttons, and meeting current ADA  standards.  Construction started in April 2019.  Project is complete except for the State final  inspection on the second car.  State is behind because of COVID, but the inspection should be  done by the end of July 2020.   Construction Buildings and  Facilities Public Works Spring 2020  $                     781,324  PE‐15003 Fire Station 3 Replacement This project replaced the existing Fire Station at Embarcadero Road and Newell Road with a new  structure that meets essential services standards and current program needs.   Construction  completed in March 2020.   Construction Buildings and  Facilities Public Works Winter 2020  $               10,080,258  WS‐08001 Water Reservoir Coating  Improvements This project included the recoating of four steel tanks. Work under this project was included in  the Seismic Upgrade of four Steel Tanks and the three Turnout Projects. Once construction  started, it was found that the Montebello Reservoir was in very poor condition. Due to escalating  costs associated with roof replacement, staff decided to complete construction of the  Montebello Reservoir and re‐evaluate the remaining three tanks for replacement.  Construction Water Utilities Spring 2020  $                 2,141,172  WS‐13001 Water Main Replacement ‐  Project 27 This project replaced approximately 9,600 linear feet of structurally deficient, aging, or corroded  water mains and services along the mains on Sand Hill Road, Oak Creek Drive (5%) and Fulton  Avenue.  Construction Water Utilities Spring 2020  $                 7,786,998  WC‐15001 Wastewater Collection  System Rehabilitation  Augmentation Project 28  This project enabled the design and construction of a high priority wastewater main and lateral  replacement work to reduce inflow of rainfall and ground water into the collection system. The  project replaced or rehabbed  a total of 7,655 linear feet of wastewater mains  located in the  Leland Manor/Garland, Midtown West, and Lower Page Mill/Los Altos Hills areas of the City.   Construction Wastewater  Collection Utilities Spring 2020  $                 5,665,897  EL‐17003 VA Hospital ‐ Customer Load  Requirements  This project met the growing electric needs of the VA Hospital. Staff has had numerous  discussions with VA Hospital on electric load growth at the hospital and anticipated needs from  the utility. Much of the cost is reimbursed to the City by the VA Hospital. Staff has prepared  preliminary designs for interim solutions and is awaiting additional information from VA to  develop long range plans to meet their future needs.   Design Electric Utilities Spring 2020  $                       84,984  Ju n e  20 2 0 7 Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 77  Packet Pg. 589 of 637  List of Completed Projects CIP #Project Name Project Description Project Type Fund Source Department Season  Completed Year  Completed Total Project Budget  **CMR Date EL‐04012 Utility Site Security  Improvements This project added electronic security systems at utility sites to protect equipment at electric  substations, water pumping plants, reservoirs, and gas stations from intrusion and vandalism.   Cameras and detection systems have been installed at nine electric substations, three water  stations, and one natural gas station to monitor facilities.   Construction Electric Utilities Spring 2020  $                 1,644,681  EL‐11008 Rebuild Underground District  19  This project rebuilt and replaced the underground electric system in Underground District 19, the  area bounded by Forest Avenue, Waverley Street, Addison Avenue, and Alma Street. Construction Electric Utilities Spring 2020  $                     149,023  FD‐18000 Self Contained Breathing  Apparatus Replacement This project replaced Self Contained Breathing Apparatus equipment (SCBA) used by firefighters  when entering hazardous conditions when responding to fire and hazardous materials incidents.  The SCBA provides breathable air for firefighters when entering environments where the  atmosphere is immediately dangerous to life or health.  The expected service life for SCBAs is 15  years.  Purchase Buildings and  Facilities Fire  Department Spring 2020  $                     799,999  FD‐20000 Cardiac Monitor  Replacement This project replaced the entire complement of twenty cardiac monitors in the Department.  Along with other tools needed for patient assessment and airway verification, cardiac monitors  assess cardiac activity in patients and provide defibrillation and pacing.   Purchase Buildings and  Facilities Fire  Department Spring 2020  $                     850,000  PL‐16001 Downtown Mobility and  Safety Improvements  This project included the construction of curb extensions and the installation of new pedestrian  signal heads and traffic signal modifications in 2019 as part of the Upgrade Downtown project.Construction Traffic and  Transportation Office of  Transportation Fall 2019  $                 1,819,847  FD‐20002 Thermal Imaging Cameras  Replacement     This project replaced the Thermal Imaging Cameras (TICs) on all fire and response vehicles used  to help identify the location of victims; assess the source of fires, smoke, and heat; to assist in  creating a plan of action.  Purchase Buildings and  Facilities Fire  Department Fall 2019  $                       99,000  WC‐11000 Wastewater Collection  System Rehabilitation  Augmentation Project 24 This project  addressed areas that were identified in Wastewater Capital Improvement Project 17  (Cleaning and Video Inspection of the Collection System) as needing rehabilitation. This project  was combined with Project 25 and 26(WC‐12001; WC‐13001).   Construction Wastewater  Collection Utilities Fall 2019  $                 3,131,595  WC‐13001 Wastewater Collection  System Rehabilitation  Augmentation Project 26 This project was combined with Project 24 and 25(WC‐11001; WC‐12001). All new service  laterals were installed from the new sewer main to the new sewer cleanouts located in the City’s  right‐of‐way. Construction Wastewater  Collection Utilities Fall 2019  $                 3,309,998  CB‐19000 Cubberley Track and Field  Replacement This project replaced the synthetic turf field, installed an all‐weather track and a fitness area. Construction Parks and Open  Space Public Works Fall 2019  $                 1,851,708  PE‐14018 Baylands Boardwalk  Improvements This project replaced the existing boardwalk with similar alignment and configuration. Construction Buildings and  Facilities Public Works Winter 2019 2,123,681$                  PE‐17009 City Hall Floor 4 Remodel This project improved the Administrative Services Department offices on the fourth floor of City  Hall.Construction Buildings and  Facilities Public Works Winter 2019 494,818$                      De c e m b e r  20 1 9 8 Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 78  Packet Pg. 590 of 637  List of Completed Projects CIP #Project Name Project Description Project Type Fund Source Department Season  Completed Year  Completed Total Project Budget  **CMR Date PE‐14015 Lucie Stern Buildings  Mechanical and Electrical  Upgrades This project replaced and upgraded the mechanical, electrical, and fire/life safety systems at  Lucie Stern Children’s Theater, Lucie Stern Community Theater, and Lucie Stern Community  Center.  Construction Buildings and  Facilities Public Works Spring 2019 6,142,607$                  PL‐16000 Quarry Road Improvements  and Transit Center Access This project included planning, design and construction of bicycle and pedestrian improvements  along Quarry Road.Construction Traffic and  Transportation Planning and  Community  Environment Spring 2019 5,148,378$                  EL‐17008 Utility Control Center  Upgrades This project upgraded the Utility Control Center working environment. Construction Electric Utilities Winter 2019 499,997$                      GS‐12001 Gas Main Replacement  Project 22 This project replaced approximately 23,700 linear feet of gas mains and services along University  Avenue and other streets in the Downtown North nieghborhood.Construction Gas Utilities Spring 2019 11,658,997$                WC‐12001 Wastewater Collection  System Rehabilitation /  Augmentation Project 25  This project was combined with Project 24 and 26 (WC‐11001; WC‐13001) replacing 45,294 linear  feet of sanitary sewer mains in university South, Professorville and Old palo Alto neigborhoods.Construction Wastewater  Collection Utilities Spring 2019 3,211,998$                  WQ‐14001 Dewatering and Loadout  Facility This project provides funding for the design and construction of the sludge dewatering facility  and truck loadout to retire existing dewatering and sewage sludge incinerators. Construction Wastewater  Treatment Public Works Spring 2019 27,497,551$                WS‐12001 Water Main Replacement –  Project 26  This project replaced approximately 11,000 linear feet of aging water mains and services which  included water main replacement as part of the Upgrade Downtown Project.Construction Water Utilities Spring 2019 7,506,161$                  PE‐17009 City Hall Floor 5 Remodel This project improved the Planning and Community Environment (PCE) Department offices on  the fifth floor of City Hall. Construction Buildings and  Facilities Public Works Summer 2018 525,000$                      AC‐14001 Baylands Nature Interpretive  Center Exhibit Improvements  This project replaced worn out or non‐functioning exhibits at the Baylands Nature Interpretive  Center.Construction Buildings and  Facilities Community  Services Summer 2018 56,000$                        PE‐17000 Mitchell Park Adobe Creek  Bridge Replacement This project replaced the existing bridge over Adobe Creek in Mitchell Park. Construction Parks and Open  Space Public Works Summer 2018 250,000$                      PD‐14000 Internal Alarm System  Replacement This project replaced the citywide system of panic alarms from various departments and the  Council chambers.Construction Buildings and  Facilities Police Summer 2018 78,000$                        EL‐14004 Maybell 1&2 4/12kV  Conversion This project converted circuits 1 & 2 at Maybell substation from 4kV to 12kV. Construction Electric Utilities Fall 2018 364,796$                      GS‐15001 Security at City Gas Receiving  Stations This project equiped the City’s four Gas Receiving Stations with video surveillance systems. Construction Gas Utilities Summer 2018 150,000$                      SD‐13003 Matadero Creek Storm  Water Pump Station and  Trunk Line Improvements  This project upgraded the capacity to the Matadero Creek Storm Water Pump Station, which  serves a low‐lying 1200‐acre area of southeastern Palo Alto. Construction Storm Drain Public Works Summer 2018 6,685,317$                  Ju n e  20 1 9 De c e m b e r  20 1 8 9 Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 79  Packet Pg. 591 of 637  List of Completed Projects CIP #Project Name Project Description Project Type Fund Source Department Season  Completed Year  Completed Total Project Budget  **CMR Date AP‐16002 Wildlife Hazard Management  Plan The Wildlife hazard Management Plan identified the specific actions the airport will take to  mitigate the risk of wildlife strikes on or near the airport.Study Airport Public Works Summer 2018 63,415$                        WC‐14001 Wastewater Collection  System Rehabilitation  Augmentation Project 27  This project replaced 16,859 linear feet of sanitary sewer mains of various sizes on various  streets.Construction Wastewater  Collection Utilities Winter 2018 4,022,455$                  PG‐15000 Buckeye Creek Hydrology  Study  This project analyzed flooding conditions and recommended flood control structures and  drainage and erosion control solutions for the creek located within Foothills Park.  Study Parks and Open  Space Public Works Spring 2018 167,741$                      PE‐17004 CalTrain Corridor Video  Management System  Installation  This project replaced two existing gateway signs in the right‐of‐way for the California Avenue  business district. Construction Streets and  Sidewalks Public Works Spring 2018 1,550,000$                  PF‐16003 Parking Lot Q Elevator  Modernization This project modernized the existing elevator at Parking Lot Q. Construction Buildings and  Facilities Public Works Fall 2017 170,608$                      PE‐13003 Parks, Trails, Open Space,  and Recreation Master Plan  This master plan provided guidance on the recreation and improvement needs for Palo Alto’s  parks, trails, open space and recreational programs.  Study Parks and Open  Space Community  Services Fall 2017 627,057$                      PE‐12003 Rinconada Park Master Plan  This project developed a plan for short, medium and long range improvements to the regional  park including the consideration of pathways, new restrooms and playgrounds, new landscaping,  and revitalization of underutilized areas within the park.   Study Parks and Open  Space Community  Services Fall 2017 541,355$                      PE‐13012 Structural Assessment of City  Bridges  The project developed an inventory of all City‐owned bridges and culvert structures, condition  assessment, cost estimate for rehabilitation, and recommendation for future inspection  frequencies, assessment and improvements. Study Buildings and  Facilities Public Works Fall 2017 198,529$                      WC‐11000 Wastewater Collection  System Rehabilitation /  Augmentation Project 24  Combined with Project 25 and 26 (WC‐12001; WC‐13001), this project replaced and/or  rehabilitated approximately 42,398 linear feet of sanitary sewer mains of various sizes, 779  sewer laterals, and 121 sewer manholes.   Construction Wastewater  Collection Utilities Fall 2017 3,119,806$                  WC‐13001 Wastewater Collection  System Rehabilitation /  Augmentation Project 26  Combined with Project 25 and 26 (WC‐12001; WC‐13001), this project replaced and/or  rehabilitated approximately 42,398 linear feet of sanitary sewer mains of various sizes, 779  sewer laterals, and 121 sewer manholes.   Construction Wastewater  Collection Utilities Fall 2017 3,361,118$                  PG‐13003 Golf Reconfiguration and  Baylands Athletic Center  Improvements  This project completed the rehabilitation of the Palo Alto Municipal Golf Course, including  a new  layout for the course, new prefabricated restroom, new water‐saving turf and irrigation system,  and rebranded the course as the Baylands Golf Links. Construction Parks and Open  Space Public Works Fall 2017 13,675,177$                GS‐11000 Gas Main Replacement –  Project 21 This project combined with GWR 19B & GMR 20 and replaced ABS gas mains and services.  Construction Gas Utilities Winter 2017 2,364,937$                  Ju n e  20 1 8 De c e m b e r  20 1 7 10 Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 80  Packet Pg. 592 of 637  List of Completed Projects CIP #Project Name Project Description Project Type Fund Source Department Season  Completed Year  Completed Total Project Budget  **CMR Date WS‐11000 Water Main Replacement –  Project 25  This project provided installation of approximately 11,869 linear feet of new High Density  Polyethylene (HDPE) water mains, 232 new HDPE water services, and 15 new fire hydrants within  the City limits.  Construction Water Utilities Winter 2017 5,445,069$                  WS‐15004 Water System Master Plan  The 2015 Water System Master Plan identified present capital improvements and replacement  rates required to ensure optimal reliability levels of service to the existing distribution and  transmission systems.  Study Water Utilities Spring 2017 500,000$                      WC‐10002 Wastewater Collection  System Rehabilitation /  Augmentation Project 23  Combined with Project 22 (WC‐09001).  This project replaced and/or rehabilitated approximately  33,497 linear feet of sanitary sewer mains of various sizes, 554 sewer laterals, and 102 sewer  manholes.   Construction Wastewater  Collection Utilities Winter 2017 1,272,289$                  EL‐10009 Street Light System  Street  Light System Conversion  Project  This project converted HPS streetlights to LED and the conversion of approximately 4500  cobrahead streetlight fixtures.  Construction Electric Utilities Spring 2017 696,918$                      EL‐13006 Sand Hill / Quarry 12kV  InterTie This project installed new wire to connect circuits QR‐24 and QR‐27 in the Sand Hill/Quarry area. Construction Electric Utilities Winter 2017 208,648$                      EL‐15001 Electric Substation Battery  Replacement This project replaced the batteries in all nine of the City's electric substations. Construction Electric Utilities Winter 2017 400,000$                      PG‐13001 Stanford/Palo Alto Playing  Fields Soccer Turf  Replacement  This project replaced the synthetic turf at the Stanford/Palo Alto Playing Fields. Construction Parks and Open  Space Community  Services Fall 2016 1,499,979$                  PG‐09003 Park Maintenance Shop  Remodel  This project renovated and remodeled the Parks maintenance shop for safety and efficienciency  upgrades.Construction Parks and Open  Space Community  Services Summer 2016 94,419$                        PE‐12017 City Hall First Floor  Renovations This project installed new elevator control panels and replaced the gray‐painted panels inside the  elevators.Construction Buildings and  Facilities Public Works Summer 2016 3,974,963$                  PE‐11012 Temporary Main Library This project created a temporary main Library to be used while the new one was being  constructed.Construction Buildings and  Facilities Public Works 156,254$                      PE‐15029 Baylands Nature Interpretive  Center Facility Improvement  The project replaced decking, railings, structural framing members, exterior wood flooring, and  cabinetry, restroom reconfiguration, and provided Americans with Disabilities Act (ADA)  improvements.   Construction Buildings and  Facilities Public Works Spring 2017 889,452$                      PE‐13008 Bowden Park Improvements  This project improved the children’s playground and included park amenity upgrades such as  new playground equipment, a new retaining wall, surfacing and pathway upgrades, planting  restoration and irrigation renovations, and replaced of damaged wood benches and the  playground perimeter fence.   Construction Parks and Open  Space Community  Services Summer 2016 421,126$                      Ju n e  20 1 7 11 Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 81  Packet Pg. 593 of 637  List of Completed Projects CIP #Project Name Project Description Project Type Fund Source Department Season  Completed Year  Completed Total Project Budget  **CMR Date PE‐13020 Byxbee Park Trails This project provided trail and site amenities over the remaining area of the landfill cap.  Construction Parks and Open  Space Public Works Fall 2016 334,607$                      PE‐17002 City Hall Floor 3 Remodel  This project improved the Utilities Department administrative offices on the third floor of City  Hall. It included new carpet, wall reconfiguration, a kitchenette, cabinets, paint, soundproofing,  office furniture, doors, and associated building systems.  Construction Buildings and  Facilities Public Works Spring 2017 440,000$                      PE‐14015 Lucie Stern Buildings  Mechanical and Electrical  Upgrades – Phase 1  This project replaced and upgraded the mechanical, electrical, and fire/life safety systems at  Lucie Stern Children’s Theater, Lucie Stern Community Theater, and Lucie Stern Community  Center.   Construction Buildings and  Facilities Public Works Summer 2016 3,247,248$                  PG‐12004 Sarah Wallis Park  Improvements  This project improved site amenities with new concrete pathways, replaced old furnishings, and  upgraded landscape with drought tolerant species. Construction Parks and Open  Space Community  Services Winter 2017 65,000$                        AP‐16003 Airport Perimeter Fence  This project replaced the perimeter fencing and gates surrounding the Palo Alto Airport  boundaries to prevent unauthorized access to the airport runway in accordance with Federal and  State standards.  Construction Airport Public Works Spring 2017 2,003,540$                  SD‐11101 Channing Avenue/Lincoln  Avenue Storm Drain  Improvements  This project installed of 5,800 linear feet of 36‐inch to 60‐inch diameter storm drain along  Channing and Lincoln Avenues over three project phases to increase drainage system capacity.  Construction Storm Drain Public Works Winter 2016 7,676,275$                  GS‐14004 Gas Distribution System  Model  This project included the development, model installation, testing, documentation, and staff  training of a natural gas distribution system model.  Study Gas Utilities Summer 2016 149,500$                      AC‐14000 Art Center Auditorium Audio,  Visual and Furnishings This project replaced outdated audio visual equipment and furnishings following the  auditorium’s use as a temporary library.  Construction Buildings and  Facilities Community  Services Winter 2016 150,000$                      PF‐15000 Rinconada Pool Locker Room This project renovated the Rinconada Pool locker room including the changing area, restrooms,  and showers in the women's and men's locker rooms.  Construction Buildings and  Facilities Public Works Winter 2016 464,433$                      PE‐13016 El Camino Park Restoration This project installed new athletic fields, synthetic turf, field lighting, fencing, a new restroom,  scorekeeper booth and storage buildings, an expanded parking lot, new bike and pedestrian  pathways, landscaping, benches, and other amenities.   Construction Parks and Open  Space Community  Services Fall 2015 5,611,122$                  446,969,862$             Notes: ** Final Project Actuals may be different from Total Project Budget amounts Grand Total De c e m b e r  20 1 6 12 Item DAttachment A - SemiannualUpdate on the Status ofCapital ImprovementProgram Projects       Item D: Staff Report Pg. 82  Packet Pg. 594 of 637  City Council Staff Report From: City Manager Report Type: STUDY SESSION Lead Department: Community Services Meeting Date: December 15, 2025 Report #:2503-4355 TITLE Receive an Update on the Cubberley Project and Second Polling Results, and Discuss Next Steps. RECOMMENDATION Staff and the Cubberley Ad Hoc Committee recommend the City Council receive an update on the Cubberley project and Poll #2 results, and discuss next steps. EXECUTIVE SUMMARY Advancing a Memorandum of Understanding with the Palo Alto Unified School District (PAUSD), the City is master planning a 15-acre portion of the Cubberley site including seven acres proposed to be purchased from PAUSD for $65.5 million. The purchase is dependent on voter approval of a funding ballot measure planned for November 2026. A master concept plan to provide a long-term vision for the campus is being refined based on robust community engagement. The master plan and associated California Environmental Quality Act (CEQA) document will be presented to the City Council in March 2026. In preparation for the November 2026 ballot measure, polling is being conducted to gage voter support of a bond or tax measure. Two of four planned polls have been completed. The results are not surprising, and indicate: broad voter support for the City to acquire the Cubberley property support for limited funding for improvements, primarily focusing on safety and repairs/renovation of facilities These results reinforce the importance of a multipart funding strategy for improving facilities, including community partners and other funding sources such as development impact fees, grants, and philanthropy. At the same time, the ballot measure is foundational to the viability of these other resources. The Cubberley Ad Hoc Committee and staff recommend that next steps focus on continuing to refine the ballot measure options and approach while pursuing these resources. Item 3 Item 3 Late Packet Report        Item 3: Staff Report Pg. 1  Packet Pg. 595 of 637  Results of the second poll indicate relatively higher voter support for parcel tax and sales tax funding mechanisms, and the $250 average estimated annual rate parcel tax reached above 50%. The parcel tax with $250 average estimated annual cost per household could support financing $102 million of capital expense that would allow for land purchase and minor building renovations. A sales tax increase of 0.5% (½ cent) could support financing $218 million of capital expense and specific sales tax level(s) will be incorporated into the third poll. Currently, the City has 0.25% capacity within the State cap on voter approved local sales tax. The City would need to obtain authorization from the State before implementing the ½ cent increase. BACKGROUND Development of Master Concept Plan 1 with significant attention placed on a phased approach for site development that includes renovation of existing buildings and some new construction dependent on additional revenue sources. The intent of the phased approach is to allow the site to be developed over time, recognizing that funding availability is a significant factor in site redevelopment timing. 1 City Council, October 20, 2025; Agenda Item #1; SR#2503-4353, https://cityofpaloalto.primegov.com/viewer/preview?id=0&type=8&uid=71b7244b-dd63-4983-814f-fc85664f01cd Item 3 Item 3 Late Packet Report        Item 3: Staff Report Pg. 2  Packet Pg. 596 of 637  ANALYSIS The City engaged with Fairbank, Maslin, Metz & Associates (FM3) to develop and conduct polling on public opinion in advance of potentially placing a measure on the November 2026 ballot. The City’s workplan includes four rounds of polling: the first released in April 2025, the second released in November 2025, the third to be released in January 2026 and the final poll to be released in April. The poll was discussed by the City Council on October 20, 20253, then ran from November 6 through 13, with a total of 407 residents interviewed via phone and online. The poll results are attached to this report (Attachment B) and summarized below: Two-thirds of likely voters want the Cubberley Community Center updated as a visionary goal. Both the first and second polls show consistency in effectiveness of two specific themes and should be emphasized moving forward: 1. Upgrading old wiring/plumbing 2. Meeting current safety standards Most are satisfied with the current programs and services offered at Cubberley. Willingness to invest in a package that is focused on basic repairs and upgrades to meet safety and accessibility standards. Voters’ willingness to pay for improvements to Cubberley are more favorable via a parcel tax or sales tax. Results of this poll were reviewed by the Cubberley Ad Hoc on December 2 and 10. As next steps, staff and the Cubberley Ad Hoc Committee recommend that the third poll be in the field in January (previously planned for February). The third poll will further clarify the voter support for project funding strategy. First, to test voter support of these two more viable measures, the focus of the third poll is to test voter opinion on draft ballot questions that focus on potential square footage parcel tax and potential sales tax measures. The parcel tax and sales tax options were more positively supported by voters in the second poll. The City is a regional shopping destination wherein a portion of sales tax is paid by non-residents. If the City proceeds with placing one of these options on the ballot, a parcel tax would require 2/3 majority and a sales tax would require a simple majority to pass under state law. Second, the third poll will determine voter support of a tax measure if costs are shared. Beyond the proposed tax, the Cubberley Community Center project has opportunities for sharing costs 3 City Council, October 20, 2025: Agenda Item #1; SR#2503-4353, https://cityofpaloalto.primegov.com/viewer/preview?id=0&type=8&uid=71b7244b-dd63-4983-814f-fc85664f01cd Item 3 Item 3 Late Packet Report        Item 3: Staff Report Pg. 3  Packet Pg. 597 of 637  of capital expenses with nonprofit partners and other revenue source(s) such as development impact fees, grants, and philanthropy. Voter support is nonetheless critical to purchase the property, which can then be leveraged to attract other contributors that will play a pivotal role in this project’s completion. Capital Expense and Project Financing 5 describes these fees for use as “development and improvements" and "expansion and/or improvement" to community centers and “acquisition of land and improvements for neighborhood and district parks”, respectively. While a number of project elements identified in the master plan are likely allowable uses for development impact fee revenue, the City will need to comply with state laws on use of development impact fees and follow accounting and reporting requirements of these fees. 5 PAMC Section 16.58; https://codelibrary.amlegal.com/codes/paloalto/latest/paloalto_ca/0-0-0- 74896#JD_Chapter16.58 Item 3 Item 3 Late Packet Report        Item 3: Staff Report Pg. 4  Packet Pg. 598 of 637  option in the November 2026 election, staff is working with Townsend Public Affairs (TPA) on legislation to increase the sales tax cap. FISCAL/RESOURCE IMPACT A parcel tax averaging $250 annually per household, which could finance up to $102 million in improvements. A sales tax increase of ½ cent, which could finance up to $218 million in improvements. STAKEHOLDER ENGAGEMENT Project website (www.paloalto.gov/improvecubberley), Online comment card asking for priorities and input Project updates sent via email newsletter to the project distribution list and updates shared through City communications channels including Nextdoor, digital newsletters, and videos, Utility bill inserts, Resident mailers, and Tabling at key City events. Item 3 Item 3 Late Packet Report        Item 3: Staff Report Pg. 5  Packet Pg. 599 of 637  ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 3 Item 3 Late Packet Report        Item 3: Staff Report Pg. 6  Packet Pg. 600 of 637  Attachment A The Cubberley Site The 35-acre Cubberley site, located at 4000 Middlefield Road in Palo Alto, operated as Cubberley High School from 1956 to 1979. Beginning in the late 1980’s, the City began leasing portions of the facilities from the Palo Alto Unified School District (PAUSD) at the site. Today, the City operates the areas of Cubberley it controls as a community center, using some of the space for classes and activities in arts, culture, athletics, and sub-leasing additional space at City-subsidized rates to various non-profit and community serving groups. The current lease agreement expires December 31, 2029.1 Today, the City owns eight acres of the 35-acre site. PAUSD owns the remaining 27 acres, most of which are leased to the City. There are currently 23 tenants and 24 artists leasing space at Cubberley from the City and dozens of groups renting the theater, pavilion, classrooms, and athletic fields from the City. Combined, these groups provide the community with programs that support health and wellness, childcare, education, and visual and performing arts. PAUSD uses its retained space for educational purposes and staff offices and has leases with some third-party tenants. The parking lot in the southeast corner of the property houses portable trailers as a temporary site for Hoover Elementary School during construction at the school’s site. A current site map can be found on the City’s website.2 Several master planning efforts have been completed over the years to reimagine and improve the Cubberley site, with the most recent being completed in 2019.3 Memorandum of Understanding with PAUSD In October 2024,4 both the City Council and Palo Alto Unified School District (PAUSD or District) Board of Education approved a Memorandum of Understanding (MOU) related to the future of the Cubberley site. The MOU outlines key terms and conditions for the purchase and future planning of Cubberley. The land purchase, which would transfer ownership of seven acres from PAUSD to the City, is contingent on voter approval of a bond measure in November 2026. This condensed timeframe requires development of a master plan for the site by March 2026, conduct stakeholder and community engagement and outreach, polling, financial analysis, CEQA analysis, and other critical tasks. The addition of the seven acres, plus the eight acres already owned by the City of 1 City Council, December 2, 2024: https://recordsportal.paloalto.gov/WebLink/DocView.aspx? id=83118&dbid=0&repo=PaloAlto 2 https://www.cityofpaloalto.org/files/assets/public/v/1/city-manager/communications-office/cubberley-community-center_mappdf.pdf 3 Cubberley Concept Plan 2019: https://www.pausd.org/about-us/committees-task-forces/archived-committees/cubberley-master-plan 4 City Council, October 7, 2024; Agenda Item AA1; SR #2409-3500, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=6500 472b8ad8-ca162c4dcf8a Item 3 Attachment A - Cubberley Project Background Item 3: Staff Report Pg. 7 Packet Pg. 601 of 637  Attachment A Palo Alto provides an opportunity to develop a new community center and other improvements on a combined 15 acres at the Cubberley site to provide a range of City programs, including health, wellness, and recreational opportunities for residents. Master Plan Update and Pursuit of a Local Ballot Measure To advance the master planning effort the City Council took several actions on December 2, 20249 related to the future of the Cubberley site. These actions included approval of a contract with Concordia, LLC, and associated budget actions for development of a revised Master Plan for the Cubberley Community Center site, building on the previous master plan completed in 2019 by Concordia and guided by significant community input. Additionally, the Council approved a Letter of Intent with the Friends of the Palo Alto Recreation Wellness Center for the purpose of fundraising for a recreation wellness center (gymnasium) at the Cubberley site, and a workplan for pursuit of a November 2026 local ballot measure to fund the purchase of land and development of a new community center at the Cubberley site. Subsequent Council actions included approving a five-year lease with PAUSD10 to continue the current use of the property, including playing fields, approval of a professional services agreement with Rincon for CEQA analysis,11 and approval of professional service agreements with Lew Edwards Group and Fairbank, Maslin, Metz & Associates12 for ballot measure strategy advisement and community polling. Cubberley Ad Hoc Committee The Council established the Cubberley Ad Hoc Committee (as a non-Brown Act body) to review and advise staff on efforts related to polling and development of a ballot measure that will successfully receive voter support in 2026. Efforts include polling, financial and revenue modeling for the community center, master planning, and community outreach to complete the Master Plan and place a measure on the November 2026 ballot. The City Council will serve as the governing body for policy direction at key decision points. This includes direction to conduct polling, review of concept designs, direction on 9 City Council, December 2, 2024; Agenda Item 18, SR #2410-3634, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=83117 10 City Council, December 2, 2024; Agenda Item 12; SR #2410-3651, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=83118 11 City Council, December 16, 2024; Agenda Item 12; SR #2411-3813, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=83167 f1bd-485e-a4cb-fc804b5893d1 12 City Council, February 24, 2025; Agenda Item 4; SR #2501-4039, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=83267 4d34-4060-bc7a-6ab87db7a0ae Item 3 Attachment A - Cubberley Project Background        Item 3: Staff Report Pg. 8  Packet Pg. 602 of 637  Attachment A operating and financial models, and decisions on what should be placed on the November 2026 ballot. April 21 City Council Meeting At the April 21, 2025 City Council meeting,17 staff presented outcomes from the first community meeting held on March 19, an update on the Cubberley Master Plan Project workplan and sought Council authorization to initiate the first community poll. First Cubberley Master Plan Community Meeting The first community meeting for the Cubberley Master Plan Project was held on March 19, 2025, and was attended by over 120 community members and stakeholders. Participants completed two activities in table groups of up to eight people with guided facilitation, focusing on the vision for the community center, programming, and place making. The first meeting goals included a review of the Vision from the City Council session and then using a list from the previous community engagement process, participants were asked to review and confirm desired programming and adjacencies for the future Community Center. The outcomes of the March 19 meeting were presented18 to the City Council on April 21, 2025. The first activity focused on a review of the Council Vision statement and participants were asked to expand the Vision statement with additional values and ideas. Community members valued: Multipurpose, adaptable spaces to accommodate diverse uses over time; Gathering hubs for interconnectivity and communication between diverse social, cultural and generational groups; Accessibility for all ages, cultures and abilities to access holistic wellness resources; Integration of green space and sustainability features in experiential and infrastructural planning; and Affordability for local Palo Altans and for tenants who have a community focus. Overall, participants focused on flexibility, inclusivity, sustainability, and long-term community engagement as high-level themes. The second activity focused on programming and adjacencies of indoor and outdoor spaces. The most selected indoor programs were Theater/Performance Space, Dance Classes, Art Studio, Art Classes, followed by Gym Facility, Flexible Rental Space, and a Café. For outdoor programs, Open Greenspace was the most selected program followed by Playground, Amphitheater, and Pool/Water Area. Compared to 2019, the most mentioned programs then (indoor and outdoor) were Adult Education, 17 City Council, April 21, 2025; Agenda Item 11; SR #2503-4310, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=83361 18 Staff Presentation, April 21, 2025; https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=71ade3d7-a57a-4195-a59b- c410d90832ea Item 3 Attachment A - Cubberley Project Background        Item 3: Staff Report Pg. 9  Packet Pg. 603 of 637  Attachment A Theater/Performance Space, Greenspace, Makerspace, and Senior/Multigenerational Programs. Feedback on First Community Poll Polling experts, FM3 presented21 themes for the first community poll designed to test voter opinions on the community center’s goals, preferred uses, and willingness to support funding through a tax or bond. The poll themes and questions were developed with input from the Cubberley Ad Hoc Committee and will inform critical upcoming milestones in the project. The Council did not take an action but supported proceeding with the poll. April 22 Parks & Recreation Commission Meeting On April 22, 2025,22 staff presented an informational update to the Parks and Recreation Commission, offering a comprehensive overview of the project's overall workplan and timeline. The presentation included a detailed summary of Community Meeting #1, highlighting key themes and priorities that emerged from the community’s feedback. Staff also introduced Poll #1, which was launched at the end of April, and encouraged Commissioners to help promote the survey to ensure broad community participation. In addition, the presentation outlined several ways the Commission can remain engaged and support the project, including serving as ambassadors within the community, helping to share information, and providing feedback. The creation of a PRC Cubberley ad-hoc committee was discussed and it was decided that this topic will be further considered during the upcoming workplan revisions scheduled for the coming months. June 9 City Council Meeting On June 9, 2025,23 staff presented to City Council the results of the first community poll, community engagement milestones coming up and updates to the workplan. The focus of the first poll was to survey voter input on the goals and future of the community center and possible support for a tax or bond measure. Staff also shared community engagement. Overall, the poll found broad majority support for improvement at the Cubberley site. Surveyed voters place highest priority on bringing the facility up to modern standards for electrical, plumbing, safety, and accessibility early childhood 21 FM3 Presentation, April 21, 2025; https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=83ec6422-b6e4-4e83-9ca3- ca746a5971a0 22 Staff Presentation, April 22, 2025; https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=dae0543c-e007-4fc1-9a69- fd08b156ee94 23 City Council, June 9, 2025, Agenda Item 2; SR#2503-4313, https://recordsportal.paloalto.gov/Weblink/DocView.aspx?id=83442 5c42-4ef0-978a-be940766f395 Item 3 Attachment A - Cubberley Project Background        Item 3: Staff Report Pg. 10  Packet Pg. 604 of 637  Attachment A education; affordability and efficient use of taxpayer dollars; and overall repairs for the facility. Lastly, staff shared with the City Council the community revised Vision Statement for the future of the Community Center. June 12 Second Cubberley Master Plan Community Meeting A vibrant, beloved, and adaptable destination that promotes learning, connections, joy, and wellbeing where all cultures and generations belong. Following this, staff provided an overview presentation to orient attendees to the three 3-D concept plans being presented. Each conceptual design includes an A, B, and C variations exploring different configurations of building placement, new construction vs renovation, green space, bike and pedestrian circulation, and parking—both above and below ground. Item 3 Attachment A - Cubberley Project Background        Item 3: Staff Report Pg. 11  Packet Pg. 605 of 637  Attachment A Approximately 130 community members attended the second Cubberley Community Meeting and were highly engaged in providing feedback on the three presented concept designs. Attendees shared a wide range of reactions to various aspects of the designs, particularly discussing building layouts, the placement and amount of green space, parking structures, and preferences between above- and below-ground concepts. While perspectives varied, there was clear consensus around the excitement for the project’s progress and enthusiasm to see the plans taking shape. Community members expressed eagerness to continue the conversation, particularly around program placement, at the next meeting. June 19 Public Art Commission Meeting 27 City staff presented to the Public Art Commission and discussed potential opportunities to support the City’s Strategic Activation Plan for the Cubberley site, which was developed by staff in coordination with the City Council’s Cubberley Ad Hoc Committee. The plan outlined phased enhancements and activations aligned with the broader master planning process, community engagement efforts, and the anticipated November 2026 ballot initiative. As part of the discussion, Commissioners explored how the ArtLift grant program—previously identified at their January retreat as a potential tool—could be leveraged to support temporary public art installations at Cubberley and other key locations. Ideas included murals, ground art, freestanding sculptures, and performance-based activations to help generate community excitement and reinforce the role of the arts in creating vibrant, inclusive public spaces. June 24 Parks & Recreation Commission Meeting 28 City staff provided the Parks and Recreation Commission with an informational update on the Cubberley Community Center Master Plan. The presentation included a recap of the second community meeting held on June 12, where Concordia unveiled three concept designs for the site and invited community feedback. Staff also presented the results of the first community poll, released in late April, and shared a list of proposed near-term activation ideas for the Cubberley site, inviting the Commission’s input. In addition, staff sought feedback from the Commission on the three concept designs. The newly formed PRC Cubberley Ad Hoc Committee will continue to refine the activation plans in July. 27 Staff Presentation, June 19, 2025; https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=a036e199-31cd-4d94-8214- 7fb0170e39ac 28 Staff Presentation, June 24, 2025; https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=ac29aa36-1b3a-4403-b8b2- cc403685865d Item 3 Attachment A - Cubberley Project Background        Item 3: Staff Report Pg. 12  Packet Pg. 606 of 637  Attachment A July 9 Planning and Transportation Commission Meeting On July 9, 2025,31 the Planning and Transportation Commission (PTC) received an update on the Cubberley Master Plan and was asked to provide input to help inform the next phase of the planning process. Staff requested feedback on several key aspects recently reviewed by the community, including arrival and parking, pedestrian circulation, building scale and space organization, greenspace layout, the balance of built and open space, and how the site can be a good neighbor. Additional PTC feedback emphasized the importance of clear cost comparisons between renovation and new construction, interest in public-private funding models, and support for a future bond measure and donor engagement. Commissioners favored partial underground parking and better integration with transit and surrounding neighborhoods. There was broad interest in maintaining flexible green space for events, ensuring safe and separate bike/pedestrian circulation, and preserving multigenerational, inclusive programming. Suggestions also included clearer diagrams, more tangible use examples, and consideration of impacts from surrounding development. On July 17,32 2025, the Architectural Review Board (ARB) received a presentation on the Cubberley Master Plan and provided early feedback to help shape the next phase of planning. The Board expressed strong support for phased development and emphasized minimizing disruption to existing tenants and programs. Members praised pedestrian and bike circulation, supported the proposed balance of buildings and green space, and encouraged improvements to vehicle access and mobility hubs. There was general support for new construction over renovation and interest in enhancing the site's identity through public art and flexible community spaces. The ARB also encouraged a welcoming design that reflects Cubberley’s civic and cultural significance while being a good neighbor to the surrounding community. On September 17, 2025, the City held the third and final community meeting for the Cubberley Master Plan, facilitated by Concordia. Approximately 150 community 31 Staff Presentation, June 9, 2025; https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=49fc32cf-caa1-4dd9-97f9- 5d5d02150256 32 Staff Presentation, July 17, 2025; https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=2a9a7988-768f-465b-bcf9- 68166ff9af6f Item 3 Attachment A - Cubberley Project Background        Item 3: Staff Report Pg. 13  Packet Pg. 607 of 637  Attachment A members attended and were highly engaged in reviewing the refined concept design. At the outset, City staff and Concordia recapped the first two community meetings, provided a project overview, and highlighted updates to the concept plan, including phasing strategies. Following this presentation, participants engaged in two interactive activities to provide focused feedback. Item 3 Attachment A - Cubberley Project Background        Item 3: Staff Report Pg. 14  Packet Pg. 608 of 637  Attachment A circulation pathways. The feedback gathered will directly inform refinement of the preferred concept plan. The full meeting summary will be finalized in the coming weeks and shared with the community through the project webpage and via City communication channels. Concordia and staff will incorporate this input as they prepare for the final presentation of the proposed master plan, cost estimates, and phasing scenarios to the community and City Council on December 8, 2025. September 23 Parks and Recreation Commission Meeting 35 2025, the Parks and Recreation Commission (PRC) received a presentation on the refined Cubberley Community Center Master Plan concept following the third and final community meeting held on September 17, 2025. Commissioners reviewed updates on program placement, phasing, and site circulation, and were asked to provide input on the same questions posed to the community: what is working well, what could be improved, and what creative ideas could enhance the campus experience. October 20 City Council Meeting 35 Staff Presentation, September 23, 2025; https://cityofpaloalto.primegov.com/viewer/preview?id=0&type=8&uid=efbb1418-4bbe-49b2-b786- 165e29017ca3 Item 3 Attachment A - Cubberley Project Background        Item 3: Staff Report Pg. 15  Packet Pg. 609 of 637  Attachment A purchase, and the extent of how much voters are willing to pay annually. Following the October 20 meeting, and the November 4 election, the second poll was released. Item 3 Attachment A - Cubberley Project Background        Item 3: Staff Report Pg. 16  Packet Pg. 610 of 637  220‐7626 Palo Alto Cubberley Community Center  Vision Survey Results of a Study Conducted November 6‐13, 2025 Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 17  Packet Pg. 611 of 637  2 Survey Methodology (Note: Not All Results Will Sum to 100% Due to Rounding) November 6‐13, 2025Dates Dual‐mode Voter Survey         Survey Type Likely November 2026 Voters in Palo Alto Research Population 407Total Interviews (Full Sample) ±4.9% at the 95% Confidence Level (Half Sample) ±7.0% at the 95% Confidence Level Margin of Sampling Error Contact Methods Data Collection Modes 2016, 2018, 2020, 2021, 2022 & April/May 2025Survey Tracking Text Invitations Telephone Calls Email Invitations Telephone Interviews Online Interviews Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 18  Packet Pg. 612 of 637  3 Q3 Split A & Split B. 3% 28% 33% 13% 23% Total  Dissatisfied 46% Total  Satisfied 32% Impressions of Cubberley Community Center conditions  and its services and programs differ. 16% 45% 15% 3% 22% Total  Dissatisfied 17% Total  Satisfied 61% Very satisfied Somewhat satisfied Somewhat dissatisfied Very dissatisfied Don't know Condition of Services and Programs How satisfied are you with the (HALF SAMPLE: condition of)  (HALF SAMPLE: services and programs available at)the Cubberley Community Center? Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 19  Packet Pg. 613 of 637  4 Q5. 23% 31% 16% 17% 12% Great need Some need A little need No real need Don't know A Little/ No Real Need 33% Great/ Some Need 55% More than half see “great need” or “some need” for additional  funding for recreation facilities in Palo Alto. 18% saw a great need for  funding in the March/April  survey, and 58% saw “great” or  “some need.” In your personal opinion, do you think that Palo Alto has a great need, some need, a little need, or no real need for  additional funds for updated facilities to provide services including classes, camps, fitness programs, or drop‐in casual spaces? Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 20  Packet Pg. 614 of 637  5 Q4. 15% 8% 41% 36% Needs more space Could be smaller About the right size Don't know Fewer than one in seven believe that the  Cubberley Community Center needs more space. To meet the needs of our community, do you think that the Cubberley Community Center  needs more space, could be smaller, or is about the right size? Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 21  Packet Pg. 615 of 637  6 Voters heard or read the following description  of the Cubberley Campus ballot measure concept. Q6. Do you support or oppose this proposal? The 35‐acre Cubberley Campus, located at 4000 Middlefield Road, originally operated as Cubberley High School in 1956. Today, the City owns eight acres of the campus, where it operates a community center for classes and activities in arts, culture, and athletics, and leases additional space at City‐subsidized rates to various nonprofit and community‐serving groups. The City and the school district have proposed a ballot measure to purchase an additional seven acres of the site from the Palo Alto Unified School District at a price of $65.5 million. The school district will use the sale proceeds for improvements to schools. Any additional proceeds from the ballot measure would be used to repair, upgrade and redevelop the community campus, creating a destination with activities, amenities, and offerings that promote learning, joy, and wellbeing where all cultures and generations belong. Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 22  Packet Pg. 616 of 637  7 Q6. Do you support or oppose this proposal?. 34% 31% 13% 10% 11% Strongly support Somewhat support Somewhat oppose Strongly oppose Don't know Total  Oppose 24% Total  Support 66% Two‐thirds support the concept in principle,  with just over one in ten undecided. Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 23  Packet Pg. 617 of 637  8 Q8.  17% 14% 14% 7% 22% 23% 22% 22% 11% 7% 9% 9% 12% 15% 12% 19% 38% 40% 43% 43% A parcel tax that would be added to your property  tax bill based on the size of your property A sales tax that would be added to certain purchases  made in the city A bond measure that would be added to your  property tax bill based on the value of your property A utility users’ tax that would be added to your utility  bill based on a portion of your utility usage Strongly Support Somewhat Support Don’t Know Somewhat Oppose Strongly Oppose Please indicate whether you strongly support, somewhat support, somewhat oppose,  or strongly oppose each of the following ways to fund upgrades to the Cubberley Campus.  Total  Oppose Total  Support 50%39% 55%37% 55%37% 62%29% Majorities oppose each specific potential mechanism  when asked without a specific amount attached in the absence of a  ballot question format. Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 24  Packet Pg. 618 of 637  9 Q9 a‐d. Please indicate whether you would be very willing, somewhat willing, somewhat unwilling, or very unwilling to support a proposed ballot measure, paying an average of the following amounts per household  per year with a combination of funding from other sources to provide specified upgrades to the Cubberley Campus based on preliminary cost estimates ^Not Part of Split Sample 29% 14% 10% 11% 24% 24% 23% 7% 8% 16% 14% 11% 13% 18% 15% 17% 26% 28% 38% 53% ^$250 to purchase land and do minor  renovations and upgrades $500 to purchase land, build a new recreation  and wellness center and do minor renovations  and upgrades $750 to purchase land and build a new recreation  and wellness center, performing arts center,  and visual arts and technology center, and do  minor renovations and upgrades $1,000 to purchase land and build a new  recreation and wellness center, performing arts  center, visual arts and technology center,  and community service flex space Very Willing Somewhat Willing Don't Know Somewhat Unwilling Very Unwilling Total  Unwilling Total  Willing 39%53% 46%39% 53%32% 71%18% Willingness to pay without reference to a specific mechanism is  limited to $250 per year for minor renovations and upgrades. Bond Amounts Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 25  Packet Pg. 619 of 637  10 Q9 e‐g. Please indicate whether you would be very willing, somewhat willing, somewhat unwilling, or very unwilling to support a proposed ballot measure, paying an average of the following amounts per household  per year with a combination of funding from other sources to provide specified upgrades to the Cubberley Campus based on preliminary cost estimates Split Sample 29% 20% 12% 13% 24% 20% 18% 12% 8% 5% 4% 4% 13% 14% 17% 17% 26% 40% 50% 54% ^$250 to purchase land and do minor  renovations and upgrades $650 to purchase land, build a new recreation  and wellness area, and do minor renovations  and upgrades $900 to purchase land, build a new recreation  and wellness center, performing arts center,  and visual arts and technology center, and do  minor renovations and upgrades $1,100 to purchase land and build a new  recreation and wellness center, performing arts  center, visual arts and technology center,  community service flex space Very Willing Somewhat Willing Don’t Know Somewhat Unwilling Very Unwilling Total  Unwilling Total  Willing 39%53% 55%40% 67%30% 71%25% The same is true for amounts keyed to a parcel tax (specific  mechanism was not mentioned, and needs to be, in Poll 3). Parcel Tax Amounts Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 26  Packet Pg. 620 of 637  11 42% 40% 28% 28% 30% 26% 32% 40% Improving a downtown community center with a  dedicated space for teens Making improvements to Rinconada Pool Upgrading the Ventura Community Center Developing two acres of parkland into a contemporary  park that honors Asian American history at the location of  a historic, Chinese‐owned cannery Total More Likely Total Less Likely Difference +12% +14% ‐4% ‐12% The structure of this potential measure has not yet been finalized. Given that, additional projects to fund through this  measure are under consideration. For each one, please indicate if packaging an additional project would make you more likely or less likely to support the measure, or if it would make no difference to you.  Q11. Potential additional projects do not dramatically  increase support for the potential package. Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 27  Packet Pg. 621 of 637  12 40% 34% 38% 41% 30% 30% 25% 38% 37% 30% 24% 34% 31% 33% 14% 17% 25% 23% 25% 22% 27% 5% 10% 9% 8% 17% 14% 4% 4% Meeting current safety, earthquake,  and accessibility standards ^Upgrading buildings to meet current earthquake  safety, plumbing, and electrical standards Upgrading outdated electrical wiring and plumbing Upgrading deteriorating electrical wiring and plumbing Preserving trees and outdoor space Preserving trees and green space ^Maintaining outdoor space Extremely Important Very Important Somewhat Important Not Too Important Don’t Know Q12. ^Not Part of Split Sample Please consider some things that could be priorities in the plan for the future Community Campus at Cubberley. Please indicate  how important each one is to you personally: extremely important, very important, somewhat important, or not too important. Voters’ top priorities for the future Campus include basic repairs  and meeting safety, earthquake and accessibility standards. Extremely/Very Important 77% 71% 68% 65% 65% 61% 57% Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 28  Packet Pg. 622 of 637  13 24% 14% 23% 21% 18% 27% 20% 24% 27% 37% 25% 29% 30% 20% 26% 20% 28% 26% 25% 28% 23% 30% 27% 27% 17% 20% 20% 23% 29% 17% 23% 24% 4% 6% 7% 5% 5% Expanding trees and outdoor spaces Providing a safe, upgraded space for after‐school  arts education and community involvement ^Providing dedicated space for affordable childcare Providing after‐school and summer programs for local  children and teens, including Maker Space Expanding trees and green spaces Providing safe spaces for children and teens  after school and in the summer ^Providing an emergency evacuation center that can  be used in case of natural disaster Creating a vibrant destination for youth, families,  and seniors Extremely Important Very Important Somewhat Important Not Too Important Don't Know Extremely/Very Important 51% 51% 49% 49% 48% 47% 46% 43% Fewer than half highly prioritize dedicated space for children  and teens, or providing on emergency evacuation center. Q11. Please consider some things that could be priorities in the plan for the future Community Campus at Cubberley. Please indicate how important each one is to you personally: extremely important, very important,  somewhat important, or not too important. ^Not Part of Split Sample Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 29  Packet Pg. 623 of 637  14 16% 13% 24% 18% 18% 11% 11% 16% 9% 25% 29% 17% 23% 22% 29% 29% 21% 26% 28% 31% 31% 36% 34% 24% 36% 38% 39% 24% 21% 19% 21% 20% 31% 20% 23% 24% 6% 5% 8% 6% 5% 4% Improving accessibility for people with disabilities ^Providing additional space for education and enrichment Creating a central hub for recreation and wellness Providing additional space for youth, family,  and senior programs Creating space for youth, families, and seniors to  gather and learn Creating a central hub for music and performing arts Creating space for youth, families, and seniors to  experience joy ^Providing additional space for recreation and wellness Providing space to experience performing arts Extremely Important Very Important Somewhat Important Not Too Important Don't Know Extremely/Very Important 42% 42% 41% 41% 40% 40% 39% 37% 35% Continued Q11. Please consider some things that could be priorities in the plan for the future Community Campus at Cubberley. Please indicate how important each one is to you personally: extremely important, very important,  somewhat important, or not too important. ^Not Part of Split Sample Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 30  Packet Pg. 624 of 637  15 13% 10% 15% 11% 11% 10% 4% 9% 21% 21% 14% 15% 11% 12% 16% 8% 33% 40% 30% 34% 31% 38% 26% 31% 25% 25% 38% 35% 45% 32% 48% 48% 8% 4% 5% 8% 6% ^Providing community and flex space Providing space for gathering and community building ^Building a new, state‐of‐the‐art community center Providing space to experience visual arts Providing an outdoor amphitheater Upgrading the Cubberley theater Creating space for Lunar New Year and  other cultural celebrations Providing an outdoor swimming pool Extremely Important Very Important Somewhat Important Not Too Important Don't Know Extremely/Very Important 34% 32% 29% 26% 22% 22% 20% 18% Voters’ lowest priorities include an outdoor swimming pool, an  upgraded theater, or an outdoor amphitheater. Q11. Please consider some things that could be priorities in the plan for the future Community Campus at Cubberley. Please indicate how important each one is to you personally: extremely important, very important,  somewhat important, or not too important. ^Not Part of Split Sample Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 31  Packet Pg. 625 of 637  16 Support for the proposed concept remains at or near two‐thirds as  voters hear positive and negative messaging. Q6. Do you support or oppose this proposal? Q14. Having learned this, would you support or oppose the proposal for the City to purchase the Cubberley site, and repair, upgrade, and redevelop the community campus, creating a destination with activities,  amenities, and offerings that promote learning, joy, and wellbeing where all cultures and generations belong? Q16. One last time: Do you support or oppose the proposal for the City to purchase the Cubberley site, and repair, upgrade, and redevelop the community campus?  34% 35% 31% 31% 36% 33% 11% 5% 13% 13% 17% 10% 13% 15% Initial Opinion Opinion After Positives Opinion After Positives and Negatives Strongly Support Somewhat Support Don’t Know Somewhat Oppose Strongly Oppose Total  Oppose Total  Support 24%66% 26%71% 31%64% Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 32  Packet Pg. 626 of 637  17 Ranked by Very Convincing (STANDARDS)Most Cubberley Community Center buildings are more than 70 years old. They were built well before modern internet, and do not meet current disabled access and earthquake safety standards. Palo Alto residents deserve a community center that is modern, safe, and accessible to the entire community. 38% (REPAIRS)Cubberley Community Center facilities have significant structural issues with deteriorating electrical wiring and plumbing. Most buildings are beyond their useful life and would be very costly to repair. That’s why we should invest in a new, safe, accessible, and modern facility for our community to share in the future. 38% ^(AFFORDABILITY)As the cost of living goes up, it is more important now than ever to invest in free or low‐cost places for exercise and play that everyone can use close to home. Palo Alto should invest in creating an affordable, accessible place where people can gather to learn, play, read, enjoy the arts, access childcare, experience joy, and connect with one another. 31% ^(EMERGENCY)Palo Alto needs an up‐to‐date and safe location for the community to shelter in times of emergency, such as an earthquake or fire, or during hot or smoky days. The new Community Campus will serve as a resilience hub built to earthquake safety and accessibility standards, providing refuge when we need it most. 29% Q13. Please consider the following statements from people who may support this proposal. Please indicate whether you find it very convincing, somewhat convincing, or not convincing as a reason to support it.  ^Not Part of Split Sample Top Messaging in Favor of the Cubberley Proposal (Ranked in Order of Effectiveness) Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 33  Packet Pg. 627 of 637  18 Conclusions Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 34  Packet Pg. 628 of 637  19 Conclusions •While voters generally support upgrades to the Cubberley Center, their willingness to invest is limited to a smaller package focused on basic repairs and upgrades to earthquake, safety and accessibility standards. They are dissatisfied with the condition of existing facilities. Voters do not see Cubberley as needing additional space. No mechanism tested (in isolation without amounts) achieves majority support. Slim majorities are willing to pay $250 per year for basic renovations. •Most are satisfied with the current programs and services offered at Cubberley. •Voters who oppose additional investment in Cubberley are opposed to increasing taxes or see higher priorities for the city. •The next poll will vet ballot measure language, marrying specific mechanism, amount, and uses of funds for voter consideration. Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 35  Packet Pg. 629 of 637  Curt Below Curt@FM3research.com Miranda Everitt Miranda@FM3research.com Item 3Attachment B - Palo AltoCubberley Vision SurveyAnalysis (Results of Poll #2)      Item 3: Staff Report Pg. 36  Packet Pg. 630 of 637  1 0 1 4 0 Project Workplan Updates As the various project elements advance it is important to recognize the interdependencies that exist and are necessary to meet the timeline. Each workplan step is intentionally designed to inform the next – input and data received during the previous and current master planning efforts inform the polling themes and questions, while poll results will inform the concept plans for a new community center at the Cubberley site. Given the constrained timeline and resources needed to complete multiple and complex bodies of work, it is important to maintain focus on the critical path to ensure milestones are met. The milestones listed below are necessary to complete the master plan and draft a potential ordinance by Spring 2026 to reach the November 2026 ballot. Feb 18, 2025 – City Council Visioning Session March 19, 2025 – First Cubberley Master Planning Community Meeting April 21, 2025 – City Council direction on Poll #1 themes April 22, 2025 – Presentation to Parks and Recreation Commission April 28, 2025 –Poll #1 released to Palo Alto community June 9, 2025 – City Council review of Poll #1 results June 12, 2025 – Second Cubberley Master Planning Community Meeting June 19, 2025 – Public Art Commission Meeting June 24, 2025 – Presentation to Parks and Recreation Commission July 9, 2025 – Presentation to Planning & Transportation Commission July 17, 2025 – Presentation to Architectural Review Board September 17, 2025 – Third Cubberley Master Planning Community Meeting September 23, 2025 – Parks and Recreation Commission Meeting October 2025 – City Council review of third community meeting and second poll November 2025 – Release Poll #2 December 2025 – City Council review of poll #2 results, capital expense and debt financing January 2026 – Release Poll #3 January/February 2026 – Presentation to Commissions (Parks and Recreation, Planning and Transportation, and Architectural Review Board) March 2026 – Council Adoption of Master Plan and CEQA April 2026 – Release Poll #4 June 2026 – Council approval to place a measure on the November ballot August 2026 – Deadline to submit Final Ballot Language for November Election November 2026 – Election and placement of a ballot measure Item 3 Attachment C - Project Workplan Updates        Item 3: Staff Report Pg. 37  Packet Pg. 631 of 637  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: City Manager Meeting Date: December 15, 2025 Report #:2512-5661 TITLE Approve Policy & Services Committee Recommendation to Continue the Nonprofit Partnership Workplan Phase I Funding Process in the FY 2027 Budget Cycle, with Additional Refinements to be Developed by the Policy & Services Committee in January 2026 and Returned to Council for Approval RECOMMENDATION The Policy & Services Committee recommends that the City Council approve continuing the Nonprofit Partnership Workplan Phase I funding process in the FY 2027 Budget Cycle and refer refinement of the process to the Policy & Services Committee, with a return to Council in early 2026. BACKGROUND On November 19, 2025, the Policy and Services Committee discussed and recommended the continuation of the Nonprofit Partnership Workplan Phase I pilot (Phase I) into FY 2027.1 The process is designed to support the City Council in decision-making on nonprofit funding requests that fall outside of an established program. In FY 2026, the Phase I process allocated $506,646 in grant funds to 17 nonprofit organizations that deliver services to the Palo Alto community. The effort resulted in four new public/private partnerships and support to 13 existing nonprofit partners. As background to the Phase I process, on August 15, 2022, the City Council approved a report from the City Auditor2 which focused on identifying risks related to nonprofit agreements and 1 11/19/2025, Policy & Services Committee Meeting https://cityofpaloalto.primegov.com/meetings/ItemWithTemplateType?id=9499&meetingTemplateType=2&comp iledMeetingDocumentId=17629 2 8/15/2022 City Council Meeting: https://cityofpaloalto.primegov.com/Public/CompiledDocument?meetingTemplateId=9028&compileOutputType= 1 Item 8 Item 8 Late Packet Report        Item 8: Staff Report Pg. 1  Packet Pg. 632 of 637  provided corresponding recommendations for improvement.3 Key recommendations included defining clear service level expectations and performance management and evaluation on all nonprofit service and lease agreements, as well as quantifying non-monetary support to determine appropriate compensation for nonprofits’ use of City-owned properties. 4 The framework laid out a set of foundational principles that reflect fundamental goals and values that guide the establishment and pursuit of partnerships, as well as the key recommendations from the 2022 Nonprofit Audit. The City Council provided feedback on the principles and delegated their refinement to the Policy & Services Committee. 5 As part of this effort, a process was established for the City Council to consider nonprofit funding requests during the budget adoption period that fall outside established grant programs. This represented a first phase toward reconciling City budget decisions with recommendations of the 2022 audit. 3 June 14, 2022, Policy & Services Committee Meeting https://cityofpaloalto.primegov.com/Public/CompiledDocument?meetingTemplateId=6282&compileOutputType= 4 10/28/2024 City Council Meeting: https://cityofpaloalto.primegov.com/meetings/ItemWithTemplateType?id=6042&meetingTemplateType=2&comp iledMeetingDocumentId=12083 5 3/24/2025 City Council Meeting: https://cityofpaloalto.primegov.com/meetings/ItemWithTemplateType?id=7453&meetingTemplateType=2&comp iledMeetingDocumentId=13613 Item 8 Item 8 Late Packet Report        Item 8: Staff Report Pg. 2  Packet Pg. 633 of 637  Item 8 Item 8 Late Packet Report        Item 8: Staff Report Pg. 3  Packet Pg. 634 of 637  ANALYSIS Throughout the six-month development and implementation of the Phase I process, staff gathered feedback from nonprofit partners, support staff, the City Council, and the Policy and Services Committee to identify opportunities for improving the program in future cycles. Additionally, the Policy & Services Committee at its November 19, 2025 meeting expressed interest in clarifying and improving various aspects of the program, including: Whether/how to include multi-year contracts in Phase I Whether nonprofits eligible for other City grant programs (i.e. Human Services Resource Allocation Process) may apply for phase I funding Funding priorities (including relationship to Council Priorities) Improve application evaluation process by categorizing nonprofit services to clarify service alignment and reduce redundancy in funding Role clarity between Finance and Policy & Services Committees, for example Finance to propose total amount of funding available each year in the annual budget process, and Policy & Services to review applications and propose awards Early communication and engagement with nonprofits on application expectations Structure grant funding to complement, rather than fully cover nonprofit program costs Application timeframe adjustments to allow for nonprofit interviews If continuing a nonprofit funding process is approved by Council, staff will provide a set of recommendations regarding how to improve the process to the Policy & Services Committee at its January 14, 2026 meeting. As directed by Council, in addition to Phase 1 the Policy & Services Committee will continue to flesh out the guiding principles through the Nonprofit Partnership Workplan framework, and focus on four major areas of work: 1. Nonprofit Partnership Workplan Phase I Funding Requests 2. Nonprofit Lease Agreements 3. Nonprofit Multi-year Service Agreements 4. Comprehensive review of all grant programs including Human Services Resource Allocation Process (HSRAP) and Community Development Block Grants (CDBG) Recommendations will be brought for Council approval throughout the process. No resource impacts expected at this time. Council may delegate that the Finance Committee set the Fiscal Year 2027 Phase I total fund amount for consideration in advance of the FY 2027 Budget Adoption. Throughout the development of the Nonprofit Workplan Phase I process, staff held various engagement and informational meetings with nonprofits and gathered feedback on the process Item 8 Item 8 Late Packet Report        Item 8: Staff Report Pg. 4  Packet Pg. 635 of 637  Item 8 Item 8 Late Packet Report        Item 8: Staff Report Pg. 5  Packet Pg. 636 of 637  along the way. Staff also noted nonprofit feedback during the various public meetings. Staff will also survey grant recipients to gather feedback on improving the program implementation process. ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 8 Item 8 Late Packet Report        Item 8: Staff Report Pg. 6  Packet Pg. 637 of 637