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HomeMy WebLinkAbout2026-01-12 City Council Agenda PacketCITY COUNCIL and PUBLIC IMPROVEMENT CORPORATION Special Meeting Monday, January 12, 2026 Council Chambers & Hybrid 5:30 PM 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. Multiple individuals who wish to speak on the same item may designate a spokesperson. Spokespersons must be representing five or more verified individuals who are present either in person or via zoom. Spokespeople will be allowed up to 10 minutes, at the discretion of the presiding officer. Speaking time may be reduced if the presiding officer reduces the speaking time for individual speakers. 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 January 12, 2026 Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas. CALL TO ORDER   CLOSED SESSION (5:35 - 6:20 PM)   1.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 (6:20 - 6:50 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 (6:50 - 7:05 PM) Members of the public may not speak to the item(s).   STUDY SESSION (7:05 - 8:05 PM)   2.Review and Discuss 2025 Q4 Council Priorities & Objectives and format of the 2026 City Council Annual Retreat. CEQA Status – Not a project. Supplemental Report Added   CONSENT CALENDAR (8:05 - 8:10 PM) Items will be voted in one motion unless removed from the calendar by three Council Members.   3.Approval of Minutes from December 8, December 10, and December 15, 2025 Meetings 4.Adoption of Memorandum of Agreement with Service Employees International Union Hourly Unit effective upon adoption through December 31, 2027; and Adoption of Compensation Plan for Unrepresented Limited Hourly Employee effective upon adoption through June 30, 2028; CEQA Status - Not a project 5.Approval of Professional Services Contract Number C26195486 with Baron Contracting in an Amount Not-to-Exceed $514,528 for Gas Leak Survey Services for a Period of Three Years. CEQA Status – Exempt Under CEQA Guidelines Sections 15301(c) and 15308 (Existing Facilities).  2 January 12, 2026 Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas. 6.Approval of a Contract with the Media Center for Cable Casting Services of Public Meetings for a Term of Three Years and a Not to Exceed Amount of $540,000 with Two One-Year Options to Extend for a Potential Not to Exceed amount of $900,000 over a five-year term, for cablecasting, production, and streaming services; CEQA Status – Not a Project. 7.Approve the City Manager or Designee to Execute Purchase Order C26196045 with Insight Public Sector, Utilizing a County of Riverside Cooperative Contract ITARC-00930, to Procure Microsoft Enterprise Software Licensing, Cloud Services, and Server/Data Center Licensing for a 3-Year Term with a maximum Total Not-To-Exceed Amount of $2,506,936, inclusive of a Contingency in the Amount of $50,000 Annually. 8.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. 9.SECOND READING: Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025- 2026) (FIRST READING: December 8, 2025; PASSED 7-0) 10.SECOND READING: Ordinance of the Council of the City of Palo Alto Prohibiting Parking of Detached Trailers and Other Non-Motorized Vehicles on Public Streets (FIRST READING: December 8, 2025; PASSED 6-1, Lythcott-Haims no) 11.SECOND READING: Ordinance of the Council of the City of Palo Alto Prohibiting Rental of Vehicles for Human Habitation (FIRST READING: December 8, 2025; PASSED 6-1, Lythcott-Haims no) 12.SECOND READING: Interim Ordinance of the Council of the City of Palo Alto Temporarily Extending Interim Ordinance 5645, Amending Various Chapters of Title 16 (Building Regulations) and Title 18 (Zoning) and Title 21 (Subdivisions and Other Divisions of Land) of the Palo Alto Municipal Code to Implement Recent State Housing Laws (FIRST READING: December 8, 2025, PASSED 7-0) CITY MANAGER COMMENTS (8:10 - 8:25 PM)    3 January 12, 2026 Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas. ACTION ITEMS (Item 13: 8:25 - 9:25 PM) Include: Report of Committees/Commissions, Ordinances and Resolutions, Public Hearings, Report of Officials, Unfinished Business and Council Matters.   13.Study and Assessment of Palo Alto Turf Systems and Direct Staff to Proceed with El Camino Park Synthetic Turf Replacement and Natural Grass Pilot; CEQA Status – Categorically and Statutorily Exempt BREAK (15 MINUTES) RECESS CITY COUNCIL MEETING AND CONVENE PUBLIC IMPROVEMENT CORPORATION MEETING   ACTION ITEMS (Item 14: 9:40 - 10:00 PM) Include: Report of Committees/Commissions, Ordinances and Resolutions, Public Hearings, Report of Officials, Unfinished Business and Council Matters.   14.Approval of Fiscal Year 2025 Palo Alto Public Improvement Corporation's Annual Financial Report. CEQA Status - Not a Project RECONVENE CITY COUNCIL MEETING   ACTION ITEMS (Item 15: 10:00 - 10:30 PM) Include: Report of Committees/Commissions, Ordinances and Resolutions, Public Hearings, Report of Officials, Unfinished Business and Council Matters.   15.Review and Approval of Suggested Changes to the City Council Procedures and Protocols Handbook as Recommended by the Policy and Services Committee. CEQA Status – Not a project. ADJOURNMENT INFORMATION REPORTS Information reports are provided for informational purposes only to the Council and the public but are not listed for action or discussion during this meeting’s agenda.   A.Monthly Investment Report - November 2025 (Unaudited) B.Property Agreements Entered into by City Manager Under Palo Alto Municipal Code Section 2.30.210(h) and Reported Per Section Code 2.30.710(b) for Fiscal Year 2025  4 January 12, 2026 Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas. C.Boards, Commissions, and Committees 2025 Year-End Attendance Report; CEQA Status - Not a Project D.Surplus Property Donated by the City to Nonprofit Agencies; CEQA Status: Not a Project OTHER INFORMATION Standing Committee Meetings this week Policy & Services Committee January 14, 2026 Public Comment Letters Schedule of Meetings   SUPPLEMENTAL / AMENDED AGENDA ITEMS   2.Review and Discuss 2025 Q4 Council Priorities & Objectives and format of the 2026 City Council Annual Retreat. CEQA Status – Not a project. Supplemental Report Added      5 January 12, 2026 Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas. 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 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.  6 January 12, 2026 Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas. 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.  7 January 12, 2026 Materials submitted after distribution of the agenda packet are available for public inspection at www.paloalto.gov/agendas. City Council Staff Report From: City Manager Report Type: STUDY SESSION Lead Department: City Manager Meeting Date: January 12, 2026 Report #:2511-5583 TITLE Review and Discuss 2025 Q4 Council Priorities & Objectives and format of the 2026 City Council Annual Retreat. CEQA Status – Not a project. RECOMMENDATION City Council receive and discuss the completion status of 2025 City Council Objectives and review the planned format of the 2026 City Council Annual Retreat. BACKGROUND On January 25, 2025, the Council held its annual retreat to approve the 2025 Council Priorities.1 The Priority Setting Guidelines define “priority” as a topic that will receive significant attention during the year. At the conclusion of the retreat, the City Council approved the following priorities: Climate Action and Adaptation, & Natural Environment Protection Economic Development & Retail Vibrancy Implementing Housing Strategies for Social & Economic Balance Public Safety, Wellness & Belonging Over a series of meetings, the Council reviewed the proposed Objectives, defined as a discrete project or milestone intended to be achieved within the year, and on May 5, 2025, Council approved 70 Objectives meant to reflect potential Council actions, be measurable and time- bound to make real progress in advancing Council Priorities.2 These are summarized in Attachment A of the report. 1 January 25, 2025 City Council Annual Retreat: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=15926 2May 5, 2025 City Council Meeting: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=16065 Item 2 Item 2 Staff Report        Item 2: Staff Report Pg. 1  Packet Pg. 8 of 469  At its December 9, 2025 meeting5, the Policy & Services Committee reviewed the 2025 Priorities and proposed they be continued into 2026 as part of its second year in a two-year cycle. Per the Handbook guidelines, the Committee also provided recommendations about the process that will be used at the Annual Retreat. This Study Session is an opportunity for the City Council to discuss the Committee’s recommendations. ANALYSIS Project Description- Describes overall project goals and outcomes which may span beyond the calendar year. 2025 Milestone- Describes activities and outcomes planned for the calendar year as some projects are multi-year in length and are broken up into phases. Project Status- Completed - Project as described in the 2025 milestone is overall complete, though some minor/non-substantive follow-up may still be needed. On-Track- Project is expected to be completed as specified. Any changes in project scope or timing due to Council direction or action will remain labeled On Track with the new estimated timeframe. Behind - The project estimated completion date may be delayed due to operational issues, capacity constraints (such as vacancies in staffing), or project has not started by the estimated completion date. Hold/Dropped - Project is not actively in progress or will no longer move forward in the current year. Reasons may include the issue is no longer relevant, operational constraints, or is stalled/dropped due to council direction. Estimated Completion - The calendar quarter in which the objective is expected to be completed. Department Lead - Identifies the lead department and project manager responsible for coordinating progress. 5 December 9, 2025 Policy & Services Meeting: https://cityofpaloalto.primegov.com/api/compilemeetingattachmenthistory/historyattachment/?historyId=94d50f 6d-46cd-4ddb-aadc-f5309e294b9e Item 2 Item 2 Staff Report        Item 2: Staff Report Pg. 2  Packet Pg. 9 of 469  Quarterly Update - a brief progress update on the project describes work reflected in the respective calendar quarter. Any delays or project issues will be reflected in this section. Tier 1 Objectives: Objectives that are mission-critical, SMARTIE, and must be achieved to meet legal, operational, safety, or strategic requirements. Would require active management, escalation and regular reporting. Tier 2 Objectives: Value-adding initiatives that are important, improve quality or advance longer-term goals, but flexible in timing and dependent on capacity or completion of Tier 1 priorities. These do not create immediate risk if delayed. Item 2 Item 2 Staff Report        Item 2: Staff Report Pg. 3  Packet Pg. 10 of 469  Proposed Retreat Agenda Overview and orientation to retreat focus Discussion of suggested mid-level goals Selection and prioritization of mid-level goals Discussion of Council ad hoc committees and other strategies to achieve goals Next steps FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 2 Item 2 Staff Report        Item 2: Staff Report Pg. 4  Packet Pg. 11 of 469  ATTACHMENT A #ED CA IH S PS 1 X Complete construction of initial pilot area of electric grid modernization. Project will increase electrical capacity and reliability in initial pilot area bounded by  Louis, Amarillo, 101, & Embarcadero about 1,200 homes; once completed, staff will continue the grid upgrades to the "Phase 1" area which impacts approx 6,000  homes. (16) X 2 X X Begin construction of the Newell Road Bridge Replacement project. Award of a construction contract for the replacement of Newell Road Bridge in time to begin  construction taking advantage of the 2025 in‐channel construction season. (32) X 3 X X Begin construction of Hamilton Avenue storm drain system capacity upgrades project. Prioritization of the Hamilton Avenue project from the list of 2017 ballot  measure priority projects will increase the ability of the storm drain system to convey water in the event of a San Francisquito Creek overflow. (31) X 4 X Complete implementation of the Reliability and Resiliency Strategic Plan, including Strategy 4 – conducting a cost/benefit analysis of flexible energy resources  such as battery storage and microgrids (including evaluation of the airport microgrid), and Strategy 5 – recommending potential programs for Council  consideration. X 5 X Complete deployment of 65,000 residential Advanced Metering Infrastructure (AMI) meters by end of FY 2025 and begin deployment of commercial AMI  meters. (13) X 6 X Council approval for Phase 2 (full service program) of the Advanced Whole Home Electrification Pilot Program and begin implementation. (19)X 7 X Develop and obtain Council approval for strategies and a 2026/2027 work plan for the next phase of S/CAP implementation of climate and sustainability  goals. X 8 X X Begin development of a Regional Shoreline Adaptation Plan meeting new standards approved by BCDC. Engage with neighboring cities for potential  partnership and review status with the City Council. (33) X 9 X Council consideration of an ordinance implementing updated Stream/Creek Corridor Setback requirements. (34)X ** 10 X Council consideration of an ordinance implementing Bird Safe Glass & Wildlife Light Pollution Protections standards. (35)X * 11 X X Advocate for the San Francisquito Creek Flood Protection capital project (Reach 2) through Council’s JPA representation and any Council approvals involved.  (31) X 12 X Initiate Preliminary Engineering and Environmental Clearance Work for Quarry Road Extension in Partnership with Stanford University, Caltrans, & VTA.X 13 X Develop an updated Regional Water Quality Control Plant Biosolids Facility Plan. Complete initial work to develop plan, including consideration of PFAS  pollutants and the Measure E site, and review with a Council committee in advance of Council acceptance of the plan in late 2025 or early 2026. X 14 X X Council Adoption of the Safe Streets for All (SS4A) Safety Action Plan. Informed by feedback from the Policy & Services Committee, bring forward a Safety Action  Plan providing a roadmap for eliminating traffic deaths and severe injuries through the reduction of vehicle miles traveled enabling staff to seek grant funding for  im lementation. (14 X 15 X X Council Adoption of the 2025 Bicycle and Pedestrian Transportation Plan (BPTP). Consideration of the Draft BPTP Update, informed by public feedback for City  Council adoption. (15) X 16 X X Refine Grade Separation Design Alternatives per Council Direction and Conduct Outreach to Support Rail Committee Review of Locally Preferred Alternatives.  Review advanced alternatives to minimize right of way impacts and improve traffic circulation, conduct outreach, and develop conceptual plans (15% design) for  each of the three crossings. (30) X 2025 CITY COUNCIL PRIORITIES AND OBJECTIVES Council Priority OBJECTIVES (70 in total) Q1 Q2 Q3 Q4 Climate Action and Adaptation, & Natural Environment Protection (CA) Modernize critical infrastructure for climate resilience Advance citywide and regional climate adaptation and environmental protection strategies Advance active and sustainable transportation Page 1 of 5 Item 2Attachment A - 2025Council Priorities andObjectives Q4 SummaryTable       Item 2: Staff Report Pg. 5  Packet Pg. 12 of 469  ATTACHMENT A #ED CA IH S PS 2025 CITY COUNCIL PRIORITIES AND OBJECTIVES Council Priority OBJECTIVES (70 in total) Q1 Q2 Q3 Q4 17 X X Identify locations and design concepts for additional east‐west bicycle and pedestrian crossings of the Caltrain railroad tracks in the southern part of the city. X 18 X Complete E‐Mobility Strategic Plan for Council acceptance. Develop, approve and implement the Plan which reflects feedback on strategies reviewed by the  Council Ad Hoc Climate Protection Committee and its Working Group. (21) X 19 X Propose an updated multifamily EV charger program (EV 2.0) for Council approval. X 20 X Develop and begin implementing a City Facility Electrification Plan. Building on the citywide Facilities Assessment, create a multi‐year plan to begin replacing  fossil fuel use in City buildings in alignment with S/CAP goals, and begin implementing through the Capital Improvement Program. (19) X 21 X X Implement plan for phaseout of leaded fuel at Palo Alto Airport.  With unleaded fuel now available at the airport, implement plan to conduct lead monitoring,  encourage and track use of the fuel, explore potentially subsidizing the cost of unleaded fuel, and develop updated lease requirements to promote unleaded fuel .  (77 X 22 X Share preliminary analysis of strategies for a physical and financial transition of the gas utility to relevant policymakers and stakeholders. Utilize initial subject  matter expert work that developed a minimum future gas grid need for system retirement to analyze alternatives for scaling down the gas distribution system.  (17) X 23 X Present an ordinance to Council enacting the 2026 California Building Standards Code update, including the California Green Building Standards Code; submit  to the California Building Standards Commission for approval. X 24 X Develop an Advanced Commercial Rooftop HVAC Pilot Program proposal and review with the Climate Action and Sustainability Ad Hoc Committee for  recommendation to Council. (20) X 25 X X Council approval of outdoor activation guidelines for California Avenue. Council approval of outdoor activity guidelines informed by continued engagement with  stakeholders on a refined priorities and recommendations and Initiate implementation. (2) X * 26 X Council approval of a final signage plan for California Avenue and funding appropriations. Review the signage plan for California Avenue with the Architectural  Review Board (ARB), incorporate feedback, and seek Council approval to implement the plan. (2) X * 27 X Council approval of a design option for California Ave. Engage stakeholders to refine alternative street designs for California Avenue and present them to Council  for discussion and action, including funding appropriations to pursue a street design. (3) X * 28 X X Propose and implement outdoor activation guidelines for Car‐Free Ramona Street. Initiate implementation of Council approved outdoor activity guidelines  informed by continued engagement with stakeholders on a refined priorities and recommendations. X ** 29 X Council approval of Ramona Street design and funding appropriations. Engage stakeholders to develop design proposals for Car‐Free Ramona Street and  present to Council for necessary funding appropriations to implement initial phase(s). (4) X * 30 X Resume work on new parking structure in Downtown core (Lot D).  Staff will present parking garage design options to City Council for selection. (8)X 31 X X Council approval of funding to continue Downtown cleanliness enhancements and other medium‐term investments. Include necessary proposals and budget  appropriations as part of the development of the FY 2026 Operating Budget to continue enhanced Downtown Cleanliness enhancements and other medium‐term  investments such as a Mobility Hub. X 32 X X Begin feasibility analysis of Assessment District for University Avenue Streetscape. Conduct analysis to determine practicality of an assessment district or  similarly funding strategy as a funding mechanism for capital enhancements to University Avenue Streetscape.  X Activate and enhance key commercial districts Support economic development and retail vibrancy Economic Development & Retail Vibrancy (ED) Promote clean energy and reduce fossil fuel dependence Page 2 of 5 Item 2Attachment A - 2025Council Priorities andObjectives Q4 SummaryTable       Item 2: Staff Report Pg. 6  Packet Pg. 13 of 469  ATTACHMENT A #ED CA IH S PS 2025 CITY COUNCIL PRIORITIES AND OBJECTIVES Council Priority OBJECTIVES (70 in total) Q1 Q2 Q3 Q4 33 X Complete build‐out of fiber‐to‐the‐premises (FTTP) pilot Phase 1 with grid modernization. Complete building out of a reliable and high‐speed municipal fiber  service in a pilot area and work to establish internet service provider operations including necessary business tools such rate setting,  billing and operations  so tware to roll out services in the initial build. (9 X ** 34 X Council consideration of an ordinance that expands retail opportunities and promotes retail resiliency. Consider further refinement to retail and retail‐like  definition and explore changes to retail preservation ordinance. (12) ** 35 X Council consideration of an ordinance restoring subjective wireless communication facility regulations. Hold a public hearing on a draft ordinance  implementing the City Council's direction from late 2024 to eliminate objective standards for the placement of wireless antennas within the public right of way on  street li ht or utilit  poles.  X 36 X Refine destination marketing efforts and enhance Palo Alto’s international reputation. Meet with hospitality partners and incubator/accelerators  to assess  willingness to partner with the City on destination marketing efforts and propose next steps, including necessary appropriation actions, to City Council. X 37 X Prepare an ordinance for Council review expanding the housing focus area. Increase housing development potential along El Camino Real and consideration of  an exemption from payment of development impact fees for inclusionary units under certain circumstances, consistent with Housing Element Program 3.4 E. (41) X 38 X Present to Council an ordinance updating the City’s housing incentive program. Increase housing development potential and expand provisions to multi‐family  zoning and other commercial districts in accordance with Housing Element Program 3.4 D. (46) X 39 X Prepare an update to the City's accessory dwelling unit ordinance. Update local implementation regulations to respond to changes in State Law, consistency  with the State Housing and Community Department's 2025 ADU Handbook and address applicable deficiencies identified in HCD's comment letter.   X 40 X X X X Initiate the San Antonio Road Area Plan. Begin data gathering, document review, implementing a community outreach and engagement strategy, check‐in  meetings with appointed and elected officials, and review by the City Council of a community assessment report and receive updated project direction, consistent  with Housin  Element Pro ram 6.6 C. (40   X 41 X Partner with Santa Clara County Housing Authority to achieve construction timeline milestones for the Palo Alto Homekey project (which will provide  transitional housing and services for unhoused residents). (51) X ** 42 X Identify different housing typology options for the one‐acre site near Matadero Creek. Use grant funded technical analysis to consider housing options for a  future affordable housing development on land to be dedicated to the City from the 2023 Sobrato/City Development  Agreement; present findings and receive  direction from Council. X 43 X Prepare the Community Development Block Grant (CDBG) 5‐Year Consolidated Plan and Annual Action Plan. The Quinquennial update helps jurisdictions to  assess  affordable housing and community development needs and market conditions to make data‐driven, place‐based investment decisions when distributing  federal CDBG grant funds.  X 44 X X Advance affordable housing project on Downtown surface parking lot (Lot T). Enter into an exclusive negotiating agreement with Alta Housing; receive an  updated project concept design & prescreening application for Council review; receive formal planning entitlement application, consistent with Housing Element  Pro ram 1.4 A. (8   X 45 X X Work with the Santa Clara County Housing Authority to determine next steps to maintain affordability and improve conditions at Buena Vista Mobile Park.  (56) Meet with Housing Authority regularly to identify feasible next steps. Review financing approach and options. Update Council on identified, proposed next  steps and approach. X Enable housing production through zoning and regulatory reform Advance affordable housing developments Implementing Housing Strategies for Social & Economic Balance (IHS) Page 3 of 5 Item 2Attachment A - 2025Council Priorities andObjectives Q4 SummaryTable       Item 2: Staff Report Pg. 7  Packet Pg. 14 of 469  ATTACHMENT A #ED CA IH S PS 2025 CITY COUNCIL PRIORITIES AND OBJECTIVES Council Priority OBJECTIVES (70 in total) Q1 Q2 Q3 Q4 46 X Organize an initial review of sources and methods to raise funding to support new affordable housing production for future evaluation. Conduct research to  identify and evaluate sources and methods. Work with Finance Committee to develop recommendations for City Council. X 47 X Present a renter protection fair chance ordinance to Council. Present findings of an analysis and policy recommendations in the form of a draft ordinance to  reduce barriers to housing by individuals with criminal records, consistent with Housing Element Program 6.6 I. (54) X 48 X Report out on initial data from the rental registry program and project implementation; receive feedback and recommendations for next steps. (57)X * 49 X Present to Council an analysis related to anti‐rent gouging. Consistent with prior Council direction, examine implications of a possible ordinance from a legal,  policy and anticipated resource demand perspectives; receive direction on next steps. (55) X 50 X X Present options to address homelessness impacts, particularly relating to individuals living in vehicles, to Policy & Services Committee for prioritization.  Identify feasible (1) regulatory approaches to manage the use of public space and (2) policy solutions to expand RV safe parking. Present options to P&S for  consideration and prioritization.X 51 X Extend for one year or codify R1/SB 9 interim ordinance. Establish objective development standards and increases the maximum floor area for SB 9 units from  800 to 1200 square feet consistent with Housing Element Program 6.3A; consider implications of similar objective standards for R1 and SB 9 projects relative to  the Cit ’s Individual Review Pro ram. (45 X 52 X Initiate evaluation of South of Forest Area Coordinated Area Plan (SOFA) development standards. Review and explore options to amend the coordinated area  plan with the intent to replace subjective development standards with objective standards consistent with Housing Element Program 3.7.  X 53 X Present to Council the Downtown Housing Plan Community Assessment report and receive Council direction on draft housing plan scenarios. Continue  advancin  the plan develo ment and public en a ement strate  to pre are dra t housin  plan and environmental review. (36   X 54 X Present an ordinance to Council that supports innovative housing structures. Creates zoning incentives or update development standards to support various  housing typologies, including micro‐units, intergenerational housing, aging adults, students and lower‐income units, consistent with Housing Element Program  6.5. (48 X 55 X X Present findings to Council on a study that explores code amendments reducing commercial floor area and possible extension of Downtown in‐lieu parking  program to residential development: Evaluate opportunities that make multi‐family housing an attractive alternative to commercial office development,  consistent with Housin  Element Pro ram 3.9. (50 X 56 X X X X Update development impact fees for public safety, government facilities, housing, transportation, parks, and community services. Conduct a nexus and  feasibility study to ensure housing remains viable. Consider potential policy to waive impact fees associated with for low‐income inclusionary units with when 20%  of the units are deed restricted. (Housing Element Programs 2.1B; 3.1 B&C) (Housing Element Programs 2.1B; 3.1 B&C) X 57 X Open the new Public Safety Building for daily Police, OES, and Fire services. Complete construction, move‐in of departments, and a ribbon‐cutting event to  commemorate the official availability of public safety services from the facility for all. (72) X * 58 X Council to adopt the updated Foothills Fire Management Plan and Community Wildfire Protection Plan. Plan to reflect alignment with Santa Clara County and  other agencies and entities to address early warning technology, planning and procedural elements and risk mitigation. (71) X 59 X Council approval of construction contract for Fire Station No. 4 Replacement project and initiation of construction. (73)X * 60 X Activate a fire engine at Fire Station 4. Augment staffing at Fire Station 4 to deploy either ambulance or fire engine response.X Public Safety, Wellness & Belonging (PS) Improve citywide housing policy and planning  Modernize public safety infrastrucutre Support tenant protections and housing equity Page 4 of 5 Item 2Attachment A - 2025Council Priorities andObjectives Q4 SummaryTable       Item 2: Staff Report Pg. 8  Packet Pg. 15 of 469  ATTACHMENT A #ED CA IH S PS 2025 CITY COUNCIL PRIORITIES AND OBJECTIVES Council Priority OBJECTIVES (70 in total) Q1 Q2 Q3 Q4 61 X Initiate an update to the City’s seismic hazards ordinance. Conduct an assessment of previous study, update potentially eligible buildings, and begin work on  seismic hazard identify and mitigation ordinance. (75) X 62 X Develop Master Plan for Cubberley site. Complete a master plan by December 2025 for 15 acres anticipated to be purchased from PAUSD pending a successful  bond measure in November 2026 and begin community polling to inform the development of a ballot measure for voter consideration. (61) X 63 X Implement the 2024‐2025 Wellness & Belonging Action Plan. Complete the 28 action items in the action plan in collaboration with partners. X 64 X Open 445 Bryant Street Community Center. Complete construction and any necessary partnership agreements to begin La Comida Senior Lunch Program at the  facility by end of July, 2025; plan further work for general community center operations concurrently. (64) X ** 65 X Enhance and Expand Inclusive Programs and Services. Enhance services to support individuals with disabilities seeking accommodation support, expand  community partnerships that serve the disability community, and implement new therapeutic recreation programs . X 66 X Implement New Expanded CSD Recreation Special Events Workplan. Approve and implement the Workplan which expands Community Special Events that foster  togetherness, belonging and celebrate the rich diversity of our community  (60) X 67 X Support Community Mental Health. Provide support for all ages through community partnerships, programs, and initiatives. (65)X 68 X Continue engagement with San Francisco Airport on SFO's Ground Based Augmentation System (GBAS) project and other potential opportunities to decrease  SFO noise impacts on Palo Alto. (79) X 69 X Council Approval of Quiet Zone Concept Plans at Churchill Ave, Meadow Drive, and Charleston Rd Rail Crossings. (76)X 70 X X Enhance safety and improve quality of life in commercial areas by reducing criminal activity through business engagement and the deployment of officers and  technology.  Establish a Business Watch program to enhance  collaboration with businesses and assign two officers at a minimum to patrol high traffic  commercial areas. X *Revised estimated completion date  **Revised estimated completion date in 2026 Expand wellness and community serving facilities and services Promote environmental and transportation safety Page 5 of 5 Item 2Attachment A - 2025Council Priorities andObjectives Q4 SummaryTable       Item 2: Staff Report Pg. 9  Packet Pg. 16 of 469  Q4 Update (October - December) 2025 City Council Priorities & Objectives ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 10  Packet Pg. 17 of 469  Page 1 4 Council Priority 13 Focus Area 70 Objective Executive Summary Overall Summary % On Track 7 Behind 23 On Hold 4 Completed 66Status To date, of the 70 Council Objectives supporting Council priorities, in the fourth quarter, a total of 51 (73%) have been completed or are on track with new Council direction, 16 are behind schedule (23%), and three (4%) are on hold. The 2025 City Council Priorities are: 1. Climate Action and Adaptation, & Natural Environment Protection 2. Economic Development & Retail Vibrancy 3. Implementing Housing Strategies for Social & Economic Balance 4. Public Safety, Wellness & Belonging ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 11  Packet Pg. 18 of 469  Page 2 %# On Track 8 2 Behind 13 3 Completed 79 19 Council Priority 1 Climate Action and Adaptation, & Natural Environment Protection %# On Track 8 1 Behind 58 7 On Hold 8 1 Completed 25 3 Council Priority 2 Economic Development & Retail Vibrancy %# On Track 5 1 Behind 20 4 On Hold 10 2 Completed 65 13 Council Priority 3 Implementing Housing Strategies for Social & Economic Balance %# On Track 7 1 Behind 14 2 Completed 79 11 Council Priority 4 Public Safety, Wellness & Belonging Plan Summary Status Status Status Status ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 12  Packet Pg. 19 of 469  Page 3 %# On Track 8 2 Behind 13 3 Completed 79 19 %# Behind 17 1 Completed 83 5 Complete initial pilot area of electric grid modernization. The project will increase electrical capacity and reliability in initial pilot area bounded by Louis, Amarillo, 101, & Embarcadero about 1,000 homes; once completed, staff will continue the grid upgrades to the "Phase 1" area which impacts approximately 6,000 homes. The Cityʼs planned project includes the modernization of the systematic grid and incorporates the goals and key actions from the Grid Modernization Study to prepare for widespread electrification in support of the S/CAP goal of an 80 percent carbon reduction by 2030. This project is coordinated with the Fiber to the Home pilot. Owner: Jim Pachikara Objective Milestone By the end of FY2025 staff intends to complete the pilot area of Phase 1. Achievements: A total of 908 homes have been served with upgraded facilities, including the replacement of 70 wood utility poles, installation of 106 new transformers, 22,650 feet of new low-voltage wire, and 46,743 feet of new fiber messenger. The pilot area was completed at a cost of just over $10 million, with contracted labor representing the largest expense. Roadblocks: No specific roadblocks have been identified or reported at this stage. Next Steps: Staff will continue monitoring upgraded infrastructure to ensure performance and reliability, assess customer satisfaction, and evaluate opportunities for expansion based on pilot results and available funding. Engineering design for the remainder of Phase 1 of the Grid Modernization project (EL-24000) is ongoing. Begin construction of the Newell Road Bridge Replacement project. Award of a construction contract for the replacement of Newell Road Bridge in time to begin construction taking advantage of the 2025 in-channel construction season. Owner: Holly Boyd Objective Milestone Complete design and right-of-way acquisition, obtain regulatory permits, and seek programming of construction funding by Caltrans, through Council advocacy as needed, and award a construction contract, subject to property owner, permitting agencies, and Caltrans approvals. Initiate and complete construction. Achievements: Staff received authorization from Caltrans to advertise the project in April. After successful bidding of the project, Council approved a construction contract on June 16. Staff issued the notice to proceed on August 1, with pre-construction activities starting in September. Construction will last for a year and a half and will be completed in Spring 2027. Roadblocks: No significant roadblocks have been reported at this stage. Next Steps: Monitor the progress of pre-construction activities and prepare for the commencement of full construction operations as scheduled. Council Priority 1 Climate Action and Adaptation, & Natural Environment Protection Focus Area 1.1 Modernize critical infrastructure for climate resilience Objective 1.1.1 Ongoing - Jun 30, 2025 Completed Objective 1.1.2 Ongoing - Jun 30, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 13  Packet Pg. 20 of 469  Page 4 Begin construction of Hamilton Avenue storm drain system capacity upgrades project. Advance the San Francisquito Creek (SFC) Flood Protection capital project (Reach 2) through Councilʼs JPA representation and any Council approvals involved. Prioritization of the Hamilton Avenue project from the list of 2017 ballot measure priority projects will increase the ability of the storm drain system to convey water in the event of a San Francisquito Creek overflow. Owner: Holly Boyd Objective Milestone Begin construction of Hamilton Avenue storm drain system capacity upgrades project. Achievements: The storm drain system design was completed in June, and the project was advertised for bid in late July. A construction contract was awarded by City Council on October 6. A notice to proceed was issued to the contractor with pre- construction activities starting on December 8. Roadblocks: No significant roadblocks have been reported at this stage. Next Steps: Monitor the progress of pre-construction activities and prepare for the commencement of full construction operations as scheduled. Complete implementation of the Reliability and Resiliency Strategic Plan (RRSP), including Strategy 4 – conducting a cost/benefit analysis of flexible energy resources such as battery storage and microgrids (including evaluation of the airport microgrid), and Strategy 5 – recommending potential programs for Council consideration. The RRSP includes several long-term and ongoing efforts that extend beyond this year, primarily in Strategies 1, 2, and 3. But Strategies 4 and 5 focus on a cost-benefit analysis and program options for use of flexible technologies and efficient electrification strategies to provide various types of community value. This goal involves completion of Strategies 4 and 5 of the RRSP. Owner: Jonathan Abendschein Objective Milestone In 2025, the Climate Action and Sustainability Committee (CASC) and the Utilities Advisory Commission (UAC) will review the cost-benefit analysis and potential program options to complete Strategies 4 and 5 of the Resilient Resource and Sustainability Plan (RRSP). Following these reviews, the City Council will consider the recommendations and provide direction on any subsequent program implementation. Achievements: Staff completed several studies, including a cost-benefit analysis, to achieve Strategies 4 and 5 of the RRSP. Staff discussed preliminary results with the Utilities Advisory Commission (UAC) and the City Council's Climate Action and Sustainability Committee (CASC) over the summer at their July 9 and August 22 meetings, respectively, and received policy feedback, which was then incorporated into the final draft plan and staff recommendation which was considered at the November 20, 2025 CASC meeting and the December 3, 2025 UAC meeting. Both bodies recommended the City Council approve the plan and focus primarily on barrier reduction and low-cost technical assistance where feasible, while recommending periodic re-evaluation of the cost-benefit analysis, and further discussion on the use of microgrids for long-term resiliency. The City Council will discuss these recommendations at its February 9, 2026 meeting. Roadblocks: No significant roadblocks were identified at this stage. Next Steps: City Council consideration of the UAC and CASC recommendations at its February 9, 2026 meeting and staff implementation of City Council direction from that meeting. Objective 1.1.3 Ongoing - Sep 30, 2025 Completed Objective 1.1.4 Ongoing - Dec 31, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 14  Packet Pg. 21 of 469  Page 5 Advance citywide and regional climate adaptation and environmental protection strategies Owner: Lupita Alamos %# On Track 14 1 Behind 29 2 Completed 57 4 Complete deployment of 65,000 residential Advanced Metering Infrastructure (AMI) meters by end of FY 2025 and begin deployment of commercial AMI meters. The City of Palo Alto Utilities (CPAU) is upgrading the Cityʼs utility metering system with electronic meters to utilize grid technology called Advanced Metering Infrastructure (AMI). AMI is becoming a standard in the utilities industry, enabling interval utility usage data and time-of-use rates for homes and businesses to the benefit of electric, natural gas, and water utility customers. CPAU will replace old legacy electric meters with new advanced electric meters and retrofit existing water and gas meters with AMI radios, starting with residential meters. Owner: David Yuan Objective Milestone A continuation from 2024 to deploy all 65,000 residential AMI meters, this work continues, as well as to deploy 10,300 commercial AMI meters by Q3 2025 assuming no supply chain delays. Achievements: Approximately 60,500 or 93% of electric, gas, and water residential meters have been converted to AMI. Staff will begin offering electric time of use (TOU) rates beginning in January 2026 under a phased approach to ensure billing accuracy and operational efficiency. Under TOU rates, electricity prices will be lower during off-peak hours and higher during peak hours. Roadblocks: Supply chain issues with electric AMI meters continue to impact full completion of this objective. In December, staff received 1400 new electric meters under a new model which have to be tested for a full cycle prior to deployment. Staff vacancies, accessibility to meters, and poor conditions of the meters, service lines, or meter boxes also impacted staff's ability to advance this work. Next Steps: Recruitment is in process for the two vacant electric metering technician positions. Requesting assistance from other qualified staff members to assist with the AMI meter conversions. Issuing a RFP for large water meter replacement and AMI conversion. Staff is expecting completion of the electric meters by June 2026 and the gas and water meters by December 2026. Council approval for Phase 2 (full-service program) of the Advanced Whole Home Electrification Pilot Program and begin implementation. Add turnkey services to the Cityʼs Advanced Whole Home Electrification Pilot Program to provide direct installation of space heating to complement existing turnkey services for direct installation of water heating. Owner: Jonathan Abendschein Objective Milestone City Council approval of the contract and budget for the program, followed by the commencement of program implementation. Achievements: On May 27, 2025 the City Council approved a contract with Franklin Energy Services, LLC for implementation of Phase 2 of the Advanced Whole Home Electrification Pilot Program along with a budget for the first year of program operation. Staff has begun implementation and is on track to launch the program in early 2026. Roadblocks: No significant roadblocks have been identified at this time. Next Steps: Staff will launch the program in early 2026. Objective 1.1.5 Ongoing - Dec 31, 2025 Behind Objective 1.1.6 Ongoing - Dec 31, 2025 Completed Focus Area 1.2 ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 15  Packet Pg. 22 of 469  Page 6 Develop and obtain Council approval for strategies and a 2026/2027 work plan for the next phase of S/CAP implementation of climate and sustainability goals. Develop and approve an S/CAP Implementation Plan for 2026- 2027 which reflects feedback on strategies reviewed by the Council Climate Action and Sustainability Committee and the Climate Action Working Group. Owner: Christine Luong Objective Milestone Work with the Council Climate Action and Sustainability Committee and the Climate Action Working Group to prioritize focus areas and strategies for future implementation. Achievements: Staff developed strategies for a 2026-2027 Sustainability and Climate Action Plan (S/CAP) Work Plan for the next phase of S/CAP Implementation. In November, the Climate Action and Sustainability Committee reviewed proposed mobility priorities for the 2026-2027 S/CAP Work Plan. In August, the Climate Action and Sustainability Committee reviewed the proposed sustainability priorities for the 2026-2027 S/CAP Work Plan. The key areas of focus for the sustainability priorities are water, sea level rise, wildfire protection, natural environment, green stormwater infrastructure, and zero waste. In May, the Climate Action and Sustainability Committee discussed options and ideas for the climate action section of the 2026‐2027 S/CAP Work Plan. The Committee reviewed high‐level potential areas of focus in the areas of transportation, buildings (including resiliency) and carbon neutrality. Roadblocks: Staff intended to present the 2026-2027 S/CAP Work Plan to the Climate Action and Sustainability Committee in December, but timing of other items postponed the Committee discussion of the 2026-2027 S/CAP Work Plan until January. Next Steps: Staff will present the 2026-2027 S/CAP Work Plan to the Climate Action and Sustainability Committee in January 2026 for their recommendation before it goes to Council for acceptance. Begin development of a Regional Shoreline Adaptation Plan meeting new standards approved by BCDC. Public Works–Watershed Protection is collaborating with Santa Clara County Office of Sustainability and other County cities to submit an SB1 grant proposal for the development of a Regional Shoreline Adaptation Plan (RSAP). The RSAP would include a regional vulnerability assessment for Santa Clara County shoreline communities and a subsequent shoreline adaptation plan that aligns with State sea level rise adaptation requirements that are administered by the Bay Conservation and Development Commission. This regional vulnerability assessment would complement Palo Altoʼs similar assessment by providing an adaptation funding strategy, would determine the cost of inaction should Palo Alto not pursue additional sea level rise adaptations, and would expand social equity considerations. Owner: Julie Weiss Objective Milestone Engage with neighboring cities for potential partnership and review status with the City Council. SB1 grant submittal: July, 2025 Confirmation of grant award: Fall, 2025 Achievements: Santa Clara County was awarded a $2.6 million SB1 grant to conduct a Santa Clara County shoreline vulnerability assessment and create a sea level rise adaptation plan. Partner agencies include Palo Alto and other cities along the county shoreline, as well as VTA and Valley Water. The grant proposal included a minimum three-year timeline to complete these tasks. Additionally, a presentation was provided to the Climate Action and Sustainability Council Committee on December 12, 2025, regarding both the county effort and internal initiatives to date to adapt to sea level rise. Roadblocks: None at this time. Next Steps: In 2026, staff will work with the county to select a consultant, establish governance and technical advisory committees, develop a community engagement plan, and begin the analysis of existing conditions for the project area. Objective 1.2.1 Ongoing - Dec 31, 2025 Completed Objective 1.2.2 Ongoing - Dec 31, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 16  Packet Pg. 23 of 469  Page 7 Council consideration of an ordinance implementing updated Stream/Creek Corridor Setback requirements. Conduct research and present an ordinance that implements the Cityʼs Comprehensive Plan polices related to stream corridor setbacks for Planning and Transportation Commission (PTC) review and recommendation to the City Council. Owner: Kelly Cha Objective Milestone Hold a community meeting Q1, Planning and Transportation Commission (PTC) consideration of next steps in Q3 for Council consideration thereafter. Achievements: Staff presented a revised draft ordinance to the PTC on August 27, 2025. The objective remains on track with the updated scope. Roadblocks: The PTC requested further amendments to address concerns about potential impacts to properties outside of the Foothills and Baylands, resulting in a continuation of the item. Next Steps: The revised ordinance is anticipated to return to the PTC for consideration in Q1 2026. Council consideration of an ordinance implementing Bird Safe Glass & Wildlife Light Pollution Protections standards. Prepare ordinance updates to the Cityʼs zoning code to require new building design and lighting standards with the aim to reduce bird strikes and nighttime light pollution for new or substantially remodeled buildings/structures. Owner: Kelly Cha Objective Milestone Initially scoped as one project, the bird safe glass and wildlife light pollution protection standards are now two projects coming before Council at different time. Lighting pollution standards was reviewed by the City Council in Q2 to return in Q3 for reconsideration. Bird friendly design standards will be going to the Planning and Transportation Commission (PTC) for reconsideration in Q3 and City Council consideration in Q4. Achievements: The City Council adopted the Lighting Ordinance Update on December 8, 2025. The Planning and Transportation Commission recommended the Bird-Friendly Design Ordinance Update on December 10, 2025. Roadblocks: Staff is drafting the Bird-Friendly Design Ordinance in alignment with the Planning and Transportation Commission's December 2025 guidance. Next Steps: Finalize the Lighting Ordinance for its second reading and develop community resources to explain the new outdoor lighting regulations. Present the draft Bird-Friendly Ordinance to the City Council in Q1 2026. Advocate for the San Francisquito Creek Flood Protection capital project (Reach 2) through Councilʼs JPA representation and any Council approvals involved. Advance the San Francisquito Creek (SFC) Flood Protection capital project (Reach 2) through Councilʼs JPA representation and any Council approvals involved. Owner: Holly Boyd Objective Milestone Support JPAʼs efforts to make decisions through staff discussions and the Cityʼs representation on the JPA Board. Achievements: Staff continues to review the San Francisquito Creek JPAʼs project documents and attend meetings to discuss Reach 2 progress. The JPA held a study session with Council to discuss the Reach 2 project on September 8. Roadblocks: No significant roadblocks reported. Next Steps: Continue reviewing project documents and participating in meetings to support the advancement of the Reach 2 project. Objective 1.2.3 Ongoing - Sep 30, 2025 On Track Objective 1.2.4 Ongoing - Sep 30, 2025 Behind Objective 1.2.5 Ongoing - Dec 31, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 17  Packet Pg. 24 of 469  Page 8 Advance active and sustainable transportation Owner: Lupita Alamos %# Completed 100 6 Initiate Preliminary Engineering and Environmental Clearance Work for Quarry Road Extension in Partnership with Stanford University, Caltrans, & VTA. The Quarry Road Connection Project will allow the extension of Palo Altoʼs Quarry Road to create a direct connection between the Palo Alto Transit Center (PATC) and El Camino Real for use by public buses and shuttles (the Quarry Road Connection Project). This project enables transformation of a currently congested PATC by enhancing public transit efficiency, reducing traffic congestion, and improving safety and convenience for cyclists and pedestrians. Owner: Holly Boyd Objective Milestone Develop an agreement with Stanford to initiate a preliminary engineering and environmental clearance work for Quarry Rd Extension. Achievements: On November 3, 2025 the City Council approved a cost-sharing agreement with Stanford University for design and engineering work for the Quarry Road improvements and Transit Center Connection. The Quarry Road Transit Connection will allow buses that use the Palo Alto Transit Center to exit directly to El Camino Real at Quarry Road, rather than circling back via University Avenue. The project will therefore reduce bus travel times and accomplish bicycle and pedestrian safety improvements at the intersection of Quarry Road and El Camino Real. Roadblocks: No significant roadblocks identified at this stage. Next Steps: Proceed with implementing the design phase scope of work and execute a grant agreement with Metropolitan Transportation Commission (MTC) for regional funding. Develop an updated Regional Water Quality Control Plant Biosolids Facility Plan. Complete initial work to develop plan, including consideration of PFAS pollutants and the Measure E site, and review with a Council committee in advance of Council acceptance of the plan in late 2025 or early 2026. Owner: Karin North Objective Milestone Development of biosolids treatment alternatives and screening to eliminate non-viable alternatives. Finalize evaluation criteria, including weighting, based on community and stakeholder input. Begin detailed evaluation of the screened alternatives. Review findings and draft recommendations with SCAP and the Policy and Services Committees. Initiate development of a draft report summarizing the alternatives analysis and preliminary recommendations. Achievements: Staff completed a detailed evaluation of biosolids treatment alternatives, including lifecycle cost estimates and a relative comparison of greenhouse gas emissions. Progress has been slower than anticipated due to the simultaneous assessment of space requirements for the liquids treatment process over the next 50 years as part of the Long-Range Facility Plan update, in addition to biosolids planning. Draft recommendations will be reviewed with the Climate Action and Sustainability Committee (CASC) at a meeting scheduled for Q1 2026, followed by Council review in 2026. Roadblocks: Progress has been delayed because the Long-Range Facility Plan update is concurrently addressing both biosolids planning and long-term space requirements for the liquids treatment process, increasing the complexity and workload for staff. Next Steps: Finalize draft recommendations for biosolids treatment alternatives and prepare for the CASC review meeting in Q1 2026. Incorporate feedback from the CASC and subsequently present the recommendations to Council for review later in 2026. Objective 1.2.6 Ongoing - Dec 31, 2025 Completed Objective 1.2.7 Ongoing - Dec 31, 2025 Behind Focus Area 1.3 ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 18  Packet Pg. 25 of 469  Page 9 Council Adoption of the Safe Streets for All (SS4A) Safety Action Plan. Informed by feedback from the Policy & Services Committee, bring forward a Safety Action Plan providing a roadmap for eliminating traffic deaths and severe injuries through the reduction of vehicle miles traveled enabling staff to seek grant funding for implementation. (14) The Safe Streets for All (SS4A) Safety Action Plan aims to eliminate traffic deaths and life-changing injuries on local streets. The Palo Alto Safety Action Plan is a roadmap for eliminating traffic deaths and severe injuries on local streets and achieving the cityʼs Sustainability and Climate Action Plan goals through the reduction of vehicle miles traveled. Owner: Sylvia Star-Lack Objective Milestone Finalize and adopt Safety Action Plan. Begin seeking grant funds for implementation. Achievements: Council adopted the SS4A Safety Action Plan on June 2, 2025. Roadblocks: No significant roadblocks reported at this stage. Next Steps: Begin implementation of the SS4A Safety Action Plan and monitor progress against established benchmarks. Council Adoption of the 2025 Bicycle and Pedestrian Transportation Plan (BPTP). The 2025 Bicycle and Pedestrian Transportation Plan (BPTP) represents a system of interconnected bicycle and pedestrian corridors, facilities, and programs that make biking and walking a more convenient form of day-to-day travel. The 2025 BPTP Update is an update to the 2012 BPTP, adjusting the bicycle network to reflect land use changes, roadway designs to improve comfort and safety, and policies that support active transportation and climate action plan goals. Owner: Ozzy Arce Objective Milestone Complete community engagement work and circulate the draft BPTP Update to the public for City Council adoption. Achievements: Staff released the Draft Plan on October 3, 2025, and the public comment period extended through November 14, 2025. Staff received feedback from the public, the Pedestrian and Bicycle Advisory Committee (PABAC), and at their November 12, 2025 meeting, the Planning and Transportation Commission (PTC) voted unanimously to recommend that Council adopt the 2026 BPTP Update. Staff presented the Draft Plan to the City Council at a Study Session and received feedback on the Draft and the near-term projects. Roadblocks: None at this time. Next Steps: Following City Council review of the Draft Plan and Near-Term Projects on December 1, 2025, City staff will prepare a Final Plan for presentation to City Council in early 2026. Objective 1.3.1 Ongoing - Jun 30, 2025 Completed Objective 1.3.2 Ongoing - Dec 31, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 19  Packet Pg. 26 of 469  Page 10 Refine Grade Separation Design Alternatives per Council Direction and Conduct Outreach to Support Rail Committee Review of Locally Preferred Alternatives. Review advanced alternatives to minimize right of way impacts and improve traffic circulation, conduct outreach, and develop conceptual plans (15% design) for each of the three crossings. Identify grade separated project alternatives for grade separation at Churchill Avenue, Meadow Drive, and Charleston Road crossings. Owner: Ripon Bhatia Objective Milestone Collaborate with Caltrain to procure the services of the consultant to review advanced alternatives to minimize right of way impacts and improve traffic circulation. Conduct outreach and develop conceptual plans (15% design) for each of the three crossings based on the guidance and direction provided by the Rail Committee and the City Council. Achievements: The rail grade separation alternatives for the Churchill Avenue Crossing (including the Seale Avenue pedestrian and bicycle crossing), Meadow Drive, and Charleston Road have been refined. The public outreach workshops were conducted on September 30, 2025. Additionally, community provided feedback through project website, rail committee and meetings with key stakeholders. The Rail Committee reviewed updated alternatives on November 18, 2025, with a recommendation for Council review. The objective milestone has been completed. Roadblocks: The collection of information from various sources—such as property records and geotechnical data—is taking longer than expected and requires additional research. Next Steps: Staff plans to present the updated alternatives to the City Council for review and direction on December 10, 2025. The 15% plans will then be developed which are anticipated to be completed by Mid 2026. Identify locations and design concepts for additional east- west bicycle and pedestrian crossings of the Caltrain railroad tracks in the southern part of the city. This Project is referred to as the “South Palo Alto Bike/Ped Connectivity” Project. Project will engage with the community to select two preferred crossing locations, develop conceptual plans (15% designs), and identify bike/pedestrian network improvements, and develop an implementation plan and funding strategy for future construction. Owner: Charlie Coles IV Objective Milestone By Q4 2025, community engagement efforts will focus on identifying preferred crossing locations, design options, and related network improvements for east-west bicycle and pedestrian grade crossings. A formal report summarizing these recommendations will be publicly circulated and presented to the City Council for adoption in 2026. Subsequent steps will include pursuing grant funding for final design and construction. By the end of Q4 2025, the public and committees will provide feedback on preferred crossing locations and design concepts. Achievements: The City Council reviewed eight shortlisted alternatives and, based on recommendations from the Rail Committee and Staff, selected Alternative A (a crossing at El Dorado Avenue) as the preferred alternative, eliminating all other options from further consideration. Two variants of Alternative A were advanced: A1 (signalized crossing of Alma Street at El Dorado Avenue) and A2 (tunnel under both Alma Street and the Caltrain tracks). The Council passed a motion to focus evaluations on Alternatives A1 and A2, with a preference for A2. The milestones for this objective have been completed. Roadblocks: Further evaluation is required to determine the feasibility and impacts of Alternatives A1 and A2. Additional community engagement is necessary to gather input and address any concerns related to the proposed alternatives. Next Steps: Staff will continue to focus evaluations on Alternatives A1 and A2, prioritizing Alternative A2 as directed by the City Council. Additional community engagement activities are planned for early 2026 to support the decision- making process and incorporate public feedback on the alternatives in the vicinity of El Dorado Avenue. Objective 1.3.3 Ongoing - Dec 31, 2025 Completed Objective 1.3.4 Ongoing - Dec 31, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 20  Packet Pg. 27 of 469  Page 11 %# On Track 20 1 Completed 80 4 Complete E-Mobility Strategic Plan for Council acceptance. The goal of this effort is to develop a strategic roadmap for the promotion of E-mobility (which includes electric vehicles of all sizes from e-scooters up to e-trucks) and provision of supportive infrastructure. Owner: Jonathan Abendschein Objective Milestone In 2024 staff developed an EV Charger Needs Assessment and draft strategies and actions for an E-Mobility Strategic Plan and reviewed them with the Council Climate Action and Sustainability Committee (CASC) and its Working Group. In 2025 staff will finish writing the plan, seek Council acceptance, and begin implementation. Achievements: The Council approved the E-Mobility Strategic Roadmap on August 18, 2025, following a recommendation from the CASC at its June meeting. This approval marks a significant milestone in advancing e-mobility initiatives within the community. Roadblocks: No specific roadblocks were identified in the provided update. Next Steps: Implementation of the Roadmapʼs major strategies will proceed, focusing on raising public awareness and education, expanding access to e-mobility options and charging infrastructure for underserved groups, developing public and shared charging infrastructure and mobility hubs, coordinating e-mobility efforts with broader transportation initiatives, and promoting electric-grid- friendly charging and infrastructure practices. Propose an updated multifamily EV charger program (EV 2.0) for Council approval. The Cityʼs first generation multifamily electric vehicle program has resulted in the installation of chargers in buildings representing 9.2% of the multi-family units in Palo Alto. The Stateʼs Advanced Clean Cars II regulations are driving rapid adoption of electric vehicles, however, and more charging will be needed for multifamily residents to support them. This program is meant to build on the successes of the first- generation program and create an even better program that can extend to even more multi-family buildings. Owner: Rachel DiFranco Objective Milestone Develop program business model for Council approval. Achievements: On November 17, 2025, City Council unanimously adopted design guidelines for the successor to the current multi-family EV charger program (EV 2.0), as recommended by the Climate Action and Sustainability Committee (CASC) and staff. These guidelines incorporate financial models, including charging-as-a- service, to facilitate large-scale installations throughout the community. Implementation strategies are tailored to address the needs of various multi- family building types and accommodate different levels of EV adoption using a range of EV charging technologies. Roadblocks: No significant roadblocks have been identified at this stage. Next Steps: Staff will apply the Council-adopted guidelines to develop the EV 2.0 program in 2026. Objective 1.3.5 Ongoing - Sep 30, 2025 Completed Objective 1.3.6 Ongoing - Dec 31, 2025 Completed Focus Area 1.4 Promote clean energy and reduce fossil fuel dependence ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 21  Packet Pg. 28 of 469  Page 12 Develop and begin implementing a City Facility Electrification Plan. Building on the citywide Facilities Assessment, this project will design and implement the electrification of fossil fuel- consuming systems in City buildings through the Capital Improvement Program. In alignment with the S/CAP, the project aims to reduce greenhouse gas emissions by transitioning gas- fired equipment to electric alternatives, with upgrades to electrical service as needed. Owner: Gloria Yu Objective Milestone Issue a Request for Proposals (RFP), select a qualified design firm, and execute a contract to begin design and planning work for the electrification of fossil fuel-consuming systems at City facilities. Achievements: The Facility Assessment report and related data were reviewed to identify priority facilities for initial electrification. Progress is underway on a Request for Proposal (RFP) to engage a design consultant for a pilot project at five City buildings. An update was presented to the Climate Action and Sustainability Committee on December 12, 2025. Roadblocks: There are currently no roadblocks affecting progress. Next Steps: Preparations continue for issuing the RFP to select a design consultant in January 2026. Implement plan for phaseout of leaded fuel at Palo Alto Airport. With unleaded fuel now available at the airport, implement plan to conduct lead monitoring, encourage and track use of the fuel, explore potentially subsidizing the cost of unleaded fuel, and develop updated lease requirements to promote unleaded fuel. Owner: Andrew Swanson Objective Milestone Develop and begin implementing a multi-phase plan to phase out the use of leaded fuel. Achievements: The Airport terminated one fixed base operator (FBO) fueling lease due to the operator's failure to promote and sell unleaded aviation fuel in accordance with lease requirements. The lease with the second FBO was amended to ensure the continued availability and promotion of unleaded fuel. The FBO has initiated outreach to airport users and, in collaboration with the unleaded fuel producer, is organizing an informational forum for pilots. Additionally, a contract for lead air monitoring has been finalized, with testing scheduled to commence in January 2026. Roadblocks: There are ongoing concerns regarding material compatibility between certain aircraft and fuel system components with some unleaded fuels. This issue has slowed broader adoption and presents a communication challenge for pilots and tenants. Federal regulations prohibiting the restriction of approved aviation fuel sales also influence the Airportʼs implementation strategy. Next Steps: Staff will continue to monitor the adoption of unleaded fuel and maintain ongoing communication with tenants and the FBO to ensure stakeholders receive current and accurate information. Preparations for the lead air monitoring scheduled for January 2026 will proceed, and the planned informational forum will be held to address pilot concerns and promote understanding of unleaded fuel options. Objective 1.4.1 Ongoing - Dec 31, 2025 On Track Objective 1.4.2 Ongoing - Dec 31, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 22  Packet Pg. 29 of 469  Page 13 Share preliminary analysis of strategies for a physical and financial transition of the gas utility to relevant policymakers and stakeholders. This study evaluates the infrastructure needs and financial implications of operating the gas utility in the context of declining gas sales due to widespread electrification. The first phase, completed in late 2024, involved developing a gas system model that simulates changing flow patterns as electrification progresses. This model helps identify which sections of the gas system can be decommissioned first and assesses the potential impacts on the remaining infrastructure. A complementary financial analysis is currently underway to simulate various levels of community electrification and evaluate the resulting effects on the gas utilityʼs operations and finances. The physical model will support this analysis by identifying areas that, while theoretically eligible for abandonment, must remain in service to ensure system functionality. The simulations aim to estimate decommissioning costs, impacts on gas utility operating expenses, rate changes, indirect financial effects on other utilities, and implications for General Fund revenues. The results will inform policy options to help mitigate the financial burden on customers who have not yet electrified. Owner: Aaron Perkins Objective Milestone A consultant completed development of a balanced gas system model in 2024. Initial results of the staff analyses are anticipated in Q3 of 2025, with completion and documentation of the study results by Q2 2026. Achievements: Staff completed development of a balanced gas system model in 2024 and began developing a methodology for analyzing the financial and physical impacts of community-wide electrification in early 2025. Staff reviewed the methodology with the Climate Action and Sustainability Committee (CASC) at its June 13, 2025 meeting and with the Utilities Advisory Commission (UAC) at its September 3, 2025 meeting. Staff hired a consultant to complete the early phases of the study over the summer of 2025 and presented preliminary results to the UAC at its October 1, 2025 meeting and the CASC at its October 17, 2025 meeting. Roadblocks: No significant roadblocks have been identified at this time. Next Steps: Staff intends to complete later phases of the study in early 2026 with the goal of providing final results by the end of Q2 2026. Present an ordinance to Council enacting the 2026 California Building Standards Code update, including the California Green Building Standards Code; submit to the California Building Standards Commission for approval. Adopt the California Building Standards Commissionʼs model technical building, mechanical, plumbing, electrical, existing buildings, fire, energy, residential building, historic building, and green building codes, with local amendments as appropriate, including standards to advance the Cityʼs carbon reduction and electrification initiatives, in compliance with federal regulations. Owner: Julia Knight Objective Milestone Continue research and analysis and engage stakeholders on anticipated amendments; collaborate with City service departments, including fire, public works and utilities. Prepare an ordinance for review by the Policy and Services Committee as applicable and forward a recommendation to the City Council for final action. Achievements: Staff presented potential local amendments to the 2025 California Energy Code to the Climate Action and Sustainability Action Committee on September 5, 2025. Council reviewed and adopted these energy code amendments on September 8, 2025, meeting the AB 130 deadline for new local amendments impacting residential units. Council reviewed and adopted all remaining code updates on October 6, 2025 and November 3, 2025 expect for a handful of green building code amendments which are dependent on cost studies that have not yet been released by the statewide working group. Roadblocks: Local amendments to the outstanding green building codes cannot be presented to Council until the relevant cost studies from the statewide working group become available. Next Steps: Staff will review the initial results from the statewide working group cost studies as they become available with a target of any local amendment adoption by June 2026. Objective 1.4.3 Ongoing - Sep 30, 2025 Completed Objective 1.4.4 Ongoing - Dec 31, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 23  Packet Pg. 30 of 469  Page 14 %# On Track 8 1 Behind 58 7 On Hold 8 1 Completed 25 3 %# On Track 13 1 Behind 50 4 On Hold 13 1 Completed 25 2 Develop an Advanced Commercial Rooftop HVAC Pilot Program proposal and review with the Climate Action and Sustainability Ad Hoc Committee for recommendation to Council. In 2024, staff launched an HVAC pilot program to offer enhanced incentives for replacing a limited number of aging rooftop gas-pack units with heat pump heating, ventilation, and air conditioning (HVAC) systems in commercial buildings. The goal is to gain hands-on experience with these types of replacements. The 10-customer pilot is on track to reach capacity, with more than 10 applicants currently pursuing rebate reservations (which are not confirmed until a building permit is issued). Lessons learned from this pilot will inform the design of an advanced rooftop HVAC program aimed at demonstrating a scalable, high-participation business model. Owner: Shelby Sinkler Objective Milestone Staff will monitor the progress of projects from the 2024 pilot program and use the lessons learned from these projects to design an Advanced Pilot Program and review the proposal with the Climate Action and Sustainability Committee by Q4 2025 with the goal of launching it in early 2026. Achievements: The Climate Action and Sustainability Committee recommended approval of the program design guidelines for the Advanced Packaged HVAC Pilot Program at its October 17, 2025 meeting. The Council adopted the guidenlines on November 17, 2025. Funding was previously authorized in the FY 2026 Budget. Staff has initiated the solicitation process for a program implementer and is developing a detailed framework for incentives, financing mechanisms, and other program components. Roadblocks: No roadblocks have been identified at this time. Next Steps: Continue moving toward program implementation, including completing the solicitation process for a program implementer and finalizing the detailed framework for program incentives, financing, and related components, with a target program launch in mid-2026. Objective 1.4.5 Ongoing - Dec 31, 2025 Completed Council Priority 2 Economic Development & Retail Vibrancy Focus Area 2.1 Activate and enhance key commercial districts ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 24  Packet Pg. 31 of 469  Page 15 Council approval of outdoor activation guidelines for California Avenue. Council approval of California Ave outdoor activation guidelines, which includes dining, informed by continued engagement with stakeholders on a refined priorities and recommendations and initiate implementation. Owner: Bruce Fukuji Objective Milestone Council approval of outdoor activation guidelines. Achievements: Staff and the ARB ad hoc committee are collaboratively developing draft requirements and design guidance for permitting parklets and outdoor seating/retail areas on Cal Ave. This includes establishing permit options, specifying design elements for year-round weather protection, outlining modifications to pre-approved parklets, and defining the ARB process for reviewing custom parklet designs. Regular engagement with Cal Ave merchants has generated positive feedback supporting investment in year-round outdoor dining, consistent with the current parklet program on University Avenue. Roadblocks: Challenges persist in identifying and reaching agreement on public safety risk mitigation measures, particularly when adapting the existing parklet program for expanded space on the closed portion of California Avenue. Conflicts with infrastructure, such as but not limited to gas utility mains and the risk of potential gas leaks, remain unresolved. Next Steps: Completion of a revised draft Outdoor Activation document for parklets and outdoor seating/retail on the closed portion of California Avenue is anticipated. Upon achieving general consensus, collaboration with Urban Planning Partners and their architect/engineer will proceed to update pre-approved parklet plans and the user guide. Funding is allocated through the California Ave capital improvement project. Ongoing meetings with merchants will ensure the program addresses their needs and feedback. The final plan will be presented to ARB for review and recommendation to the City Council in the second quarter of calendar year 2026. Council approval of a final signage plan for California Avenue and funding appropriations. Review the signage plan for California Avenue with the Architectural Review Board (ARB), incorporate feedback, and seek Council approval to implement the plan. Owner: Holly Boyd Objective Milestone The near-term signage improvements for California Avenue include replacement of El Camino Real (ECR) and Oregon Expressway signs to be completed by calendar year Q3. Longer- term improvements will include formulating a comprehensive sign program, with a proposal to be developed and reviewed by Q3, and built into Fiscal Year 2027 CIP budget cycle, for implementation in Q3 of 2026. Achievements: Public Works staff is managing the procurement and installation of two Cal Ave signs, one at the intersection of Cal Ave and El Camino Real, and the other on Oregon Expressway. Staff incorporated ARB and merchant feedback to identify strategic sign locations and types to inform a sign program. Roadblocks: Initial ARB review was favorable and constructive, with an anticipated recommendation for approval; however, there is uncertainty until ARB action is taken. Merchant feedback is favorable, however, there is uncertainty regarding merchant ownership of responsibility and maintenance of merchant directory signage, as such staff is focusing on the monument signage, this reflects funding constraints as well. Next Steps: Staff anticipates an ARB study session in March, followed by revisions based on ARB feedback. Staff will solicit an Invitation to Bid (IFB) for a sign fabricator and select the fabricator. The fabricator will prepare shop drawings for a building permit, final ARB review, and then proceed with installation. Staff will develop a cost estimate and implementation plan for the draft sign program. Objective 2.1.1 Ongoing - Dec 31, 2025 On Track Objective 2.1.2 Ongoing - Jun 30, 2025 Behind ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 25  Packet Pg. 32 of 469  Page 16 Council approval of a design option for California Ave. Develop a feasible, achievable community and business supported street design concept to modify and permanently designate California Avenue as a car-free, bicycle friendly, outdoor dining, shopping and public space environment, including guidelines for outdoor dining, signage and wayfinding. Engage stakeholders to refine alternative street designs for California Avenue and present them to Council for discussion and action, including funding appropriations to pursue a street design. Owner: Bruce Fukuji Objective Milestone Develop two street design alternatives with slow, two-way bicycle facilities; ensure all-weather all-year outdoor dining and public spaces for community use. Achievements: Staff has initiated the development of an outdoor activation improvement plan focused on enhancing bicycle and pedestrian accessibility, as well as supporting commercial street use for outdoor dining, music, and events. Regular meetings and outreach efforts with merchants are ongoing to gather input and feedback. An updated encroachment permit has been submitted to Caltrans for traffic signage and striping changes at the ECR/Cal Ave intersection. Efforts have focused on the outdoor dining guideline updates as the primary work needing to be completed first to inform further design options for the street. Roadblocks: Alternatives for the improvement plan are pending updates based on ARB input regarding outdoor dining and parklets. The project timeline has been extended, with the estimated completion date now set for 2026. Inherently maximizing outdoor dining space results in a conflict of available space on the closed portion of the street for concentrated activation of events. Next Steps: Staff will continue to engage with merchants and stakeholders for additional feedback, update plan alternatives based on ARB recommendations, and monitor the permit process with Caltrans. The project will align with priority 2.1.1, incorporating outdoor dining outcomes as a key input. Propose and implement outdoor activation guidelines for Car-Free Ramona Street. Initiate implementation of Council approved outdoor activation standards informed by continued engagement with stakeholders on a refined priorities and recommendations. Owner: Ashwini Kantak Objective Milestone Council approval of outdoor activation standards in August and implementation of outdoor dining and retail areas in accordance with adopted standards estimated to be completed by December. Achievements: Outdoor activation standards were presented to the Retail Committee on June 18, 2025, marking a key milestone in the project timeline. Roadblocks: The Committee has requested additional engagement with the Historic Review Board and the Architectural Review Board, as well as an exploration of the feasibility of roofed structures and electrical connectivity. This expanded scope will necessitate a longer implementation timeline and will delay completion beyond Q4. This project was deprioritized in the second half of 2025 due to staffing capacity limitations and the revised scope. Next Steps: Staff will coordinate with the Historic Review Board and the Architectural Review Board, and assess the practicality of incorporating roofed structures and electrical connectivity into the project. A revised project timeline will be developed based on these additional requirements in 2026. Objective 2.1.3 Ongoing - Jun 30, 2025 Behind Objective 2.1.4 Ongoing - Sep 30, 2025 Behind ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 26  Packet Pg. 33 of 469  Page 17 Council approval of Ramona Street design and funding appropriations. Engage stakeholders to develop design proposals and outdoor activation standards for Car-Free Ramona Street and present to Council for necessary funding appropriations to implement Phase I. Owner: Ashwini Kantak Objective Milestone Council approval on March 10 of pedestrian only Ramona Street; Council approval of funding for Phase I near-term streetscape improvements as part of adopted FY 25-26 budget. Council approval of near-term improvements was planned for summer, with implementation to follow in fall/winter. Achievements: Proposed streetscape improvements for Phase I were presented to the Retail Committee on June 18, 2025; the Committee requested additional engagement with the Historic Review Board and Architectural Review Board. Therefore, in the interim, staff has initiated implementation of near-term improvements focused on parking, signage, and more perennial street barriers. The revised more narrow near-term scope is now on track for completion by Q4 or early 2026 from appropriated funding approved in the FY 2026 Adopted Budget. Roadblocks: The Retail Committee requested additional engagement with the HRB and ARB as well as exploration of longer-term streetscape improvements. This expanded scope will extend the project timeline and require additional CIP funding for the full scope of the original intended objective. Next Steps: Staff will engage the Historical Review Board and Architectural Review Board as requested and continue to explore options for long-term improvements. Efforts will also focus on securing the necessary additional CIP funding and ensuring timely completion of the revised near-term improvements. Resume work on new parking structure in downtown core (Lot D). Resume work on a new parking structure in the Downtown core on a City surface parking lot to help attract visitors downtown. Pursue refined proposals for potential affordable housing development on the Lytton / Kipling Lot T at 450 Lytton Avenue, or elsewhere, with parking for residents and the public. Owner: Holly Boyd Objective Milestone Develop and present parking garage design options for City Council review and selection. Achievements: In April, the Council approved proceeding with the preliminary design and environmental review for a 274-space parking garage, featuring six levels of above-ground parking and a reserved area to allow for the future construction of affordable housing on the site, with separate access on Waverley Street. The design team has been working on schematic design and recently had a study session with the ARB on December 4. Roadblocks: No specific roadblocks have been identified or reported at this stage. Next Steps: The design team will continue to advance the schematic design, incorporate feedback from the ARB study session, and prepare for subsequent phases of design and environmental review. Coordination with stakeholders and preparation for future Council updates will also be undertaken. Objective 2.1.5 Ongoing - Sep 30, 2025 Behind Objective 2.1.6 Ongoing - Jun 30, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 27  Packet Pg. 34 of 469  Page 18 %# Behind 75 3 Completed 25 1 Council approval of funding to continue Downtown cleanliness enhancements and other medium-term investments. Include necessary proposals and budget appropriations as part of the development of the FY 2026 Operating Budget to continue enhanced Downtown Cleanliness enhancements and other medium-term investments such as a Mobility Hub. Owner: Brad Eggleston Objective Milestone Include funding proposals for Council approval in the FY 2025 mid-year budget and FY 2026 budget for cleaning enhancements, including increased sidewalk and parking garage pressure washing, contract services to replace existing staff overtime, and some ongoing overtime staffing. Identify existing or propose new funding to improve University undercrossing and tunnels, provide a mid-block crosswalk connecting Centennial Alley and King Plaza, and evaluate and implement alternative tree grate solutions. Achievements: City Council approved an amendment to the Downtown and Cal Avenue steam cleaning contract on December 1, 2025, implementing the increased sidewalk and garage pressure washing approved through the budget process. Staff is actively monitoring the Downtown area to assess cleanliness following the cessation of services by Downtown Streets Team. Roadblocks: The discontinuation of Downtown Streets Team services may impact overall cleanliness, requiring close observation and potential adjustments. Next Steps: Staff is preparing an additional contract amendment to shift from overtime staffing to contract services for other cleaning needs, as budgeted. Ongoing monitoring of Downtown cleanliness will continue to inform future actions. Begin feasibility analysis of Assessment District for University Avenue Streetscape. Conduct analysis to determine practicality of an assessment district or similarly funding strategy as a funding mechanism for capital enhancements to University Avenue Streetscape. Owner: Ashwini Kantak Objective Milestone Award of contract to a consultant to determine the feasibility of an assessment district and initiate stakeholder engagement. Achievements: Release of the Request for Proposals and initiation of the consultant selection process for the streetscape project. Roadblocks: Concerns regarding funding have resulted in the streetscape project being placed on hold. Next Steps: Monitor funding situation and reassess project timeline once funding concerns are addressed. Objective 2.1.7 Ongoing - Jun 30, 2025 Completed Objective 2.1.8 Ongoing - Sep 30, 2025 On Hold Focus Area 2.2 Support economic development and retail vibrancy ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 28  Packet Pg. 35 of 469  Page 19 Complete build-out of fiber-to-the-premises (FTTP) pilot Phase 1 with grid modernization. Complete building out of a reliable and high-speed municipal fiber service in a pilot area and work to establish internet service provider operations including necessary business tools such rate setting, billing and operations software to roll out services in the initial build. The City is advancing a pilot phase 1 of fiber with grid modernization to bring reliable and faster broadband, high- speed internet services directly to companies and homes, supporting business and remote workers. The City recently completed the pilot design for the Palo Alto Fiber project and aligned with the electric grid modernization to capitalize on economies of scale and reduce neighborhood disruptions. Owner: Alexandra Harris Objective Milestone Complete buildout of a reliable and high-speed municipal fiber and grid modernization pilot. Issue a Request for Proposal (RFP) for Operating Support Systems/Business Support Systems (OSS/BSS) and invitation for construction bids for phase 1 implementation. Achievements: Progress continues advancing the Palo Alto Fiber pilot with recent achievements including fiber cable installation in December. Construction installing the fiber hut at the Colorado substation continues. Staff gained approval on fiber service rates, advanced business tools such as billing and operations software to roll out services in the initial service area. Roadblocks: Federal compliance for building the fiber hut increased construction scope, which delayed installation of fiber cable, activation of the fiber hut and other activities Next Steps: Activities estimated in Q1 2026: complete installation of fiber cable and complete construction and activate the fiber hut. Launch Palo Alto Fiber grassroots marketing and web presence, enable pilot area customer sign up and express interest in non-pilot area. Council consideration of an ordinance that expands retail opportunities and promotes retail resiliency. Consider further refinement to the retail and retail-like definition and explore changes to retail preservation ordinance. Owner: Jennifer Armer Objective Milestone Prepare recommendations on retail approaches in response to City Council direction. Conduct a Planning and Transportation Commission (PTC) study session to explore alternative ordinance revision strategies. Prepare a draft ordinance for review by the PTC and recommendation to the City Council. Achievements: The PTC conducted a Study Session on October 29, 2025, to discuss potential ordinance components and receive comments. Staff is currently developing draft recommendations for a future ordinance. Roadblocks: To better align staff and commission efforts, staff will engage the Retail Committee for feedback prior to returning to the PTC for its recommendation on a draft ordinance. Next Steps: Staff will present initial findings to the Retail Committee in Q1, then return to the PTC. City Council review is planned for Q2 2026. Objective 2.2.1 Ongoing - Sep 30, 2025 Behind Objective 2.2.2 Ongoing - Dec 31, 2025 Behind ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 29  Packet Pg. 36 of 469  Page 20 %# On Track 5 1 Behind 20 4 On Hold 10 2 Completed 65 13 %# Completed 100 4 Council consideration of an ordinance restoring subjective wireless communication facility regulations. Hold a public hearing on a draft ordinance implementing the City Council's direction from late 2024 to eliminate objective standards for the placement of wireless antennas within the public right of way on streetlight or utility poles. Owner: Jennifer Armer Objective Milestone Adopt a temporary ordinance. Achievements: The City Council held a public hearing on a draft ordinance on May 19, 2025. The temporary ordinance was adopted, and a second reading was completed on June 9, 2025, successfully meeting the initial objective. Roadblocks: Further directives from the City Council expanded the scope beyond the original objective, including instructing the Architectural Review Board (ARB) to review and potentially revise cell tower application standards and clarify their review process; referring ARB recommendations to the Planning and Transportation Commission; and directing staff to consult an external expert to evaluate the technical feasibility of specific tower setbacks. These actions remain pending. Next Steps: Determine and prioritize the additional tasks as a future Council objective. Refine destination marketing efforts and enhance Palo Altoʼs international reputation. Meet with hospitality partners and incubator/accelerators to assess willingness to partner with the City on destination marketing efforts and propose next steps, including necessary appropriation actions, to City Council. Owner: Ruth Carias Objective Milestone Collaborate with local hotels and incubator/accelerators to partner with the City. Achievements: Staff engaged with local hoteliers in May 2025 to discuss destination marketing initiatives for Palo Alto. The hoteliers demonstrated support for these marketing efforts. Additionally, staff is actively exploring partnership opportunities with incubators and accelerators. Roadblocks: Progress on partnership development has been slower than anticipated due to limited staffing resources. Hotelier feedback highlighted the importance of establishing measurable outcomes to report to their executive teams. Next Steps: Staff will prioritize the development of clear, measurable outcomes for marketing initiatives to address hotelier concerns. Efforts will continue to identify and pursue partnership opportunities with incubators and accelerators, while also seeking ways to mitigate the impact of limited staffing. Objective 2.2.3 Ongoing - Dec 31, 2025 Completed Objective 2.2.4 Ongoing - Sep 30, 2025 Behind Council Priority 3 Implementing Housing Strategies for Social & Economic Balance Focus Area 3.1 Enable housing production through zoning and regulatory reform ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 30  Packet Pg. 37 of 469  Page 21 Prepare an ordinance for Council review expanding the housing focus area. Increase housing development potential along El Camino Real and consideration of an exemption from payment of development impact fees for inclusionary units under certain circumstances, consistent with Housing Element Program 3.4 E. Owner: Coleman Frick Objective Milestone Present draft ordinance for PTC consideration and recommendation to City Council. Achievements: The Planning Commission considered a draft ordinance amending and expanding the El Camino Real Focus Area on March 26, 2025 and recommended City Council approval. The City Council adopted an ordinance amending the regulations on May 27, 2025 (June 16 second reading). Roadblocks: Project concluded in Q2, no roadblocks identified during reporting period. Next Steps: Project completed in Q2, 2025. Present to Council an ordinance updating the Cityʼs housing incentive program. Increase housing development potential and expand provisions to multi-family zoning and other commercial districts in accordance with Housing Element Program 3.4 D. Owner: Coleman Frick Objective Milestone City Council consideration of a draft ordinance. Achievements: The City Council adopted an ordinance amending the Housing Incentive Program and Affordable Housing Incentive Program on March 3, 2025 (April 7 second reading). Roadblocks: Project concluded in Q1 2025, no roadblocks identified during reporting period. Next Steps: Project completed in Q1, 2025. Prepare an update to the City's accessory dwelling unit ordinance. Update local implementation regulations to respond to changes in State Law, consistency with the State Housing and Community Department's 2025 ADU Handbook and address applicable deficiencies identified in HCD's comment letter. Owner: Garett Sauls Objective Milestone Adopt an ordinance updating the Cityʼs accessory dwelling units. Achievements: The City Council adopted the ADU ordinance on May 12, 2025, with a second reading adoption on June 14, 2026. The council motion included direction to explore further policy alternatives related to ADUs, such as additional square footage and condo conversions. Roadblocks: The exploration of further policy alternatives, including additional square footage and condo conversions, extends beyond the current objective scope and cannot be addressed this year. Next Steps: The additional work will be considered for a future City Council priority objective, pending further direction and prioritization by the council. Objective 3.1.1 Ongoing - Jun 30, 2025 Completed Objective 3.1.2 Ongoing - Jun 30, 2025 Completed Objective 3.1.3 Ongoing - Jun 30, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 31  Packet Pg. 38 of 469  Page 22 %# Behind 17 1 On Hold 17 1 Completed 67 4 Initiate the San Antonio Road Area Plan. Begin data gathering, document review, implementing a community outreach and engagement strategy, check-in meetings with appointed and elected officials, and review by the City Council of a community assessment report and receive updated project direction, consistent with Housing Element Program 6.6 C. Owner: Robert Cain Objective Milestone Secure professional services to conduct community outreach and as part of that engagement, form a community advisory committee by Q2. Community outreach will commence in Q3 and a draft Existing Conditions Report (Q3). Achievements: The project team facilitated a study session with City Council on October 6, 2025, conducted an online poll with 200 respondents in October 2025, and organized a community workshop on October 23, 2025. Insights from these activities are informing the development of land use and transportation alternatives. Additionally, on November 12, 2025, the Area Plan was selected to receive a Transit-Oriented Communities grant from the Valley Transportation Authority. The 2025 milestones are complete, and the project will continue in 2026. Roadblocks: Adaptation to ongoing changes in state housing law will be required. Next Steps: Public engagement will resume in Q1 2026, with plans to present land use and transportation alternatives to the community, City staff, advisory bodies, and City Council by the end of Q2. Partner with Santa Clara County Housing Authority to achieve construction timeline milestones for the Palo Alto Homekey project (which will provide transitional housing and services for unhoused residents). Palo Alto Homekey construction is scheduled to take place throughout calendar year 2024 with completion in early 2025. City staff attends regular project management meetings and owner-architect-contractor (OAC) meetings and conducts site visits. The Housing Authority assists the City with overall review of construction financing, budget and schedule, as well as construction monitoring, including conducting site visits, informing the City whether work is being completed on time and according to design intent, and reviewing the project schedule on a regular basis, providing input to mitigate potential delays. Owner: Melissa McDonough Objective Milestone Monitor the timely completion of updated milestones relating to concrete work, fabrication of modular units, setting of modular units, backfill and grading, decking and stairs, completion of site-built items, and switchgear installation and energization. Updated progress percentage. Objective 3.1.4 Ongoing - Dec 31, 2025 Completed Focus Area 3.2 Advance affordable housing developments Objective 3.2.1 Ongoing - Sep 30, 2025 Behind ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 32  Packet Pg. 39 of 469  Page 23 Identify different housing typology options for the one-acre site near Matadero Creek. Use grant funded technical analysis to consider housing options for a future affordable housing development on land to be dedicated to the City from the 2023 Sobrato/City Development Agreement; present findings and receive direction from Council. Owner: Claire Raybould Objective Milestone Present massing options, financial analysis, and request for proposal considerations for City Council feedback and direction on next steps. Achievements: Grant funding from MTC enabled staff to collaborate with Van Meter William Pollock and Street Level Advisors to develop three potential development options, each accompanied by detailed proforma analyses. These options were presented to Council for feedback, providing a foundation for an upcoming Request for Proposal (RFP) targeting affordable housing development partners. The findings were shared with Council on November 17, 2025. Roadblocks: No roadblocks have been identified. Next Steps: Councilʼs feedback on design preferences will shape the RFP parameters. Staff, working with Street Level Advisors, will finalize a draft RFP using grant funds by December 31, 2025. Staff will return to Council in 2026 to discuss and prioritize the RFP. Prepare the Community Development Block Grant (CDBG) 5- Year Consolidated Plan and Annual Action Plan. The Quinquennial update helps jurisdictions to assess affordable housing and community development needs and market conditions to make data-driven, place-based investment decisions when distributing federal CDBG grant funds. Owner: Coleman Frick Objective Milestone City Council adoption of the CDBG Consolidated Plan (Con Plan) and Annual Action Plan (AAP) by Q2. Achievements: The City met the Department of Housing and Urban Development (HUD) timeliness test on May 2, 2025. The Human Relations Commission considered the draft CDBG Con Plan and AAP on May 8 and provided recommendations for City Council consideration. The City Council adopted the CDBG Con Plan and AAP on June 9, 2025 Roadblocks: Project concluded in Q2 2025, no roadblocks identified during reporting period. Next Steps: Project completed in Q2, 2025. Objective 3.2.2 Ongoing - Dec 31, 2025 Completed Objective 3.2.3 Ongoing - Dec 31, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 33  Packet Pg. 40 of 469  Page 24 Advance affordable housing project on Downtown surface parking lot (Lot T). Enter into an exclusive negotiating agreement with Alta Housing; receive an updated project concept design & prescreening application for Council review; receive formal planning entitlement application, consistent with Housing Element Program 1.4 A. Owner: Julia Knight Objective Milestone Staff anticipates that Alta Housing will hold a community meeting to gather general ideas and input for this project in August 2025 and will present an updated design concept to Council in September 2025. The Alta Housing team is currently targeting an October project application submission and a December design review hearing with the Architecture Review Board. Achievements: The exclusive negotiating agreement was approved in June, and Council received a project update in October. A community meeting hosted by Alta Housing was held on December 1 at Avenidas. A formal application submittal is anticipated in early January to close out this objective. Roadblocks: No significant roadblocks have been identified at this stage; the process is proceeding as planned. Next Steps: Process the application with review before the Architectural Review Board and City Council, anticipated for June. Work with the Santa Clara County Housing Authority to determine next steps to maintain affordability and improve conditions at Buena Vista Mobile Park. Meet with Housing Authority regularly to identify feasible next steps. Review financing approach and options. Update Council on identified, proposed next steps and approach. Owner: Melissa McDonough Objective Milestone Staff plans to meet with Housing Authority regularly to identify feasible next steps. Including reviewing financing approach and maintaining Council abreast of identified options and approach. Work on this project will be reported quarterly and as necessary, with activities concluding in Q4. Achievements: The Housing Authority is advancing the $28 million infrastructure improvements at Buena Vista. Plans are in place to provide 90-day temporary relocation notices to residents in December. Roadblocks: No specific roadblocks have been identified at this stage, but clear and ongoing communication with the community and Council remains important. Next Steps: The Housing Authority will distribute temporary relocation notices to residents and work with them on their temporary housing arrangements. Barring weather delays and/or unforeseen circumstances, the improvements are expected to begin in spring and complete in fall 2026. Objective 3.2.4 Ongoing - Dec 31, 2025 Completed Objective 3.2.5 Ongoing - Dec 31, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 34  Packet Pg. 41 of 469  Page 25 %# Behind 50 2 Completed 50 2 Organize an initial review of sources and methods to raise funding to support new affordable housing production for future evaluation. Conduct research to identify and evaluate sources and methods. Work with Finance Committee to develop recommendations for City Council. Owner: Melissa McDonough Objective Milestone Conduct research and evaluate sources and methods to raise funding to support new affordable housing production. Present findings to the Finance Committee for feedback and development into recommendations for City Council. Achievements: Staff successfully reallocated time and resources to support the oversized vehicle (OSV) phase 1 work, following Council approval on October 20th. This work aligns with the Policy and Services Committee recommendation associated with another Priority Objective. Roadblocks: The same staff resources required for the OSV phase 1 work are also needed for progress on this Priority Objective, resulting in resource constraints and potential delays. Next Steps: Evaluate resource allocation and priorities for calendar year 2026, as part of the budget process and Council retreat. Depending on the results of that prioritization, consider options for additional staffing or adjusted timelines to mitigate delays and ensure both initiatives advance effectively. Present a renter protection fair chance ordinance to Council. Present findings of an analysis and policy recommendations in the form of a draft ordinance to reduce barriers to housing by individuals with criminal records, consistent with Housing Element Program 6.6 I. Consistent with the City Councilʼs renter protection policy direction, staff will research the policy implications of a fair chance renter policy from a legal, policy, and anticipated resource demand perspective. Owner: Coleman Frick Objective Milestone Present ordinance for City Council consideration. Achievements: Staff presented an ordinance for City Council consideration on April 14, 2025. The Council directed staff to further analyze specific provisions and return to the City Council Policy and Services Committee for further consideration and next steps. Roadblocks: Project objective and milestone completed in Q2, 2025. No roadblocks identified during reporting period. Next Steps: Policy and Services Council Committee consideration of revised draft ordinance anticipated to occur in early 2026. Objective 3.2.6 Ongoing - Dec 31, 2025 On Hold Focus Area 3.3 Support tenant protections and housing equity Objective 3.3.1 Ongoing - Sep 30, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 35  Packet Pg. 42 of 469  Page 26 Report out on initial data from the rental registry program and project implementation; receive feedback and recommendations for next steps. The Rental Registry Program registration period ran between fall 2024 and spring 2025. The data collected in the first year of the program will be provided to the City Council including key insights and next steps. Owner: Coleman Frick Objective Milestone Reporting to Council on first year of registration period in Q3. Open second year registration period on October 1, 2025. Achievements: Completed draft analysis of data collected through Program Year 1 of the Rental Registry Program in Q2. Successfully opened registration for the second year of the program on October 1, 2025. Roadblocks: Final data analysis is in progress but behind schedule due to PDS reprioritization in Q4 2025 on other year-end deadlines. Next Steps: Staff will present to the Policy & Services (P&S) committee findings from the first year and combine this effort with a report on the rent stabilization objectives. Staff anticipates making recommendations to P&S related to next steps on both initiatives. If unanimous support is received, staff would place the item on the City's consent calendar for consideration in Q1. Present to Council an analysis related to anti-rent gouging. Consistent with prior Council direction, examine implications of a possible ordinance from legal, policy and anticipated resource demand perspectives; receive direction on next steps. Owner: Julia Knight Objective Milestone September 30, 2025 will mark the end of the first year of required real-time rent increase reporting for all properties subject to the rental registry program as it is currently implemented. Staff will analyze this data alongside annual rent reporting trends from the 2024-2025 program year to inform a Q4 Council discussion on the costs and benefits of a potential rent stabilization program in Palo Alto. Achievements: Staff presented initial policy analysis findings to Housing Ad Hoc Committee in Q4 2024 and received direction to present analysis alongside Palo Alto specific rental housing data from the Rental Registry Program in 2025. Staff has completed an initial review of the available registry data and completed further policy research. Roadblocks: Rental Registry Program staff have limited capacity to complete further data analysis during the Program Year 2 open registration period, which runs through mid-January. Next Steps: Staff will complete further data analysis and share findings and recommendations with the Policy & Services committee in early 2026. Objective 3.3.2 Ongoing - Sep 30, 2025 Behind Objective 3.3.3 Ongoing - Dec 31, 2025 Behind ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 36  Packet Pg. 43 of 469  Page 27 %# On Track 17 1 Behind 17 1 On Hold 17 1 Completed 50 3 Present options to address homelessness impacts, particularly relating to individuals living in vehicles, to Policy & Services Committee for prioritization. Identify feasible (1) regulatory approaches to manage the use of public space and (2) policy solutions to expand RV safe parking. Present options to the Policy & Services Committee (P&S) for consideration and prioritization. Owner: Chantal Gaines Objective Milestone Identify options for P&S, including implementation considerations and resources needs. Present options to P&S for consideration and prioritization. Achievements: Staff presented options to P&S at a special meeting on August 25, 2025. P&S recommended a phased approach to Council, which was subsequently considered at the October 20 Council meeting. At that meeting, Council modified and approved an initial phase of the P&S recommendation, which includes drafting ordinances to prohibit the parking of detached/inoperable vehicles on public streets, prohibiting the renting of public parking spaces (“vanlording”), increasing street cleanups and sweeping of impacted streets, considering a buyback and/or storage option to facilitate rapid housing for RV residents, recruiting new safe parking on privately-owned and congregation- based parking lots, and creating an Ad Hoc Committee to recommend details on increased enforcement and related items. Since October, staff has initiated increased street cleanups and sweeping, the Ad Hoc Committee has met most weeks in November and December, and the detached/inoperable vehicles and vanlord ordinances were adopted by Council December 8. Roadblocks: Further direction is needed from the Ad Hoc Committee on proposed “Phase 2” activities, such as limiting OSVs to certain streets, creating permits, and piloting enhanced services for people living in vehicles. Next Steps: The Ad Hoc Committee will provide direction on “Phase 2” activities and continue efforts to recruit new safe parking locations.. Staff will proceed with signage and enforcement related to the approved ordinances, explore buyback and/or storage options for RV residents, and engage with stakeholders. Extend for one year or codify R1/SB 9 interim ordinance. Establish objective development standards and increases the maximum floor area for SB 9 units from 800 to 1200 square feet consistent with Housing Element Program 6.3A; consider implications of similar objective standards for R1 and SB 9 projects relative to the Cityʼs Individual Review Program. Owner: Jennifer Armer Objective Milestone Discuss and receive feedback from the Planning and Transportation Commission on a permanent ordinance in Q3 for Council consideration in Q4. Achievements: Extension of the temporary ordinance was approved by Council on December 8, 2025. Roadblocks: Work on the permanent ordinance was delayed due to other priorities and staffing reductions. Next Steps: Resume progress on the permanent ordinance as staffing and priorities allow. Currently planned for discuss with and receive feedback from the Planning and Transportation Commission on a permanent ordinance in Q3 for Council consideration in Q4. Objective 3.3.4 Ongoing - Sep 30, 2025 Completed Focus Area 3.4 Improve citywide housing policy and planning Objective 3.4.1 Ongoing - Dec 31, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 37  Packet Pg. 44 of 469  Page 28 Initiate evaluation of South of Forest Area Coordinated Area Plan (SOFA) development standards. Review and explore options to amend the coordinated area plan with the intent to replace subjective development standards with objective standards to accommodate future residential development at higher densities consistent with Housing Element Program 3.7. Owner: Coleman Frick Objective Milestone Develop options for amending the South of Forest Area Coordinated Area Plan (SOFA). Achievements: Project scoping meeting successfully held in Q4, marking the initiation of this project assignment and completion of this objective. Roadblocks: No obstacles identified at this stage. Next Steps: Project activities are scheduled to ramp up by the end of Q2 2026. Present to Council the Downtown Housing Plan Community Assessment report and receive Council direction on draft housing plan scenarios. Continue advancing the plan development and public engagement strategy to prepare draft housing plan and environmental analysis. Owner: Vishnu Krishnan Objective Milestone Provide the City Council with the Community Assessment in Q2 and receive direction on alternative approaches to housing distribution in the plan area and hold a community workshop (Q4). Policy development and community engagement efforts will continue through Q4 of 2025. Achievements: The Downtown Housing Plan Economic Analysis and Financial Feasibility Report was presented to the Council in October 2025. Roadblocks: Passage of Senate Bill (SB) 79 has introduced housing planning complexities, requiring the broader Downtown Housing Plan effort to be placed on hold pending Council guidance and direction. Next Steps: Staff is waiting for a Downtown Housing Plan / SB 79 Implementation Ad Hoc to be formed. In collaboration with staff, the ad hoc will explore alternatives to implement state law and its related effects and direction for the broader Downtown Housing Plan initiative. An ad hoc recommendation is expected in Q1, with Council direction anticipated in Q2 of 2026. Objective 3.4.2 Ongoing - Dec 31, 2025 Completed Objective 3.4.3 Ongoing - Dec 31, 2025 On Hold ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 38  Packet Pg. 45 of 469  Page 29 Present an ordinance to Council that supports innovative housing structures. Create zoning incentives or update development standards to support various housing typologies, including micro-units, intergenerational housing, aging adults, students and lower- income units, consistent with Housing Element Program 6.5. Owner: Vishnu Krishnan Objective Milestone Complete stakeholder outreach in Q2 2025. Complete an analysis of opportunities and challenges in Q3, followed by the development of alternative approaches and a study session with the Architectural Review Board in Q4. Beyond this year, a draft ordinance will be prepared in 2026 for recommendation by the Planning and Transportation Commission and consideration by the City Council. Achievements: Stakeholder outreach was completed in July 2025, and an analysis of opportunities and challenges was prepared in August 2025. The project team is currently refining the alternative approaches to be presented to the Architectural Review Board and the Planning and Transportation Commission. Roadblocks: There are currently no roadblocks identified. Next Steps: Staff will be presenting the assessment conducted and alternative approaches to the Architectural Review Board and the Planning and Transportation Commission in a joint study session in early 2026. Present findings to Council on a study that explores code amendments reducing commercial floor area and possible extension of Downtown in-lieu parking program to residential developmentPresent findings to Council on a study that explores code amendments reducing commercial floor area and possible extension of Downtown in-lieu parking program to residential development. Evaluate opportunities that make multi-family housing an attractive alternative to commercial office development, consistent with Housing Element Program 3.9. Owner: Robert Cain Objective Milestone Present findings to the Policy and Services Committee and ordinance recommendation to the City Council. Achievements: The project team is analyzing data and stakeholder feedback regarding various commercial and multi-family residential typologies at selected test sites. An information report on housing without parking requirements was submitted to the City Council on December 15, 2025. Roadblocks: Consultant work was paused for July and August. Next Steps: Staff will present findings on ways to incentivize residential development to the Policy and Services Committee in Q1 and proceed based on informed feedback from the committee. Planning and Transportation staff to begin discussions on potential city-wide reforms to public and on-street parking policies. Objective 3.4.4 Ongoing - Dec 31, 2025 On Track Objective 3.4.5 Ongoing - Dec 31, 2025 Behind ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 39  Packet Pg. 46 of 469  Page 30 %# On Track 7 1 Behind 14 2 Completed 79 11 %# Completed 100 5 Update development impact fees for public safety, government facilities, housing, transportation, parks, and community services. Conduct a nexus and feasibility study to ensure housing remains viable. Consider potential policy to waive impact fees associated with for low-income inclusionary units with when 20% of the units are deed restricted. (Housing Element Programs 2.1B; 3.1 B&C) Owner: Julia Knight Objective Milestone A RFP was issued in May 2025, with responses due by July 11, 2025. An interdepartmental panel will conduct respondent interviews at the end of August. Staff is targeting consultant selection, contract execution and project kick-off in the fall. Fee updates based on consultant studies and staff community needs analyses are anticipated in 2026 and 2027. Achievements: Staff published the RFP in May 2025 following interdepartmental review and responded to questions received on the RFP in June 2025. The City received four complete responses in July 2025 and staff interviewed three respondent teams in August 2025. In September 2025, the City notified Keyser Marston Associates (KMA) of their intent to award the project to their team. City Council approved the contract with KMA on consent on December 15, 2025. Roadblocks: None. Next Steps: The consultant and project management team will work with representatives from key departments to establish growth projections and infrastructure needs for at least the next 8 years. These assumptions will be reviewed by City Council in a study session in March or April. The consultant team will then use these assumptions to complete the necessary nexus and feasibility studies ahead of the September 2026 and January 2027 deadlines set in the City's certified housing element. Open the new Public Safety Building for daily Police, OES, and Fire services. Complete construction, move-in of departments, and a ribbon- cutting event to commemorate the official availability of public safety services from the facility for all. Complete construction of the new Public Safety Building followed by furniture and equipment installation, communication testing and set-up. Owner: Holly Boyd Objective Milestone Complete construction of the project and move public safety departments into the fully operational building. Achievements: Staff secured the certificate of temporary occupancy in August, enabling completion of the first phase of move-in by early September. A ribbon cutting ceremony and open house were successfully held on November 16. Ongoing efforts are being made to address the remaining requirements for the full relocation of Public Safety staff. Roadblocks: The construction dispute between the City and the Public Safety Building contractor has complicated the completion of remaining minor items needed for fully occupying the building, resulting in delays on completion of base contract and change order work, as well as correction of deficient work. Next Steps: Continue addressing outstanding items necessary for the complete move-in of all Public Safety staff. Objective 3.4.6 Ongoing - Dec 31, 2025 Completed Council Priority 4 Public Safety, Wellness & Belonging Focus Area 4.1 Modernize public safety infrastructure Objective 4.1.1 Ongoing - Sep 30, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 40  Packet Pg. 47 of 469  Page 31 Council to adopt the updated Foothills Fire Management Plan and Community Wildfire Protection Plan. Plan to reflect alignment with Santa Clara County and other agencies and entities to address early warning technology, planning and procedural elements and risk mitigation. Staff is working on various efforts related to improving the Cityʼs planning in collaboration with Santa Clara County and other allied agencies and entities. Efforts include not only emergency planning, but also early warning technology, and updating operational and procedural elements within the City organization to mitigate the risks associated with a fire in the foothills. NOTE: The Foothills Fire Management Plan/Community Wildfire Protection Plan (FFMP/CWPP) is a multi-year plan with OES, Fire Department, Public Works, Utilities Wildfire Mitigation Plan, Community Services Department coordinated via the Foothills Fire Management Team (aka Foothills Wildfire Coordination Team). Owner: Kenneth Dueker Objective Milestone Staff is also pursuing a service agreement with the Santa Clara County Firesafe Council to perform the schedule of required treatments each year in conjunction with some support from the City. The Fire Department and OES are in the process of evaluating certain remote fire detection equipment in cooperation with the Fire Safe Council and local partner agencies. In partnership with the Santa Clara County Fire Safe Council, Palo Alto, Stanford, and the Woodside Fire Protection District deployed a distributed wildland fire sensor network (known and “N5”) via a Homeland Security grant in the Fall of 2024 and will work through 2025 to optimize the systemʼs configuration. Achievements: The project is completed. Council adopted the updated plan in November 2025. Roadblocks: None. Next Steps: This plan will be implemented on an annual basis by the FFMP team. Council approval of construction contract for Fire Station No. 4 Replacement project and initiation of construction. Complete design and award a construction contract to re-build Fire Station No. 4. Owner: Holly Boyd Objective Milestone Complete design, construct temporary facility, and award a construction contract in the Fall 2025. Achievements: The project was advertised for bids in late June, and a construction contract along with accompanying contract amendments received City Council approval on October 20. Temporary fire station construction was completed in June, with staff relocation occurring in July. The notice to proceed was issued to the contractor and construction started on December 1. A ground-breaking ceremony is scheduled for January 8, 2026. Roadblocks: No significant roadblocks have been reported at this stage. Next Steps: Continue monitoring construction progress, address any issues that arise during the build, and maintain communication with stakeholders to ensure project milestones are met. Objective 4.1.2 Ongoing - Jun 30, 2025 Completed Objective 4.1.3 Ongoing - Sep 30, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 41  Packet Pg. 48 of 469  Page 32 %# On Track 17 1 Behind 17 1 Completed 67 4 Activate a fire engine at Fire Station 4. The Palo Alto Fire Department (PAFD) provides fire protection and emergency medical transport throughout the City and Stanford. Following pandemic budget reductions that impacted all City departments and services, the Council has reinvested in fire services to rebuild operations. Additional investment in emergency medical and fire response supports the whole community and a near-term proposal to add a fire engine to the current ambulance staffing at Fire Station 4 will be considered. Owner: Stephen Lindsey Objective Milestone Augment staffing at Fire Station 4 to deploy either ambulance or fire engine response. Achievements: Engine 64 was officially upstaffed at Fire Station 4 on May 5, 2025, and is now cross staffed daily with Medic 64. The crew, consisting of a captain, apparatus operator, and firefighter, is assigned to deploy either the fire engine or the ambulance based on the emergency type. As of July 8, 2025, both Engine 64 and Medic 64, along with their personnel, have been successfully relocated to the Temporary Fire Station 4 at 4000 Middlefield Road at Cubberley to facilitate the upcoming Fire Station 4 construction project. Roadblocks: No roadblocks have been identified. Next Steps: Operations will continue under the cross-staffed response model. Initiate an update to the Cityʼs seismic hazards ordinance. Conduct an assessment of previous study, update potentially eligible buildings, and begin work on seismic hazard identify and mitigation ordinance. Owner: Julia Knight Objective Milestone Establish a community advisory group to support the project with a first meeting targeted for August 2025, with 2-3 additional meetings to follow. Staff intends to present findings from Task A (an updated of the eligible buildings list) to the Policy and Services Committee in November or December 2025. Work will continue into 2026 with an aim to adopt an updated ordinance by the end of the 2026 calendar year. Achievements: Work has been successfully initiated. City Council awarded the project contract to Rutherford & Chekene on February 10, 2025. Staff issued the consultant a notice to proceed with Task A on May 7, 2025. Staff began work to establish the community advisory group in June 2025. The first advisory group meeting was held on August 20, 2025 and the second was held on October 14, 2025. Policy research, report updates and vulnerable building inventory updates are complete as of December. Roadblocks: None. Next Steps: Staff and consultants will develop a draft ordinance over the course of the next six months to present to Council for their consideration in the second half of 2026. Objective 4.1.4 Ongoing - Jun 30, 2025 Completed Objective 4.1.5 Ongoing - Sep 30, 2025 Completed Focus Area 4.2 Expand wellness and community serving facilities and services ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 42  Packet Pg. 49 of 469  Page 33 Develop Master Plan for Cubberley site. The City has hired consultant, Concordia, to lead the Master Planning process for the anticipated 15 acres of the Cubberly site. Currently the City owns eight acres and plans to purchase an additional seven acres from PAUSD pending a successful bond measure in November 2026. Concordia will lead the community engagement and master planning process with anticipated completion by December 2025. Master planning will be in cooperation with The Friends of the Palo Alto Recreation Wellness Center, whose objective is to create space for a 3-court gymnasium and wellness center in the first phase of construction. The master planning process will occur concurrently with the Cityʼs efforts to pass the bond measure in November 2026, which in 2025 will include working with a polling consultant (FM3) and ballot strategy consultant (Lew Edwards Group). Owner: Kristen O'Kane Objective Milestone The project will be kicked off by a Council Visioning Session in February, 2025, followed by community engagement meetings in March, June and September. Staff will analyze the feedback and return to Council in December to present the Final Master Plan draft for consideration. Achievements: Extensive community engagement took place through co- design meetings, City Council updates, Board and Commission presentations, and various outreach efforts. A draft master plan has been completed and CEQA is underway. The concept highlights the need for phasing the project, recognizing that available funding may be a limiting factor. Two community polls were conducted to test voter support of funding mechanisms and amounts. Roadblocks: The timing of doing a master plan and conducting polling concurrently makes decision-making difficult, and requires flexibility in each step of master plan development. Next Steps: A third community poll will be launched in January. The master plan will be presented to various Boards and Commission, and then to the City Council in early 2026. Implement the 2024-2025 Wellness & Belonging Action Plan. Complete the 26 action items in the action plan in collaboration with partners as well as completing a training on Islamophobia and Antisemitism. Owner: Chantal Gaines Objective Milestone Each item in the action plan has a different deadline with a variety of milestones. The action plan can be found here: https://www.paloalto.gov/files/assets/public/v/2/city- manager/wellness-and-belonging/wellness-and-belonging- workplan-2025.pdf Achievements: 54% of Action Plan items are completed or on track for completion this quarter. Staff continues to advance items towards completion. Staff completed 2 trainings regarding Islamophobia, Anti-Palestinian hate, and Antisemitism in Q4. The trainings were successful and staff is working to bring a virtual training to staff, Boards/Commissions/Committees, and City Council in late January 2026. Roadblocks: No specific roadblocks identified. Next Steps: Continue to advance the actions included in the action plan and also complete the additional training referenced above. Objective 4.2.1 Ongoing - Dec 31, 2025 Completed Objective 4.2.2 Ongoing - Dec 31, 2025 On Track ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 43  Packet Pg. 50 of 469  Page 34 Open 445 Bryant Street Community Center. The project at 445 Bryant Street will transform the facility into a two-level community center designed to host community programs, classes, events, and dedicated teen space. The first- floor multi-purpose room will serve as the primary location for La Comidaʼs Senior Lunch Program. Phase I includes the structural improvements necessary to make the building safe for occupancy and to open the community center to the public. Completion of Phase I will allow for the official opening of the community center and the launch of La Comidaʼs lunch program. Phase II will focus on building out the second-floor space to serve as a teen center and additional community events and classes. Owner: Kristen O'Kane Objective Milestone Phase I- hire an architect to design structural updates, with priority given to the first-floor to serve as a senior lunch program and community event space. Structural improvements will include ADA improvements, sound mitigation, plumbing and HVAC system upgrades among others. Achievements: Multi-department coordination has advanced the completion of renovations for the downstairs space dedicated to La Comidaʼs senior lunch program, with significant construction milestones achieved. Building improvements for the upstairs areas are progressing to support CSD programming and the development of a teen center. Input from teens, gathered through surveys and workshops, has informed the content, design, and layout of the teen center. Interior construction remains on schedule for completion by the end of December, subject to building inspections. Roadblocks: The recent permitting review identified challenges related to the HVAC upgrade, necessitating additional work to meet planned occupancy requirements, however staff are working through these challenges to enable La Comida to being lunch services. Next Steps: A soft opening is being planned for January. Enhance and Expand Inclusive Programs and Services. Enhance services to support individuals with disabilities seeking accommodation support, expand community partnerships that serve the disability community, and implement new therapeutic recreation programs. CSD will continue to expand and enhance inclusive and accessible practices, programs, classes, and events. The new Therapeutic Recreation and Accessibility Coordinated role was hired in August 2024 and began providing dedicated support to the department in handling all accommodation requests for participation, leading quarterly all-staff training on inclusive practices, and facilitating inclusive and adaptive recreation programs, classes and events with our community partner organizations. Owner: Amanda Deml Objective Milestone The Community Services Department will hire a new full-time coordinator to support inclusion efforts across programs. The department will enhance the accommodation request process to better serve individuals with diverse needs and will create and support new inclusive programs in collaboration with community partners. Additionally, new therapeutic recreation programs will be launched to provide tailored opportunities for participation. To strengthen internal capacity, quarterly inclusion trainings will be implemented for all CSD staff. Achievements: New hire commenced employment on December 1, 2025. A new therapeutic recreation program was developed and launched in partnership with AbilityPath in November, enabling individuals with profound disabilities to volunteer at City facilities twice a week, fostering meaningful community engagement. Roadblocks: No roadblocks have been identified regarding the initiation and onboarding of the newly hired staff member. Next Steps: The new employee will proceed with onboarding and begin engaging with both internal and external stakeholders. Preparation will commence for the launch of all CSD staff training initiatives and new therapeutic recreation programs and events scheduled for Q1 2026. Objective 4.2.3 Ongoing - Sep 30, 2025 Behind Objective 4.2.4 Ongoing - Dec 31, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 44  Packet Pg. 51 of 469  Page 35 Implement New Expanded CSD Recreation Special Events Workplan. Create special events that foster togetherness, belonging, and a strong sense of community. Continuing cherished traditions and introducing new gatherings helps combat the loneliness epidemic and celebrate the rich diversity of the community. Longstanding events such as the May Fete Parade and Festival, Fourth of July Chili Cook-Off, Moonlight Run, and Holiday Tree Lighting remain cornerstones of community connection. New events are also planned for this year, pending City Council approval of the workplan. In addition, the Community Services Department (CSD) offers a wide range of special events throughout the year and actively partners with other City departments and local organizations to enhance community engagement. Owner: Kristen O'Kane Objective Milestone Approve the 2025 CSD Recreation Special Events workplan. Include the following new events: Heart and Harmony Dance; Around the World in One Day Cultural Event; Fun and Games at July Third Thursday; Pancakes in the Park; and a Pet Costume Parade. Achievements: All events outlined in the Special Events workplan and presented to the City Council in February have been successfully completed. In Q4, staff provided support for the Moonlight Run, introduced the Pet Parade on California Avenue, and continued the Jack-O-Jaunt at Lytton Plaza. Additional support was provided for the Veterans Day event and Friendsgiving, while leadership was demonstrated in the Tree Lighting event. Roadblocks: No roadblocks have been identified. Next Steps: Development of a work plan for Calendar Year 2026 will commence, with plans to present it to the City Council for input and feedback. Support Community Mental Health. The Community Services Department (CSD) continues to promote mental health for all ages through a range of programs, partnerships, and initiatives. In FY25, the City Council allocated $100,000 to support youth and teen mental health efforts. Ongoing programs from 2024 include free Link rides for teens ($10,000) to access mental health-supportive locations such as community centers, parks, libraries, and Allcove, as well as the Beyond the Books event ($4,000). New initiatives in FY25 include a $45,500 contract with Palo Alto University to host mental health workshops for teens and parents, and a new Career Fair event ($10,000) focused on post- high school pathways that do not involve traditional university enrollment. Additional trainings, programs, and partnerships are also under development. Owner: Kristen O'Kane Objective Milestone In the spring, teen mental health workshops will launch in partnership with Palo Alto University, along with a career fair focused on non-traditional post-high school pathways. Fall activities will include hosting the Beyond the Books event. By Q4, the City of Palo Alto and the Palo Alto Unified School District will work with stakeholders to further refine the scope of collaboration for City Council discussion, potential direction, and continued partnership with the School District. Achievements: Community Services Department staff collaborated with the County of Santa Claraʼs Q Corner and Allcove to facilitate Wednesday afternoon Gen Z hangouts, providing a safe and supportive environment for teens through October. Council approved new agreements with Project Safety Net and The Jed Foundation to enhance youth mental health and suicide prevention initiatives. Project Safety Net, Stanford, and the City organized two community mental health gatherings to share resources and offer spaces for healing. The Jed Foundation commenced its work this quarter with a site visit and multiple sessions involving community partners. All milestones identified for 2025 have been achieved, with ongoing efforts planned. Roadblocks: No roadblocks identified. Next Steps: The Jed Foundationʼs initiatives will continue throughout the next calendar year. Additional opportunities for engagement with community partners and local youth will be pursued. Objective 4.2.5 Ongoing - Dec 31, 2025 Completed Objective 4.2.6 Ongoing - Dec 31, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 45  Packet Pg. 52 of 469  Page 36 Promote environmental and transportation safety Owner: Lupita Alamos %# Behind 33 1 Completed 67 2 Continue engagement with San Francisco Airport on SFO's Ground Based Augmentation System (GBAS) project and other potential opportunities to decrease SFO noise impacts on Palo Alto. Palo Alto is impacted by three arrival routes into San Francisco International Airport (SFO). These routes have had an ongoing negative health impact on our community and intensified due to the implementation of the Federal Aviation Administrationʼs NextGEN Initiative. The City remains committed to collaborating with residents, the FAA, SFO, SFOʼs Community Roundtable, elected officials, regional agencies, and noise advocacy groups to identify solutions that restore quality of life. Staff and community members continue to evaluate the potential noise impacts of SFOʼs proposed Ground Based Augmentation System (GBAS) on Palo Alto. Owner: Andrew Swanson Objective Milestone Issue a Request for Qualifications (RFQ) to solicit proposals for two key initiatives: 1.Ground-Based Augmentation System (GBAS): To evaluate the feasibility and potential benefits of implementing GBAS technology to reduce aircraft noise impacts in our region. 2.San Francisco International Airport (SFO) Noise Data Analysis: To obtain detailed data and technical expertise for analyzing noise impacts from SFO operations on our community. The RFQ process will ensure we identify qualified consultants or firms with the appropriate experience to support these efforts. Achievements: Staff continued coordination with San Francisco International Airport (SFO) on regional aircraft noise issues, including active engagement regarding SFOʼs proposed Ground Based Augmentation System (GBAS). The City submitted formal comments on SFOʼs Final Runway Development Action Plan (RDAP) Draft EIR and, following the certification of the EIR by teh San Francisco Planning Commission, filed an appeal of the approval. Roadblocks: Staffing constraints within the Airport Division persisted during the quarter, resulting in delays to the issuance of the RFQ for GBAS feasibility evaluation and comprehensive SFO noise data analysis. During meetings with SFO staff, SFO has indicated that limited FAA resources are an obstacle to making progress on some initiatives that may benefit Palo Alto. Next Steps: Staff anticipates issuing the RFQ in Winter 2026 to secure specialized consulting support for GBAS feasibility evaluation and SFO noise data analysis. Concurrently, Palo Alto's appeal of the SFO RDAP Final EIR certification is expected to be heard in the first quarter of 2026. Focus Area 4.3 Objective 4.3.1 Ongoing - Dec 31, 2025 Behind ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 46  Packet Pg. 53 of 469  Page 37 Council Approval of Quiet Zone Concept Plans at Churchill Ave, Meadow Drive, and Charleston Rd Rail Crossings. Quiet zone implementation is desired by neighborhood to reduce noise impact of locomotive horn sound off in advance of crossings. The city must mitigate the increased risk caused by the absence of the horn. Safety improvements meeting Federal Rail Authority technical requirements must be identified and implemented in order to establish a quiet zone. Owner: Ripon Bhatia Objective Milestone A draft conceptual improvement plan was developed in 2024. Conduct public outreach and review by the Rail Committee by June 2025. Achievements: The Rail Committee reviewed and recommended Measures for Quiet Zone implementation to the City Council in September 2025. The Council approved the Quiet Zone Measures and the conceptual plans for implementation in November 2025. Roadblocks: No roadblocks have been identified. Next Steps: This Objective is complete. Staff will work toward securing the funding and initiate the implementation plan. Enhance safety and improve quality of life in commercial areas by reducing criminal activity through business engagement and the deployment of officers and technology. Establish a Business Watch program to enhance collaboration with businesses and assign two officers at a minimum to patrol high traffic commercial areas. Deploy technology and officers in commercial areas in order to deter criminal activity and support a safe environment for the public. Engage with local businesses to facilitate information sharing, identify problems and develop collaborative solutions. Work with other city departments to abate nuisances and connect offenders with appropriate social services. Owner: James Reifschneider Objective Milestone Assign at least 2 officers daily to, exclusively, patrol high traffic commercial areas. Complete deployment of 10 additional Automatic License Plate Reader (ALPR) cameras approved by the Council in December for a total of 30 cameras throughout. Establish a “Business Watch” program to enhance collaboration with businesses. Achievements: Daily deployment of two or more officers remains focused on patrolling high- traffic retail and commercial areas. All 30 Council-authorized ALPR cameras are fully operational. In the absence of a formal program, police department staff have partnered with the Chamber to improve the dissemination of timely and relevant crime trend information. The 2025 milestones have been met, with ongoing efforts continuing. Roadblocks: No roadblocks have been identified. Next Steps: Police department staff will continue to enhance collaboration in alignment with the Chamberʼs needs. Objective 4.3.2 Ongoing - Sep 30, 2025 Completed Objective 4.3.3 Ongoing - Dec 31, 2025 Completed ATTACHMENT BItem 2 Attachment B - 2025 Council Priorities and Objectives Q4 Update        Item 2: Staff Report Pg. 47  Packet Pg. 54 of 469  City Council Staff Report Report Type: CONSENT CALENDAR Lead Department: City Clerk Meeting Date: January 12, 2026 Report #:2512-5744 TITLE Approval of Minutes from December 8, December 10, and December 15, 2025 Meetings RECOMMENDATION Staff recommends that the City Council review and approve the minutes. ATTACHMENTS Attachment A: December 8, 2025 Draft Action Minutes Attachment B: December 10, 2025 Draft Action Minutes Attachment C: December 15, 2025 Draft Action Minutes APPROVED BY: Mahealani Ah Yun, City Clerk Item 3 Item 3 Staff Report        Item 3: Staff Report Pg. 1  Packet Pg. 55 of 469  CITY COUNCIL DRAFT ACTION MINUTES Page 1 of 5 Regular Meeting December 8, 2025 The City Council of the City of Palo Alto met on this date in the Council Chambers and by virtual teleconference at 5:30 P.M. Present In Person: Burt, Lauing, Lu, Lythcott-Haims, Reckdahl, Stone, Veenker Councilmember Reckdahl Arrived at 5:33 P.M. Councilmember Lythcott-Haims Arrived during Closed Session. Present Remotely: Absent: Closed Session 1. 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. 2. CONFERENCE WITH CITY ATTORNEY - EXISTING LITIGATION Swinerton v. City of Palo Alto (JAMS Reference #:5100003409) Authority: Government Code Section 54956.9(d)(1) 3. CONFERENCE WITH CITY ATTORNEY-POTENTIAL LITIGATION Subject: Potential litigation regarding 156 North California Avenue, as set forth in letter(s) from Holland & Knight LLP dated September 3, 2025 Authority: Government Code Section 54956.9(d)(2) Number of potential cases: 1, as Defendant. MOTION: Vice Mayor Veenker moved, seconded by Councilmember Burt to go into Closed Session. MOTION PASSED: 6-0-1, Lythcott-Haims absent Council went into Closed Session at 5:34 P.M. Item 3 Attachment A - December 8, 2025 Draft Action Minutes        Item 3: Staff Report Pg. 2  Packet Pg. 56 of 469  DRAFT ACTION MINUTES Page 2 of 5 City Council Meeting Draft Action Minutes: 12/08/2025 Council returned from Closed Session at 8:30 P.M. Mayor Lauing announced no reportable action. Agenda Changes, Additions and Deletions Public Comment Council Member Questions, Comments and Announcements Consent Calendar Councilmember Lythcott-Haims registered a no vote on Agenda Item Number 4. MOTION: Councilmember Stone moved, seconded by Councilmember Burt to approve Agenda Item Numbers 4-14. MOTION PASSED ITEM 4: 6-1, Lythcott-Haims no MOTION PASSED ITEMS 5-14: 7-0 4. Adoption of Emergency and Regular Ordinances Prohibiting Unattached Trailer Parking and Vanlording and a Resolution Amending the Administrative Penalty Schedule Imposing Penalties; CEQA status – not a project. 5. QUASI-JUDICIAL. 2451 Cowper Street [25PLN-00102]: Appeal of Director's Decision to Approve an Individual Review Application to Allow Deconstruction of an Existing Single- Family Residence and Detached Garage and to Construct a 2,380-Square-Foot Two-Story Residence. Zoning District: R-1 (Single-family Residential). CEQA Status: Exempt in Accordance with CEQA Guidelines 15303. 6. Adopt a resolution authorizing execution of the Professional Services Agreement between the Northern California Power Agency and the Cities of Palo Alto and Santa Clara for Electric Transmission, Generation and Regulatory Consulting Services in a Not to Exceed Amount of $657,500 over a five-year contract term ending December 31, 2030; CEQA Status: Not a Project. Item 3 Attachment A - December 8, 2025 Draft Action Minutes        Item 3: Staff Report Pg. 3  Packet Pg. 57 of 469  DRAFT ACTION MINUTES Page 3 of 5 City Council Meeting Draft Action Minutes: 12/08/2025 7. Approval of Contract Amendment No. 1 to Contract No. C25192924 with Concordia, LLC in the amount of $65,000, for a total contract amount not to exceed $696,966 for additional services associated with development of the Cubberley Master Plan; CEQA Status – CEQA will be completed as part of this project. 8. Approval of Contract Amendment Number 5 to Contract Number C14151181 with SAP Public Services in the Amount of $334,355 for SAP Maintenance and Support for One Year, ending December 2026; CEQA Status – Not a Project. 9. FIRST READ: Adoption of an Ordinance Renewing the Police Department's Military Equipment Use Policy Under AB 481; CEQA status – not a project. 10. FIRST READING: Adoption of an Interim Ordinance to Extend Interim Ordinance 5645 of the Council of the City of Palo Alto Amending Various Chapters of Title 16 (Building Regulations) and Title 18 (Zoning) and Title 21 (subdivisions and other Divisions of Land) of the Palo Alto Municipal Code to Implement SB 9 and Other State Housing Laws. CEQA Status: Exempt Pursuant to CEQA Guidelines Section 15061(b)(3). 11. Acceptance of Annual Report on Development Impact Fees for Fiscal Year 2025 and Adoption of a Resolution Making Statutory Findings for all Development Impact and In- Lieu Fee Funds; CEQA status - Not a Project. 12. Adoption of a Resolution Declaring Weeds to be a Public Nuisance and Setting February 9, 2026 for a Public Hearing for Objections to the Proposed Weed Abatement; CEQA status: exempt, CEQA Guidelines Section 15308. 13. Approval of General Services Contract Number C26195709 with Corodata Records Management, Inc in an Amount Not to Exceed $120,000 for Off-Site Records Storage and Management Services for a Period of Five Years, CEQA Status- Not a Project. 14. Recommend City Council Approval of the CSD Equipment & Materials Inventory Management and Building Permit & Inspection Fees Audits as recommended by the Policy & Services Committee and Extension of the Deadline for several FY2025 Task Orders City Manager Comments Ed Shikada, City Manager Item 3 Attachment A - December 8, 2025 Draft Action Minutes        Item 3: Staff Report Pg. 4  Packet Pg. 58 of 469  DRAFT ACTION MINUTES Page 4 of 5 City Council Meeting Draft Action Minutes: 12/08/2025 Action Items 15. REINTRODUCED FIRST READING: Adoption of an Ordinance Updating Palo Alto Municipal Code (PAMC) Section 18.40.250 (Lighting) of Chapter 18.40 (General Standards and Exceptions) and Amending Chapters 18.10, 18.12, 18.28, and Section 18.40.230 of Title 18 (Zoning) to Adopt New Outdoor Lighting Regulations; CEQA Status — Exempt pursuant to CEQA Guidelines Section 15308 (Actions for Protection of the Environment) MOTION: Councilmember Stone moved, seconded by Councilmember Reckdahl to adopt the proposed ordinance with staff’s recommended changes and include the following changes: 1) Amend Section 18.40.250(e)(4)(A), removing the curfew start time of 12:00 a.m. and adding a curfew start time of 11:00 p.m. 2) Amend Section 18.40.250(c)(3) to remove the phrase “If a building permit is required” to apply the ordinance to all new installation, replacement, or modification of outdoor luminaires. 3) Amend Section 18.40.250(L)(1), removing the words “two years” and replacing it with the words “one year”, shortening the compliance period for adjustable existing lighting fixtures to one year. 4) Amend Section L(2)(A) and (B) and L(3) to remove the retrofit requirement. 5) Refer to the Utilities Department to evaluate electric efficiency incentives related to voluntary retrofits of existing fixtures. 6) Request staff to evaluate objective standards as an alternate to cost of the lighting study. 7) Under the business curfew, retain the 2-hour-after closure and limit the after-vacancy to one hour. 8) Outdoor space above ground floor Section F(4)(B) revised to be consistent to other curfews in this ordinance. MOTION PASSED: 6-1, Lythcott-Haims no Adjournment: The meeting was adjourned at 11:35 P.M. Item 3 Attachment A - December 8, 2025 Draft Action Minutes        Item 3: Staff Report Pg. 5  Packet Pg. 59 of 469  DRAFT ACTION MINUTES Page 5 of 5 City Council Meeting Draft Action Minutes: 12/08/2025 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 3 Attachment A - December 8, 2025 Draft Action Minutes        Item 3: Staff Report Pg. 6  Packet Pg. 60 of 469  CITY COUNCIL DRAFT ACTION MINUTES Page 1 of 2 Special Meeting December 10, 2025 The City Council of the City of Palo Alto met on this date in the Council Chambers and by virtual teleconference at 6:04 P.M. Present In Person: Burt, Lauing, Lu, Lythcott-Haims, Reckdahl, Stone, Veenker Present Remotely: Absent: Agenda Changes, Additions and Deletions Action Items 1. 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. 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. Councilmember Reckdahl Recused from Agenda Item Number 1. MOTION: Councilmember Lythcott-Haims moved, seconded by Vice Mayor Veenker to continue this item to the December 15, 2025 City Council meeting. MOTION PASSED: 6-0-1, Reckdahl recused Adjournment: The meeting was adjourned at 8:44 P.M. Item 3 Attachment B - December 10, 2025 Draft Action Minutes        Item 3: Staff Report Pg. 7  Packet Pg. 61 of 469  DRAFT ACTION MINUTES Page 2 of 2 Sp. City Council Meeting Draft Action Minutes: 12/10/2025 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 3 Attachment B - December 10, 2025 Draft Action Minutes        Item 3: Staff Report Pg. 8  Packet Pg. 62 of 469  CITY COUNCIL DRAFT ACTION MINUTES Page 1 of 6 Special Meeting December 15, 2025 The City Council of the City of Palo Alto met on this date in the Council Chambers and by virtual teleconference at 4:30 P.M. Present In Person: Burt, Lauing, Lu, Lythcott-Haims, Reckdahl, Stone, Veenker Councilmember Lu Arrived at 4:55 P.M. Present Remotely: Absent: Special Orders of the Day 1. Proclamation Expressing Appreciation to Molly S. Stump Upon Completion of Her Public Service as City Attorney. NO ACTION Closed Session 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. MOTION: Councilmember Reckdahl moved, seconded by Vice Mayor Veenker to go into Closed Session. MOTION PASSED: 7-0 Council went into Closed Session at 4:56 P.M. Council returned from Closed Session at 6:10 P.M. Mayor Lauing announced no reportable action. Item 3 Attachment C - December 15, 2025 Draft Action Minutes        Item 3: Staff Report Pg. 9  Packet Pg. 63 of 469  DRAFT ACTION MINUTES Page 2 of 6 Sp. City Council Meeting Draft Action Minutes: 12/15/2025 Agenda Changes, Additions and Deletions Public Comment Council Member Questions, Comments and Announcements Study Session 3. Receive an update on the Cubberley project and second polling results, and discuss next steps. NO ACTION Consent Calendar MOTION: Vice Mayor Veenker moved, seconded by Councilmember Reckdahl to approve Agenda Item Numbers 4-20, 22-24 (Agenda Item Number 21 Removed Off the Agenda). MOTION PASSED ITEMS 4-20, 22-24: 7-0 4. Approval of Minutes from December 1, 2025 Meeting 5. Adoption of a Resolution appointing Caio Arellano as Interim City Attorney 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 Policy & Services Committee in January 2026 and Return to Council for Approval 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 Item 3 Attachment C - December 15, 2025 Draft Action Minutes        Item 3: Staff Report Pg. 10  Packet Pg. 64 of 469  DRAFT ACTION MINUTES Page 3 of 6 Sp. City Council Meeting Draft Action Minutes: 12/15/2025 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. 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 Item 3 Attachment C - December 15, 2025 Draft Action Minutes        Item 3: Staff Report Pg. 11  Packet Pg. 65 of 469  DRAFT ACTION MINUTES Page 4 of 6 Sp. City Council Meeting Draft Action Minutes: 12/15/2025 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 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 Ed Shikada, City Manager Action Items 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 Item 3 Attachment C - December 15, 2025 Draft Action Minutes        Item 3: Staff Report Pg. 12  Packet Pg. 66 of 469  DRAFT ACTION MINUTES Page 5 of 6 Sp. City Council Meeting Draft Action Minutes: 12/15/2025 Street From a Category 2 Resource on the Local Historic Inventory to a Category 3 Resource. MOTION: Vice Mayor Veenker moved, seconded by Councilmember Lythcott-Haims to 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. MOTION PASSED: 7-0 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 heard on December 15, 2025. Councilmember Reckdahl Recused from Agenda Item Number 26. MOTION: Vice Mayor Veenker moved, seconded by Councilmember Stone to select the Preferred Alternatives to proceed with 15% design for the grade separations at Churchill Avenue, Meadow Drive, and Charleston Road Crossings: • Churchill Avenue: Partial Underpass at Churchill without landscaping strip. Bicycle and pedestrian crossing at Seale Avenue using Alma Street Ramp with attention to bicycle safety on the Eastside; • Meadow Drive: Explore both an earthen berm and Podium-style Hybrid alternative; • Charleston Road Crossings: Underpass alternative with Direct Access Ramp; • Direct staff to conduct an implementation study if we only did the underpass at Charleston Road Crossing MOTION PASSED: 6-0-1, Reckdahl recused Item 3 Attachment C - December 15, 2025 Draft Action Minutes        Item 3: Staff Report Pg. 13  Packet Pg. 67 of 469  DRAFT ACTION MINUTES Page 6 of 6 Sp. City Council Meeting Draft Action Minutes: 12/15/2025 Adjournment: The meeting was adjourned at 11:05 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 3 Attachment C - December 15, 2025 Draft Action Minutes        Item 3: Staff Report Pg. 14  Packet Pg. 68 of 469  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Human Resources Meeting Date: January 12, 2026 Report #:2512-5752 TITLE Adoption of Memorandum of Agreement with Service Employees International Union Hourly Unit effective upon adoption through December 31, 2027; and Adoption of Compensation Plan for Unrepresented Limited Hourly Employee effective upon adoption through June 30, 2028; CEQA Status - Not a project RECOMMENDATION Staff recommends: 1. Council adopt the updated Salary Schedule and Compensation Plan for unrepresented Limited hourly employees, effective through June 30, 2028 (Attachment A and B); and 2. Council adopt an updated Salary Schedule and Memorandum of Agreement for Service Employees International Union Hourly Unit, effective through December 31, 2027 (Attachment C and D). BACKGROUND Represented hourly employees covered by SEIU (Service Employees’ International Union) is a group of approximately 130 hourly employees who typically work under 1,000 hours in a fiscal year. Unrepresented limited hourly employees typically work less than 416 hours per fiscal year. These employees often perform seasonal work and, depending on the season, there are approximately 115 limited hourly employees. These employees are primarily found in Library, Community Services, Public Works and Utilities Departments. Classifications range include Library Clerk, Arts and Science Professional, Administrative Specialist, Recreation Leader, Open Space Technician, and General Laborer. The current Memorandum of Agreement for SEIU-Hourly expired June 30, 2025. The SEIU- Hourly unit negotiation team opted to start negotiations after the expiration of the contract; The City continued to engage and maintained negotiation readiness before the end of Fiscal Year 2025 as required by the contract. The parties did actively negotiate in good faith and Item 4 Item 4 Staff Report        Item 4: Staff Report Pg. 1  Packet Pg. 69 of 469  reached an agreement that will begin upon Council adoption and continue through December 31, 2027. ANALYSIS Wages: o 3% wage increase effective the first full pay period following adoption by City Council. o 3% wage increase effective the first full pay period following July 1, 2026. Medical Stipend: o 4% stipend increase effective the first full pay period following adoption by City Council to $3.96 per hour. o 4% stipend increase effective the first full pay period following July 1, 2026 to $4.11 per hour. o One-time payment of $100 for those actively working in the first full pay period following City Council adoption. Increase probationary length from 6 months to 12 months to align with general unit providing consistent time to train and evaluate performance of new employees. Decrease required job posting time supporting timely, competitive and efficient hiring while maintaining flexibility to have lengthier postings when needed. 3% wage increase effective the first full pay period following adoption by City Council. 3% wage increase effective the first full pay period following July 1, 2026. 3% wage increase effective the first full pay period following July 1, 2027. Item 4 Item 4 Staff Report        Item 4: Staff Report Pg. 2  Packet Pg. 70 of 469  This Council staff report is being submitted concurrent to the SEIU-H ratification of the attached MOA (Attachment C). The City was notified by SEIU Hourly on December 19, 2025 that its membership ratified the new MOA. FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT Item 4 Item 4 Staff Report        Item 4: Staff Report Pg. 3  Packet Pg. 71 of 469  ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 4 Item 4 Staff Report        Item 4: Staff Report Pg. 4  Packet Pg. 72 of 469  Compensation Plan Effective July 1, 2025 – June 30, 2028 Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 5  Packet Pg. 73 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 2 of 20 COMPENSATION PLAN CITY OF PALO ALTO Limited Hourly Employees SECTION I. DEFINITIONS At-Will Employment: Employee or Employer may terminate employment at any time with or without notice or cause. Limited Hourly Employee: An “At-Will” employee working full time or part time on a temporary basis (Intermittent), employees who work on an on-call basis or an employee working hours up to six consecutive months in support of a specified seasonal program such as summer camps or Internships (Seasonal). Limited Hourly Employees work less than 1000 hours per fiscal year unless otherwise authorized as provided in Section V of this Plan. PERS-Retiree: An individual that has retired from the Public Service System and returns to work on an intermittent or seasonal basis in a Limited Hourly classification not to exceed 960 hours within a fiscal year. Hiring of PERS retirees and work assignments for such employees must comply with PERS rules and regulations for such employment. Intern: An individual who has earned or completed course work toward an Associate Bachelor’s or Master’s Degree and offers their services for a limited and specific period of time in exchange for gaining actual work experience. Internships may be paid or unpaid depending on the assignment and budget of the requesting department. Summer internships typically consist of 6-12 week assignments between June and September. Assignments for interns working during the school year may be for the entire duration of a course or semester. PERS-Exempt Employee: An employee working full-time or part-time with no established career path or promotional ladder and the position is funded through capital improvement, one time projects or temporary accounts. Employment is expected to end at the conclusion of the project and at no time shall employment exceed five consecutive years. PERS exempt designation is subject to Human Resources Department approval. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 6  Packet Pg. 74 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 3 of 20 SECTION II. EMPLOYMENT REQUIREMENTS AND DOCUMENTATION All hourly appointments require preauthorization and approvals by designated Management personnel. No limited hourly or seasonal employee shall be assigned to regular employment for the duration of the hourly assignment. Release of Information The City will only release information to creditors or other persons upon prior identification of the inquirer and acceptable reasons for the inquiry. Information given from personnel files is limited to verification of employment, length of employment and verification and disclosure of salary range information unless otherwise required by law. SECTION III. SALARY AND CLASSIFICATIONS It is the intent of the City of Palo Alto to compensate Limited Hourly Employees at a rate of pay similar to that of regular employees performing like work. Effective the first full pay period following Council adoption of this plan, all classifications will receive a three percent (3%) salary increase. Effective the first full pay period following July 1, 2026, all classifications will receive a three percent (3%) salary increase. Effective the first full pay period following July 1, 2027, all classifications will receive a three percent (3%) salary increase. Classifications Limited Hourly Employees are to be hired within the classifications framework, as presented in the Attachment A, that is closest to a corresponding regular classification in both level of work performed and rate of pay. This compensation plan applies only to Limited Hourly Employees not those included in the SEIU Hourly Unit. In the event a Limited Hourly Employee is required to assume duties significantly above or below the level of those originally required when first hired, for a period of more than one pay period, the employee is to be reclassified into a new classification and into a higher or lower pay rate that most adequately corresponds to the new duties. SECTION IV. SPECIAL COMPENSATION Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 7  Packet Pg. 75 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 4 of 20 A. Holiday Pay Limited Hourly Employees are eligible to receive holiday pay only when they work 80 or more hours during the pay period in which the holidays fall. Number of hours of holiday pay is determined by the number of hours regularly scheduled on the day on which the holiday falls (i.e. 8, 9, 10). Effective January 1, 2024, Limited Hourly employees, excluding retired annuitants, shall be excused with pay for the hours they would otherwise be scheduled to work, for one (1) day within each calendar year, which is mutually agreed to by the employee and their supervisor. The one (1) floating holiday will be deemed forfeited and have no cash value, if not used each calendar year. B. Paid Leaves Limited Hourly Employees are not eligible for any paid leaves beyond those required by applicable law. Other Leaves Limited Hourly Employees may be granted unpaid leaves of absence in cases of personal emergency, or when such absences would not be contrary to the best interest of the City and comply with City policies and procedures. Family leave will be granted in accordance with applicable State and Federal laws. Time off with pay to vote in any general or direct primary election shall be requested by the employee and granted by the City as provided in the State of California Elections Code. C. Overtime Pay Unless designated by the Director of Human Resources as exempt from the provisions of the Fair Labor Standards Act, all classifications of hourly employees are eligible for overtime pay at time and one-half when required to work more than 40 hours in a week (for example: 8 hours/five day week; 9 hours/four and one-half day week or other pre- determined and pre-approved work schedule) or on an official City holiday. D. Retirement 1. Part Time, Seasonal, Temporary (“PST”) Retirement Plan. All Limited Hourly Employees are required to contribute 7.5% of salary each pay period to the alternative PTS Retirement Plan (instead of contributions toward Social Security), except as described in section D(2) below. Contributions toward Medicare (1.45%) will also be deducted. Contribution and earning toward the PST Retirement Plan is not subject to Federal and State income taxes Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 8  Packet Pg. 76 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 5 of 20 and are deferred until termination of employment with the City of Palo Alto. The PST retirement plan is currently administered by Public Agency Retirement Services (“PARS”).Contributions to the PTS Retirement Plan, in addition to any interest earned, will be refunded upon termination by request, if the request falls within the policy of the PTS Retirement Plan or may be kept in the Public Agency Retirement System (PARS) account if the Limited Hourly Employee elects this option. 2. California Public Employees’ Retirement System (“PERS”). PERS annuitants are excluded from participation in the P.S.T. Retirement Plan. Limited Hourly employees who have previously participated in and remain members in the California Public Employee Retirement System (“PERS”) or are otherwise required by law to be enrolled in CalPERS shall participate in P.E.R.S. to the extent required by law, in lieu of participation in the P.S.T. Retirement Plan. Enrollment in CalPERS will be completed consistent with CalPERS rules and regulations. Participation in CalPERS shall be under the retirement formula in effect at the time the employee is hired into the Hourly Bargaining Unit unless otherwise required by law. Employees enrolled in the PERS retirement system shall pay the full amount of the applicable employee contribution required by CalPERS for the PERS formula in which the employee is enrolled, as may be changed by CalPERS from time to time. Current contributions are as follows: a. 2.7% at 55 Formula: eight percent (8%) b. 2% at 60 Formula: seven percent (7%) c. 2% at 62 Formula: contribution required by the Public Employees’ Pension Reform Act, calculated at fifty percent (50%) of the normal cost. d. All CalPERS participants will contribute an additional percentage towards the Employer contributions at rates set below: a. 1% contribution towards the Employer contribution for all miscellaneous plans SECTION V. TERM OF EMPLOYMENT A. Limited Hourly Classifications The maximum employment term for limited hourly employees shall be less than 1000 hours during any fiscal year unless otherwise approved as provided in section V(B). The maximum hours for a retired PERS employee are 960 hours in a fiscal year. Limited Hourly Employees are “At-Will “employees and may be terminated at any time without right of appeal. Limited Hourly employment will not affect the probationary period or the service hire date of regular classified employment. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 9  Packet Pg. 77 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 6 of 20 B. Extension of Limited Hourly Employment. The City Manager may authorize a Limited Hourly Employee to work more than 1000 hours per fiscal year; subject to all applicable rules and regulations. Such authorization, along with a statement of the anticipated duration shall be provided in writing to Human Resources in advance of the extension of limited hourly employment. The duration of the employment assignment shall be reviewed every six months to ensure appropriateness of extension and ability to fund the extension within a department's allocated hourly budget. SECTION VI. PERFORMANCE REVIEWS AND SALARY INCREASES A. Performance Reviews 1. Limited Hourly Employees that demonstrate continued development and efficient and effective service reflected in their performance appraisal may be eligible to receive a salary step increase after one year date of hire and annually thereafter. Subsequent salary reviews are based on performance appraisals and will depend upon demonstrated satisfactory job performance and will not occur more than twice annually. 2. Performance Reviews are a tool to recognize and develop employees. Performance Reviews evaluate and document past performance and may provide development plans that will assist employees to realize their full potential. Performance Reviews should be completed on the Limited Hourly Employee Performance Review Form or other form designated by Human Resources. B. Salary Increases - General 1. A salary increase is based upon an appraisal of the hourly employee's job performance and such appraisal must be submitted with the salary request. A Limited Hourly Employee must receive a meets requirements rating in order to be considered for a salary increase. 2. The maximum number of salary increases a Limited Hourly Employee may receive in any one twelve-month working period is limited to two (2), regardless of total number of hours accumulated. C. Exceptional Leadership Ability and Job Performance Upon written justification and departmental and Human Resources Department approval, a Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 10  Packet Pg. 78 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 7 of 20 Limited Hourly Employee who demonstrates EXCEPTIONAL leadership ability and job performance may be given a merit raise, if they consistently display outstanding job performance. Such exceptional leadership must be documented on a designated performance appraisal form. For those positions with salary steps, salary increases may not exceed the steps set forth in approved salary schedules. SECTION VII. WORK SCHEDULES AND UNIFORMS A. Work Week and Work Day 1. The standard workday for limited hourly employees shall be eight hours to be worked within a maximum of nine hours (five-day work week) or ten hours to be worked within a maximum of eleven (four-day work week) or nine hours to be worked within a maximum of ten for four days with a fifth day of four hours (four and one-half day work week); or, within a fourteen-day period (9/80 plan with forty-hour work weeks), or any other schedule that results in a 40-hour work week, or fits within the parameters of an FLSA 2080 Plan. The “9/80 Plan” may not be used in any application that requires entitlement to FLSA overtime for working the regular work week. With the exception of the “9/80 Plan” as described above, the standard work week shall be forty hours to be worked within five consecutive days. Work schedules shall be determined by departments based on business requirements. B. Uniforms When employees are required by the City of Palo Alto to wear uniforms as a condition of employment, such uniforms will be provided by the City of Palo Alto. SECTION VIII. LIMITED HOURLY CLASSIFICATIONS Limited Hourly Classifications are reflected on Appendix A of this document. SECTION IX. MANAGEMENT RIGHTS Subject to State law and the provisions of the City of Palo Alto Employer-Employee Relations Resolution, the rights of the City through its Council and Management include, but are not limited to: the exclusive right to determine the mission of its constituent departments, commissions and boards; set standards of service; determine the procedures and standards of selection from employment and promotion; establish and enforce dress and grooming standards; direct its employees; determine the methods and means to relieve its employees Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 11  Packet Pg. 79 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 8 of 20 from duty because of lack of work or other legitimate reasons; maintain the efficiency of governmental operations; determine the methods, means and personnel by which government operations are to be conducted; determine the content and intent of job classifications; determine methods of financing; determine style and/or types of City-issued wearing apparel, equipment or technology to be used; determine and/or change the facilities, methods, technology, means, organizational structure and size and composition of the work force and allocate and assign work by which the City operations are to be conducted; determine and change the number of locations, relocations and types of operations, processes and materials to be used in carrying out all City functions including but not limited to, the right to contract for or subcontract any work or operation of the City; to assign work to and schedule employees in accordance with requirements as determined by the City and assignments upon reasonable notice; establish and modify productivity and performance programs and standards including, but not limited to, quality, and quantity standards; and to require compliance therewith, take all necessary actions to carry out its mission in emergencies; and exercise complete control and discretion over its organization and the technology of performing its work. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 12  Packet Pg. 80 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 9 of 20 Appendix A Limited Hourly Employee Job Classifications Administrative Specialist I Performs administrative work that requires advanced skills or knowledge in support of a department/division or program. Administrative Specialist II Performs more complex administrative work that requires advance skills or knowledge in specialized software programs and data analysis in specialized areas in support of a department/division or program. Two years of experience equivalent to that of an Administrative Specialist I. Assistant Park Ranger Positions requiring at least 2 years of experience and specialized skills or advanced certificates for First Aid, CPR, and heavy equipment operation. Prior experience as an open space technician or park aide is essential. Building Serviceperson Under limited supervision, performs custodial duties and other related work as required to maintain City buildings and facilities in a clean and orderly condition. Members of this classification may be assigned to perform either public works duties or park duties. Two years of experience equivalent to that of a Custodial Assistant. Clerical Assistant Under supervision, performs routine and repetitive computer inputting and clerical tasks, and performs related work as required. May require cash handling. Custodial Aide Under close supervision, this entry-level position performs basic custodial duties as required to maintain City buildings and facilities, performs room set-ups and take-downs, and other related work. Custodial Assistant Under general supervision, performs custodial duties and other related work as required to maintain City buildings and facilities in a clean and orderly condition. Members of this classification may be assigned to perform either public works duties or parks duties. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 13  Packet Pg. 81 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 10 of 20 General Laborer – H Performs general manual tasks. Performs various types of manual labor as needed. Possesses knowledge of commonly-used concepts, practices, and procedures within a particular field. Performs tasks in conformance within pre-established instructions. Works under general supervision. Uses very limited independent judgment similar to that expected of an apprentice- helper level laborer, consistent with pre-established instructions. May report to a lead worker, but typically reports to a supervisor. Requires a high school diploma or its equivalent with 1 year of related experience. Salary to be determined – an hourly rate above $50/hour must be approved by the Director of Human Resources before the City extends an offer of employment. House Manager Facility supervisor of special events, productions, concerts, rentals – etc. Involves high public contact and customer service, including enforcement of rules and regulations. May include set- up of events. Instructor I Under general supervision, prepares classes, programs and camp curriculum, presents classes and field trips for schools and family audiences, and provides assignments to Instructor Aides and volunteers. Requires previous teaching experience. Requires prior in-depth knowledge of the disciplines to be taught. May require lifting up to 15 pounds. Instructor II Under limited supervision, prepares classes, programs and camp curriculum, presents classes and field trips for schools and family audiences, and provides assignments to Instructor Aides and volunteers. Requires at least two years of previous teaching experience. Requires prior in- depth knowledge of the disciplines to be taught. May require lifting up to 15 pounds. Instructor III Independently prepares classes, programs and camp curriculum, presents classes and field trips for schools and family audiences, and provides direction and mentoring for Instructor Is and IIs, Aides and volunteers. Serves in a leadership capacity within the department. Requires at least 4 years of teaching experience and in-depth knowledge of the disciplines to be taught. May require lifting up to 15 pounds. Instructor Aide Under general supervision, performs administrative work in support of Instructors in areas such as course preparation, classroom assistance and related activities. May require lifting up to 15 Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 14  Packet Pg. 82 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 11 of 20 pounds. Librarian Under supervision, assists customers with reference inquiries, provides instruction in the use of library resources and equipment; shelves materials and assists with core management or organization of materials. Distinguishing Characteristics: The Librarian classification is the professional entry level classification within the Library Division. The Librarian has the professional knowledge to identify, develop, interpret, and evaluate all policies, procedures, programs and services to ensure the best quality of service to public library users. It is a broad classification which covers a variety of work situations which require expertise in areas of primary responsibility, as well as in common areas such as materials selection, public library service and in computerized information systems. Significant portion of workday includes direct public contact. Work hours may include early mornings, evenings and weekends. ESSENTIAL DUTIES: Essential and other important responsibilities and duties may include, but are not limited to, the following: • Performs routine circulation tasks required to directly serve public, including registering and maintaining files of borrowers; interpreting customer accounts and checking in and out library materials via computerized equipment; accepting, payments for fines, bills, fees; assisting customer with inquiries regarding availability and status of items in collections, and interviewing and assisting users regarding circulation accounts and services. Refers circulation problems to circulation staff or manager. • May conduct library programs for children and adults; conduct tours and classes. • May conduct reference interview and analyze, interpret and answer inquiries utilizing resources in Palo Alto Libraries as well as other libraries and the community, referring unusual questions to a Senior Librarian (Librarian II) or supervisor; assist customers in use of facility including catalog, indexes, reference books and technology. • Performs library programming, including planning, coordination, promotion and the conduct of programs; cooperates with other City departments, community and library groups with program co-sponsorship. • Prepares displays to market the library’s collection; may write regular newsletter articles, book reviews and program announcements for e-newsletters and publications; assists with social media. • May update library web pages; update online calendars; contribute calendar items to Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 15  Packet Pg. 83 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 12 of 20 community organizations and data bases. • Selects and de-selects library materials in one or more subject areas based on knowledge of budget available, collection size, analysis of community past usage patterns and other criteria; processes discarded materials. • Assist with recruits, interviews, schedules, trains, initiates and coordinates, work of clerical, paraprofessional, temporary and/or volunteer staff as assigned. • May collect, maintain and report statistical records for a variety of library measures. • As directed, performs copy and original cataloging and classification efficiently utilizing online computerized cataloging system; assigns access points for materials; establishes new bibliographic computer records in accordance with recognized standards. • Maintains specific library collections and equipment including housing, physical maintenance and arrangement. MINIMUM QUALIFICATIONS: Sufficient education, training and/or work experience to demonstrate possession of the following knowledge, skills, and abilities which would typically be acquired through: • Master’s Degree in Library and Information Science or related education preferred. KNOWLEDGE, SKILLS, AND ABILITIES: • Ability to work effectively with public and co-workers in variety of circumstances. Ability to work with wide variety of people. • Knowledge of alphabetical and numerical filing systems. • Knowledge of the library catalog. • Ability to work varied schedule including early mornings, evenings and weekends • Ability to maintain physical condition appropriate to the performance of assigned duties and responsibilities which may include sitting for extended periods of time and operating assigned library equipment. • Ability to communicate with others and to assimilate and understand information, in a manner consistent with the essential job functions. • Ability to operate assigned equipment. • Ability to make sound decisions in a manner consistent with the essential job functions. WORKING CONDITIONS / PHYSICAL REQUIREMENTS: Work in a library environment with the public, maintaining a professional appearance; sustained posture in a standing, walking or seated position for prolonged periods of time; perform bending, lifting, crouching and pushing items weighing up to 50 pounds; perform repetitive small hand and arm motions for prolonged periods of time; may travel to other library facilities; exposed to computer screens for prolonged periods of time. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 16  Packet Pg. 84 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 13 of 20 Library Clerk Under close general supervision performs technical and clerical tasks; assists customers with their accounts; shelves materials; performs technical and clerical tasks as assigned. Distinguishing Characteristics Library Clerk is a classification found in the Library Department and is distinguished by the performance of various technical and clerical duties under general supervision. Work hours may vary and include nights and weekends. Includes direct public contact. Some previous knowledge of library operations required. ESSENTIAL DUTIES: Essential and other important responsibilities and duties may include, but are not limited to, the following: • May answer customers’ questions. • Checks in/out items; performs standard, holds, special handling and sorts; issues library cards. • Works at the Accounts Desk; handles customer accounts and fines; provides computer assistance; performs shelving. • May assist customers with library technology. • Maintains computer files for library materials; adds, deletes and updates information. • Data enters bibliographic data into the online library system. • Communicates with vendors to request approved items or to ask questions; refers further communications to the supervisor. • Accepts and unpacks deliveries and shipments of library materials; checks for accuracy; returns incorrect or damaged materials to vendors. • Receives and invoices materials into the library’s computer system. • Performs RFID tagging Performs shelf reading. • Assists in the setup of programs; performs program cleanup. • Processes LINK+ items and locates items listed on hold for the library branch or on reserve for LINK+. • Assists with special projects and programs. • May perform mail delivery. • Provides basic assistance to customers. • Performs related duties and responsibilities as required. MINIMUM QUALIFICATIONS: Sufficient education, training and/or work experience to demonstrate possession of the following knowledge, skills, and abilities which would typically be acquired through: Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 17  Packet Pg. 85 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 14 of 20 • High school diploma or equivalent and 6 months experience working in a library KNOWLEDGE, SKILLS, AND ABILITIES: • Ability to work effectively with public and co-workers in variety of circumstances. Ability to work with wide variety of people. • Knowledge of library procedures and item shelving structure. • Knowledge of alphabetical and numerical filing systems. • Knowledge of a personal computer and various software applications. • Knowledge of effective customer service. • Ability to use the library catalog. • Ability to perform cash handling and use a cash register. • Ability to perform basic mathematical calculations. • Ability to work varied schedule including mornings, evenings and weekends • Ability to maintain physical condition appropriate to the performance of assigned duties and responsibilities which may include sitting for extended periods of time and operating assigned library equipment. • Ability to work varied schedule including early mornings, evenings, and weekends. Ability to communicate with others and to assimilate and understand information, in a manner consistent with the essential job functions. • Ability to operate assigned equipment. • Ability to make sound decisions in a manner consistent with the essential job functions. WORKING CONDITIONS / PHYSICAL REQUIREMENTS: Work in a library environment with the public; maintains a professional appearance; sustained posture in a standing, walking or seated position for prolonged periods of time; perform bending, lifting, crouching and pushing items weighing up to 50 pounds; perform repetitive small hand and arm motions for prolonged periods of time; may travel to other library facilities; exposed to computer screens for prolonged periods of time. Library Page Under close supervision, shelves materials; performs routine clerical and support tasks as assigned. Distinguishing Characteristics: Library Page is a classification found in the Library Department and is distinguished by the performance of routine clerical duties under supervision. Work hours may vary and include nights and weekends. May include direct public contact. No previous knowledge of library operations required. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 18  Packet Pg. 86 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 15 of 20 ESSENTIAL DUTIES: Essential and other important responsibilities and duties may include, but are not limited to, the following: • Shifts collections; pulls or weeds items; performs sweeps. • Returns library materials to the shelves. • Performs RFID tagging • Performs shelf reading. • Assists in the setup of programs; performs program cleanup. • Processes LINK+ and locates items listed on hold for the library branch or on reserve for Link+ • Performs general cleaning and organization of the library’s areas. • Assist with open and close procedures. • May assist with special projects and programs. • Performs mail delivery. • May provide directional assistance to customers. • Works with Automated Materials Handling machine; moving and sorting bins, and sorting returned items. • Performs related duties and responsibilities as required. MINIMUM QUALIFICATIONS: Sufficient education, training and/or work experience to demonstrate possession of the following knowledge, skills, and abilities which would typically be acquired through: • No experience necessary. KNOWLEDGE, SKILLS, AND ABILITIES: • Ability to work effectively with public and co-workers in variety of circumstances. Ability to work with wide variety of people. • Knowledge of alphabetical and numerical filing systems. • Knowledge of the library catalog. • Ability to work varied schedule including early mornings, evenings and weekends • Ability to maintain physical condition appropriate to the performance of assigned duties and responsibilities which may include sitting for extended periods of time and operating assigned library equipment. • Ability to communicate with others and to assimilate and understand information, in a manner consistent with the essential job functions. • Ability to operate assigned equipment. • Ability to make sound decisions in a manner consistent with the essential job functions. WORKING CONDITIONS / PHYSICAL REQUIREMENTS: Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 19  Packet Pg. 87 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 16 of 20 Work in a library environment with the public, maintains a professional appearance; sustained posture in a standing, walking or seated position for prolonged periods of time; perform bending, lifting, crouching and pushing items weighing up to 50 pounds; perform repetitive small hand and arm motions for prolonged periods of time; may travel to other library facilities; exposed to computer screens for prolonged periods of time. Maintenance Assistant Under general supervision, responsible for skilled and semiskilled tasks in one or more of the following areas: Landscape and turf maintenance of parks and golf courses, including tree maintenance and turf renovation, City building and facilities, City streets, sewers, and storm drains, City vehicles and equipment. Performs related tasks as required. Requires experience with power equipment and a valid California driver’s license. May require drug testing. Management Specialist May perform work associated or equal in complexity with responsible City managerial or staff position. Classification may be used for individuals involved in confidential areas involved with employee relations, labor relations, and other discreet/confidential projects. Compensation to be determined according to tasks assigned and qualifications required. Open Space Technician Under general supervision performs work assignments in Parks and Open Space areas that assist in the protection, preservation and maintenance of Palo Alto open space lands. Entry- level positions that require familiarity with power tools such as weed whips and chain saws. Police Reserve I Reserve officer who has received requisite level of training to operate in a solo capacity. Police Reserve II Reserve officer who must be accompanied by a regular sworn officer or a Police Reserve I in performance of duties. Print Shop Assistant Under supervision, provides assistance in the Print Shop in duplication, finishing work, mail distribution and other support function duties, often under tight deadlines. Project Construction Inspector Inspection of City construction projects to ensure conformance with plan and specifications, documentation of contractor’s daily activities, verification of materials and quantities used, and Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 20  Packet Pg. 88 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 17 of 20 notification to and contact with the residents in the project area. Project Specialist Support for an administrative tasks related to City programs and projects on an ongoing basis, requiring technical and administrative skills such as scheduling, research and report writing, project development and design, ongoing project implementation and administration, and budget tracking and conformance. Recreation Leader I Entry level positions that do not require previous experience including: Teen leaders Gymnastics Instructors Sports Camp Assistants Special Event Assistants Summer Camp Counselors Coaches Recreation Leader II Positions require at least one season of experience and certifications in a related field including: Sports Camp Leaders (CPR and First Aid) Sport Officials (CPR and First Aide) Assistant Pool Manager Senior Swim Instructor/Lifeguard (Lifeguard Training, First Aid and CPR) Summer Camp Assistants Coaches Recreation Leader III Positions require at least 2 years of experience and specialized skills or advanced certifications in a related field including: Summer Camp Leaders Teen Outreach Leaders Coaches Substitute Teachers Sports Camp Leaders (CPR and First Aid) Sport Officials (CPR and First Aid) Pool Manager Gymnastic/Dance Instructors (Recreation Leader II requirements and Safety Certification and one of the following certifications: Professional Development Program II, Kinder Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 21  Packet Pg. 89 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 18 of 20 Accreditation for Teachers or Movement Education and Learning Development.) Stock Clerk Under supervision, performs a variety of inventory maintenance functions including receiving, storing and delivering supplies. Includes maintaining and reviewing computerized inventory records; performs other related work as required. Swim Instructor/Lifeguard Monitors pool activities to enforce regulations and prevent accidents, rescue swimmers in distress, conducts swimming lessons in accordance with American Red Cross or other national recognized aquatics programs and performs other related duties as required. Certificates in Lifeguard Training, First Aid and CPR required. Technical Specialist Under general supervision, responsible for work that requires technical skills associated with one or more of the following areas: drafting/CAD, electronics, computer systems, engineering, environmental science, or planning. Technician I Performs less advanced technical work than that of the Technician II class. Normally requires some specialized skills such as basic life support/paramedic, drafting, electronics, building maintenance, crafts, etc. and ability to operate associated vehicles or equipment. Technician II Under general supervision, responsible for work as performed by advanced technical skills associated with one or more of the following areas: drafting/CAD, electronics computer systems, engineering, environmental science, or planning. Classification may be used for individuals involved in conducting surveys, opinion polls, and other data collection assignments where analysis of data may be required. Arts & Science Professional I Under general supervision, performs highly skilled jobs in support of performing and visual arts. Examples would include exhibit design and installation, graphic design, exhibit mechanical and electrical design, exhibit problem solving, installation and maintenance, materials and parts sourcing for exhibits, managing outsourced custom fabrication of specialty parts, and working with Arts & Sciences Producers on design of exhibits, theater scenery, costume & lighting design and direction, studio supervision, development of educational programs, etc. Arts & Science Professional II Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 22  Packet Pg. 90 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 19 of 20 Under limited supervision, performs highly specialized jobs in support of performing and visual arts. Examples would include exhibit design and installation, graphic design, exhibit mechanical and electrical design, exhibit problem solving, installation and maintenance, materials and parts sourcing for exhibits, managing outsourced custom fabrication of specialty parts, and working with Arts & Sciences Producers on design of exhibits, theater scenery, costume & lighting design and direction, studio supervision, development of educational programs, etc. Two years of experience equivalent to that of a Arts & Science Professional I. Arts & Science Professional III - H Independently performs highly specialized jobs in support of performing and visual arts. Examples would include exhibit design and installation, graphic design, exhibit mechanical and electrical design, exhibit problem solving, installation and maintenance, materials and parts sourcing for exhibits, managing outsourced custom fabrication of specialty parts, and working with Arts & Sciences Producers on design of exhibits, theater scenery, costume & lighting design and direction, studio supervision, development of educational programs, etc. Five years of experience equivalent to that of an Arts & Science Professional I. May require lifting up to 15 pounds. Arts & Science Technician Under supervision, performs paraprofessional and skilled support to a specific performing or visual arts program area such as lighting, props, building, painting, stitching – etc. Arts & Science Aide Under general supervision, performs general unskilled and some semiskilled tasks in support of theater, arts and museum programs. Zoological Assistant Under supervision, performs assignments that assist in the maintenance, control, and shelter of animals in the zoo and other City facilities. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 23  Packet Pg. 91 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 20 of 20 Appendix B Limited Hourly Salary Schedule Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 24  Packet Pg. 92 of 469  Compensation Plan Effective July 1, 2025 – June 30, 2028 Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 25  Packet Pg. 93 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 2 of 20 COMPENSATION PLAN CITY OF PALO ALTO Limited Hourly Employees SECTION I. DEFINITIONS At-Will Employment: Employee or Employer may terminate employment at any time with or without notice or cause. Limited Hourly Employee: An “At-Will” employee working full time or part time on a temporary basis (Intermittent), employees who work on an on-call basis or an employee working hours up to six consecutive months in support of a specified seasonal program such as summer camps or Internships (Seasonal). Limited Hourly Employees work less than 1000 hours per fiscal year unless otherwise authorized as provided in Section V of this Plan. PERS-Retiree: An individual that has retired from the Public Service System and returns to work on an intermittent or seasonal basis in a Limited Hourly classification not to exceed 960 hours within a fiscal year. Hiring of PERS retirees and work assignments for such employees must comply with PERS rules and regulations for such employment. Intern: An individual who has earned or completed course work toward an Associate Bachelor’s or Master’s Degree and offers their services for a limited and specific period of time in exchange for gaining actual work experience. Internships may be paid or unpaid depending on the assignment and budget of the requesting department. Summer internships typically consist of 6-12 week assignments between June and September. Assignments for interns working during the school year may be for the entire duration of a course or semester. PERS-Exempt Employee: An employee working full-time or part-time with no established career path or promotional ladder and the position is funded through capital improvement, one time projects or temporary accounts. Employment is expected to end at the conclusion of the project and at no time shall employment exceed five consecutive years. PERS exempt designation is subject to Human Resources Department approval. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 26  Packet Pg. 94 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 3 of 20 SECTION II. EMPLOYMENT REQUIREMENTS AND DOCUMENTATION All hourly appointments require preauthorization and approvals by designated Management personnel. No limited hourly or seasonal employee shall be assigned to regular employment for the duration of the hourly assignment. Release of Information The City will only release information to creditors or other persons upon prior identification of the inquirer and acceptable reasons for the inquiry. Information given from personnel files is limited to verification of employment, length of employment and verification and disclosure of salary range information unless otherwise required by law. SECTION III. SALARY AND CLASSIFICATIONS It is the intent of the City of Palo Alto to compensate Limited Hourly Employees at a rate of pay similar to that of regular employees performing like work. Effective the first full pay period following Council adoption of this plan, all classifications will receive a three percent (3%) salary increase. Effective the first full pay period following July 1, 2026, all classifications will receive a three percent (3%) salary increase. Effective the first full pay period following July 1, 2027, all classifications will receive a three percent (3%) salary increase. Classifications Limited Hourly Employees are to be hired within the classifications framework, as presented in the Attachment A, that is closest to a corresponding regular classification in both level of work performed and rate of pay. This compensation plan applies only to Limited Hourly Employees not those included in the SEIU Hourly Unit. In the event a Limited Hourly Employee is required to assume duties significantly above or below the level of those originally required when first hired, for a period of more than one pay period, the employee is to be reclassified into a new classification and into a higher or lower pay rate that most adequately corresponds to the new duties. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 27  Packet Pg. 95 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 4 of 20 SECTION IV. SPECIAL COMPENSATION A. Holiday Pay Limited Hourly Employees are eligible to receive holiday pay only when they work 80 or more hours during the pay period in which the holidays fall. Number of hours of holiday pay is determined by the number of hours regularly scheduled on the day on which the holiday falls (i.e. 8, 9, 10). Effective January 1, 2024, Limited Hourly employees, excluding retired annuitants, shall be excused with pay for the hours they would otherwise be scheduled to work, for one (1) day within each calendar year, which is mutually agreed to by the employee and their supervisor. The one (1) floating holiday will be deemed forfeited and have no cash value, if not used each calendar year. B. Paid Leaves Limited Hourly Employees are not eligible for any paid leaves beyond those required by applicable law. Other Leaves Limited Hourly Employees may be granted unpaid leaves of absence in cases of personal emergency, or when such absences would not be contrary to the best interest of the City and comply with City policies and procedures. Family leave will be granted in accordance with applicable State and Federal laws. Time off with pay to vote in any general or direct primary election shall be requested by the employee and granted by the City as provided in the State of California Elections Code. C. Overtime Pay Unless designated by the Director of Human Resources as exempt from the provisions of the Fair Labor Standards Act, all classifications of hourly employees are eligible for overtime pay at time and one-half when required to work more than 40 hours in a week (for example: 8 hours/five day week; 9 hours/four and one-half day week or other pre- determined and pre-approved work schedule) or on an official City holiday. D. Retirement 1. Part Time, Seasonal, Temporary (“PST”) Retirement Plan. All Limited Hourly Employees are required to contribute 7.5% of salary each pay period to the alternative PTS Retirement Plan (instead of contributions toward Social Security), except as described in section D(2) Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 28  Packet Pg. 96 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 5 of 20 below. Contributions toward Medicare (1.45%) will also be deducted. Contribution and earning toward the PST Retirement Plan is not subject to Federal and State income taxes and are deferred until termination of employment with the City of Palo Alto. The PST retirement plan is currently administered by Public Agency Retirement Services (“PARS”).Contributions to the PTS Retirement Plan, in addition to any interest earned, will be refunded upon termination by request, if the request falls within the policy of the PTS Retirement Plan or may be kept in the Public Agency Retirement System (PARS) account if the Limited Hourly Employee elects this option. 2. California Public Employees’ Retirement System (“PERS”). PERS annuitants are excluded from participation in the P.S.T. Retirement Plan. Limited Hourly employees who have previously participated in and remain members in the California Public Employee Retirement System (“PERS”) or are otherwise required by law to be enrolled in CalPERS shall participate in P.E.R.S. to the extent required by law, in lieu of participation in the P.S.T. Retirement Plan. Enrollment in CalPERS will be completed consistent with CalPERS rules and regulations. Participation in CalPERS shall be under the retirement formula in effect at the time the employee is hired into the Hourly Bargaining Unit unless otherwise required by law. Employees enrolled in the PERS retirement system shall pay the full amount of the applicable employee contribution required by CalPERS for the PERS formula in which the employee is enrolled, as may be changed by CalPERS from time to time. Current contributions are as follows: a. 2.7% at 55 Formula: eight percent (8%) b. 2% at 60 Formula: seven percent (7%) c. 2% at 62 Formula: contribution required by the Public Employees’ Pension Reform Act, calculated at fifty percent (50%) of the normal cost. d. All CalPERS participants will contribute an additional percentage towards the Employer contributions at rates set below: a. 1% contribution towards the Employer contribution for all miscellaneous plans SECTION V. TERM OF EMPLOYMENT A. Limited Hourly Classifications The maximum employment term for limited hourly employees shall be less than 1000 hours during any fiscal year unless otherwise approved as provided in section V(B). The maximum hours for a retired PERS employee are 960 hours in a fiscal year. Limited Hourly Employees are “At-Will “employees and may be terminated at any time without right of appeal. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 29  Packet Pg. 97 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 6 of 20 Limited Hourly employment will not affect the probationary period or the service hire date of regular classified employment. B. Extension of Limited Hourly Employment. The City Manager may authorize a Limited Hourly Employee to work more than 1000 hours per fiscal year; subject to all applicable rules and regulations. Such authorization, along with a statement of the anticipated duration shall be provided in writing to Human Resources in advance of the extension of limited hourly employment. The duration of the employment assignment shall be reviewed every six months to ensure appropriateness of extension and ability to fund the extension within a department's allocated hourly budget. SECTION VI. PERFORMANCE REVIEWS AND SALARY INCREASES A. Performance Reviews 1. Limited Hourly Employees that demonstrate continued development and efficient and effective service reflected in their performance appraisal may be eligible to receive a salary step increase after one year date of hire and annually thereafter. Subsequent salary reviews are based on performance appraisals and will depend upon demonstrated satisfactory job performance and will not occur more than twice annually. 2. Performance Reviews are a tool to recognize and develop employees. Performance Reviews evaluate and document past performance and may provide development plans that will assist employees to realize their full potential. Performance Reviews should be completed on the Limited Hourly Employee Performance Review Form or other form designated by Human Resources. B. Salary Increases - General 1. A salary increase is based upon an appraisal of the hourly employee's job performance and such appraisal must be submitted with the salary request. A Limited Hourly Employee must receive a meets requirements rating in order to be considered for a salary increase. 2. The maximum number of salary increases a Limited Hourly Employee may receive in any one twelve-month working period is limited to two (2), regardless of total number of hours accumulated. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 30  Packet Pg. 98 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 7 of 20 C. Exceptional Leadership Ability and Job Performance Upon written justification and departmental and Human Resources Department approval, a Limited Hourly Employee who demonstrates EXCEPTIONAL leadership ability and job performance may be given a merit raise, if they consistently display outstanding job performance. Such exceptional leadership must be documented on a designated performance appraisal form. For those positions with salary steps, salary increases may not exceed the steps set forth in approved salary schedules. SECTION VII. WORK SCHEDULES AND UNIFORMS A. Work Week and Work Day 1. The standard workday for limited hourly employees shall be eight hours to be worked within a maximum of nine hours (five-day work week) or ten hours to be worked within a maximum of eleven (four-day work week) or nine hours to be worked within a maximum of ten for four days with a fifth day of four hours (four and one-half day work week); or, within a fourteen-day period (9/80 plan with forty-hour work weeks), or any other schedule that results in a 40-hour work week, or fits within the parameters of an FLSA 2080 Plan. The “9/80 Plan” may not be used in any application that requires entitlement to FLSA overtime for working the regular work week. With the exception of the “9/80 Plan” as described above, the standard work week shall be forty hours to be worked within five consecutive days. Work schedules shall be determined by departments based on business requirements. B. Uniforms When employees are required by the City of Palo Alto to wear uniforms as a condition of employment, such uniforms will be provided by the City of Palo Alto. SECTION VIII. LIMITED HOURLY CLASSIFICATIONS Limited Hourly Classifications are reflected on Appendix A of this document. SECTION IX. MANAGEMENT RIGHTS Subject to State law and the provisions of the City of Palo Alto Employer-Employee Relations Resolution, the rights of the City through its Council and Management include, but are not limited to: the exclusive right to determine the mission of its constituent departments, commissions and boards; set standards of service; determine the procedures and standards of Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 31  Packet Pg. 99 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 8 of 20 selection from employment and promotion; establish and enforce dress and grooming standards; direct its employees; determine the methods and means to relieve its employees from duty because of lack of work or other legitimate reasons; maintain the efficiency of governmental operations; determine the methods, means and personnel by which government operations are to be conducted; determine the content and intent of job classifications; determine methods of financing; determine style and/or types of City-issued wearing apparel, equipment or technology to be used; determine and/or change the facilities, methods, technology, means, organizational structure and size and composition of the work force and allocate and assign work by which the City operations are to be conducted; determine and change the number of locations, relocations and types of operations, processes and materials to be used in carrying out all City functions including but not limited to, the right to contract for or subcontract any work or operation of the City; to assign work to and schedule employees in accordance with requirements as determined by the City and assignments upon reasonable notice; establish and modify productivity and performance programs and standards including, but not limited to, quality, and quantity standards; and to require compliance therewith, take all necessary actions to carry out its mission in emergencies; and exercise complete control and discretion over its organization and the technology of performing its work. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 32  Packet Pg. 100 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 9 of 20 Appendix A Limited Hourly Employee Job Classifications Administrative Specialist I Performs administrative work that requires advanced skills or knowledge in support of a department/division or program. Administrative Specialist II Performs more complex administrative work that requires advance skills or knowledge in specialized software programs and data analysis in specialized areas in support of a department/division or program. Two years of experience equivalent to that of an Administrative Specialist I. Assistant Park Ranger Positions requiring at least 2 years of experience and specialized skills or advanced certificates for First Aid, CPR, and heavy equipment operation. Prior experience as an open space technician or park aide is essential. Building Serviceperson Under limited supervision, performs custodial duties and other related work as required to maintain City buildings and facilities in a clean and orderly condition. Members of this classification may be assigned to perform either public works duties or park duties. Two years of experience equivalent to that of a Custodial Assistant. Clerical Assistant Under supervision, performs routine and repetitive computer inputting and clerical tasks, and performs related work as required. May require cash handling. Custodial Aide Under close supervision, this entry-level position performs basic custodial duties as required to maintain City buildings and facilities, performs room set-ups and take-downs, and other related work. Custodial Assistant Under general supervision, performs custodial duties and other related work as required to maintain City buildings and facilities in a clean and orderly condition. Members of this classification may be assigned to perform either public works duties or parks duties. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 33  Packet Pg. 101 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 10 of 20 General Laborer – H Performs general manual tasks. Performs various types of manual labor as needed. Possesses knowledge of commonly-used concepts, practices, and procedures within a particular field. Performs tasks in conformance within pre-established instructions. Works under general supervision. Uses very limited independent judgment similar to that expected of an apprentice- helper level laborer, consistent with pre-established instructions. May report to a lead worker, but typically reports to a supervisor. Requires a high school diploma or its equivalent with 1 year of related experience. Salary to be determined – an hourly rate above $50/hour must be approved by the Director of Human Resources before the City extends an offer of employment. House Manager Facility supervisor of special events, productions, concerts, rentals – etc. Involves high public contact and customer service, including enforcement of rules and regulations. May include set- up of events. Instructor I Under general supervision, prepares classes, programs and camp curriculum, presents classes and field trips for schools and family audiences, and provides assignments to Instructor Aides and volunteers. Requires previous teaching experience. Requires prior in-depth knowledge of the disciplines to be taught. May require lifting up to 15 pounds. Instructor II Under limited supervision, prepares classes, programs and camp curriculum, presents classes and field trips for schools and family audiences, and provides assignments to Instructor Aides and volunteers. Requires at least two years of previous teaching experience. Requires prior in- depth knowledge of the disciplines to be taught. May require lifting up to 15 pounds. Instructor III Independently prepares classes, programs and camp curriculum, presents classes and field trips for schools and family audiences, and provides direction and mentoring for Instructor Is and IIs, Aides and volunteers. Serves in a leadership capacity within the department. Requires at least 4 years of teaching experience and in-depth knowledge of the disciplines to be taught. May require lifting up to 15 pounds. Instructor Aide Under general supervision, performs administrative work in support of Instructors in areas such as course preparation, classroom assistance and related activities. May require lifting up to 15 Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 34  Packet Pg. 102 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 11 of 20 pounds. Librarian Under supervision, assists customers with reference inquiries, provides instruction in the use of library resources and equipment; shelves materials and assists with core management or organization of materials. Distinguishing Characteristics: The Librarian classification is the professional entry level classification within the Library Division. The Librarian has the professional knowledge to identify, develop, interpret, and evaluate all policies, procedures, programs and services to ensure the best quality of service to public library users. It is a broad classification which covers a variety of work situations which require expertise in areas of primary responsibility, as well as in common areas such as materials selection, public library service and in computerized information systems. Significant portion of workday includes direct public contact. Work hours may include early mornings, evenings and weekends. ESSENTIAL DUTIES: Essential and other important responsibilities and duties may include, but are not limited to, the following: • Performs routine circulation tasks required to directly serve public, including registering and maintaining files of borrowers; interpreting customer accounts and checking in and out library materials via computerized equipment; accepting, payments for fines, bills, fees; assisting customer with inquiries regarding availability and status of items in collections, and interviewing and assisting users regarding circulation accounts and services. Refers circulation problems to circulation staff or manager. • May conduct library programs for children and adults; conduct tours and classes. • May conduct reference interview and analyze, interpret and answer inquiries utilizing resources in Palo Alto Libraries as well as other libraries and the community, referring unusual questions to a Senior Librarian (Librarian II) or supervisor; assist customers in use of facility including catalog, indexes, reference books and technology. • Performs library programming, including planning, coordination, promotion and the conduct of programs; cooperates with other City departments, community and library groups with program co-sponsorship. • Prepares displays to market the library’s collection; may write regular newsletter articles, book reviews and program announcements for e-newsletters and publications; assists with social media. • May update library web pages; update online calendars; contribute calendar items to Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 35  Packet Pg. 103 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 12 of 20 community organizations and data bases. • Selects and de-selects library materials in one or more subject areas based on knowledge of budget available, collection size, analysis of community past usage patterns and other criteria; processes discarded materials. • Assist with recruits, interviews, schedules, trains, initiates and coordinates, work of clerical, paraprofessional, temporary and/or volunteer staff as assigned. • May collect, maintain and report statistical records for a variety of library measures. • As directed, performs copy and original cataloging and classification efficiently utilizing online computerized cataloging system; assigns access points for materials; establishes new bibliographic computer records in accordance with recognized standards. • Maintains specific library collections and equipment including housing, physical maintenance and arrangement. MINIMUM QUALIFICATIONS: Sufficient education, training and/or work experience to demonstrate possession of the following knowledge, skills, and abilities which would typically be acquired through: • Master’s Degree in Library and Information Science or related education preferred. KNOWLEDGE, SKILLS, AND ABILITIES: • Ability to work effectively with public and co-workers in variety of circumstances. Ability to work with wide variety of people. • Knowledge of alphabetical and numerical filing systems. • Knowledge of the library catalog. • Ability to work varied schedule including early mornings, evenings and weekends • Ability to maintain physical condition appropriate to the performance of assigned duties and responsibilities which may include sitting for extended periods of time and operating assigned library equipment. • Ability to communicate with others and to assimilate and understand information, in a manner consistent with the essential job functions. • Ability to operate assigned equipment. • Ability to make sound decisions in a manner consistent with the essential job functions. WORKING CONDITIONS / PHYSICAL REQUIREMENTS: Work in a library environment with the public, maintaining a professional appearance; sustained posture in a standing, walking or seated position for prolonged periods of time; perform bending, lifting, crouching and pushing items weighing up to 50 pounds; perform repetitive small hand and arm motions for prolonged periods of time; may travel to other library facilities; exposed to computer screens for prolonged periods of time. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 36  Packet Pg. 104 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 13 of 20 Library Clerk Under close general supervision performs technical and clerical tasks; assists customers with their accounts; shelves materials; performs technical and clerical tasks as assigned. Distinguishing Characteristics Library Clerk is a classification found in the Library Department and is distinguished by the performance of various technical and clerical duties under general supervision. Work hours may vary and include nights and weekends. Includes direct public contact. Some previous knowledge of library operations required. ESSENTIAL DUTIES: Essential and other important responsibilities and duties may include, but are not limited to, the following: • May answer customers’ questions. • Checks in/out items; performs standard, holds, special handling and sorts; issues library cards. • Works at the Accounts Desk; handles customer accounts and fines; provides computer assistance; performs shelving. • May assist customers with library technology. • Maintains computer files for library materials; adds, deletes and updates information. • Data enters bibliographic data into the online library system. • Communicates with vendors to request approved items or to ask questions; refers further communications to the supervisor. • Accepts and unpacks deliveries and shipments of library materials; checks for accuracy; returns incorrect or damaged materials to vendors. • Receives and invoices materials into the library’s computer system. • Performs RFID tagging Performs shelf reading. • Assists in the setup of programs; performs program cleanup. • Processes LINK+ items and locates items listed on hold for the library branch or on reserve for LINK+. • Assists with special projects and programs. • May perform mail delivery. • Provides basic assistance to customers. • Performs related duties and responsibilities as required. MINIMUM QUALIFICATIONS: Sufficient education, training and/or work experience to demonstrate possession of the following knowledge, skills, and abilities which would typically be acquired through: Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 37  Packet Pg. 105 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 14 of 20 • High school diploma or equivalent and 6 months experience working in a library KNOWLEDGE, SKILLS, AND ABILITIES: • Ability to work effectively with public and co-workers in variety of circumstances. Ability to work with wide variety of people. • Knowledge of library procedures and item shelving structure. • Knowledge of alphabetical and numerical filing systems. • Knowledge of a personal computer and various software applications. • Knowledge of effective customer service. • Ability to use the library catalog. • Ability to perform cash handling and use a cash register. • Ability to perform basic mathematical calculations. • Ability to work varied schedule including mornings, evenings and weekends • Ability to maintain physical condition appropriate to the performance of assigned duties and responsibilities which may include sitting for extended periods of time and operating assigned library equipment. • Ability to work varied schedule including early mornings, evenings, and weekends. Ability to communicate with others and to assimilate and understand information, in a manner consistent with the essential job functions. • Ability to operate assigned equipment. • Ability to make sound decisions in a manner consistent with the essential job functions. WORKING CONDITIONS / PHYSICAL REQUIREMENTS: Work in a library environment with the public; maintains a professional appearance; sustained posture in a standing, walking or seated position for prolonged periods of time; perform bending, lifting, crouching and pushing items weighing up to 50 pounds; perform repetitive small hand and arm motions for prolonged periods of time; may travel to other library facilities; exposed to computer screens for prolonged periods of time. Library Page Under close supervision, shelves materials; performs routine clerical and support tasks as assigned. Distinguishing Characteristics: Library Page is a classification found in the Library Department and is distinguished by the performance of routine clerical duties under supervision. Work hours may vary and include nights and weekends. May include direct public contact. No previous knowledge of library operations required. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 38  Packet Pg. 106 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 15 of 20 ESSENTIAL DUTIES: Essential and other important responsibilities and duties may include, but are not limited to, the following: • Shifts collections; pulls or weeds items; performs sweeps. • Returns library materials to the shelves. • Performs RFID tagging • Performs shelf reading. • Assists in the setup of programs; performs program cleanup. • Processes LINK+ and locates items listed on hold for the library branch or on reserve for Link+ • Performs general cleaning and organization of the library’s areas. • Assist with open and close procedures. • May assist with special projects and programs. • Performs mail delivery. • May provide directional assistance to customers. • Works with Automated Materials Handling machine; moving and sorting bins, and sorting returned items. • Performs related duties and responsibilities as required. MINIMUM QUALIFICATIONS: Sufficient education, training and/or work experience to demonstrate possession of the following knowledge, skills, and abilities which would typically be acquired through: • No experience necessary. KNOWLEDGE, SKILLS, AND ABILITIES: • Ability to work effectively with public and co-workers in variety of circumstances. Ability to work with wide variety of people. • Knowledge of alphabetical and numerical filing systems. • Knowledge of the library catalog. • Ability to work varied schedule including early mornings, evenings and weekends • Ability to maintain physical condition appropriate to the performance of assigned duties and responsibilities which may include sitting for extended periods of time and operating assigned library equipment. • Ability to communicate with others and to assimilate and understand information, in a manner consistent with the essential job functions. • Ability to operate assigned equipment. • Ability to make sound decisions in a manner consistent with the essential job functions. WORKING CONDITIONS / PHYSICAL REQUIREMENTS: Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 39  Packet Pg. 107 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 16 of 20 Work in a library environment with the public, maintains a professional appearance; sustained posture in a standing, walking or seated position for prolonged periods of time; perform bending, lifting, crouching and pushing items weighing up to 50 pounds; perform repetitive small hand and arm motions for prolonged periods of time; may travel to other library facilities; exposed to computer screens for prolonged periods of time. Maintenance Assistant Under general supervision, responsible for skilled and semiskilled tasks in one or more of the following areas: Landscape and turf maintenance of parks and golf courses, including tree maintenance and turf renovation, City building and facilities, City streets, sewers, and storm drains, City vehicles and equipment. Performs related tasks as required. Requires experience with power equipment and a valid California driver’s license. May require drug testing. Management Specialist May perform work associated or equal in complexity with responsible City managerial or staff position. Classification may be used for individuals involved in confidential areas involved with employee relations, labor relations, and other discreet/confidential projects. Compensation to be determined according to tasks assigned and qualifications required. Open Space Technician Under general supervision performs work assignments in Parks and Open Space areas that assist in the protection, preservation and maintenance of Palo Alto open space lands. Entry- level positions that require familiarity with power tools such as weed whips and chain saws. Police Reserve I Reserve officer who has received requisite level of training to operate in a solo capacity. Police Reserve II Reserve officer who must be accompanied by a regular sworn officer or a Police Reserve I in performance of duties. Print Shop Assistant Under supervision, provides assistance in the Print Shop in duplication, finishing work, mail distribution and other support function duties, often under tight deadlines. Project Construction Inspector Inspection of City construction projects to ensure conformance with plan and specifications, documentation of contractor’s daily activities, verification of materials and quantities used, and Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 40  Packet Pg. 108 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 17 of 20 notification to and contact with the residents in the project area. Project Specialist Support for an administrative tasks related to City programs and projects on an ongoing basis, requiring technical and administrative skills such as scheduling, research and report writing, project development and design, ongoing project implementation and administration, and budget tracking and conformance. Recreation Leader I Entry level positions that do not require previous experience including: Teen leaders Gymnastics Instructors Sports Camp Assistants Special Event Assistants Summer Camp Counselors Coaches Recreation Leader II Positions require at least one season of experience and certifications in a related field including: Sports Camp Leaders (CPR and First Aid) Sport Officials (CPR and First Aide) Assistant Pool Manager Senior Swim Instructor/Lifeguard (Lifeguard Training, First Aid and CPR) Summer Camp Assistants Coaches Recreation Leader III Positions require at least 2 years of experience and specialized skills or advanced certifications in a related field including: Summer Camp Leaders Teen Outreach Leaders Coaches Substitute Teachers Sports Camp Leaders (CPR and First Aid) Sport Officials (CPR and First Aid) Pool Manager Gymnastic/Dance Instructors (Recreation Leader II requirements and Safety Certification and one of the following certifications: Professional Development Program II, Kinder Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 41  Packet Pg. 109 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 18 of 20 Accreditation for Teachers or Movement Education and Learning Development.) Stock Clerk Under supervision, performs a variety of inventory maintenance functions including receiving, storing and delivering supplies. Includes maintaining and reviewing computerized inventory records; performs other related work as required. Swim Instructor/Lifeguard Monitors pool activities to enforce regulations and prevent accidents, rescue swimmers in distress, conducts swimming lessons in accordance with American Red Cross or other national recognized aquatics programs and performs other related duties as required. Certificates in Lifeguard Training, First Aid and CPR required. Technical Specialist Under general supervision, responsible for work that requires technical skills associated with one or more of the following areas: drafting/CAD, electronics, computer systems, engineering, environmental science, or planning. Technician I Performs less advanced technical work than that of the Technician II class. Normally requires some specialized skills such as basic life support/paramedic, drafting, electronics, building maintenance, crafts, etc. and ability to operate associated vehicles or equipment. Technician II Under general supervision, responsible for work as performed by advanced technical skills associated with one or more of the following areas: drafting/CAD, electronics computer systems, engineering, environmental science, or planning. Classification may be used for individuals involved in conducting surveys, opinion polls, and other data collection assignments where analysis of data may be required. Arts & Science Professional I Under general supervision, performs highly skilled jobs in support of performing and visual arts. Examples would include exhibit design and installation, graphic design, exhibit mechanical and electrical design, exhibit problem solving, installation and maintenance, materials and parts sourcing for exhibits, managing outsourced custom fabrication of specialty parts, and working with Arts & Sciences Producers on design of exhibits, theater scenery, costume & lighting design and direction, studio supervision, development of educational programs, etc. Arts & Science Professional II Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 42  Packet Pg. 110 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 19 of 20 Under limited supervision, performs highly specialized jobs in support of performing and visual arts. Examples would include exhibit design and installation, graphic design, exhibit mechanical and electrical design, exhibit problem solving, installation and maintenance, materials and parts sourcing for exhibits, managing outsourced custom fabrication of specialty parts, and working with Arts & Sciences Producers on design of exhibits, theater scenery, costume & lighting design and direction, studio supervision, development of educational programs, etc. Two years of experience equivalent to that of a Arts & Science Professional I. Arts & Science Professional III - H Independently performs highly specialized jobs in support of performing and visual arts. Examples would include exhibit design and installation, graphic design, exhibit mechanical and electrical design, exhibit problem solving, installation and maintenance, materials and parts sourcing for exhibits, managing outsourced custom fabrication of specialty parts, and working with Arts & Sciences Producers on design of exhibits, theater scenery, costume & lighting design and direction, studio supervision, development of educational programs, etc. Five years of experience equivalent to that of an Arts & Science Professional I. May require lifting up to 15 pounds. Arts & Science Technician Under supervision, performs paraprofessional and skilled support to a specific performing or visual arts program area such as lighting, props, building, painting, stitching – etc. Arts & Science Aide Under general supervision, performs general unskilled and some semiskilled tasks in support of theater, arts and museum programs. Zoological Assistant Under supervision, performs assignments that assist in the maintenance, control, and shelter of animals in the zoo and other City facilities. Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 43  Packet Pg. 111 of 469  City of Palo Alto Limited Hourly Employee Compensation Plan 2025-2028 Page 20 of 20 Appendix B Limited Hourly Salary Schedule Item 4 Attachment A - Limited Hourly Compensation Plan 2025 - 2028        Item 4: Staff Report Pg. 44  Packet Pg. 112 of 469  Job Code FLSA Job Title Step Effective Effective Effective 1 28.76$ 29.61$ 30.51$ 2 30.27$ 31.17$ 32.12$ 910 Non-exempt Administrative Specialist I 3 31.86$ 32.81$ 33.81$ 4 33.54$ 34.54$ 35.59$ 5 35.30$ 36.36$ 37.46$ 1 34.31$ 35.35$ 36.41$ 2 36.12$ 37.21$ 38.33$ 913 Non-exempt Administrative Specialist II 3 38.02$ 39.17$ 40.35$ 4 40.02$ 41.23$ 42.47$ 5 42.13$ 43.40$ 44.71$ 1 19.70$ 20.30$ 20.91$ 2 20.74$ 21.37$ 22.01$ 954 Non-exempt Arts & Science Aide 3 21.83$ 22.49$ 23.17$ 4 22.98$ 23.67$ 24.39$ 5 24.19$ 24.92$ 25.67$ 1 27.57$ 28.41$ 29.25$ 2 29.02$ 29.90$ 30.79$ 951 Non-exempt Limited Hourly Salary Schedule Page 1 of 6 Item 4 Attachment B - Limited Hourly Salary Schedule 2025 - 2028        Item 4: Staff Report Pg. 45  Packet Pg. 113 of 469  Job Code FLSA Job Title Step Effective Effective Effective 1 19.77$ 20.36$ 20.98$ 2 20.81$ 21.43$ 22.08$ 953 Non-exempt Arts & Science Technician 3 21.91$ 22.56$ 23.24$ 4 23.06$ 23.75$ 24.46$ 5 24.27$ 25.00$ 25.75$ 1 29.86$ 30.75$ 31.68$ 2 31.43$ 32.37$ 33.35$ 915 Non-exempt Assistant Park Ranger 3 33.08$ 34.07$ 35.10$ 4 34.82$ 35.86$ 36.95$ 5 36.65$ 37.75$ 38.89$ 1 26.54$ 27.35$ 28.17$ 2 27.94$ 28.79$ 29.65$ 916 Non-exempt Page 2 of 6 Item 4 Attachment B - Limited Hourly Salary Schedule 2025 - 2028        Item 4: Staff Report Pg. 46  Packet Pg. 114 of 469  Job Code FLSA Job Title Step Effective Effective Effective 1 21.95$ 22.62$ 23.30$ 2 23.11$ 23.81$ 24.53$ 920 Non-exempt House Manager 3 24.33$ 25.06$ 25.82$ 4 25.61$ 26.38$ 27.18$ 5 26.96$ 27.77$ 28.61$ 1 19.70$ 20.30$ 20.91$ 2 20.74$ 21.37$ 22.01$ 921 Non-exempt Instructor Aide 3 21.83$ 22.49$ 23.17$ 4 22.98$ 23.67$ 24.39$ 5 24.19$ 24.92$ 25.67$ 1 27.57$ 28.41$ 29.25$ 2 29.02$ 29.90$ 30.79$ 922 Non-exempt Page 3 of 6 Item 4 Attachment B - Limited Hourly Salary Schedule 2025 - 2028        Item 4: Staff Report Pg. 47  Packet Pg. 115 of 469  Job Code FLSA Job Title Step Effective Effective Effective 1 27.01$ 27.84$ 28.67$ 2 28.43$ 29.30$ 30.18$ 925 Non-exempt Library Clerk 3 29.93$ 30.84$ 31.77$ 4 31.51$ 32.46$ 33.44$ 5 33.17$ 34.17$ 35.20$ 1 20.16$ 20.78$ 21.40$ 2 21.22$ 21.87$ 22.53$ 930 Non-exempt Library Page 3 22.34$ 23.02$ 23.72$ 4 23.52$ 24.23$ 24.97$ 5 24.76$ 25.51$ 26.28$ 1 21.24$ 21.89$ 22.55$ 2 22.36$ 23.04$ 23.74$ 935 Non-exempt Page 4 of 6 Item 4 Attachment B - Limited Hourly Salary Schedule 2025 - 2028        Item 4: Staff Report Pg. 48  Packet Pg. 116 of 469  Job Code FLSA Job Title Step Effective Effective Effective 1 26.03$ 26.81$ 27.62$ 2 27.40$ 28.22$ 29.07$ 937 Non-exempt Print Shop Assistant 3 28.84$ 29.71$ 30.60$ 4 30.36$ 31.27$ 32.21$ 5 31.96$ 32.92$ 33.91$ 1 37.64$ 38.77$ 39.94$ 2 39.62$ 40.81$ 42.04$ 938 Non-exempt Project Construction Inspector 3 41.71$ 42.96$ 44.25$ 4 43.90$ 45.22$ 46.58$ 5 46.21$ 47.60$ 49.03$ 1 28.76$ 29.61$ 30.51$ 2 30.27$ 31.17$ 32.12$ 939 Non-exempt Page 5 of 6 Item 4 Attachment B - Limited Hourly Salary Schedule 2025 - 2028        Item 4: Staff Report Pg. 49  Packet Pg. 117 of 469  Job Code FLSA Job Title Step Effective Effective Effective 1 21.12$ 21.76$ 22.41$ 2 22.23$ 22.90$ 23.59$ 948 Non-exempt Stock Clerk 3 23.40$ 24.10$ 24.83$ 4 24.63$ 25.37$ 26.14$ 5 25.93$ 26.71$ 27.52$ 1 23.29$ 24.00$ 24.72$ 2 24.52$ 25.26$ 26.02$ 950 Non-exempt Technical Specialist 3 25.81$ 26.59$ 27.39$ 4 27.17$ 27.99$ 28.83$ 5 28.60$ 29.46$ 30.35$ 1 20.76$ 21.38$ 22.03$ 2 21.85$ 22.51$ 23.19$ 962 Non-exempt Job Code FLSA Job Title TBD Non-Exempt General Laborer 18.70$ 74.51$ 19.08$ 76.75$ 19.66$ 79.06$ 20.25$ 81.44$ TBD Non-Exempt In the event of a minimum wage increase that exceeds the City's rates, the salary schedule will be adjusted as appropriate. 3% Increase Effective 01/24/2026 Minimum Wage Increase Effective 01/01/2026 3% Increase Effective 07/11/2026 3% Increase Effective 07/10/2027 Page 6 of 6 Item 4 Attachment B - Limited Hourly Salary Schedule 2025 - 2028        Item 4: Staff Report Pg. 50  Packet Pg. 118 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 1 of 43 Memorandum of Agreement Service Employees International Unit (SEIU) Local 521 Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 51  Packet Pg. 119 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 2 of 43 CONTENTS PREAMBLE ................................................................................................................................... 5 ARTICLE I – RECOGNITION ...................................................................................................... 5 Section 1...................................................................................................................................... 5 Section 2. No Discrimination. ..................................................................................................... 6 ARTICLE II - UNION SECURITY ............................................................................................... 6 Section 1. Notice. ....................................................................................................................... 6 Section 2. Documentation. .......................................................................................................... 6 Section 3. Payroll Deduction. ..................................................................................................... 7 Section 4. Bulletin Boards and Departmental Mail. ................................................................... 7 Section 5. Access to Union Representatives. ............................................................................. 8 Section 6. Meeting Places. ......................................................................................................... 8 Section 7. Notification to the Union. .......................................................................................... 8 Section 8. Union Logo. ............................................................................................................... 8 Section 9. City Council Materials. .............................................................................................. 8 Section 10. Temporary Agency Reporting ................................................................................. 8 Section 11. Job Postings. ............................................................................................................ 8 Section 12. Contracting Out. ....................................................................................................... 8 Section 13. New Employee Procedure/Process. ......................................................................... 9 ARTICLE III. – STEWARDS ...................................................................................................... 10 Section 1. Designation. ............................................................................................................ 10 Section 2. Release Time. .......................................................................................................... 10 Section 3. Advance Notification and Approval. ...................................................................... 10 Section 4. Timecard Reporting. ................................................................................................ 10 Section 5. Storage of Union materials. .................................................................................... 10 Section 6. Labor/Management Meetings. ................................................................................ 11 ARTICLE IV. - REDUCTION IN FORCE .................................................................................. 11 Section 1.................................................................................................................................... 11 Section 2. Notice ...................................................................................................................... 11 Section 3. Seniority and Service Ties. ...................................................................................... 11 Section 4. Bumping Rights. ...................................................................................................... 11 Section 5. Re-Employment List. ............................................................................................... 12 Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 52  Packet Pg. 120 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 3 of 43 Section 6. Reinstatement. .......................................................................................................... 13 Section 7.................................................................................................................................... 13 ARTICLE V. - PERSONNEL ACTIONS .................................................................................... 13 Section 1. Probationary Period. ............................................................................................... 13 Section 2. Personnel Evaluations. ............................................................................................ 13 Section 3. Personnel Files. ....................................................................................................... 13 Section 4. Release of Information. ........................................................................................... 14 Section 5. Full Time Opportunities. ......................................................................................... 14 Section 6. Equitable Rotation. .................................................................................................. 14 Section 7. Internal Eligibility. .................................................................................................. 14 ARTICLE VI - PAY ..................................................................................................................... 14 Section 1. Wages. ..................................................................................................................... 14 Section 2. Step Increases.......................................................................................................... 15 Section 3. Working Out of Classification. ............................................................................... 15 Section 4. Direct Deposit. ......................................................................................................... 15 ARTICLE VII - HOURS OF WORK, OVERTIME .................................................................... 16 Section 1. Work Week and Work Day. .................................................................................... 16 Section 2. Overtime Work. ....................................................................................................... 16 Section 3. Work Shifts. ............................................................................................................. 16 Section 4. Lunch and Break Periods. ........................................................................................ 16 Section 5. Clean-Up Time. ........................................................................................................ 16 Section 6. Call-Out Pay............................................................................................................. 16 ARTICLE VIII – UNIFORMS ..................................................................................................... 17 ARTICLE IX- HOLIDAYS ......................................................................................................... 17 Section 1. Fixed Holidays: ....................................................................................................... 17 ARTICLE X- LEAVES ................................................................................................................ 18 Section 1. Sick Leave and Personal Business Leave ................................................................ 18 Section 2. Floating Holiday ...................................................................................................... 19 Section 3. Jury Duty .................................................................................................................. 19 ARTICLE XI - VOTING TIME ................................................................................................... 19 ARTICLE XII -WORKERS COMPENSATION ......................................................................... 19 Industrial Temporary Disability ................................................................................................ 19 ARTICLE XIII - BENEFIT PROGRAMS ................................................................................... 20 Section 1. Medical Insurance Plan. .......................................................................................... 20 Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 53  Packet Pg. 121 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 4 of 43 ARTICLE XIV - RETIREMENT ................................................................................................. 20 Section 1. Part-time, Seasonal, Temporary (PST) Retirement Plan. ........................................ 20 Section 2. California Public Employees’ Retirement System (“PERS”). ................................ 21 Section 3. Retirement Contributions. ........................................................................................ 21 ARTICLE XV PARKING ........................................................................................................... 21 ARTICLE XVI PHYSICAL EXAMINATIONS ......................................................................... 22 ARTICLE XVII - SAFETY .......................................................................................................... 22 Section 1. Health and Safety Provisions. .................................................................................. 22 Section 2.................................................................................................................................... 22 Section 3. Safety Committee..................................................................................................... 22 ARTICLE XVIII - GRIEVANCE PROCEDURE ........................................................................ 23 Section 1.................................................................................................................................... 23 Section 2. Definition. ................................................................................................................ 23 Section 3. Conduct of Grievance Procedure. ........................................................................... 23 Section 4. Grievance Procedure. ............................................................................................... 25 ARTICLE XIX - UNSATISFACTORY WORK OR CONDUCT AND DISCIPLINARY ACTION ....................................................................................................................................... 27 Section 1.................................................................................................................................... 27 Section 2.................................................................................................................................... 27 Section 3. Preliminary Notice of Discipline ............................................................................. 27 Section 4. Skelly Meeting. ....................................................................................................... 28 ARTICLE XX – NO ABROGATION OF RIGHTS .................................................................... 28 ARTICLE XXI – OUTSIDE EMPLOYMENT ............................................................................ 28 ARTICLE XXII PROMOTIONAL/CONVERSION OPPORTUNITES ..................................... 28 ARTICLE XXIII – PROVISIONS OF THE LAW ...................................................................... 29 Section 1.................................................................................................................................... 29 Section 2.................................................................................................................................... 29 ARTICLE XXIV – COST REDUCTION PROGRAMS ............................................................. 29 ARTICLE XXV – TERM ............................................................................................................. 29 EXECUTED: ................................................................................................................................ 30 Appendix A - Job Classifications for SEIU Hourly Unit Personnel ............................................. 31 Appendix B - Salary Schedule ...................................................................................................... 42 Appendix C - Public Agency Retirement System (P.A.R.S.) Plan ............................................... 43 Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 54  Packet Pg. 122 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 5 of 43 MEMORANDUM OF AGREEMENT City of Palo Alto and Local 521, SEIU HOURLY UNIT PREAMBLE This Memorandum of Agreement is entered into by the City of Palo Alto (hereinafter referred to as the City) and Local 521 Service Employees International Union (hereinafter referred to as the Union). Employee, for the purposes of this Memorandum of Agreement, shall mean an employee assigned to a classification within the SEIU Hourly unit. This Memorandum of Agreement is pursuant and subject to Sections 3500 et, seq. of the Government Code of the State of California and Chapter 12 of the City of Palo Alto Merit Rules and Regulations. ARTICLE I – RECOGNITION Section 1. Pursuant to Sections 3500 et. seq. of the Government Code of the State of California and Chapter 12 of the City of Palo Alto Merit System Rules and Regulations, the City recognizes the Union as the exclusive representative of a representation unit consisting of hourly employees who are regularly scheduled and who work a minimum of four hundred sixteen (416) hours per fiscal year. This does include PERS exempt employees. This does not include on call employees without regular schedules and who are hired to work occasionally for special projects. This does not include employees employed primarily to work seasonal or recreational programs and who may work intermittently outside their recreational season. This unit shall for purposes of identification be titled the SEIU Hourly Unit, and includes employees in the classifications listed in Appendix A attached. The City shall notify the Union in writing of the development of a new hourly classification and upon request will meet and confer regarding inclusion of the classification in the SEIU Hourly Unit. The parties agree that hourly employees are considered to be in the bargaining unit while that employee is employed by the City of Palo Alto, when they work (including all paid hours) 416 hours or more within a fiscal year. Any Limited Hourly employee that accumulates 416 hours worked or more within a fiscal year, shall be converted to the SEIU 521 Hourly Unit by the City of Palo Alto. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 55  Packet Pg. 123 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 6 of 43 Upon conversion of an eligible hourly employee from the Limited Hourly status to the SEIU 521 Hourly Unit status, all wages and benefits due the employee will be paid and provided to the employee. All current and retroactive wages and/or benefits shall be back dated to their eligibility date of their status and recognition, as a SEIU 521 Hourly Unit employee. Section 2. No Discrimination. The City and Union agree that no person employed by or applying for employment hereto shall be discriminated against because of race, religion, creed, political affiliation, color, national origin, ancestry, union activity, age, disability, sexual orientation, or gender. The City and the Union agree to protect the rights of all employees to exercise their free choice to join the Union and to abide by the express provisions of applicable State and local laws. ARTICLE II - UNION SECURITY Section 1. Notice. When a person is hired in a job covered in Article I, the City shall notify that person that the Union is the recognized bargaining representative for the employee and give the employee a current copy of the Memorandum of Agreement. When a group employee orientation is held for new employees of the bargaining unit, a Union Representative may make a presentation to such bargaining unit employees for the purpose of explaining matters of representation. New employees shall be required to attend orientation. The Director of Human Resources may make an exception if extraordinary circumstances interfere with the employee’s ability to attend. If the Director grants an exception, the employee and Union shall be granted a thirty (30) minute presentation at the employee’s report location for union orientation. During the term of this agreement the City and the Union agree to explore ways in which Union access to new members can be improved. Section 2. Documentation. The City shall supply the Union with the information described under subsections (a) and (b) of this Section: (a) The City will provide SEIU, when available, with the name, job title, department, work location, work, home, personal cellular telephone number, personal email address, and home address of any new employee within 30 days of hire or by the first pay period of the month following hire. (b) The City will provide SEIU with the list, enumerated above, of all information for all employees in the bargaining unit at least every 120 days unless more frequent. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 56  Packet Pg. 124 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 7 of 43 (c) The City shall supply the Union with the documentation required by California Assembly Bill 119. (d) The Union shall supply the City, and as applicable, the employees, with the documentation required by Government Code Section 3502.5(f). Section 3. Payroll Deduction. (a) The City shall deduct Union membership dues, and any other mutually agreed upon payroll deduction, which may include voluntary COPE (Committee On Political Education) at the check-off area, from the bi-weekly pay of bargaining unit employees. The Union will be the custodian of records for individual employee membership and dues deduction forms. The Union will maintain all authorizations for dues deductions signed by the individual from whose salary or wages the deduction or reduction is to be made. The City will direct employee requests to cancel or change deductions to the Union. Deductions may be revoked only pursuant to the terms of the employee’s written authorization. The City shall remit the deducted dues to the Union as soon as possible after deduction. (b) Indemnification, Defense and Hold Harmless: Union agrees to indemnify and hold harmless the City and all officials, employees, and agents acting on its behalf, from any and all claims, actions, damages, costs, or expenses including all attorney’s fees and costs of defense in actions against the City, its officials, employees or agents as a result of actions taken or not taken by the City pursuant to this article. Section 4. Bulletin Boards and Departmental Mail. The Union shall have access to inter-office mail, existing bulletin boards in unit employee work areas, and the existing Union-paid telephone answering device for the purpose of posting, transmitting, or distributing notice or announcements including notices of social events, recreational events, Union membership meetings, results of elections and reports of minutes of Union meetings. Any other material must have prior approval of the Human Resources Office. Action on approval will be taken within 24 hours of submission. The Union may send email messages only for the purposes set forth above. The IT Department will maintain the SEIU list and keep it current. The Union access to email is based on the following conditions: 1) emails to the SEIU list will be copied to the Human Resource Director at distribution, 2) emails to the SEIU list will only be sent by the SEIU Chapter Chair, Vice Chair, Chief Steward(s) or Secretary, 3) a maximum of 52 emails may be sent per year and a maximum of 12 emails may be sent per year by the SEIU Chapter Secretary. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 57  Packet Pg. 125 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 8 of 43 Section 5. Access to Union Representatives. Representatives of the Union are authorized access to City work locations for the purpose of conducting business within the scope of representation, provided that no disruption of work is involved and the business transacted is other than recruiting of members or collecting of dues, and the Representative must notify the Human Resources Department Office prior to entering the work location. Section 6. Meeting Places. The Union shall have the right to reserve City meeting and conference rooms for use during lunch periods or other non-working hours. Such meeting places will be made available in conformity with City's regulations and subject to the limitations of prior commitment. Section 7. Notification to the Union. The Union shall be informed in advance in writing by Management before any proposed changes not covered by this Memorandum of Agreement are made in benefits, working conditions, or other terms and conditions of employment which require meet and confer or meet and consult process. Section 8. Union Logo. All materials and documents produced on Itek and metal plates, by the City print and reproduction shop, shall carry the Union label on the inside of covers or title pages in accordance with customary printing trades practices. Section 9. City Council Materials. The City shall make available to the Union in a timely manner copies of all City Council meeting agendas, minutes and schedule of meetings. These materials may be picked up at the City Clerk's Office during business hours. Section 10. Temporary Agency Reporting. Upon request, the City shall provide the Union reports by department on the use of agency temporaries filling representation unit vacant positions, or doing work similar to that of representation unit classifications. Section 11. Job Postings. Job postings for classification positions covered by this Agreement shall include a statement that the position is covered by this Collective Bargaining Agreement and that union dues may be required. Section 12. Contracting Out. The City through the labor management process will keep the Union advised of the status of the budget process, including any formal budget proposal involving the contracting out of SEIU bargaining unit work traditionally performed by bargaining unit members at least thirty (30) days prior to the release of the City Manager’s proposed budget. The City will notify the Union in writing at least ninety (90) days prior to contracting work which has been traditionally performed by bargaining unit members, where such contracting will result in layoff or permanent reduction in hours. Within the ninety (90) day period of contracting out, both parties may offer alternatives to contracting out and meet and confer on the impact of such contracting out of a bargaining unit employee work. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 58  Packet Pg. 126 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 9 of 43 The City will collaborate with the Union regarding the potential result of a layoff of bargaining unit members. The City will provide all available job opportunities within the City of Palo Alto and/or the contracting out agency or entity to the Union. The Union will communicate with impacted bargaining unit members with regards to any interest a member may have in securing another job position, in lieu of a layoff, whenever possible. The City will notify the Union in writing when contracting out work which has been traditionally performed by bargaining unit workers, where such contracting out is expected to replace a laid off bargaining unit position that has been eliminated within ninety (90) days prior to the date of the planned contract work. When feasible, the City will provide such notice prior to the beginning date of the planned contract work. The City will meet with the Union upon request to discuss alternatives. This provision does not apply to the filling of temporary vacancies of twelve (12) months or less duration. The City will provide the Union with a biannual list by department of all contract workers or vendors who are contracted by the City who perform work for the City. The City will make a reasonable effort to identify the names of the vendors on the list and the nature of the work provided by each vendor. Section 13. New Employee Procedure/Process. New employees hired and assigned to classifications covered by the SEIU Unit shall be advised by the City that Local 521, Service Employees International Union, is the recognized bargaining representative in said unit. The City agrees to distribute to all new employees in the SEIU Unit a reasonable amount of materials provided by the Union at its expense. The City will provide the Union written notice in accordance with California Assembly Bill 119, a list of employees attending the City’s new employee orientation that includes each employee’s identification number, name, job classification, department, work location (title and address), work phone number (if available in the payroll system), work email address (if available in the payroll system), hire date, and, subject to the individual employee’s consent, the employee’s home address, personal mobile number, home phone number, and personal home email address. A representative(s) of the Union shall be permitted to make a thirty (30) minute presentation and present written materials during a portion of the orientation for which attendance is mandatory. No representative(s) of management shall be present. One steward or chapter officer shall be granted release time for this purpose. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 59  Packet Pg. 127 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 10 of 43 ARTICLE III. – STEWARDS Section 1. Designation. The Union agrees to notify the Director of Human Resources of those individuals designated as Union officers and Stewards who receive and investigate grievances and represent employees before Management. Alternates may be designated to perform Steward functions during the absences or unavailability of the Steward. Section 2. Release Time. It is agreed that, as long as there is prior notice to the Supervisor with no disruption of work, one (1) Steward shall be allowed reasonable release time away from their work duties, without loss of pay, to act in representing a unit employee or employees on grievances or matters within the scope of representation, including: (a) A meeting of the Steward and an employee, or employees of that unit related to a grievance. (b) A meeting with Management. (c) Investigation and preparation of grievances. Grievances may be transmitted on City time. All Steward release time shall be reported on timecards using Internal Order 80005 or its successor and a short-text notation describing the nature of the release time (e.g. “Steward release time”, “bargaining release time”, “Labor-Management Committee release time”, etc.). Section 3. Advance Notification and Approval. The Union agrees that the Steward shall give advance notification to their supervisor and receive permission before leaving the work location, except in those cases involving emergencies where advance notice cannot be given. Management permission to leave the worksite under this section shall not be unreasonably denied. Section 4. Timecard Reporting. One Union Steward per affected Department, who is a City employee, shall be allowed a reasonable amount of release time off for purposes of meeting and conferring or meeting and consulting on matters within the scope of representation. All such time will be reported on timecards using Internal Order 80005 or its successor and a short-text notation describing the nature of the release time (e.g. “Steward release time”, “bargaining release time”, “Labor-Management Committee release time”, etc.). Section 5. Storage of Union materials. Union Stewards may utilize space in assigned desks for storage of Union materials. In the event Stewards are not assigned desks the City will provide locker or other mutually agreeable space for storage of Union materials. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 60  Packet Pg. 128 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 11 of 43 Section 6. Labor/Management Meetings. Two Hourly Unit employees from different divisions shall be allowed a reasonable amount of release time off to participate in monthly Labor/ Management Meetings. Such meetings may be included with the Classified Unit’s Labor/Management meetings if appropriate. Such time shall be reported using Internal Order 80005 or its successor and a short-text notation describing the nature of the release time (e.g. “Labor-Management Committee release time”, etc.). ARTICLE IV. - REDUCTION IN FORCE For the purposes of this Section, length of service shall be defined as all straight time hours worked by that employee for the City of Palo Alto. Section 1. In the event of reductions in force, reductions shall be accomplished whenever possible through attrition. Section 2. Notice. When the City determines that layoffs are imminent resulting from reduction in force within the representation unit, the City will give the Union such advance notice as is reasonable under the circumstances. The notice will indicate the departments and divisions which will be affected and the circumstances requiring the layoffs. The City will furnish the Union with a current representation unit seniority list with notice of layoff. Section 3. Seniority and Service Ties. If the work force is reduced within a department, division, or office for reasons of change in duties or organization, abolition of position, shortage of work or funds, or completion of work, employees with the shortest length of service will be laid off first so long as employees retained are fully qualified, trained, and capable of performing remaining work. Length of service for the purpose of this article will be based on current service hire date of record in an hourly classification with no adjustment for leaves of absence. Length of service ties will be determined by lot. Employees laid off due to the above reasons will be given written notice at least thirty (30) days prior to the reduction in force. A copy of such notice will be given to the Union. Such employees shall be offered priority employment rights to hourly positions which are requisitioned and for which the employees are qualified for a period beginning with notification and ending sixty (60) days following the reduction in force. Employees transferred or reclassified under this section will be assigned to the step in the new classification salary range closest to the employee's salary range at the time of reclassification. Employees laid off pursuant to this section shall receive the balance of all regular City compensation owed at termination within 72 hours of the date of termination. This does not include any amounts payable as PERS contribution refunds, if any. Section 4. Bumping Rights. Employees identified for layoff who have seniority (bumping) rights to their current or previously held classification within the representation unit must declare their Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 61  Packet Pg. 129 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 12 of 43 intention to exercise these rights within seven (7) regularly scheduled working days after written notification of layoff, otherwise bumping rights will automatically terminate. Bumping may occur within the representation unit, only to the least senior incumbent of the current or a previously held classification. To successfully bump, the employee must be qualified, and capable of performing all work in the position bumped. An employee who declares bumping rights may not also claim priority re-employment rights. For purposes of this section of the Agreement, the term "working days" shall mean Mondays through Fridays, exclusive of holidays. When employees declare their intention to exercise their seniority (bumping) rights, the City will provide the Union with a current list of the least senior incumbents to their current or previously held classification, within five (5) working days from the date employees exercise their seniority (bumping) rights, with the mutual goal to offset a potential lay-off of the impacted employee(s). Employees who are in jeopardy of being laid off and have waived their right to bump or when there are no positions that exist within the current or previously held classification for the employees to exercise their right to bump, employees will have priority hiring rights for any vacant budgeted positions within the City. For the purposes of this section, priority hiring is defined as sole consideration by the hiring manager for any position where the employee meets the minimum qualification or through a combination of knowledge and experience can be reasonably assumed to meet the minimum qualifications. No other internal or external candidates will be considered until a final determination has been made by the hiring manager in regard to the priority hire. If more than one (1) employee in jeopardy of being laid off exercises their priority hiring status, then all employees with priority hiring status will be considered simultaneously. This section shall not constitute any guarantees to appointment of positions or expansion of bumping rights. When employees exercise their priority hiring status rights, the City will provide the Union with a current list of all vacant budgeted positions at the City within five (5) working days from the date the employees exercise their priority hire status, with the mutual goal to offset a potential lay-off of the impacted employee(s). When an employee secures a position with the City through the priority hire process, all reasonable measures will be taken to ensure and support a successful transition into their new position. Section 5. Re-Employment List. The names of persons laid-off or who through bumping changed classification in accordance with the provisions of this Article shall be entered upon a re- employment list in seniority order. The person with the highest seniority on a division re- employment list for a particular classification when a vacancy exists in that classification in that division shall be offered the appointment. Names shall be carried on a re-employment list for a period of one (1) year from the date of separation from City services or change of classification through bumping. Upon re-employment within the one-year period, the employee's hire date of record at the time of layoff will be reinstated. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 62  Packet Pg. 130 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 13 of 43 Section 6. Reinstatement. Employees laid off pursuant to Section 2 who are reinstated to regular position within sixty days shall retain the sick leave balance they had at the time of layoff. Section 7. No representation unit employee will be laid off or remain on a re-employment list when intermittent hourly and seasonal hourly employees are performing substantially all the duties of the classification of the hourly employee receiving a layoff notice or on a re-employment list. ARTICLE V. - PERSONNEL ACTIONS Section 1. Probationary Period. Each new employee shall serve a probationary period of twelve (12) months of continuous employment calculated from the employee’s date of hire in a covered classification and excluding all periods of leave and light duty assignments. The probationary period shall be regarded as a part of the testing process and shall be utilized for closely observing the employee's work, for securing the effective adjustment of a new employee to their position, and for rejecting any probationary employee whose performance does not meet the acceptable standards of work. At least one written performance appraisal will be given to each probationary employee on or before expiration of the probationary period. Normally, this appraisal will be given at the end of six months. In the event of termination prior to successful completion of the probationary period, such terminated employee shall be given written notice of their termination with the reasons for the termination stated therein. The Human Resources Department shall, upon request, afford an interview in a timely fashion to the terminated employee for discussion of the reasons for termination. The employee may, upon request, be accompanied by a Union Representative. The interview shall not be deemed a hearing nor shall it obligate the City to reconsider or alter the termination action. The parties agree that probationary employees shall have all rights under this Memorandum of Agreement, including full and complete access to the grievance procedure, save and except for instances of suspension, demotion or termination. Section 2. Personnel Evaluations. Personnel evaluations will be given to employees as scheduled by Management. Personnel evaluations are not appealable subject to appeal through the grievance procedure but, in the event of disagreement over content, the employee may request a review of the evaluation with the next higher level of Management, in consultation with the Human Resources Department. For purposes of this review, the employee may be represented by the Union. Decisions regarding evaluation review shall be made in writing within ten (10) working days following the review meeting. Section 3. Personnel Files. Records of all disciplinary actions shall be kept in the central personnel file. Employees shall be entitled to sign and date all action forms in their personnel files. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 63  Packet Pg. 131 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 14 of 43 Employees are entitled to review their personnel files upon written request or to authorize, in writing, review by their Union Representatives. An employee or the Union shall be allowed, upon reasonable request, copies of materials in an employee's personnel file relating to a grievance. Section 4. Release of Information. The City will only release information to creditors or other persons upon prior identification of the inquirer and acceptable reasons for the inquiry. Information then given from personnel files is limited to verification of employment, length of employment and verification and disclosure of salary range information. Release of more specific information may be authorized by the employee in writing. Section 5. Full Time Opportunities. Full time job opportunities for classifications within the Hourly unit and the Classified unit will be posted for at least one (1) week prior to selection. Outside recruitment may be used for full time openings and may begin at the time of posting, or any time thereafter. Section 6. Equitable Rotation. In assigning employees to regular schedules or special assignments, transfer, standby, overtime, or time off selection, ability to perform the work, length of service and/or equitable rotation shall determine the assignments. Section 7. Internal Eligibility. Non-probationary employees in the Hourly Unit are eligible to apply for any posted SEIU Classified Unit promotional employment opportunity. Such participation shall be on the same basis and on the same terms as applies to internal Classified Unit applicants, except as provided otherwise by the terms of the applicable City-SEIU Classified Unit MOA or other applicable agreement between the City and the SEIU Classified Unit. Unless otherwise provided by the City-SEIU Classified Unit MOA or other applicable agreement between the City and the SEIU Classified Unit, the seniority of an Hourly Unit applicant shall be determined by total hours worked divided by two thousand eighty (2080). The parties acknowledge that this paragraph will have effect only upon written agreement between the City and SEIU Classified Unit to permit its application and for the duration of such agreement. ARTICLE VI - PAY Section 1. Wages. Base wage rates and ranges of covered classifications are set forth in Appendix B (Salary Schedule) of this Memorandum of Agreement and reflect the following increases: General Salary Increase: Effective the first full pay period following the adoption of the MOA by City Council, the salary ranges of all represented classifications will be increased by three percent (3.0%). General Salary Increase: Effective the first full pay period following July 1, 2026, the salary ranges of all represented classifications will be increased by three percent (3.0%). Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 64  Packet Pg. 132 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 15 of 43 Section 2. Step Increases. Hourly employees are to be given a performance review after six months from date of hire and annually thereafter; improvement, efficient and effective service will warrant a salary step increase. Subsequent salary reviews are based on performance appraisals and will depend upon demonstrated satisfactory job performance. If an employee’s performance evaluation is delayed past the employee’s review date and the reviewing manager determines that the employee’s demonstrated job performance warrants the step increase, the increase shall take effect retroactive to the employee’s originally scheduled review date. (a) City Departments may elect to provide step level increases to a SEIU Hourly employee at any time during their employment with the City. The department may elect a merit step level increase based on an employee’s outstanding job performance at any time. (b) Employees promoted within the SEIU Hourly classifications shall be placed at the closest wage step to their current hourly rate; this can never result in a loss in pay to the employee. Section 3. Working Out of Classification. The term ‘working out of classification”, also referred to as WOC, is defined as a Management authorized assignment to a budgeted Hourly Unit position or a General Unit position on a temporary basis, wherein all significant duties are performed by an individual holding a classification within a lower compensation range. The WOC position serves as a temporary measure to cover a vacancy in the Hourly Unit or the General Unit for a reasonable short-term timeframe. For any timeline extensions of the WOC position, the City and the Union will communicate via phone or e-mail and/or meet to discuss the status of the WOC extension. The Union agrees that it shall not unreasonably withhold agreement for a reasonable extension of a reasonable duration for any SEIU/City WOC position. The City agrees that it shall provide an ongoing recruitment effort pertaining to the vacant WOC position in a timely and reasonable manner. Pay for working out of classification shall be as follows: Employees appointed on a “working out of classification” basis will receive acting pay within the range of the higher classification beginning the first (1st) workday of the assignment. Pay for working out of classification will be determined by the salary step of the higher classification which the employee would be compensated, if permanently appointed to that classification. Employees in the working out of classification position, shall be placed at the closest higher pay step level to their current hourly rate. Section 4. Direct Deposit. Beginning in the first pay period following union ratification and adoption of this Agreement by the City Council, the City shall directly deposit all paychecks for Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 65  Packet Pg. 133 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 16 of 43 Unit employees in a financial institution of the employee’s choice that accepts direct deposits and does not charge the City a fee(s) for direct deposit service. In the event that the employee fails to designate a financial institution for direct deposit of his or her payroll check, the employee shall pick up the check personally in the City’s Administrative Services Department office on the next business day following payday at a pickup time designated by Administrative Services. ARTICLE VII - HOURS OF WORK, OVERTIME Section 1. Work Week and Work Day. The workweek for hourly employees shall be no greater than forty (40) regularly scheduled hours. An employee will work the hours assigned by the employee’s supervisor. Overtime work must be approved by a supervisor prior to being performed. Section 2. Overtime Work. An employee will receive overtime at the rate of time and one-half for all hours paid after 40 hours in a workweek. Section 3. Work Shifts. Employees may be assigned to work shifts with scheduled starting and quitting times. For employees assigned to a regular work shift, should conditions necessitate a change in starting and quitting times, the Employee will be notified ten (10) working days in advance and permitted to discuss such changes with the City. The Employee may request the presence of their Union Representative at the meeting with the City. This however, shall not preclude the City’s right to effect schedule changes dictated by operational necessity, nor shall this provision apply to day-to-day changes needed to cover short-term unexpected absences. This section does not apply to overtime scheduling. Section 4. Lunch and Break Periods. Employees will be granted a minimum half hour (1/2 hour) unpaid meal break after five (5) hours of work, unless the entire shift is only six (6) hours, in which case the employer and employee may agree to forgo the meal break. If dictated by the operational needs of a department, and upon agreement by the City and the Union, employees may take an “on duty” lunch period which shall be counted as time worked. All employees in the bargaining unit will be granted a paid rest period limited to fifteen (15) minutes during each full four (4) hours of work. Departments may make reasonable rules concerning rest period scheduling. Section 5. Clean-Up Time. All employees whose work causes their person or clothing to become soiled shall be provided with reasonable time before lunch and at shift end for wash-up purposes. Section 6. Call-Out Pay. Employees not otherwise excluded from receiving overtime pay and who are called out to perform work shall be compensated for at least two hours pay from the time of the call-out for each occurrence at the appropriate overtime rate. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 66  Packet Pg. 134 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 17 of 43 ARTICLE VIII – UNIFORMS The City will provide uniforms, coveralls or shop coats on a weekly basis, or as otherwise furnished, for the jobs and/or classifications that the City requires such apparel. Employees required to wear uniforms shall be provided suitable change rooms and lockers where presently provided. Employee clothing seriously damaged or destroyed in conjunction with an industrial injury will be reasonably replaced by the City. Any other claims alleging City liability may be filed with the City Attorney. The City shall reimburse employees 75 percent of the cost of job-required safety shoes upon verification of such purchase by the employee. The City will provide rainy weather protection when and where appropriate. The City and the Union will work through the Labor Management process to further develop guidelines for providing uniforms and reimbursements. ARTICLE IX- HOLIDAYS Section 1. Fixed Holidays: January 1 Third Monday in January (Martin Luther King Day) Third Monday in February Last Monday in May July 4 First Monday in September Second Monday in October Veterans' Day, November 11 Thanksgiving Day Day after Thanksgiving December 25 Either December 24 or December 31 a) Employees who work a regular schedule shall receive holiday pay for the hours they would otherwise be scheduled to work, due to a closure on a Fixed City Holiday. b) Employees who work on a holiday that is an employee’s regular scheduled workday, will receive time and one half for all hours worked on a holiday in addition to any regular holiday pay, for all hours worked on a holiday. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 67  Packet Pg. 135 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 18 of 43 c) Employees who work on a holiday that is an employee’s non-regular scheduled workday, will receive time and one half for all hours worked on a holiday. Employees will not receive regular holiday pay. d) SEIU 521 Hourly Unit employee workdays are defined as Monday-Sunday. e) When a City Fixed Holiday falls on a weekend day, the City recognizes the Holiday on the weekday before or the weekday after the City Fixed Holiday. f) The following five (5) City Fixed Holidays may fall on weekend days: January 1, July 4, Veterans’ Day-November 11, December 25 and Either December 24 or December 31. g) Due to a closure on a City Fixed Holiday that falls on a weekend day, employees who are regularly scheduled to work weekend days and do not work on the weekday before or after the City Fixed Holiday, shall receive holiday pay for the hours they would otherwise be scheduled to work. h) Employees who work on a holiday that is an employee’s regular scheduled weekend workday that falls on a City Fixed Holiday and do not work on the weekday before or after the City Fixed Holiday, will receive time and one half for all hours worked on a holiday in addition to any regular holiday pay for all hours worked on the holiday. i) Employees who work on a holiday that is an employee’s non-regular scheduled weekend workday that falls on a City Fixed Holiday and do not work on the weekday before or after the City Fixed Holiday, will receive time and one half for all hours worked on a holiday. Employees will not receive regular holiday pay. ARTICLE X- LEAVES Section 1. Sick Leave and Personal Business Leave a. Sick Leave The City shall provide each employee with paid sick leave, earned on the basis of 0.03 hours for each hour paid. Sick leave shall be allowed and used in cases of actual personal sickness or for the care of an immediate family member, including a registered domestic partner, or disability, medical or dental treatment. There will be no pay out of sick leave upon the employee’s termination. If an Hourly Unit member is hired into a permanent position in the General Employee bargaining unit, he or she will retain his or her accumulated sick leave balance. b. Personal Business Leave Effective January 1, 2015, up to ten (10) hours per year of sick leave may be used as authorized for Personal Business Leave. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 68  Packet Pg. 136 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 19 of 43 Section 2. Floating Holiday Effective January 1, 2024, the SEIU Hourly Unit employees shall be excused with pay for the hours they would otherwise be scheduled to work, for one (1) day within each calendar year, which is mutually agreed to by the employee and their supervisor. The one (1) floating holiday will be deemed forfeited and have no cash value, if not used each calendar year. Section 3. Jury Duty Employees required to report for jury duty shall be granted a leave of absence with pay from their assigned duties for hours that they are regularly scheduled to work consistent with the requirements of the City's Merit System Rules and Regulations. ARTICLE XI - VOTING TIME When the employee is unable to vote outside the employee’s work hours, time off with pay to vote in any general or direct primary election shall be granted as provided in the State of California Election Code, and notice than an employee desires such time off shall be given in accordance with the provisions of said Code. ARTICLE XII -WORKERS COMPENSATION Industrial Temporary Disability. (a) While temporarily disabled, employees shall be entitled to use accrued sick leave for the first three (3) days following the date of injury and thereafter shall be paid based upon hourly salary for a period not to exceed fifty-seven (57) calendar days, unless hospitalized, in which case employees shall be paid full base salary for a period not to exceed sixty (60) days from date of injury. (b) For any temporary disability continuing beyond the time limits set forth in (a) above, employees shall be paid two-thirds (66 2/3%) of their hourly salary at the time of injury for the duration of such temporary disability in conformance with the State law. (c) In case of Subsection (a) above, the employee will continue to accrue sick leave benefits. In the case of Subsection (b), sick leave benefits shall not be accrued. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 69  Packet Pg. 137 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 20 of 43 ARTICLE XIII - BENEFIT PROGRAMS Section 1. Medical Insurance Plan. In lieu of providing a medical plan the City provides a medical stipend. This stipend does not apply and will not be payable to employees who are California Public Employee Retirement System annuitants already receiving medical benefits through that system. For the term of this agreement the medical stipend is set at the following amounts: Effective the first full pay period following the adoption of the MOA by City Council, the medical stipend shall be increased by four percent (4.0%) for a total of $3.96 per hour in paid status. Effective the first full pay period following July 1, 2026, the medical stipend shall be increased by four percent (4.0%) for a total of $4.11 per hour in paid status. If the State of California or federal government adopt or mandate a plan that requires the City to pay in whole or in part for medical services or coverage for employees in the bargaining unit, the stipend provided in this paragraph shall be reduced or cease to the extent of required payments toward the state or federal plan, as applicable. Before implementation of a change, the City shall notify the Union of the amount of the offset and provide an opportunity to meet to discuss the calculation of the amount. Such discussion shall occur within fifteen (15) working days after the City gives notice to the Union. The City’s calculation of the amount of the offset shall be based on the aggregate number of hours worked in the bargaining unit during the fiscal year preceding that in which the state or federal plan takes effect. The City and SEIU will continue to investigate the feasibility of providing Employees with access to medical insurance. Such information will be shared during negotiations for a successor Memorandum of Agreement. ARTICLE XIV - RETIREMENT Section 1. Part-time, Seasonal, Temporary (PST) Retirement Plan. Employees in the Hourly Unit shall participate in the City of Palo Alto PST Retirement Plan, except as described in section 2 below. The plan, summarized in Appendix C, was adopted by the City on June 25, 1994 as a retirement plan alternative for part-time, seasonal and temporary employees to replace Social Security and is currently administered by Public Agency Retirement Services (“PARS”). The City of Palo Alto does not deduct the social security portion of the FICA (Federal Insurance Contribution Act) tax. The City does deduct the Medicare portion of the FICA tax. All hourly employees are required to contribute 7.5% of their salary into the PST Retirement Plan. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 70  Packet Pg. 138 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 21 of 43 Section 2. California Public Employees’ Retirement System (“PERS”). PERS annuitants are excluded from participation in the P.S.T. Retirement Plan. Employees in the Hourly Unit who have previously participated in and remain members in the California Public Employee Retirement System (“PERS”) or are otherwise required by law to be enrolled in CalPERS shall participate in P.E.R.S. to the extent required by law, in lieu of participation in the P.S.T. Retirement Plan. For example, CalPERS currently requires enrollment of most employees who work over 1000 hours in a fiscal year. Enrollment in CalPERS will be completed consistent with CalPERS rules and regulations. Participation in CalPERS shall be under the retirement formula and cost share in effect at the time the employee is hired into the Hourly Bargaining Unit unless otherwise required by law. If any changes to the CalPERS cost share are negotiated by the City of Palo Alto and SEIU 521 Regular Unit, then those changes will apply to any SEIU hourlies enrolled in the CalPERS system. The City and the SEIU 521 union will notify all SEIU hourlies enrolled in the CalPERS system via written notification within 2 pay periods, when there are any changes to the CalPERS cost share. Section 3. Retirement Contributions. a. PST Retirement Plan Contributions. Employees enrolled in the PST Retirement Plan shall contribute seven and one half percent (7.5%) of wages toward that Plan. b. PERS Employee Contributions. Employees enrolled in the PERS retirement system shall pay the full amount of the applicable employee contribution required by CalPERS for the PERS formula in which the employee is enrolled, as may be changed by CalPERS from time to time. c. Current contributions are as follows: (1) 2.7% at 55 Formula: eight percent (8%) (2) 2% at 60 Formula: seven percent (7%) (3) 2% at 62 Formula: contribution required by the Public Employees’ Pension Reform Act, calculated at fifty percent (50%) of the normal cost. (4) 1% Cost share of employer contribution for all plans ARTICLE XV - PARKING Employees are covered by the City’s administrative policy for Hourly parking permits, which includes the following provisions: Permits will be issued for University Avenue Parking Structures only. To be eligible for a parking permit, an hourly employee must work at least 2.5 hours per day for a consistent period of time (this assumes the need to walk back and forth to a garage). If the employee works less than 2.5 hours, they can park, without penalty, in downtown garages given the current 3 hour parking limit. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 71  Packet Pg. 139 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 22 of 43 The hourly employee must obtain a signed letter from his or her Department Head verifying the employee’s “consistent” and greater than 2.5 hour schedule for a parking permit and submit the letter with the request for a parking permit. The parking permit is issued and tracked by Revenue Collections, and is not transferrable. The employee must return the parking permit to Revenue and Collections upon a change to less than a 2.5 hour consistent schedule or termination of employment. ARTICLE XVI PHYSICAL EXAMINATIONS If an employee who is required to have a City-provided physical examination not related to workers' compensation programs disagrees with the findings of the City-sponsored physician, they may consult with their own physician at their own expense and, if their private physician's report conflicts with that of the City physician in terms of ability to work at their regular job, then they may request an evaluation of their problem through a third physician mutually agreed upon by the employee and the City. Cost for the third examination will be equally shared and the decision of this physician concerning the continuing ability of the employee to perform their work in their regular job without exposing themselves to further injury as a result of their condition shall be the basis for returning the employee to their regular work. ARTICLE XVII - SAFETY Section 1. Health and Safety Provisions. The City shall furnish and use safety devices and safeguards and shall adopt use practices, means, methods, operations and processes which are reasonably adequate to render such employment and place of employment safe, in conformance with applicable safety regulations under the State Labor and Administrative Code sections. The City shall not require or permit any employee to go to or be in any employment or place of employment which is not safe. Section 2. Union will cooperate with the City by encouraging all employees to perform their work in a safe manner. Section 3. Safety Committee. A Safety committee composed of Management and Union Stewards will meet no less than ten times annually to discuss safety practices, methods of reducing hazards, and to conduct safety training. This shall in no way remove the basic responsibility of safety from Management nor shall it in any way alter the responsibility of the employee to report unsafe conditions directly and immediately to his or her supervisor. Three (3) Hourly employees will participate in the ten-member Citywide Union/Management safety committee with equal Union and Management membership that will meet, upon call, to review safety and occupational health standards and practices, discuss overall City safety and Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 72  Packet Pg. 140 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 23 of 43 health problems, and to act as an advisory group to the departmental safety committees. The committee shall review all departmental safety programs and recommend change where necessary. The three (3) Hourly participants shall report such time on timecards, using Internal Order 80005 or its successor in conjunction with a short-text entry describing the nature of the time spent (e.g. “City-wide Union-Management Safety Committee”). In cases of dispute over safe working conditions the employee will first report such unsafe conditions to his or her supervisor and every attempt will be made to rectify the problem at this level. The employee may contact his or her Steward to assist in the resolution of the dispute. If the problem cannot be resolved the Risk Manager will be contacted and the problem will be addressed through the interpretation of the basic safety rules and regulations. Should the problem not be resolved at this step, the grievance procedure will be used. Safety grievances shall be submitted at Step III. ARTICLE XVIII - GRIEVANCE PROCEDURE Section 1. The City and the Union recognize that early settlement of grievance or appeal of disciplinary actions is essential to sound employee-employer relations. The parties seek to establish a mutually satisfactory method for the settlement of employee grievances, or appeal of disciplinary action, or Union grievances as provided for below. In presenting a grievance or appeal of disciplinary action, the aggrieved and/or their representative is assured freedom from restraint, interference, coercion, discrimination or reprisal. Release time for investigation and processing a grievance or appeal of disciplinary action is designated in Article IV of this Memorandum of Agreement (MOA). Section 2. Definition. A grievance is: (a) An unresolved complaint or dispute regarding the application or interpretation of rules, regulations, policies, procedures, Memorandum of Agreement or City ordinances of resolution, relating to terms or conditions of employment, wages or fringe benefits, excluding however those provisions of this MOA which specifically provide that the decision of any City official shall be final, the interpretation or application of those provisions not being subject to the grievance or appeal of disciplinary action procedure. (b) An appeal from a disciplinary action of any kind against an employee covered by this Memorandum of Agreement. Disciplinary action is defined as suspensions without pay, reductions in pay, demotion or discharge. Reprimands, transfers, reassignments, layoffs, and negative comments in performance evaluations are not considered discipline. Section 3. Conduct of Grievance Procedure. (a) An aggrieved employee may be represented by the Union or may represent themselves in preparing and presenting a grievance at any level of review. Grievances may also be Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 73  Packet Pg. 141 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 24 of 43 presented by a group of employees. No grievance settlement may be made in violation of an existing merit rule or memorandum of agreement. The Union will be notified prior to the implementation of any settlement made which affects the rights or conditions of other employees represented by the Union. The Union and the Steward will be copied on all written representation unit grievance decisions. (b) An employee and the Representative Steward, if any, may use a reasonable amount of work time so long as there is no disruption of work, in conferring about and presenting a grievance. Requests for release time to prepare a grievance shall be made in accordance with the provisions of Article III, section 3. Beginning with the third step of the grievance procedure, the Chief Steward or Alternate Chief Steward may assist in presenting a grievance and may be present at all Step III, and IV grievance hearings. (c) The time limits specified in this Article may be extended by mutual agreement in writing of the aggrieved employee or the Union and the reviewer concerned. (d) Should a decision not be rendered within a stipulated time limit, the aggrieved employee may immediately appeal to the next step. (e) The grievance may be considered settled if the decision of any step is not appealed within the specified time limit. (f) If appropriate, the aggrieved employee(s) or the Union and the Department Head may mutually agree to waive Step I and/or Step II of the grievance procedure. (g) Grievances shall be made in writing and submitted on forms provided by the City or on forms which are mutually agreeable to the City and Union. The written grievance shall contain clear, factual and concise language including: (1) the name of the grievant, (2) a statement of the facts upon which the grievance is based, including relevant dates, times and places, (3) specific provisions of the Agreement or specific City rules, policies, or procedures which the party filing the grievance alleges has been violated; (4) a summary of any steps taken toward resolution, and (5) the action the grievant believes will resolve the grievance. (h) Any retroactivity on monetary grievances shall be limited to the date of occurrence, except in no case will retroactivity be granted prior to three months before the grievance was filed in writing. (i) If the grievance is filed by more than one employee in the bargaining unit, the Union may, at its option, convert it to a Union grievance after Step II of the grievance procedure. The Union may also file a grievance in those instances when, under this Memorandum of Agreement, a Union right not directly related to an individual employee becomes the Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 74  Packet Pg. 142 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 25 of 43 subject of dispute. Union grievances shall comply with all of the foregoing provisions and procedures. (j) For purposes of time limits, “working days” are considered to be Monday through Friday, exclusive of City holidays. (k) If a mutually agreed solution is reached during any step of this grievance procedure, the agreement shall be placed in writing and signed by the City and the grievant or union. (l) Upon request of either party, meetings to discuss the grievance shall be held at any step in the grievance procedure. Section 4. Grievance Procedure. Step I. Informal Discussion. Within fifteen (15) working days after the incident or discovery of the incident on which the grievance is based the aggrieved employee shall present the grievance action to their immediate supervisor and attempt to resolve the grievance through informal discussions. Every attempt will be made to settle the issue at this level. Step II. If the grievance is not resolved through the informal discussion in Step 1, the employee will reduce the grievance to writing and submit copies to the Department head or their designee within fifteen working days of the discussion with the immediate supervisor. The Department Head or designee shall have fifteen working days from the receipt of a written grievance to review the matter and prepare a written statement. Step III. If the grievance is not resolved and/or the aggrieved employee is not satisfied with the Step II decision, the grievant or disciplined employee may appeal to the Human Resource Director or their designee in writing within fifteen working days of the receipt of the Department Head's response. The written appeal to the Human Resources level shall include a copy of the original grievance, the Department Head’s decision at Step II, and a clear statement of the reasons for appeal. Within fifteen working days, after receiving the written appeal, the Human Resource Director shall review the matter and prepare a written statement. If a mutually agreed solution is reached during this process the agreement shall be placed in writing and signed. Step IV. If a grievance as defined under 2(a) above is not resolved at Step III, the aggrieved employee may choose between final and binding resolution of the grievance through appeal to the City Manager or through appeal to final and binding arbitration. For the term of this Memorandum of Agreement, appeals to final and binding arbitration may be processed only with Union approval. All Step IV appeals must be filed in writing at the Human Resources Department Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 75  Packet Pg. 143 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 26 of 43 Office within fifteen working days of receipt of the Human Resource Director’s decision at Step 3. If the grievant or appellant elects final and binding resolution by the City Manager, the City Manager will choose the methods he or she considers appropriate to review and settle the grievance or appeal of disciplinary action. The City Manager shall render a written decision to all parties directly involved within fifteen working days after receiving the grievant/appellant’s appeal. If the grievant/appellant elects final and binding arbitration in accordance with this provision, the parties shall mutually select an arbitrator within 90 days from the date of receipt of the written request for appeal. In the event the parties cannot agree on an arbitrator, they shall mutually request a panel of five arbitrators from the California State Conciliation Service or from the American Arbitration Association if either party objects to the State Conciliation Service, and select an arbitrator by the alternate strike method. The arbitrator shall have jurisdiction and authority only to interpret, apply, or determine compliance with the provisions of this Memorandum of Agreement and such Merit System Rules, regulations, policies, procedures, City ordinances, resolutions relating to terms or conditions of employment, wages or fringe benefits, as may hereafter be in effect in the City insofar as may be necessary to the determination of grievances or appeal of disciplinary action appealed to the arbitrator. The arbitrator shall be without power to make any decision contrary to, or inconsistent with or modifying in any way, the terms of this Memorandum Of Agreement, grant wage increases or decreases, or to decide matters of interest. The arbitrator shall be without authority to require the City to delegate or relinquish any powers which by State law or City Charter the City cannot delegate or relinquish. Where either party seeks arbitration and the other party claims the matter is not subject to the arbitration provisions of this Memorandum of Agreement, the issue of arbitrability shall first be decided by the arbitrator using the standards and criteria set forth in Article XX and without regard to the merits of the grievance or appeal of disciplinary action. If the issue is held to be arbitrable, the arbitration proceedings will be recessed for up to five working days during which the parties shall attempt to resolve the grievance. If no resolution is reached, the arbitrator will resume the hearing and hear and resolve the issue on the merits. Copies of the arbitrator's decision shall be submitted to the City, the aggrieved employee and the Union. All direct costs emanating from the arbitration procedure shall be shared equally by the City and the aggrieved employee or the Union. A grievance as defined under Section 2(b) above (demotion, suspension, reduction in pay or termination) that remains unresolved after the conclusion of step III of the grievance procedure, shall be reviewed by a City Hearing Officer. Appeals to a City Hearing Officer must be filed with the Human Resources Director in writing within fifteen (15) working days of the receipt of the Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 76  Packet Pg. 144 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 27 of 43 Step III Grievance response. Within sixty (60) working days, the City Hearing Officer shall review the matter, hold a hearing with the City and the affected worker, and prepare a written recommendation to the City Manager. The City Manager shall issue a final and binding decision within fifteen (15) working days after receipt of the City Hearing Officer's recommendation. The City Manager may accept, reject or modify the City Hearing Officer’s recommendation. The City Manager's decision shall be final, binding and not be subject to further appeal. ARTICLE XIX - UNSATISFACTORY WORK OR CONDUCT AND DISCIPLINARY ACTION Section 1. Right to Discipline The City has the right to discipline, demote, or discharge employees for cause. Section 2. Written Notice Non-probationary employees whose work or conduct is unsatisfactory but not sufficiently deficient to warrant discipline, demotion, or discharge will be given a written notification of unsatisfactory work or conduct and an opportunity to improve. Failure to correct deficiencies and improve to meet standards may result in discipline, demotion, or discharge. Discipline is defined as suspensions without pay, reduction in pay, demotion, or discharge. Reprimands, transfers, reassignments, layoffs, and negative comments in performance evaluations are not discipline and shall not be subject to the requirements of this Article. Section 3. Preliminary Notice of Discipline. Prior to imposing disciplinary action involving a disciplinary suspension, demotion, reduction in pay, or discharge of a non-probationary employee, a supervisor shall provide an employee with preliminary written notice of the proposed disciplinary action. The notice of proposed disciplinary action must be in writing and served on the employee in person or by registered mail or Fed-Ex. The notice of disciplinary action shall include: (a) Statement of the violations upon which the disciplinary action is based. (b) Intended effective date of the action. (c) Statement of the cause thereof. (d) Statement in ordinary and concise language of the act or the omissions upon which the causes are based. (e) Copies of any documents or other written materials upon which the disciplinary action was fully or in part based. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 77  Packet Pg. 145 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 28 of 43 (f) Statement advising the employee of his/her right to appeal from such action, and the right to Union representation. (g) The date and/or the procedure for responding to the notice. Section 4. Skelly Meeting. The employee who receives a notice pursuant to section 3 above shall have the right to respond informally to the charges either verbally or in writing before the discipline is imposed. The employee shall have fifteen (15) days from receipt of the notice to request this pre-disciplinary administrative review. The employee may request a reasonable extension of the time to respond for justifiable reasons. The Skelly meeting to listen to the verbal responses shall be scheduled with a City representative who is not the manager recommending the discipline (the “Skelly Officer”). The Skelly Officer shall render a final written decision (the “post-Skelly decision”) within fifteen (15) days of receiving the employee’s response, if any, and shall deliver the post-Skelly decision to the employee by personal delivery or registered mail to the employee’s last known address on file with the Human Resources Department. The Skelly Officer may sustain, modify, or overturn the recommended disciplinary action. If the Skelly Officer sustains or modifies the disciplinary action, the action may be imposed after the post- Skelly decision is delivered to the employee. ARTICLE XX – NO ABROGATION OF RIGHTS The parties acknowledge that Management rights as indicated in Section 1207D of the Merit System Rules and Regulations and all applicable State laws are neither abrogated nor made subject to negotiation by adoption of this Memorandum of Agreement. ARTICLE XXI – OUTSIDE EMPLOYMENT The provisions of Article 4.7 of the Government Code of the State of California will govern the determination of incompatible outside employment. ARTICLE XXII PROMOTIONAL/CONVERSION OPPORTUNITES The City and Union will meet on a quarterly basis to review the possibility of converting long term ongoing temporary-hourly positions to regular status. A part of such a meeting may be a discussion regarding promotional opportunities of Hourlies to Classified positions. The City will notify SEIU and, upon request, meet and confer regarding the conversion of any long term and ongoing hourly positions which the City converts to full-time positions through the budget process. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 78  Packet Pg. 146 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 29 of 43 ARTICLE XXIII – PROVISIONS OF THE LAW Section 1. This Memorandum of Agreement is subject to all current and future applicable Federal and State laws and Federal and State regulations and the Charter of the City of Palo Alto and the Constitution of the State of California. Should any of the provisions herein contained be rendered or declared invalid by reason of any existing State or Federal legislation, such invalidation of such part or portion of this Memorandum of Agreement shall not invalidate the remaining portions hereof, and they shall remain in full force and effect, insofar as such remaining portions are severable. Section 2. The City and the Union agree by signing this Memorandum of Agreement that the wages, hours, rights and working conditions contained herein shall be continued in full force during the term of this Memorandum of Agreement except as otherwise provided for in the Memorandum of Agreement and shall be binding on both the City and the Union upon ratification by the Council of the City of Palo Alto and upon ratification by Union membership. ARTICLE XXIV – COST REDUCTION PROGRAMS During the term of this agreement, the Union will aggressively assist Management in developing cost reduction programs. Such programs may include voluntary reduced hours/pay after this concept is studied by Management, and with such application as may be approved by Management. ARTICLE XXV – TERM This Memorandum of Agreement shall take effect on ratification and Council adoption, and shall expire on December 31, 2027. Either party may serve written notice upon the other party during the period between ninety and sixty days prior to its expiration date, of its desire to amend this Memorandum of Agreement. If, at the time this Memorandum of Agreement would otherwise terminate, the parties are negotiating a new Memorandum of Agreement, upon mutual agreement of the Union and the City Manager the terms and conditions of this Memorandum shall continue in effect. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 79  Packet Pg. 147 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 30 of 43 EXECUTED: FOR LOCAL 521, SEIU: FOR CITY OF PALO ALTO: Steve Tsou Ed Shikada SEIU Worksite Organizer City Manager Christi Iniguez Sandra Blanch Chief Steward Human Resources Director ______________________________ Jen Fine Assistant City Attorney ______________________________ Ben Farnsworth Senior HR Administrator Tori Anthony Manager Labor Relations Sandhya Uthup Human Resources Representative Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 80  Packet Pg. 148 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 31 of 43 Appendix A Job Classifications for SEIU Hourly Unit Personnel Administrative Specialist I - H Performs administrative work that requires advanced skills or knowledge in support of a department/division or program. Administrative Specialist II – H Performs more complex administrative work that requires advance skills or knowledge in specialized software programs and data analysis in specialized areas in support of a department/division or program. Two years of experience equivalent to that of an Administrative Specialist I. Arts & Science Aide - H Under general supervision, performs general unskilled and some semiskilled tasks in support of theater, arts and museum programs. Arts & Science Professional I - H Under general supervision, performs highly skilled jobs in support of performing and visual arts. Examples would include exhibit design and installation, graphic design, exhibit mechanical and electrical design, exhibit problem solving, installation and maintenance, materials and parts sourcing for exhibits, managing outsourced custom fabrication of specialty parts, and working with Arts & Sciences Producers on design of exhibits, theater scenery, costume & lighting design and direction, studio supervision, development of educational programs, etc. Arts & Science Professional II - H Under limited supervision, performs highly specialized jobs in support of performing and visual arts. Examples would include exhibit design and installation, graphic design, exhibit mechanical and electrical design, exhibit problem solving, installation and maintenance, materials and parts sourcing for exhibits, managing outsourced custom fabrication of specialty parts, and working with Arts & Sciences Producers on design of exhibits, theater scenery, costume & lighting design and direction, studio supervision, development of educational programs, etc. Two years of experience equivalent to that of an Arts & Science Professional I. Arts & Science Professional III - H Independently performs highly specialized jobs in support of performing and visual arts. Examples would include exhibit design and installation, graphic design, exhibit mechanical and electrical design, exhibit problem solving, installation and maintenance, materials and parts sourcing for exhibits, managing outsourced custom fabrication of specialty parts, and working with Arts & Sciences Producers on design of exhibits, theater scenery, costume & lighting design and direction, studio supervision, development of educational programs, etc. Five years of experience equivalent to that of an Arts & Science Professional I. May require lifting up to 15 pounds Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 81  Packet Pg. 149 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 32 of 43 Arts & Science Technician - H Under supervision, performs paraprofessional and skilled support to a specific performing or visual arts program area such as lighting, props, building, painting, stitching – etc. Assistant Park Ranger - H Positions requiring at least 2 years of experience and specialized skills or advanced certificates for First Aid, CPR, and heavy equipment operation. Prior experience as an open space technician or park aide is essential. Building Serviceperson – H Under limited supervision, performs custodial duties and other related work as required to maintain City buildings and facilities in a clean and orderly condition. Members of this classification may be assigned to perform either public works duties or park duties. Two years of experience equivalent to that of a Custodial Assistant. Clerical Assistant - H Under supervision, performs routine and repetitive computer inputting and clerical tasks, and performs related work as required. May require cash handling. Custodial Aide - H Under close supervision, this entry-level position performs basic custodial duties as required to maintain City buildings and facilities, performs room set-ups and take-downs, and other related work. Custodial Assistant - H Under general supervision, performs custodial duties and other related work as required to maintain City buildings and facilities in a clean and orderly condition. Members of this classification may be assigned to perform either public works duties or parks duties. General Laborer – H Performs general manual tasks. Performs various types of manual labor as needed. Possesses knowledge of commonly-used concepts, practices, and procedures within a particular field. Performs tasks in conformance within pre-established instructions. Works under general supervision. Uses very limited independent judgment similar to that expected of an apprentice- helper level laborer, consistent with pre-established instructions. May report to a lead worker, but typically reports to a supervisor. Requires a high school diploma or its equivalent with 1 year of related experience. Salary to be determined – an hourly rate above $50/hour must be approved by the Director of Human Resources before the City extends an offer of employment. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 82  Packet Pg. 150 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 33 of 43 House Manager - H Facility supervisor of special events, productions, concerts, rentals – etc. Involves high public contact and customer service, including enforcement of rules and regulations. May included set- up of events. Inspector – H Provides inspections for capital and maintenance work, buildings and structures in any stage of construction, alteration or repair. Ensures compliance with standard construction practices, approved plans and specifications, governing laws and City ordinances. Prepares and maintains records of inspections, contractor’s daily activities, verification of materials and quantities used, notification to and contact with the residents in the project area, violation notices, investigations and other related data and information. Salary to be determined – Minimum base of $26.87. An hourly rate above $50/hour must be approved by the Director of Human Resources before the City extends an offer of employment. Instructor Aide - H Under general supervision, performs administrative work in support of Instructors in areas such as course preparation, classroom assistance and related activities. May require lifting up to 15 pounds. Instructor I - H Under general supervision, prepares classes, programs and camp curriculum, presents classes and field trips for schools and family audiences, and provides assignments to Instructor Aides and volunteers. Requires previous teaching experience. Requires prior in-depth knowledge of the disciplines to be taught. May require lifting up to 15 pounds. Instructor II - H Under limited supervision, prepares classes, programs and camp curriculum, presents classes and field trips for schools and family audiences, and provides assignments to Instructor Aides and volunteers. Requires at least two years of experience equivalent to that of an Instructor I. May require lifting up to 15 pounds. Instructor III-H Independently prepares classes, programs and camp curriculum, presents classes and field trips for schools and family audiences , and provides direction and mentoring for Instructor Is and IIs, Aides and volunteers. Serves in a leadership capacity within the department. Requires at least 4 years of teaching experience and in-depth knowledge of the disciplines to be taught. May require lifting up to 15 pounds. Journey-Level Laborer – H Performs various tasks involving physical labor in or on buildings, construction sites, demolition sites, streets, sidewalks, or on other construction projects. May operate hand and power tools of all types (e.g. air hammers, earth tampers, cement mixers, small mechanical hoists, surveying Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 83  Packet Pg. 151 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 34 of 43 and measuring equipment, and various other equipment and instruments). May clean and prepare sites, dig trenches, set braces to support the sides of excavations, erect scaffolding, clean up rubble and debris, and remove hazardous waste materials; may assist other craft workers. Uses independent judgment similar to that expected of a journey level laborer, within pre- established instructions similar to and consistent with industry practices for journey level laborers. Works under general supervision. Typically reports to a lead worker or supervisor. Requires a high school diploma or its equivalent with 1-3 years of related experience. Salary to be determined – an hourly rate above $50/hour must be approved by the Director of Human Resources before the City extends an offer of employment. Librarian - H Under supervision, assists customers with reference inquiries, provides instruction in the use of library resources and equipment; shelves materials and assists with core management or organization of materials. Distinguishing Characteristics: The Librarian classification is the professional entry level classification within the Library Division. The Librarian has the professional knowledge to identify, develop, interpret, and evaluate all policies, procedures, programs and services to ensure the best quality of service to public library users. It is a broad classification which covers a variety of work situations which require expertise in areas of primary responsibility, as well as in common areas such as materials selection, public library service and in computerized information systems. Significant portion of workday includes direct public contact. Work hours may include early mornings, evenings and weekends. ESSENTIAL DUTIES: Essential and other important responsibilities and duties may include, but are not limited to, the following: • Performs routine circulation tasks required to directly serve public, including registering and maintaining files of borrowers; interpreting customer accounts and checking in and out library materials via computerized equipment; accepting, payments for fines, bills, fees; assisting customer with inquiries regarding availability and status of items in collections, and interviewing and assisting users regarding circulation accounts and services. Refers circulation problems to circulation staff or manager. • May conduct library programs for children and adults; conduct tours and classes. • May conduct reference interview and analyze, interpret and answer inquiries utilizing resources in Palo Alto Libraries as well as other libraries and the community, referring unusual questions to a Senior Librarian (Librarian II) or supervisor; assist customers in use of facility including catalog, indexes, reference books and technology. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 84  Packet Pg. 152 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 35 of 43 • Performs library programming, including planning, coordination, promotion and the conduct of programs; cooperates with other City departments, community and library groups with program co-sponsorship. • Prepares displays to market the library’s collection; may write regular newsletter articles, book reviews and program announcements for e-newsletters and publications; assists with social media. • May update library web pages; update online calendars; contribute calendar items to community organizations and data bases. • Selects and de-selects library materials in one or more subject areas based on knowledge of budget available, collection size, analysis of community past usage patterns and other criteria; processes discarded materials. • Assist with recruits, interviews, schedules, trains, initiates and coordinates, work of clerical, paraprofessional, temporary and/or volunteer staff as assigned. • May collect, maintain and report statistical records for a variety of library measures. • As directed, performs copy and original cataloging and classification efficiently utilizing online computerized cataloging system; assigns access points for materials; establishes new bibliographic computer records in accordance with recognized standards. • Maintains specific library collections and equipment including housing, physical maintenance and arrangement. MINIMUM QUALIFICATIONS: Sufficient education, training and/or work experience to demonstrate possession of the following knowledge, skills, and abilities which would typically be acquired through: • Master’s Degree in Library and Information Science or related education preferred. KNOWLEDGE, SKILLS, AND ABILITIES: • Ability to work effectively with public and co-workers in variety of circumstances. Ability to work with wide variety of people. • Knowledge of alphabetical and numerical filing systems. • Knowledge of the library catalog. • Ability to work varied schedule including early mornings, evenings and weekends • Ability to maintain physical condition appropriate to the performance of assigned duties and responsibilities which may include sitting for extended periods of time and operating assigned library equipment. • Ability to communicate with others and to assimilate and understand information, in a manner consistent with the essential job functions. • Ability to operate assigned equipment. • Ability to make sound decisions in a manner consistent with the essential job functions. WORKING CONDITIONS / PHYSICAL REQUIREMENTS: Work in a library environment with the public, maintaining a professional appearance; sustained posture in a standing, walking or seated position for prolonged periods of time; perform bending, lifting, crouching and pushing items weighing up to 50 pounds; perform repetitive small hand and Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 85  Packet Pg. 153 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 36 of 43 arm motions for prolonged periods of time; may travel to other library facilities; exposed to computer screens for prolonged periods of time. Library Clerk - H Under close general supervision performs technical and clerical tasks; assists customers with their accounts; shelves materials; performs technical and clerical tasks as assigned. Distinguishing Characteristics: Library Clerk is a classification found in the Library Department and is distinguished by the performance of various technical and clerical duties under general supervision. Work hours may vary and include nights and weekends. Includes direct public contact. Some previous knowledge of library operations required. ESSENTIAL DUTIES: Essential and other important responsibilities and duties may include, but are not limited to, the following: • May answer customers’ questions. • Checks in/out items; performs standard, holds, special handling and sorts; issues library cards. • Works at the Accounts Desk; handles customer accounts and fines; provides computer assistance; performs shelving. • May assist customers with library technology. • Maintains computer files for library materials; adds, deletes and updates information. • Data enters bibliographic data into the online library system. • Communicates with vendors to request approved items or to ask questions; refers further communications to the supervisor. • Accepts and unpacks deliveries and shipments of library materials; checks for accuracy; returns incorrect or damaged materials to vendors. • Receives and invoices materials into the library’s computer system. • Performs RFID tagging Performs shelf reading. • Assists in the setup of programs; performs program cleanup. • Processes LINK+ items and locates items listed on hold for the library branch or on reserve for LINK+. • Assists with special projects and programs. • May perform mail delivery. • Provides basic assistance to customers. • Performs related duties and responsibilities as required. MINIMUM QUALIFICATIONS: Sufficient education, training and/or work experience to demonstrate possession of the following knowledge, skills, and abilities which would typically be acquired through: • High school diploma or equivalent and 6 months experience working in a library Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 86  Packet Pg. 154 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 37 of 43 KNOWLEDGE, SKILLS, AND ABILITIES: • Ability to work effectively with public and co-workers in variety of circumstances. Ability to work with wide variety of people. • Knowledge of library procedures and item shelving structure. • Knowledge of alphabetical and numerical filing systems. • Knowledge of a personal computer and various software applications. • Knowledge of effective customer service. • Ability to use the library catalog. • Ability to perform cash handling and use a cash register. • Ability to perform basic mathematical calculations. • Ability to work varied schedule including mornings, evenings and weekends • Ability to maintain physical condition appropriate to the performance of assigned duties and responsibilities which may include sitting for extended periods of time and operating assigned library equipment. • Ability to work varied schedule including early mornings, evenings, and weekends. Ability to communicate with others and to assimilate and understand information, in a manner consistent with the essential job functions. • Ability to operate assigned equipment. • Ability to make sound decisions in a manner consistent with the essential job functions. WORKING CONDITIONS / PHYSICAL REQUIREMENTS: Work in a library environment with the public; maintains a professional appearance; sustained posture in a standing, walking or seated position for prolonged periods of time; perform bending, lifting, crouching and pushing items weighing up to 50 pounds; perform repetitive small hand and arm motions for prolonged periods of time; may travel to other library facilities; exposed to computer screens for prolonged periods of time. Library Page - H Under close supervision, shelves materials; performs routine clerical and support tasks as assigned. Distinguishing Characteristics: Library Page is a classification found in the Library Department and is distinguished by the performance of routine clerical duties under supervision. Work hours may vary and include nights and weekends. May include direct public contact. No previous knowledge of library operations required. ESSENTIAL DUTIES: Essential and other important responsibilities and duties may include, but are not limited to, the following: • Shifts collections; pulls or weeds items; performs sweeps. • Returns library materials to the shelves. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 87  Packet Pg. 155 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 38 of 43 • Performs RFID tagging • Performs shelf reading. • Assists in the setup of programs; performs program cleanup. • Processes LINK+ and locates items listed on hold for the library branch or on reserve for Link+ • Performs general cleaning and organization of the library’s areas. • Assist with open and close procedures. • May assist with special projects and programs. • Performs mail delivery. • May provide directional assistance to customers. • Works with Automated Materials Handling machine; moving and sorting bins, and sorting returned items. • Performs related duties and responsibilities as required. MINIMUM QUALIFICATIONS: Sufficient education, training and/or work experience to demonstrate possession of the following knowledge, skills, and abilities which would typically be acquired through: • No experience necessary. KNOWLEDGE, SKILLS, AND ABILITIES: • Ability to work effectively with public and co-workers in variety of circumstances. Ability to work with wide variety of people. • Knowledge of alphabetical and numerical filing systems. • Knowledge of the library catalog. • Ability to work varied schedule including early mornings, evenings and weekends • Ability to maintain physical condition appropriate to the performance of assigned duties and responsibilities which may include sitting for extended periods of time and operating assigned library equipment. • Ability to communicate with others and to assimilate and understand information, in a manner consistent with the essential job functions. • Ability to operate assigned equipment. • Ability to make sound decisions in a manner consistent with the essential job functions. WORKING CONDITIONS / PHYSICAL REQUIREMENTS: Work in a library environment with the public, maintains a professional appearance; sustained posture in a standing, walking or seated position for prolonged periods of time; perform bending, lifting, crouching and pushing items weighing up to 50 pounds; perform repetitive small hand and arm motions for prolonged periods of time; may travel to other library facilities; exposed to computer screens for prolonged periods of time. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 88  Packet Pg. 156 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 39 of 43 Maintenance Assistant - H Under general supervision, responsible for skilled and semiskilled tasks in one or more of the following areas: Landscape and turf maintenance of parks and golf courses, including tree maintenance and turf renovation City building and facilities City streets, sewers, and storm drains City vehicles and equipment Performs related tasks as required. Requires experience with power equipment and a valid California driver’s license. May require drug testing. Open Space Technician - H Under general supervision performs work assignments in Parks and Open Space areas that assist in the protection, preservation and maintenance of Palo Alto open space lands. Entry-level positions that require familiarity with power tools such as weed whips and chain saws. Print Shop Assistant - H Under supervision, provides assistance in the Print Shop in duplication, finishing work, mail distribution and other support function duties, often under tight deadlines. Project Specialist - H Support for and administrative tasks related to City programs and projects on an ongoing basis, requiring technical and administrative skills such as scheduling, research and report writing, project development and design, ongoing project implementation and administration, and budget tracking and conformance. Recreation Leader I - H Entry level positions that do not require previous experience including: Teen leaders Gymnastics Instructors Sports camp assistants Special event Assistants Summer camp counselors Coaches Recreation Leader II - H Positions require at least one season of experience and certifications in a related field including: Sports Camp Leaders (CPR and First Aid) Sport Officials (CPR and First Aid) Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 89  Packet Pg. 157 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 40 of 43 Assistant Pool Manager Senior Swim Instructor/Lifeguard Summer camp assistants Coaches Recreation Leader III - H Positions require at least 2 years of experience and specialized skills or advanced certifications in a related field including: Summer Camp Leaders Teen Outreach Leaders Coaches Substitute Teachers Sports Camp Leaders (CPR and First Aid) Sport Officials (CPR and First Aid) Pool Manager Gymnastic/Dance Instructors (Recreation Leader II requirements and Safety Certification and one of the following certifications: Professional Development Program II, Kinder Accreditation for Teachers or Movement Education and Learning Development.) Staff Specialist – H Under limited supervision, performs professional work requiring specialized knowledge or training in a specific field in support of a City program or organizational unit. The work performed is generally varied in character and similar to or equally complex to that of a career position, but is not managerial. Salary to be determined – an hourly rate above $50/hour must be approved by the Director of Human Resources before the City extends an offer of employment. Stock Clerk - H Under supervision, performs a variety of inventory maintenance functions including receiving, storing, and delivering supplies. Includes maintaining and reviewing computerized inventory records; performs other related work as required. Swim Instructor/Lifeguard - H Monitors pool activities to enforce regulations and prevent accidents, rescue swimmers in distress, conducts swimming lessons in accordance with American Red Cross or other national recognized aquatics programs and performs other related duties as required. Certificates in Lifeguard Training, First Aid and CPR required. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 90  Packet Pg. 158 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 41 of 43 Technical Specialist - H Under general supervision, responsible for work that requires technical skills associated with one or more of the following areas: drafting/CAD, electronics, computer systems, engineering, environmental science, or planning. Zoological Assistant - H Under supervision, performs assignments that assist in the maintenance, control, and shelter of animals in the zoo and other City facilities. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 91  Packet Pg. 159 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 42 of 43 Appendix B- Salary Schedule Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 92  Packet Pg. 160 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 43 of 43 Appendix C Public Agency Retirement System (“P.A.R.S.”) Plan City of Palo Alto PST (Part-time, Seasonal and Temporary) Employees Retirement Plan As of the effective date of this contract, the City contracts with the Public Agency Retirement Services Alternate Retirement System (PARS ARS) to provide an alternative plan to Social Security for members of this Unit. The main components of the plan include: • Enrollment in the PARS 457 retirement plan is automatic for eligible employees (excludes employees previously enrolled in CalPERS). • All contributions are pre-tax and invested • Employees receive an annual statement of gains and losses • Employees may become eligible to receive their account balance when one of the following events occur: o Termination of employment o Retirement o Permanent or total disability o Death o Changed employment status to a position covered by another retirement system • An employee may elect either: o a one-time lump sum cash payment, which may be subject to federal and/or state income tax withholding, OR o A direct rollover without tax withholding to a traditional IRA or an eligible plan that accepts rollovers [e.g. 403(b), 457(b), 401(k)] A copy of the Plan Document is on file in Human Resources and may be reviewed upon advanced request. For questions or additional information, contact PARS at 800-540-6369. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 93  Packet Pg. 161 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 1 of 43 Memorandum of Agreement Service Employees International Unit (SEIU) Local 521 Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 94  Packet Pg. 162 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 2 of 43 CONTENTS PREAMBLE ................................................................................................................................... 5 ARTICLE I – RECOGNITION ...................................................................................................... 5 Section 1...................................................................................................................................... 5 Section 2. No Discrimination. ..................................................................................................... 6 ARTICLE II - UNION SECURITY ............................................................................................... 6 Section 1. Notice. ....................................................................................................................... 6 Section 2. Documentation. .......................................................................................................... 6 Section 3. Payroll Deduction. ..................................................................................................... 7 Section 4. Bulletin Boards and Departmental Mail. ................................................................... 7 Section 5. Access to Union Representatives. ............................................................................. 8 Section 6. Meeting Places. ......................................................................................................... 8 Section 7. Notification to the Union. .......................................................................................... 8 Section 8. Union Logo. ............................................................................................................... 8 Section 9. City Council Materials. .............................................................................................. 8 Section 10. Temporary Agency Reporting ................................................................................. 8 Section 11. Job Postings. ............................................................................................................ 8 Section 12. Contracting Out. ....................................................................................................... 8 Section 13. New Employee Procedure/Process. ......................................................................... 9 ARTICLE III. – STEWARDS ........................................................................................................ 9 Section 1. Designation. ............................................................................................................ 10 Section 2. Release Time. .......................................................................................................... 10 Section 3. Advance Notification and Approval. ...................................................................... 10 Section 4. Timecard Reporting. ................................................................................................ 10 Section 5. Storage of Union materials. .................................................................................... 10 Section 6. Labor/Management Meetings. ................................................................................ 10 ARTICLE IV. - REDUCTION IN FORCE .................................................................................. 11 Section 1.................................................................................................................................... 11 Section 2. Notice ...................................................................................................................... 11 Section 3. Seniority and Service Ties. ...................................................................................... 11 Section 4. Bumping Rights. ...................................................................................................... 11 Section 5. Re-Employment List. ............................................................................................... 12 Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 95  Packet Pg. 163 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 3 of 43 Section 6. Reinstatement. .......................................................................................................... 12 Section 7.................................................................................................................................... 13 ARTICLE V. - PERSONNEL ACTIONS .................................................................................... 13 Section 1. Probationary Period. ............................................................................................... 13 Section 2. Personnel Evaluations. ............................................................................................ 13 Section 3. Personnel Files. ....................................................................................................... 13 Section 4. Release of Information. ........................................................................................... 14 Section 5. Full Time Opportunities. ......................................................................................... 14 Section 6. Equitable Rotation. .................................................................................................. 14 Section 7. Internal Eligibility. .................................................................................................. 14 ARTICLE VI - PAY ..................................................................................................................... 14 Section 1. Wages. ..................................................................................................................... 14 Section 2. Step Increases.......................................................................................................... 15 Section 3. Working Out of Classification. ............................................................................... 15 Section 4. Direct Deposit. ......................................................................................................... 15 ARTICLE VII - HOURS OF WORK, OVERTIME .................................................................... 16 Section 1. Work Week and Work Day. .................................................................................... 16 Section 2. Overtime Work. ....................................................................................................... 16 Section 3. Work Shifts. ............................................................................................................. 16 Section 4. Lunch and Break Periods. ........................................................................................ 16 Section 5. Clean-Up Time. ........................................................................................................ 16 Section 6. Call-Out Pay............................................................................................................. 16 ARTICLE VIII – UNIFORMS ..................................................................................................... 16 ARTICLE IX- HOLIDAYS ......................................................................................................... 17 Section 1. Fixed Holidays: ....................................................................................................... 17 ARTICLE X- LEAVES ................................................................................................................ 18 Section 1. Sick Leave and Personal Business Leave ................................................................ 18 Section 2. Floating Holiday ...................................................................................................... 19 Section 3. Jury Duty .................................................................................................................. 19 ARTICLE XI - VOTING TIME ................................................................................................... 19 ARTICLE XII -WORKERS COMPENSATION ......................................................................... 19 Industrial Temporary Disability ................................................................................................ 19 ARTICLE XIII - BENEFIT PROGRAMS ................................................................................... 20 Section 1. Medical Insurance Plan. .......................................................................................... 20 Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 96  Packet Pg. 164 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 4 of 43 ARTICLE XIV - RETIREMENT ................................................................................................. 20 Section 1. Part-time, Seasonal, Temporary (PST) Retirement Plan. ........................................ 20 Section 2. California Public Employees’ Retirement System (“PERS”). ................................ 21 Section 3. Retirement Contributions. ........................................................................................ 21 ARTICLE XV PARKING ........................................................................................................... 21 ARTICLE XVI PHYSICAL EXAMINATIONS ......................................................................... 22 ARTICLE XVII - SAFETY .......................................................................................................... 22 Section 1. Health and Safety Provisions. .................................................................................. 22 Section 2.................................................................................................................................... 22 Section 3. Safety Committee..................................................................................................... 22 ARTICLE XVIII - GRIEVANCE PROCEDURE ........................................................................ 23 Section 1.................................................................................................................................... 23 Section 2. Definition. ................................................................................................................ 23 Section 3. Conduct of Grievance Procedure. ........................................................................... 23 Section 4. Grievance Procedure. ............................................................................................... 25 ARTICLE XIX - UNSATISFACTORY WORK OR CONDUCT AND DISCIPLINARY ACTION ....................................................................................................................................... 27 Section 1.................................................................................................................................... 27 Section 2.................................................................................................................................... 27 Section 3. Preliminary Notice of Discipline ............................................................................. 27 Section 4. Skelly Meeting. ....................................................................................................... 28 ARTICLE XX – NO ABROGATION OF RIGHTS .................................................................... 28 ARTICLE XXI – OUTSIDE EMPLOYMENT ............................................................................ 28 ARTICLE XXII PROMOTIONAL/CONVERSION OPPORTUNITES ..................................... 28 ARTICLE XXIII – PROVISIONS OF THE LAW ...................................................................... 28 Section 1.................................................................................................................................... 29 Section 2.................................................................................................................................... 29 ARTICLE XXIV – COST REDUCTION PROGRAMS ............................................................. 29 ARTICLE XXV – TERM ............................................................................................................. 29 EXECUTED: ................................................................................................................................ 30 Appendix A - Job Classifications for SEIU Hourly Unit Personnel ............................................. 31 Appendix B - Salary Schedule ...................................................................................................... 42 Appendix C - Public Agency Retirement System (P.A.R.S.) Plan ............................................... 43 Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 97  Packet Pg. 165 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 5 of 43 MEMORANDUM OF AGREEMENT City of Palo Alto and Local 521, SEIU HOURLY UNIT PREAMBLE This Memorandum of Agreement is entered into by the City of Palo Alto (hereinafter referred to as the City) and Local 521 Service Employees International Union (hereinafter referred to as the Union). Employee, for the purposes of this Memorandum of Agreement, shall mean an employee assigned to a classification within the SEIU Hourly unit. This Memorandum of Agreement is pursuant and subject to Sections 3500 et, seq. of the Government Code of the State of California and Chapter 12 of the City of Palo Alto Merit Rules and Regulations. ARTICLE I – RECOGNITION Section 1. Pursuant to Sections 3500 et. seq. of the Government Code of the State of California and Chapter 12 of the City of Palo Alto Merit System Rules and Regulations, the City recognizes the Union as the exclusive representative of a representation unit consisting of hourly employees who are regularly scheduled and who work a minimum of four hundred sixteen (416) hours per fiscal year. This does include PERS exempt employees. This does not include on call employees without regular schedules and who are hired to work occasionally for special projects. This does not include employees employed primarily to work seasonal or recreational programs and who may work intermittently outside their recreational season. This unit shall for purposes of identification be titled the SEIU Hourly Unit, and includes employees in the classifications listed in Appendix A attached. The City shall notify the Union in writing of the development of a new hourly classification and upon request will meet and confer regarding inclusion of the classification in the SEIU Hourly Unit. The parties agree that hourly employees are considered to be in the bargaining unit while that employee is employed by the City of Palo Alto, when they work (including all paid hours) 416 hours or more within a fiscal year. Any Limited Hourly employee that accumulates 416 hours worked or more within a fiscal year, shall be converted to the SEIU 521 Hourly Unit by the City of Palo Alto. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 98  Packet Pg. 166 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 6 of 43 Upon conversion of an eligible hourly employee from the Limited Hourly status to the SEIU 521 Hourly Unit status, all wages and benefits due the employee will be paid and provided to the employee. All current and retroactive wages and/or benefits shall be back dated to their eligibility date of their status and recognition, as a SEIU 521 Hourly Unit employee. Section 2. No Discrimination. The City and Union agree that no person employed by or applying for employment hereto shall be discriminated against because of race, religion, creed, political affiliation, color, national origin, ancestry, union activity, age, disability, sexual orientation, or gender. The City and the Union agree to protect the rights of all employees to exercise their free choice to join the Union and to abide by the express provisions of applicable State and local laws. ARTICLE II - UNION SECURITY Section 1. Notice. When a person is hired in a job covered in Article I, the City shall notify that person that the Union is the recognized bargaining representative for the employee and give the employee a current copy of the Memorandum of Agreement. When a group employee orientation is held for new employees of the bargaining unit, a Union Representative may make a presentation to such bargaining unit employees for the purpose of explaining matters of representation. New employees shall be required to attend orientation. The Director of Human Resources may make an exception if extraordinary circumstances interfere with the employee’s ability to attend. If the Director grants an exception, the employee and Union shall be granted a thirty (30) minute presentation at the employee’s report location for union orientation. During the term of this agreement the City and the Union agree to explore ways in which Union access to new members can be improved. Section 2. Documentation. The City shall supply the Union with the information described under subsections (a) and (b) of this Section: (a) The City will provide SEIU, when available, with the name, job title, department, work location, work, home, personal cellular telephone number, personal email address, and home address of any new employee within 30 days of hire or by the first pay period of the month following hire. (b) The City will provide SEIU with the list, enumerated above, of all information for all employees in the bargaining unit at least every 120 days unless more frequent. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 99  Packet Pg. 167 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 7 of 43 (c) The City shall supply the Union with the documentation required by California Assembly Bill 119. (d) The Union shall supply the City, and as applicable, the employees, with the documentation required by Government Code Section 3502.5(f). Section 3. Payroll Deduction. (a) The City shall deduct Union membership dues, and any other mutually agreed upon payroll deduction, which may include voluntary COPE (Committee On Political Education) at the check-off area, from the bi-weekly pay of bargaining unit employees. The Union will be the custodian of records for individual employee membership and dues deduction forms. The Union will maintain all authorizations for dues deductions signed by the individual from whose salary or wages the deduction or reduction is to be made. The City will direct employee requests to cancel or change deductions to the Union. Deductions may be revoked only pursuant to the terms of the employee’s written authorization. The City shall remit the deducted dues to the Union as soon as possible after deduction. (b) Indemnification, Defense and Hold Harmless: Union agrees to indemnify and hold harmless the City and all officials, employees, and agents acting on its behalf, from any and all claims, actions, damages, costs, or expenses including all attorney’s fees and costs of defense in actions against the City, its officials, employees or agents as a result of actions taken or not taken by the City pursuant to this article. Section 4. Bulletin Boards and Departmental Mail. The Union shall have access to inter-office mail, existing bulletin boards in unit employee work areas, and the existing Union-paid telephone answering device for the purpose of posting, transmitting, or distributing notice or announcements including notices of social events, recreational events, Union membership meetings, results of elections and reports of minutes of Union meetings. Any other material must have prior approval of the Human Resources Office. Action on approval will be taken within 24 hours of submission. The Union may send email messages only for the purposes set forth above. The IT Department will maintain the SEIU list and keep it current. The Union access to email is based on the following conditions: 1) emails to the SEIU list will be copied to the Human Resource Director at distribution, 2) emails to the SEIU list will only be sent by the SEIU Chapter Chair, Vice Chair, Chief Steward(s) or Secretary, 3) a maximum of 52 emails may be sent per year and a maximum of 12 emails may be sent per year by the SEIU Chapter Secretary. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 100  Packet Pg. 168 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 8 of 43 Section 5. Access to Union Representatives. Representatives of the Union are authorized access to City work locations for the purpose of conducting business within the scope of representation, provided that no disruption of work is involved and the business transacted is other than recruiting of members or collecting of dues, and the Representative must notify the Human Resources Department Office prior to entering the work location. Section 6. Meeting Places. The Union shall have the right to reserve City meeting and conference rooms for use during lunch periods or other non-working hours. Such meeting places will be made available in conformity with City's regulations and subject to the limitations of prior commitment. Section 7. Notification to the Union. The Union shall be informed in advance in writing by Management before any proposed changes not covered by this Memorandum of Agreement are made in benefits, working conditions, or other terms and conditions of employment which require meet and confer or meet and consult process. Section 8. Union Logo. All materials and documents produced on Itek and metal plates, by the City print and reproduction shop, shall carry the Union label on the inside of covers or title pages in accordance with customary printing trades practices. Section 9. City Council Materials. The City shall make available to the Union in a timely manner copies of all City Council meeting agendas, minutes and schedule of meetings. These materials may be picked up at the City Clerk's Office during business hours. Section 10. Temporary Agency Reporting. Upon request, the City shall provide the Union reports by department on the use of agency temporaries filling representation unit vacant positions, or doing work similar to that of representation unit classifications. Section 11. Job Postings. Job postings for classification positions covered by this Agreement shall include a statement that the position is covered by this Collective Bargaining Agreement and that union dues may be required. Section 12. Contracting Out. The City through the labor management process will keep the Union advised of the status of the budget process, including any formal budget proposal involving the contracting out of SEIU bargaining unit work traditionally performed by bargaining unit members at least thirty (30) days prior to the release of the City Manager’s proposed budget. The City will notify the Union in writing at least ninety (90) days prior to contracting work which has been traditionally performed by bargaining unit members, where such contracting will result in layoff or permanent reduction in hours. Within the ninety (90) day period of contracting out, both parties may offer alternatives to contracting out and meet and confer on the impact of such contracting out of a bargaining unit employee work. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 101  Packet Pg. 169 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 9 of 43 The City will collaborate with the Union regarding the potential result of a layoff of bargaining unit members. The City will provide all available job opportunities within the City of Palo Alto and/or the contracting out agency or entity to the Union. The Union will communicate with impacted bargaining unit members with regards to any interest a member may have in securing another job position, in lieu of a layoff, whenever possible. The City will notify the Union in writing when contracting out work which has been traditionally performed by bargaining unit workers, where such contracting out is expected to replace a laid off bargaining unit position that has been eliminated within ninety (90) days prior to the date of the planned contract work. When feasible, the City will provide such notice prior to the beginning date of the planned contract work. The City will meet with the Union upon request to discuss alternatives. This provision does not apply to the filling of temporary vacancies of twelve (12) months or less duration. The City will provide the Union with a biannual list by department of all contract workers or vendors who are contracted by the City who perform work for the City. The City will make a reasonable effort to identify the names of the vendors on the list and the nature of the work provided by each vendor. Section 13. New Employee Procedure/Process. New employees hired and assigned to classifications covered by the SEIU Unit shall be advised by the City that Local 521, Service Employees International Union, is the recognized bargaining representative in said unit. The City agrees to distribute to all new employees in the SEIU Unit a reasonable amount of materials provided by the Union at its expense. The City will provide the Union written notice in accordance with California Assembly Bill 119, a list of employees attending the City’s new employee orientation that includes each employee’s identification number, name, job classification, department, work location (title and address), work phone number (if available in the payroll system), work email address (if available in the payroll system), hire date, and, subject to the individual employee’s consent, the employee’s home address, personal mobile number, home phone number, and personal home email address. A representative(s) of the Union shall be permitted to make a thirty (30) minute presentation and present written materials during a portion of the orientation for which attendance is mandatory. No representative(s) of management shall be present. One steward or chapter officer shall be granted release time for this purpose. ARTICLE III. – STEWARDS Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 102  Packet Pg. 170 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 10 of 43 Section 1. Designation. The Union agrees to notify the Director of Human Resources of those individuals designated as Union officers and Stewards who receive and investigate grievances and represent employees before Management. Alternates may be designated to perform Steward functions during the absences or unavailability of the Steward. Section 2. Release Time. It is agreed that, as long as there is prior notice to the Supervisor with no disruption of work, one (1) Steward shall be allowed reasonable release time away from their work duties, without loss of pay, to act in representing a unit employee or employees on grievances or matters within the scope of representation, including: (a) A meeting of the Steward and an employee, or employees of that unit related to a grievance. (b) A meeting with Management. (c) Investigation and preparation of grievances. Grievances may be transmitted on City time. All Steward release time shall be reported on timecards using Internal Order 80005 or its successor and a short-text notation describing the nature of the release time (e.g. “Steward release time”, “bargaining release time”, “Labor-Management Committee release time”, etc.). Section 3. Advance Notification and Approval. The Union agrees that the Steward shall give advance notification to their supervisor and receive permission before leaving the work location, except in those cases involving emergencies where advance notice cannot be given. Management permission to leave the worksite under this section shall not be unreasonably denied. Section 4. Timecard Reporting. One Union Steward per affected Department, who is a City employee, shall be allowed a reasonable amount of release time off for purposes of meeting and conferring or meeting and consulting on matters within the scope of representation. All such time will be reported on timecards using Internal Order 80005 or its successor and a short-text notation describing the nature of the release time (e.g. “Steward release time”, “bargaining release time”, “Labor-Management Committee release time”, etc.). Section 5. Storage of Union materials. Union Stewards may utilize space in assigned desks for storage of Union materials. In the event Stewards are not assigned desks the City will provide locker or other mutually agreeable space for storage of Union materials. Section 6. Labor/Management Meetings. Two Hourly Unit employees from different divisions shall be allowed a reasonable amount of release time off to participate in monthly Labor/ Management Meetings. Such meetings may be included with the Classified Unit’s Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 103  Packet Pg. 171 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 11 of 43 Labor/Management meetings if appropriate. Such time shall be reported using Internal Order 80005 or its successor and a short-text notation describing the nature of the release time (e.g. “Labor-Management Committee release time”, etc.). ARTICLE IV. - REDUCTION IN FORCE For the purposes of this Section, length of service shall be defined as all straight time hours worked by that employee for the City of Palo Alto. Section 1. In the event of reductions in force, reductions shall be accomplished whenever possible through attrition. Section 2. Notice. When the City determines that layoffs are imminent resulting from reduction in force within the representation unit, the City will give the Union such advance notice as is reasonable under the circumstances. The notice will indicate the departments and divisions which will be affected and the circumstances requiring the layoffs. The City will furnish the Union with a current representation unit seniority list with notice of layoff. Section 3. Seniority and Service Ties. If the work force is reduced within a department, division, or office for reasons of change in duties or organization, abolition of position, shortage of work or funds, or completion of work, employees with the shortest length of service will be laid off first so long as employees retained are fully qualified, trained, and capable of performing remaining work. Length of service for the purpose of this article will be based on current service hire date of record in an hourly classification with no adjustment for leaves of absence. Length of service ties will be determined by lot. Employees laid off due to the above reasons will be given written notice at least thirty (30) days prior to the reduction in force. A copy of such notice will be given to the Union. Such employees shall be offered priority employment rights to hourly positions which are requisitioned and for which the employees are qualified for a period beginning with notification and ending sixty (60) days following the reduction in force. Employees transferred or reclassified under this section will be assigned to the step in the new classification salary range closest to the employee's salary range at the time of reclassification. Employees laid off pursuant to this section shall receive the balance of all regular City compensation owed at termination within 72 hours of the date of termination. This does not include any amounts payable as PERS contribution refunds, if any. Section 4. Bumping Rights. Employees identified for layoff who have seniority (bumping) rights to their current or previously held classification within the representation unit must declare their intention to exercise these rights within seven (7) regularly scheduled working days after written notification of layoff, otherwise bumping rights will automatically terminate. Bumping may occur within the representation unit, only to the least senior incumbent of the current or a previously Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 104  Packet Pg. 172 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 12 of 43 held classification. To successfully bump, the employee must be qualified, and capable of performing all work in the position bumped. An employee who declares bumping rights may not also claim priority re-employment rights. For purposes of this section of the Agreement, the term "working days" shall mean Mondays through Fridays, exclusive of holidays. When employees declare their intention to exercise their seniority (bumping) rights, the City will provide the Union with a current list of the least senior incumbents to their current or previously held classification, within five (5) working days from the date employees exercise their seniority (bumping) rights, with the mutual goal to offset a potential lay-off of the impacted employee(s). Employees who are in jeopardy of being laid off and have waived their right to bump or when there are no positions that exist within the current or previously held classification for the employees to exercise their right to bump, employees will have priority hiring rights for any vacant budgeted positions within the City. For the purposes of this section, priority hiring is defined as sole consideration by the hiring manager for any position where the employee meets the minimum qualification or through a combination of knowledge and experience can be reasonably assumed to meet the minimum qualifications. No other internal or external candidates will be considered until a final determination has been made by the hiring manager in regard to the priority hire. If more than one (1) employee in jeopardy of being laid off exercises their priority hiring status, then all employees with priority hiring status will be considered simultaneously. This section shall not constitute any guarantees to appointment of positions or expansion of bumping rights. When employees exercise their priority hiring status rights, the City will provide the Union with a current list of all vacant budgeted positions at the City within five (5) working days from the date the employees exercise their priority hire status, with the mutual goal to offset a potential lay-off of the impacted employee(s). When an employee secures a position with the City through the priority hire process, all reasonable measures will be taken to ensure and support a successful transition into their new position. Section 5. Re-Employment List. The names of persons laid-off or who through bumping changed classification in accordance with the provisions of this Article shall be entered upon a re- employment list in seniority order. The person with the highest seniority on a division re- employment list for a particular classification when a vacancy exists in that classification in that division shall be offered the appointment. Names shall be carried on a re-employment list for a period of one (1) year from the date of separation from City services or change of classification through bumping. Upon re-employment within the one-year period, the employee's hire date of record at the time of layoff will be reinstated. Section 6. Reinstatement. Employees laid off pursuant to Section 2 who are reinstated to regular position within sixty days shall retain the sick leave balance they had at the time of layoff. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 105  Packet Pg. 173 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 13 of 43 Section 7. No representation unit employee will be laid off or remain on a re-employment list when intermittent hourly and seasonal hourly employees are performing substantially all the duties of the classification of the hourly employee receiving a layoff notice or on a re-employment list. ARTICLE V. - PERSONNEL ACTIONS Section 1. Probationary Period. Each new employee shall serve a probationary period of twelve (12) months of continuous employment calculated from the employee’s date of hire in a covered classification and excluding all periods of leave and light duty assignments. The probationary period shall be regarded as a part of the testing process and shall be utilized for closely observing the employee's work, for securing the effective adjustment of a new employee to their position, and for rejecting any probationary employee whose performance does not meet the acceptable standards of work. At least one written performance appraisal will be given to each probationary employee on or before expiration of the probationary period. Normally, this appraisal will be given at the end of six months. In the event of termination prior to successful completion of the probationary period, such terminated employee shall be given written notice of their termination with the reasons for the termination stated therein. The Human Resources Department shall, upon request, afford an interview in a timely fashion to the terminated employee for discussion of the reasons for termination. The employee may, upon request, be accompanied by a Union Representative. The interview shall not be deemed a hearing nor shall it obligate the City to reconsider or alter the termination action. The parties agree that probationary employees shall have all rights under this Memorandum of Agreement, including full and complete access to the grievance procedure, save and except for instances of suspension, demotion or termination. Section 2. Personnel Evaluations. Personnel evaluations will be given to employees as scheduled by Management. Personnel evaluations are not appealable subject to appeal through the grievance procedure but, in the event of disagreement over content, the employee may request a review of the evaluation with the next higher level of Management, in consultation with the Human Resources Department. For purposes of this review, the employee may be represented by the Union. Decisions regarding evaluation review shall be made in writing within ten (10) working days following the review meeting. Section 3. Personnel Files. Records of all disciplinary actions shall be kept in the central personnel file. Employees shall be entitled to sign and date all action forms in their personnel files. Employees are entitled to review their personnel files upon written request or to authorize, in writing, review by their Union Representatives. An employee or the Union shall be allowed, upon reasonable request, copies of materials in an employee's personnel file relating to a grievance. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 106  Packet Pg. 174 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 14 of 43 Section 4. Release of Information. The City will only release information to creditors or other persons upon prior identification of the inquirer and acceptable reasons for the inquiry. Information then given from personnel files is limited to verification of employment, length of employment and verification and disclosure of salary range information. Release of more specific information may be authorized by the employee in writing. Section 5. Full Time Opportunities. Full time job opportunities for classifications within the Hourly unit and the Classified unit will be posted for at least one (1) week prior to selection. Outside recruitment may be used for full time openings and may begin at the time of posting, or any time thereafter. Section 6. Equitable Rotation. In assigning employees to regular schedules or special assignments, transfer, standby, overtime, or time off selection, ability to perform the work, length of service and/or equitable rotation shall determine the assignments. Section 7. Internal Eligibility. Non-probationary employees in the Hourly Unit are eligible to apply for any posted SEIU Classified Unit promotional employment opportunity. Such participation shall be on the same basis and on the same terms as applies to internal Classified Unit applicants, except as provided otherwise by the terms of the applicable City-SEIU Classified Unit MOA or other applicable agreement between the City and the SEIU Classified Unit. Unless otherwise provided by the City-SEIU Classified Unit MOA or other applicable agreement between the City and the SEIU Classified Unit, the seniority of an Hourly Unit applicant shall be determined by total hours worked divided by two thousand eighty (2080). The parties acknowledge that this paragraph will have effect only upon written agreement between the City and SEIU Classified Unit to permit its application and for the duration of such agreement. ARTICLE VI - PAY Section 1. Wages. Base wage rates and ranges of covered classifications are set forth in Appendix B (Salary Schedule) of this Memorandum of Agreement and reflect the following increases: General Salary Increase: Effective the first full pay period following the adoption of the MOA by City Council, the salary ranges of all represented classifications will be increased by three percent (3.0%). General Salary Increase: Effective the first full pay period following July 1, 2026, the salary ranges of all represented classifications will be increased by three percent (3.0%). Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 107  Packet Pg. 175 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 15 of 43 Section 2. Step Increases. Hourly employees are to be given a performance review after six months from date of hire and annually thereafter; improvement, efficient and effective service will warrant a salary step increase. Subsequent salary reviews are based on performance appraisals and will depend upon demonstrated satisfactory job performance. If an employee’s performance evaluation is delayed past the employee’s review date and the reviewing manager determines that the employee’s demonstrated job performance warrants the step increase, the increase shall take effect retroactive to the employee’s originally scheduled review date. (a) City Departments may elect to provide step level increases to a SEIU Hourly employee at any time during their employment with the City. The department may elect a merit step level increase based on an employee’s outstanding job performance at any time. (b) Employees promoted within the SEIU Hourly classifications shall be placed at the closest wage step to their current hourly rate; this can never result in a loss in pay to the employee. Section 3. Working Out of Classification. The term ‘working out of classification”, also referred to as WOC, is defined as a Management authorized assignment to a budgeted Hourly Unit position or a General Unit position on a temporary basis, wherein all significant duties are performed by an individual holding a classification within a lower compensation range. The WOC position serves as a temporary measure to cover a vacancy in the Hourly Unit or the General Unit for a reasonable short-term timeframe. For any timeline extensions of the WOC position, the City and the Union will communicate via phone or e-mail and/or meet to discuss the status of the WOC extension. The Union agrees that it shall not unreasonably withhold agreement for a reasonable extension of a reasonable duration for any SEIU/City WOC position. The City agrees that it shall provide an ongoing recruitment effort pertaining to the vacant WOC position in a timely and reasonable manner. Pay for working out of classification shall be as follows: Employees appointed on a “working out of classification” basis will receive acting pay within the range of the higher classification beginning the first (1st) workday of the assignment. Pay for working out of classification will be determined by the salary step of the higher classification which the employee would be compensated, if permanently appointed to that classification. Employees in the working out of classification position, shall be placed at the closest higher pay step level to their current hourly rate. Section 4. Direct Deposit. Beginning in the first pay period following union ratification and adoption of this Agreement by the City Council, the City shall directly deposit all paychecks for Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 108  Packet Pg. 176 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 16 of 43 Unit employees in a financial institution of the employee’s choice that accepts direct deposits and does not charge the City a fee(s) for direct deposit service. In the event that the employee fails to designate a financial institution for direct deposit of his or her payroll check, the employee shall pick up the check personally in the City’s Administrative Services Department office on the next business day following payday at a pickup time designated by Administrative Services. ARTICLE VII - HOURS OF WORK, OVERTIME Section 1. Work Week and Work Day. The workweek for hourly employees shall be no greater than forty (40) regularly scheduled hours. An employee will work the hours assigned by the employee’s supervisor. Overtime work must be approved by a supervisor prior to being performed. Section 2. Overtime Work. An employee will receive overtime at the rate of time and one-half for all hours paid after 40 hours in a workweek. Section 3. Work Shifts. Employees may be assigned to work shifts with scheduled starting and quitting times. For employees assigned to a regular work shift, should conditions necessitate a change in starting and quitting times, the Employee will be notified ten (10) working days in advance and permitted to discuss such changes with the City. The Employee may request the presence of their Union Representative at the meeting with the City. This however, shall not preclude the City’s right to effect schedule changes dictated by operational necessity, nor shall this provision apply to day-to-day changes needed to cover short-term unexpected absences. This section does not apply to overtime scheduling. Section 4. Lunch and Break Periods. Employees will be granted a minimum half hour (1/2 hour) unpaid meal break after five (5) hours of work, unless the entire shift is only six (6) hours, in which case the employer and employee may agree to forgo the meal break. If dictated by the operational needs of a department, and upon agreement by the City and the Union, employees may take an “on duty” lunch period which shall be counted as time worked. All employees in the bargaining unit will be granted a paid rest period limited to fifteen (15) minutes during each full four (4) hours of work. Departments may make reasonable rules concerning rest period scheduling. Section 5. Clean-Up Time. All employees whose work causes their person or clothing to become soiled shall be provided with reasonable time before lunch and at shift end for wash-up purposes. Section 6. Call-Out Pay. Employees not otherwise excluded from receiving overtime pay and who are called out to perform work shall be compensated for at least two hours pay from the time of the call-out for each occurrence at the appropriate overtime rate. ARTICLE VIII – UNIFORMS Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 109  Packet Pg. 177 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 17 of 43 The City will provide uniforms, coveralls or shop coats on a weekly basis, or as otherwise furnished, for the jobs and/or classifications that the City requires such apparel. Employees required to wear uniforms shall be provided suitable change rooms and lockers where presently provided. Employee clothing seriously damaged or destroyed in conjunction with an industrial injury will be reasonably replaced by the City. Any other claims alleging City liability may be filed with the City Attorney. The City shall reimburse employees 75 percent of the cost of job-required safety shoes upon verification of such purchase by the employee. The City will provide rainy weather protection when and where appropriate. The City and the Union will work through the Labor Management process to further develop guidelines for providing uniforms and reimbursements. ARTICLE IX- HOLIDAYS Section 1. Fixed Holidays: January 1 Third Monday in January (Martin Luther King Day) Third Monday in February Last Monday in May July 4 First Monday in September Second Monday in October Veterans' Day, November 11 Thanksgiving Day Day after Thanksgiving December 25 Either December 24 or December 31 a) Employees who work a regular schedule shall receive holiday pay for the hours they would otherwise be scheduled to work, due to a closure on a Fixed City Holiday. b) Employees who work on a holiday that is an employee’s regular scheduled workday, will receive time and one half for all hours worked on a holiday in addition to any regular holiday pay, for all hours worked on a holiday. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 110  Packet Pg. 178 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 18 of 43 c) Employees who work on a holiday that is an employee’s non-regular scheduled workday, will receive time and one half for all hours worked on a holiday. Employees will not receive regular holiday pay. d) SEIU 521 Hourly Unit employee workdays are defined as Monday-Sunday. e) When a City Fixed Holiday falls on a weekend day, the City recognizes the Holiday on the weekday before or the weekday after the City Fixed Holiday. f) The following five (5) City Fixed Holidays may fall on weekend days: January 1, July 4, Veterans’ Day-November 11, December 25 and Either December 24 or December 31. g) Due to a closure on a City Fixed Holiday that falls on a weekend day, employees who are regularly scheduled to work weekend days and do not work on the weekday before or after the City Fixed Holiday, shall receive holiday pay for the hours they would otherwise be scheduled to work. h) Employees who work on a holiday that is an employee’s regular scheduled weekend workday that falls on a City Fixed Holiday and do not work on the weekday before or after the City Fixed Holiday, will receive time and one half for all hours worked on a holiday in addition to any regular holiday pay for all hours worked on the holiday. i) Employees who work on a holiday that is an employee’s non-regular scheduled weekend workday that falls on a City Fixed Holiday and do not work on the weekday before or after the City Fixed Holiday, will receive time and one half for all hours worked on a holiday. Employees will not receive regular holiday pay. ARTICLE X- LEAVES Section 1. Sick Leave and Personal Business Leave a. Sick Leave The City shall provide each employee with paid sick leave, earned on the basis of 0.03 hours for each hour paid. Sick leave shall be allowed and used in cases of actual personal sickness or for the care of an immediate family member, including a registered domestic partner, or disability, medical or dental treatment. There will be no pay out of sick leave upon the employee’s termination. If an Hourly Unit member is hired into a permanent position in the General Employee bargaining unit, he or she will retain his or her accumulated sick leave balance. b. Personal Business Leave Effective January 1, 2015, up to ten (10) hours per year of sick leave may be used as authorized for Personal Business Leave. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 111  Packet Pg. 179 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 19 of 43 Section 2. Floating Holiday Effective January 1, 2024, the SEIU Hourly Unit employees shall be excused with pay for the hours they would otherwise be scheduled to work, for one (1) day within each calendar year, which is mutually agreed to by the employee and their supervisor. The one (1) floating holiday will be deemed forfeited and have no cash value, if not used each calendar year. Section 3. Jury Duty Employees required to report for jury duty shall be granted a leave of absence with pay from their assigned duties for hours that they are regularly scheduled to work consistent with the requirements of the City's Merit System Rules and Regulations. ARTICLE XI - VOTING TIME When the employee is unable to vote outside the employee’s work hours, time off with pay to vote in any general or direct primary election shall be granted as provided in the State of California Election Code, and notice than an employee desires such time off shall be given in accordance with the provisions of said Code. ARTICLE XII -WORKERS COMPENSATION Industrial Temporary Disability. (a) While temporarily disabled, employees shall be entitled to use accrued sick leave for the first three (3) days following the date of injury and thereafter shall be paid based upon hourly salary for a period not to exceed fifty-seven (57) calendar days, unless hospitalized, in which case employees shall be paid full base salary for a period not to exceed sixty (60) days from date of injury. (b) For any temporary disability continuing beyond the time limits set forth in (a) above, employees shall be paid two-thirds (66 2/3%) of their hourly salary at the time of injury for the duration of such temporary disability in conformance with the State law. (c) In case of Subsection (a) above, the employee will continue to accrue sick leave benefits. In the case of Subsection (b), sick leave benefits shall not be accrued. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 112  Packet Pg. 180 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 20 of 43 ARTICLE XIII - BENEFIT PROGRAMS Section 1. Medical Insurance Plan. In lieu of providing a medical plan the City provides a medical stipend. This stipend does not apply and will not be payable to employees who are California Public Employee Retirement System annuitants already receiving medical benefits through that system. For the term of this agreement the medical stipend is set at the following amounts: Effective the first full pay period following the adoption of the MOA by City Council, the medical stipend shall be increased by four percent (4.0%) for a total of $3.96 per hour in paid status. Effective the first full pay period following July 1, 2026, the medical stipend shall be increased by four percent (4.0%) for a total of $4.11 per hour in paid status. If the State of California or federal government adopt or mandate a plan that requires the City to pay in whole or in part for medical services or coverage for employees in the bargaining unit, the stipend provided in this paragraph shall be reduced or cease to the extent of required payments toward the state or federal plan, as applicable. Before implementation of a change, the City shall notify the Union of the amount of the offset and provide an opportunity to meet to discuss the calculation of the amount. Such discussion shall occur within fifteen (15) working days after the City gives notice to the Union. The City’s calculation of the amount of the offset shall be based on the aggregate number of hours worked in the bargaining unit during the fiscal year preceding that in which the state or federal plan takes effect. The City and SEIU will continue to investigate the feasibility of providing Employees with access to medical insurance. Such information will be shared during negotiations for a successor Memorandum of Agreement. ARTICLE XIV - RETIREMENT Section 1. Part-time, Seasonal, Temporary (PST) Retirement Plan. Employees in the Hourly Unit shall participate in the City of Palo Alto PST Retirement Plan, except as described in section 2 below. The plan, summarized in Appendix C, was adopted by the City on June 25, 1994 as a retirement plan alternative for part-time, seasonal and temporary employees to replace Social Security and is currently administered by Public Agency Retirement Services (“PARS”). The City of Palo Alto does not deduct the social security portion of the FICA (Federal Insurance Contribution Act) tax. The City does deduct the Medicare portion of the FICA tax. All hourly employees are required to contribute 7.5% of their salary into the PST Retirement Plan. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 113  Packet Pg. 181 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 21 of 43 Section 2. California Public Employees’ Retirement System (“PERS”). PERS annuitants are excluded from participation in the P.S.T. Retirement Plan. Employees in the Hourly Unit who have previously participated in and remain members in the California Public Employee Retirement System (“PERS”) or are otherwise required by law to be enrolled in CalPERS shall participate in P.E.R.S. to the extent required by law, in lieu of participation in the P.S.T. Retirement Plan. For example, CalPERS currently requires enrollment of most employees who work over 1000 hours in a fiscal year. Enrollment in CalPERS will be completed consistent with CalPERS rules and regulations. Participation in CalPERS shall be under the retirement formula and cost share in effect at the time the employee is hired into the Hourly Bargaining Unit unless otherwise required by law. If any changes to the CalPERS cost share are negotiated by the City of Palo Alto and SEIU 521 Regular Unit, then those changes will apply to any SEIU hourlies enrolled in the CalPERS system. The City and the SEIU 521 union will notify all SEIU hourlies enrolled in the CalPERS system via written notification within 2 pay periods, when there are any changes to the CalPERS cost share. Section 3. Retirement Contributions. a. PST Retirement Plan Contributions. Employees enrolled in the PST Retirement Plan shall contribute seven and one half percent (7.5%) of wages toward that Plan. b. PERS Employee Contributions. Employees enrolled in the PERS retirement system shall pay the full amount of the applicable employee contribution required by CalPERS for the PERS formula in which the employee is enrolled, as may be changed by CalPERS from time to time. c. Current contributions are as follows: (1) 2.7% at 55 Formula: eight percent (8%) (2) 2% at 60 Formula: seven percent (7%) (3) 2% at 62 Formula: contribution required by the Public Employees’ Pension Reform Act, calculated at fifty percent (50%) of the normal cost. (4) 1% Cost share of employer contribution for all plans ARTICLE XV PARKING Employees are covered by the City’s administrative policy for Hourly parking permits, which includes the following provisions: Permits will be issued for University Avenue Parking Structures only. To be eligible for a parking permit, an hourly employee must work at least 2.5 hours per day for a consistent period of time (this assumes the need to walk back and forth to a garage). If the employee works less than 2.5 hours, they can park, without penalty, in downtown garages given the current 3 hour parking limit. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 114  Packet Pg. 182 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 22 of 43 The hourly employee must obtain a signed letter from his or her Department Head verifying the employee’s “consistent” and greater than 2.5 hour schedule for a parking permit and submit the letter with the request for a parking permit. The parking permit is issued and tracked by Revenue Collections, and is not transferrable. The employee must return the parking permit to Revenue and Collections upon a change to less than a 2.5 hour consistent schedule or termination of employment. ARTICLE XVI PHYSICAL EXAMINATIONS If an employee who is required to have a City-provided physical examination not related to workers' compensation programs disagrees with the findings of the City-sponsored physician, they may consult with their own physician at their own expense and, if their private physician's report conflicts with that of the City physician in terms of ability to work at their regular job, then they may request an evaluation of their problem through a third physician mutually agreed upon by the employee and the City. Cost for the third examination will be equally shared and the decision of this physician concerning the continuing ability of the employee to perform their work in their regular job without exposing themselves to further injury as a result of their condition shall be the basis for returning the employee to their regular work. ARTICLE XVII - SAFETY Section 1. Health and Safety Provisions. The City shall furnish and use safety devices and safeguards and shall adopt use practices, means, methods, operations and processes which are reasonably adequate to render such employment and place of employment safe, in conformance with applicable safety regulations under the State Labor and Administrative Code sections. The City shall not require or permit any employee to go to or be in any employment or place of employment which is not safe. Section 2. Union will cooperate with the City by encouraging all employees to perform their work in a safe manner. Section 3. Safety Committee. A Safety committee composed of Management and Union Stewards will meet no less than ten times annually to discuss safety practices, methods of reducing hazards, and to conduct safety training. This shall in no way remove the basic responsibility of safety from Management nor shall it in any way alter the responsibility of the employee to report unsafe conditions directly and immediately to his or her supervisor. Three (3) Hourly employees will participate in the ten-member Citywide Union/Management safety committee with equal Union and Management membership that will meet, upon call, to review safety and occupational health standards and practices, discuss overall City safety and Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 115  Packet Pg. 183 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 23 of 43 health problems, and to act as an advisory group to the departmental safety committees. The committee shall review all departmental safety programs and recommend change where necessary. The three (3) Hourly participants shall report such time on timecards, using Internal Order 80005 or its successor in conjunction with a short-text entry describing the nature of the time spent (e.g. “City-wide Union-Management Safety Committee”). In cases of dispute over safe working conditions the employee will first report such unsafe conditions to his or her supervisor and every attempt will be made to rectify the problem at this level. The employee may contact his or her Steward to assist in the resolution of the dispute. If the problem cannot be resolved the Risk Manager will be contacted and the problem will be addressed through the interpretation of the basic safety rules and regulations. Should the problem not be resolved at this step, the grievance procedure will be used. Safety grievances shall be submitted at Step III. ARTICLE XVIII - GRIEVANCE PROCEDURE Section 1. The City and the Union recognize that early settlement of grievance or appeal of disciplinary actions is essential to sound employee-employer relations. The parties seek to establish a mutually satisfactory method for the settlement of employee grievances, or appeal of disciplinary action, or Union grievances as provided for below. In presenting a grievance or appeal of disciplinary action, the aggrieved and/or their representative is assured freedom from restraint, interference, coercion, discrimination or reprisal. Release time for investigation and processing a grievance or appeal of disciplinary action is designated in Article IV of this Memorandum of Agreement (MOA). Section 2. Definition. A grievance is: (a) An unresolved complaint or dispute regarding the application or interpretation of rules, regulations, policies, procedures, Memorandum of Agreement or City ordinances of resolution, relating to terms or conditions of employment, wages or fringe benefits, excluding however those provisions of this MOA which specifically provide that the decision of any City official shall be final, the interpretation or application of those provisions not being subject to the grievance or appeal of disciplinary action procedure. (b) An appeal from a disciplinary action of any kind against an employee covered by this Memorandum of Agreement. Disciplinary action is defined as suspensions without pay, reductions in pay, demotion or discharge. Reprimands, transfers, reassignments, layoffs, and negative comments in performance evaluations are not considered discipline. Section 3. Conduct of Grievance Procedure. (a) An aggrieved employee may be represented by the Union or may represent themselves in preparing and presenting a grievance at any level of review. Grievances may also be Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 116  Packet Pg. 184 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 24 of 43 presented by a group of employees. No grievance settlement may be made in violation of an existing merit rule or memorandum of agreement. The Union will be notified prior to the implementation of any settlement made which affects the rights or conditions of other employees represented by the Union. The Union and the Steward will be copied on all written representation unit grievance decisions. (b) An employee and the Representative Steward, if any, may use a reasonable amount of work time so long as there is no disruption of work, in conferring about and presenting a grievance. Requests for release time to prepare a grievance shall be made in accordance with the provisions of Article III, section 3. Beginning with the third step of the grievance procedure, the Chief Steward or Alternate Chief Steward may assist in presenting a grievance and may be present at all Step III, and IV grievance hearings. (c) The time limits specified in this Article may be extended by mutual agreement in writing of the aggrieved employee or the Union and the reviewer concerned. (d) Should a decision not be rendered within a stipulated time limit, the aggrieved employee may immediately appeal to the next step. (e) The grievance may be considered settled if the decision of any step is not appealed within the specified time limit. (f) If appropriate, the aggrieved employee(s) or the Union and the Department Head may mutually agree to waive Step I and/or Step II of the grievance procedure. (g) Grievances shall be made in writing and submitted on forms provided by the City or on forms which are mutually agreeable to the City and Union. The written grievance shall contain clear, factual and concise language including: (1) the name of the grievant, (2) a statement of the facts upon which the grievance is based, including relevant dates, times and places, (3) specific provisions of the Agreement or specific City rules, policies, or procedures which the party filing the grievance alleges has been violated; (4) a summary of any steps taken toward resolution, and (5) the action the grievant believes will resolve the grievance. (h) Any retroactivity on monetary grievances shall be limited to the date of occurrence, except in no case will retroactivity be granted prior to three months before the grievance was filed in writing. (i) If the grievance is filed by more than one employee in the bargaining unit, the Union may, at its option, convert it to a Union grievance after Step II of the grievance procedure. The Union may also file a grievance in those instances when, under this Memorandum of Agreement, a Union right not directly related to an individual employee becomes the Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 117  Packet Pg. 185 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 25 of 43 subject of dispute. Union grievances shall comply with all of the foregoing provisions and procedures. (j) For purposes of time limits, “working days” are considered to be Monday through Friday, exclusive of City holidays. (k) If a mutually agreed solution is reached during any step of this grievance procedure, the agreement shall be placed in writing and signed by the City and the grievant or union. (l) Upon request of either party, meetings to discuss the grievance shall be held at any step in the grievance procedure. Section 4. Grievance Procedure. Step I. Informal Discussion. Within fifteen (15) working days after the incident or discovery of the incident on which the grievance is based the aggrieved employee shall present the grievance action to their immediate supervisor and attempt to resolve the grievance through informal discussions. Every attempt will be made to settle the issue at this level. Step II. If the grievance is not resolved through the informal discussion in Step 1, the employee will reduce the grievance to writing and submit copies to the Department head or their designee within fifteen working days of the discussion with the immediate supervisor. The Department Head or designee shall have fifteen working days from the receipt of a written grievance to review the matter and prepare a written statement. Step III. If the grievance is not resolved and/or the aggrieved employee is not satisfied with the Step II decision, the grievant or disciplined employee may appeal to the Human Resource Director or their designee in writing within fifteen working days of the receipt of the Department Head's response. The written appeal to the Human Resources level shall include a copy of the original grievance, the Department Head’s decision at Step II, and a clear statement of the reasons for appeal. Within fifteen working days, after receiving the written appeal, the Human Resource Director shall review the matter and prepare a written statement. If a mutually agreed solution is reached during this process the agreement shall be placed in writing and signed. Step IV. If a grievance as defined under 2(a) above is not resolved at Step III, the aggrieved employee may choose between final and binding resolution of the grievance through appeal to the City Manager or through appeal to final and binding arbitration. For the term of this Memorandum of Agreement, appeals to final and binding arbitration may be processed only with Union approval. All Step IV appeals must be filed in writing at the Human Resources Department Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 118  Packet Pg. 186 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 26 of 43 Office within fifteen working days of receipt of the Human Resource Director’s decision at Step 3. If the grievant or appellant elects final and binding resolution by the City Manager, the City Manager will choose the methods he or she considers appropriate to review and settle the grievance or appeal of disciplinary action. The City Manager shall render a written decision to all parties directly involved within fifteen working days after receiving the grievant/appellant’s appeal. If the grievant/appellant elects final and binding arbitration in accordance with this provision, the parties shall mutually select an arbitrator within 90 days from the date of receipt of the written request for appeal. In the event the parties cannot agree on an arbitrator, they shall mutually request a panel of five arbitrators from the California State Conciliation Service or from the American Arbitration Association if either party objects to the State Conciliation Service, and select an arbitrator by the alternate strike method. The arbitrator shall have jurisdiction and authority only to interpret, apply, or determine compliance with the provisions of this Memorandum of Agreement and such Merit System Rules, regulations, policies, procedures, City ordinances, resolutions relating to terms or conditions of employment, wages or fringe benefits, as may hereafter be in effect in the City insofar as may be necessary to the determination of grievances or appeal of disciplinary action appealed to the arbitrator. The arbitrator shall be without power to make any decision contrary to, or inconsistent with or modifying in any way, the terms of this Memorandum Of Agreement, grant wage increases or decreases, or to decide matters of interest. The arbitrator shall be without authority to require the City to delegate or relinquish any powers which by State law or City Charter the City cannot delegate or relinquish. Where either party seeks arbitration and the other party claims the matter is not subject to the arbitration provisions of this Memorandum of Agreement, the issue of arbitrability shall first be decided by the arbitrator using the standards and criteria set forth in Article XX and without regard to the merits of the grievance or appeal of disciplinary action. If the issue is held to be arbitrable, the arbitration proceedings will be recessed for up to five working days during which the parties shall attempt to resolve the grievance. If no resolution is reached, the arbitrator will resume the hearing and hear and resolve the issue on the merits. Copies of the arbitrator's decision shall be submitted to the City, the aggrieved employee and the Union. All direct costs emanating from the arbitration procedure shall be shared equally by the City and the aggrieved employee or the Union. A grievance as defined under Section 2(b) above (demotion, suspension, reduction in pay or termination) that remains unresolved after the conclusion of step III of the grievance procedure, shall be reviewed by a City Hearing Officer. Appeals to a City Hearing Officer must be filed with the Human Resources Director in writing within fifteen (15) working days of the receipt of the Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 119  Packet Pg. 187 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 27 of 43 Step III Grievance response. Within sixty (60) working days, the City Hearing Officer shall review the matter, hold a hearing with the City and the affected worker, and prepare a written recommendation to the City Manager. The City Manager shall issue a final and binding decision within fifteen (15) working days after receipt of the City Hearing Officer's recommendation. The City Manager may accept, reject or modify the City Hearing Officer’s recommendation. The City Manager's decision shall be final, binding and not be subject to further appeal. ARTICLE XIX - UNSATISFACTORY WORK OR CONDUCT AND DISCIPLINARY ACTION Section 1. Right to Discipline The City has the right to discipline, demote, or discharge employees for cause. Section 2. Written Notice Non-probationary employees whose work or conduct is unsatisfactory but not sufficiently deficient to warrant discipline, demotion, or discharge will be given a written notification of unsatisfactory work or conduct and an opportunity to improve. Failure to correct deficiencies and improve to meet standards may result in discipline, demotion, or discharge. Discipline is defined as suspensions without pay, reduction in pay, demotion, or discharge. Reprimands, transfers, reassignments, layoffs, and negative comments in performance evaluations are not discipline and shall not be subject to the requirements of this Article. Section 3. Preliminary Notice of Discipline. Prior to imposing disciplinary action involving a disciplinary suspension, demotion, reduction in pay, or discharge of a non-probationary employee, a supervisor shall provide an employee with preliminary written notice of the proposed disciplinary action. The notice of proposed disciplinary action must be in writing and served on the employee in person or by registered mail or Fed-Ex. The notice of disciplinary action shall include: (a) Statement of the violations upon which the disciplinary action is based. (b) Intended effective date of the action. (c) Statement of the cause thereof. (d) Statement in ordinary and concise language of the act or the omissions upon which the causes are based. (e) Copies of any documents or other written materials upon which the disciplinary action was fully or in part based. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 120  Packet Pg. 188 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 28 of 43 (f) Statement advising the employee of his/her right to appeal from such action, and the right to Union representation. (g) The date and/or the procedure for responding to the notice. Section 4. Skelly Meeting. The employee who receives a notice pursuant to section 3 above shall have the right to respond informally to the charges either verbally or in writing before the discipline is imposed. The employee shall have fifteen (15) days from receipt of the notice to request this pre-disciplinary administrative review. The employee may request a reasonable extension of the time to respond for justifiable reasons. The Skelly meeting to listen to the verbal responses shall be scheduled with a City representative who is not the manager recommending the discipline (the “Skelly Officer”). The Skelly Officer shall render a final written decision (the “post-Skelly decision”) within fifteen (15) days of receiving the employee’s response, if any, and shall deliver the post-Skelly decision to the employee by personal delivery or registered mail to the employee’s last known address on file with the Human Resources Department. The Skelly Officer may sustain, modify, or overturn the recommended disciplinary action. If the Skelly Officer sustains or modifies the disciplinary action, the action may be imposed after the post- Skelly decision is delivered to the employee. ARTICLE XX – NO ABROGATION OF RIGHTS The parties acknowledge that Management rights as indicated in Section 1207D of the Merit System Rules and Regulations and all applicable State laws are neither abrogated nor made subject to negotiation by adoption of this Memorandum of Agreement. ARTICLE XXI – OUTSIDE EMPLOYMENT The provisions of Article 4.7 of the Government Code of the State of California will govern the determination of incompatible outside employment. ARTICLE XXII PROMOTIONAL/CONVERSION OPPORTUNITES The City and Union will meet on a quarterly basis to review the possibility of converting long term ongoing temporary-hourly positions to regular status. A part of such a meeting may be a discussion regarding promotional opportunities of Hourlies to Classified positions. The City will notify SEIU and, upon request, meet and confer regarding the conversion of any long term and ongoing hourly positions which the City converts to full-time positions through the budget process. ARTICLE XXIII – PROVISIONS OF THE LAW Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 121  Packet Pg. 189 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 29 of 43 Section 1. This Memorandum of Agreement is subject to all current and future applicable Federal and State laws and Federal and State regulations and the Charter of the City of Palo Alto and the Constitution of the State of California. Should any of the provisions herein contained be rendered or declared invalid by reason of any existing State or Federal legislation, such invalidation of such part or portion of this Memorandum of Agreement shall not invalidate the remaining portions hereof, and they shall remain in full force and effect, insofar as such remaining portions are severable. Section 2. The City and the Union agree by signing this Memorandum of Agreement that the wages, hours, rights and working conditions contained herein shall be continued in full force during the term of this Memorandum of Agreement except as otherwise provided for in the Memorandum of Agreement and shall be binding on both the City and the Union upon ratification by the Council of the City of Palo Alto and upon ratification by Union membership. ARTICLE XXIV – COST REDUCTION PROGRAMS During the term of this agreement, the Union will aggressively assist Management in developing cost reduction programs. Such programs may include voluntary reduced hours/pay after this concept is studied by Management, and with such application as may be approved by Management. ARTICLE XXV – TERM This Memorandum of Agreement shall take effect on ratification and Council adoption, and shall expire on December 31, 2027. Either party may serve written notice upon the other party during the period between ninety and sixty days prior to its expiration date, of its desire to amend this Memorandum of Agreement. If, at the time this Memorandum of Agreement would otherwise terminate, the parties are negotiating a new Memorandum of Agreement, upon mutual agreement of the Union and the City Manager the terms and conditions of this Memorandum shall continue in effect. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 122  Packet Pg. 190 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 30 of 43 EXECUTED: FOR LOCAL 521, SEIU: FOR CITY OF PALO ALTO: Steve Tsou Ed Shikada SEIU Worksite Organizer City Manager Christi Iniguez Sandra Blanch Chief Steward Human Resources Director ______________________________ Jen Fine Assistant City Attorney ______________________________ Ben Farnsworth Senior HR Administrator Tori Anthony Manager Labor Relations Sandhya Uthup Human Resources Representative Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 123  Packet Pg. 191 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 31 of 43 Appendix A Job Classifications for SEIU Hourly Unit Personnel Administrative Specialist I - H Performs administrative work that requires advanced skills or knowledge in support of a department/division or program. Administrative Specialist II – H Performs more complex administrative work that requires advance skills or knowledge in specialized software programs and data analysis in specialized areas in support of a department/division or program. Two years of experience equivalent to that of an Administrative Specialist I. Arts & Science Aide - H Under general supervision, performs general unskilled and some semiskilled tasks in support of theater, arts and museum programs. Arts & Science Professional I - H Under general supervision, performs highly skilled jobs in support of performing and visual arts. Examples would include exhibit design and installation, graphic design, exhibit mechanical and electrical design, exhibit problem solving, installation and maintenance, materials and parts sourcing for exhibits, managing outsourced custom fabrication of specialty parts, and working with Arts & Sciences Producers on design of exhibits, theater scenery, costume & lighting design and direction, studio supervision, development of educational programs, etc. Arts & Science Professional II - H Under limited supervision, performs highly specialized jobs in support of performing and visual arts. Examples would include exhibit design and installation, graphic design, exhibit mechanical and electrical design, exhibit problem solving, installation and maintenance, materials and parts sourcing for exhibits, managing outsourced custom fabrication of specialty parts, and working with Arts & Sciences Producers on design of exhibits, theater scenery, costume & lighting design and direction, studio supervision, development of educational programs, etc. Two years of experience equivalent to that of an Arts & Science Professional I. Arts & Science Professional III - H Independently performs highly specialized jobs in support of performing and visual arts. Examples would include exhibit design and installation, graphic design, exhibit mechanical and electrical design, exhibit problem solving, installation and maintenance, materials and parts sourcing for exhibits, managing outsourced custom fabrication of specialty parts, and working with Arts & Sciences Producers on design of exhibits, theater scenery, costume & lighting design and direction, studio supervision, development of educational programs, etc. Five years of experience equivalent to that of an Arts & Science Professional I. May require lifting up to 15 pounds Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 124  Packet Pg. 192 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 32 of 43 Arts & Science Technician - H Under supervision, performs paraprofessional and skilled support to a specific performing or visual arts program area such as lighting, props, building, painting, stitching – etc. Assistant Park Ranger - H Positions requiring at least 2 years of experience and specialized skills or advanced certificates for First Aid, CPR, and heavy equipment operation. Prior experience as an open space technician or park aide is essential. Building Serviceperson – H Under limited supervision, performs custodial duties and other related work as required to maintain City buildings and facilities in a clean and orderly condition. Members of this classification may be assigned to perform either public works duties or park duties. Two years of experience equivalent to that of a Custodial Assistant. Clerical Assistant - H Under supervision, performs routine and repetitive computer inputting and clerical tasks, and performs related work as required. May require cash handling. Custodial Aide - H Under close supervision, this entry-level position performs basic custodial duties as required to maintain City buildings and facilities, performs room set-ups and take-downs, and other related work. Custodial Assistant - H Under general supervision, performs custodial duties and other related work as required to maintain City buildings and facilities in a clean and orderly condition. Members of this classification may be assigned to perform either public works duties or parks duties. General Laborer – H Performs general manual tasks. Performs various types of manual labor as needed. Possesses knowledge of commonly-used concepts, practices, and procedures within a particular field. Performs tasks in conformance within pre-established instructions. Works under general supervision. Uses very limited independent judgment similar to that expected of an apprentice- helper level laborer, consistent with pre-established instructions. May report to a lead worker, but typically reports to a supervisor. Requires a high school diploma or its equivalent with 1 year of related experience. Salary to be determined – an hourly rate above $50/hour must be approved by the Director of Human Resources before the City extends an offer of employment. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 125  Packet Pg. 193 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 33 of 43 House Manager - H Facility supervisor of special events, productions, concerts, rentals – etc. Involves high public contact and customer service, including enforcement of rules and regulations. May included set- up of events. Inspector – H Provides inspections for capital and maintenance work, buildings and structures in any stage of construction, alteration or repair. Ensures compliance with standard construction practices, approved plans and specifications, governing laws and City ordinances. Prepares and maintains records of inspections, contractor’s daily activities, verification of materials and quantities used, notification to and contact with the residents in the project area, violation notices, investigations and other related data and information. Salary to be determined – Minimum base of $26.87. An hourly rate above $50/hour must be approved by the Director of Human Resources before the City extends an offer of employment. Instructor Aide - H Under general supervision, performs administrative work in support of Instructors in areas such as course preparation, classroom assistance and related activities. May require lifting up to 15 pounds. Instructor I - H Under general supervision, prepares classes, programs and camp curriculum, presents classes and field trips for schools and family audiences, and provides assignments to Instructor Aides and volunteers. Requires previous teaching experience. Requires prior in-depth knowledge of the disciplines to be taught. May require lifting up to 15 pounds. Instructor II - H Under limited supervision, prepares classes, programs and camp curriculum, presents classes and field trips for schools and family audiences, and provides assignments to Instructor Aides and volunteers. Requires at least two years of experience equivalent to that of an Instructor I. May require lifting up to 15 pounds. Instructor III-H Independently prepares classes, programs and camp curriculum, presents classes and field trips for schools and family audiences , and provides direction and mentoring for Instructor Is and IIs, Aides and volunteers. Serves in a leadership capacity within the department. Requires at least 4 years of teaching experience and in-depth knowledge of the disciplines to be taught. May require lifting up to 15 pounds. Journey-Level Laborer – H Performs various tasks involving physical labor in or on buildings, construction sites, demolition sites, streets, sidewalks, or on other construction projects. May operate hand and power tools of all types (e.g. air hammers, earth tampers, cement mixers, small mechanical hoists, surveying Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 126  Packet Pg. 194 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 34 of 43 and measuring equipment, and various other equipment and instruments). May clean and prepare sites, dig trenches, set braces to support the sides of excavations, erect scaffolding, clean up rubble and debris, and remove hazardous waste materials; may assist other craft workers. Uses independent judgment similar to that expected of a journey level laborer, within pre- established instructions similar to and consistent with industry practices for journey level laborers. Works under general supervision. Typically reports to a lead worker or supervisor. Requires a high school diploma or its equivalent with 1-3 years of related experience. Salary to be determined – an hourly rate above $50/hour must be approved by the Director of Human Resources before the City extends an offer of employment. Librarian - H Under supervision, assists customers with reference inquiries, provides instruction in the use of library resources and equipment; shelves materials and assists with core management or organization of materials. Distinguishing Characteristics: The Librarian classification is the professional entry level classification within the Library Division. The Librarian has the professional knowledge to identify, develop, interpret, and evaluate all policies, procedures, programs and services to ensure the best quality of service to public library users. It is a broad classification which covers a variety of work situations which require expertise in areas of primary responsibility, as well as in common areas such as materials selection, public library service and in computerized information systems. Significant portion of workday includes direct public contact. Work hours may include early mornings, evenings and weekends. ESSENTIAL DUTIES: Essential and other important responsibilities and duties may include, but are not limited to, the following: • Performs routine circulation tasks required to directly serve public, including registering and maintaining files of borrowers; interpreting customer accounts and checking in and out library materials via computerized equipment; accepting, payments for fines, bills, fees; assisting customer with inquiries regarding availability and status of items in collections, and interviewing and assisting users regarding circulation accounts and services. Refers circulation problems to circulation staff or manager. • May conduct library programs for children and adults; conduct tours and classes. • May conduct reference interview and analyze, interpret and answer inquiries utilizing resources in Palo Alto Libraries as well as other libraries and the community, referring unusual questions to a Senior Librarian (Librarian II) or supervisor; assist customers in use of facility including catalog, indexes, reference books and technology. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 127  Packet Pg. 195 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 35 of 43 • Performs library programming, including planning, coordination, promotion and the conduct of programs; cooperates with other City departments, community and library groups with program co-sponsorship. • Prepares displays to market the library’s collection; may write regular newsletter articles, book reviews and program announcements for e-newsletters and publications; assists with social media. • May update library web pages; update online calendars; contribute calendar items to community organizations and data bases. • Selects and de-selects library materials in one or more subject areas based on knowledge of budget available, collection size, analysis of community past usage patterns and other criteria; processes discarded materials. • Assist with recruits, interviews, schedules, trains, initiates and coordinates, work of clerical, paraprofessional, temporary and/or volunteer staff as assigned. • May collect, maintain and report statistical records for a variety of library measures. • As directed, performs copy and original cataloging and classification efficiently utilizing online computerized cataloging system; assigns access points for materials; establishes new bibliographic computer records in accordance with recognized standards. • Maintains specific library collections and equipment including housing, physical maintenance and arrangement. MINIMUM QUALIFICATIONS: Sufficient education, training and/or work experience to demonstrate possession of the following knowledge, skills, and abilities which would typically be acquired through: • Master’s Degree in Library and Information Science or related education preferred. KNOWLEDGE, SKILLS, AND ABILITIES: • Ability to work effectively with public and co-workers in variety of circumstances. Ability to work with wide variety of people. • Knowledge of alphabetical and numerical filing systems. • Knowledge of the library catalog. • Ability to work varied schedule including early mornings, evenings and weekends • Ability to maintain physical condition appropriate to the performance of assigned duties and responsibilities which may include sitting for extended periods of time and operating assigned library equipment. • Ability to communicate with others and to assimilate and understand information, in a manner consistent with the essential job functions. • Ability to operate assigned equipment. • Ability to make sound decisions in a manner consistent with the essential job functions. WORKING CONDITIONS / PHYSICAL REQUIREMENTS: Work in a library environment with the public, maintaining a professional appearance; sustained posture in a standing, walking or seated position for prolonged periods of time; perform bending, lifting, crouching and pushing items weighing up to 50 pounds; perform repetitive small hand and Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 128  Packet Pg. 196 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 36 of 43 arm motions for prolonged periods of time; may travel to other library facilities; exposed to computer screens for prolonged periods of time. Library Clerk - H Under close general supervision performs technical and clerical tasks; assists customers with their accounts; shelves materials; performs technical and clerical tasks as assigned. Distinguishing Characteristics: Library Clerk is a classification found in the Library Department and is distinguished by the performance of various technical and clerical duties under general supervision. Work hours may vary and include nights and weekends. Includes direct public contact. Some previous knowledge of library operations required. ESSENTIAL DUTIES: Essential and other important responsibilities and duties may include, but are not limited to, the following: • May answer customers’ questions. • Checks in/out items; performs standard, holds, special handling and sorts; issues library cards. • Works at the Accounts Desk; handles customer accounts and fines; provides computer assistance; performs shelving. • May assist customers with library technology. • Maintains computer files for library materials; adds, deletes and updates information. • Data enters bibliographic data into the online library system. • Communicates with vendors to request approved items or to ask questions; refers further communications to the supervisor. • Accepts and unpacks deliveries and shipments of library materials; checks for accuracy; returns incorrect or damaged materials to vendors. • Receives and invoices materials into the library’s computer system. • Performs RFID tagging Performs shelf reading. • Assists in the setup of programs; performs program cleanup. • Processes LINK+ items and locates items listed on hold for the library branch or on reserve for LINK+. • Assists with special projects and programs. • May perform mail delivery. • Provides basic assistance to customers. • Performs related duties and responsibilities as required. MINIMUM QUALIFICATIONS: Sufficient education, training and/or work experience to demonstrate possession of the following knowledge, skills, and abilities which would typically be acquired through: • High school diploma or equivalent and 6 months experience working in a library Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 129  Packet Pg. 197 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 37 of 43 KNOWLEDGE, SKILLS, AND ABILITIES: • Ability to work effectively with public and co-workers in variety of circumstances. Ability to work with wide variety of people. • Knowledge of library procedures and item shelving structure. • Knowledge of alphabetical and numerical filing systems. • Knowledge of a personal computer and various software applications. • Knowledge of effective customer service. • Ability to use the library catalog. • Ability to perform cash handling and use a cash register. • Ability to perform basic mathematical calculations. • Ability to work varied schedule including mornings, evenings and weekends • Ability to maintain physical condition appropriate to the performance of assigned duties and responsibilities which may include sitting for extended periods of time and operating assigned library equipment. • Ability to work varied schedule including early mornings, evenings, and weekends. Ability to communicate with others and to assimilate and understand information, in a manner consistent with the essential job functions. • Ability to operate assigned equipment. • Ability to make sound decisions in a manner consistent with the essential job functions. WORKING CONDITIONS / PHYSICAL REQUIREMENTS: Work in a library environment with the public; maintains a professional appearance; sustained posture in a standing, walking or seated position for prolonged periods of time; perform bending, lifting, crouching and pushing items weighing up to 50 pounds; perform repetitive small hand and arm motions for prolonged periods of time; may travel to other library facilities; exposed to computer screens for prolonged periods of time. Library Page - H Under close supervision, shelves materials; performs routine clerical and support tasks as assigned. Distinguishing Characteristics: Library Page is a classification found in the Library Department and is distinguished by the performance of routine clerical duties under supervision. Work hours may vary and include nights and weekends. May include direct public contact. No previous knowledge of library operations required. ESSENTIAL DUTIES: Essential and other important responsibilities and duties may include, but are not limited to, the following: • Shifts collections; pulls or weeds items; performs sweeps. • Returns library materials to the shelves. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 130  Packet Pg. 198 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 38 of 43 • Performs RFID tagging • Performs shelf reading. • Assists in the setup of programs; performs program cleanup. • Processes LINK+ and locates items listed on hold for the library branch or on reserve for Link+ • Performs general cleaning and organization of the library’s areas. • Assist with open and close procedures. • May assist with special projects and programs. • Performs mail delivery. • May provide directional assistance to customers. • Works with Automated Materials Handling machine; moving and sorting bins, and sorting returned items. • Performs related duties and responsibilities as required. MINIMUM QUALIFICATIONS: Sufficient education, training and/or work experience to demonstrate possession of the following knowledge, skills, and abilities which would typically be acquired through: • No experience necessary. KNOWLEDGE, SKILLS, AND ABILITIES: • Ability to work effectively with public and co-workers in variety of circumstances. Ability to work with wide variety of people. • Knowledge of alphabetical and numerical filing systems. • Knowledge of the library catalog. • Ability to work varied schedule including early mornings, evenings and weekends • Ability to maintain physical condition appropriate to the performance of assigned duties and responsibilities which may include sitting for extended periods of time and operating assigned library equipment. • Ability to communicate with others and to assimilate and understand information, in a manner consistent with the essential job functions. • Ability to operate assigned equipment. • Ability to make sound decisions in a manner consistent with the essential job functions. WORKING CONDITIONS / PHYSICAL REQUIREMENTS: Work in a library environment with the public, maintains a professional appearance; sustained posture in a standing, walking or seated position for prolonged periods of time; perform bending, lifting, crouching and pushing items weighing up to 50 pounds; perform repetitive small hand and arm motions for prolonged periods of time; may travel to other library facilities; exposed to computer screens for prolonged periods of time. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 131  Packet Pg. 199 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 39 of 43 Maintenance Assistant - H Under general supervision, responsible for skilled and semiskilled tasks in one or more of the following areas: Landscape and turf maintenance of parks and golf courses, including tree maintenance and turf renovation City building and facilities City streets, sewers, and storm drains City vehicles and equipment Performs related tasks as required. Requires experience with power equipment and a valid California driver’s license. May require drug testing. Open Space Technician - H Under general supervision performs work assignments in Parks and Open Space areas that assist in the protection, preservation and maintenance of Palo Alto open space lands. Entry-level positions that require familiarity with power tools such as weed whips and chain saws. Print Shop Assistant - H Under supervision, provides assistance in the Print Shop in duplication, finishing work, mail distribution and other support function duties, often under tight deadlines. Project Specialist - H Support for and administrative tasks related to City programs and projects on an ongoing basis, requiring technical and administrative skills such as scheduling, research and report writing, project development and design, ongoing project implementation and administration, and budget tracking and conformance. Recreation Leader I - H Entry level positions that do not require previous experience including: Teen leaders Gymnastics Instructors Sports camp assistants Special event Assistants Summer camp counselors Coaches Recreation Leader II - H Positions require at least one season of experience and certifications in a related field including: Sports Camp Leaders (CPR and First Aid) Sport Officials (CPR and First Aid) Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 132  Packet Pg. 200 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 40 of 43 Assistant Pool Manager Senior Swim Instructor/Lifeguard Summer camp assistants Coaches Recreation Leader III - H Positions require at least 2 years of experience and specialized skills or advanced certifications in a related field including: Summer Camp Leaders Teen Outreach Leaders Coaches Substitute Teachers Sports Camp Leaders (CPR and First Aid) Sport Officials (CPR and First Aid) Pool Manager Gymnastic/Dance Instructors (Recreation Leader II requirements and Safety Certification and one of the following certifications: Professional Development Program II, Kinder Accreditation for Teachers or Movement Education and Learning Development.) Staff Specialist – H Under limited supervision, performs professional work requiring specialized knowledge or training in a specific field in support of a City program or organizational unit. The work performed is generally varied in character and similar to or equally complex to that of a career position, but is not managerial. Salary to be determined – an hourly rate above $50/hour must be approved by the Director of Human Resources before the City extends an offer of employment. Stock Clerk - H Under supervision, performs a variety of inventory maintenance functions including receiving, storing, and delivering supplies. Includes maintaining and reviewing computerized inventory records; performs other related work as required. Swim Instructor/Lifeguard - H Monitors pool activities to enforce regulations and prevent accidents, rescue swimmers in distress, conducts swimming lessons in accordance with American Red Cross or other national recognized aquatics programs and performs other related duties as required. Certificates in Lifeguard Training, First Aid and CPR required. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 133  Packet Pg. 201 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 41 of 43 Technical Specialist - H Under general supervision, responsible for work that requires technical skills associated with one or more of the following areas: drafting/CAD, electronics, computer systems, engineering, environmental science, or planning. Zoological Assistant - H Under supervision, performs assignments that assist in the maintenance, control, and shelter of animals in the zoo and other City facilities. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 134  Packet Pg. 202 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 42 of 43 Appendix B- Salary Schedule Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 135  Packet Pg. 203 of 469  CITY OF PALO ALTO AND SEIU LOCAL 521-HOURLY UNIT July 1, 2025 – December 31, 2027 Page 43 of 43 Appendix C Public Agency Retirement System (“P.A.R.S.”) Plan City of Palo Alto PST (Part-time, Seasonal and Temporary) Employees Retirement Plan As of the effective date of this contract, the City contracts with the Public Agency Retirement Services Alternate Retirement System (PARS ARS) to provide an alternative plan to Social Security for members of this Unit. The main components of the plan include: • Enrollment in the PARS 457 retirement plan is automatic for eligible employees (excludes employees previously enrolled in CalPERS). • All contributions are pre-tax and invested • Employees receive an annual statement of gains and losses • Employees may become eligible to receive their account balance when one of the following events occur: o Termination of employment o Retirement o Permanent or total disability o Death o Changed employment status to a position covered by another retirement system • An employee may elect either: o a one-time lump sum cash payment, which may be subject to federal and/or state income tax withholding, OR o A direct rollover without tax withholding to a traditional IRA or an eligible plan that accepts rollovers [e.g. 403(b), 457(b), 401(k)] A copy of the Plan Document is on file in Human Resources and may be reviewed upon advanced request. For questions or additional information, contact PARS at 800-540-6369. Item 4 Attachment C - SEIU Hourly MOA 2025 - 2027        Item 4: Staff Report Pg. 136  Packet Pg. 204 of 469  Job Code FLSA Job Title Steps 3% Increase Effective 01/24/2026 3% Increase Effective 07/11/2026 1 28.76$ 29.61$ 2 30.27$ 31.17$ 9000 Non-exempt Administrative Specialist I – H 3 31.86$ 32.81$ 4 33.54$ 34.54$ 5 35.30$ 36.36$ 1 34.31$ 35.35$ 2 36.12$ 37.21$ 9001 Non-exempt Administrative Specialist II - H 3 38.02$ 39.17$ 4 40.02$ 41.23$ 5 42.13$ 43.40$ 1 29.86$ 30.75$ 2 31.43$ 32.37$ 9002 Non-exempt Assistant Park Ranger - H 3 33.08$ 34.07$ 4 34.82$ 35.86$ 5 36.65$ 37.75$ 1 26.54$ 27.35$ 2 27.94$ 28.79$ 9003 Non-exempt Building Service Person - H 3 29.41$ 30.30$ 4 30.96$ 31.89$ 5 32.59$ 33.57$ 1 23.29$ 24.00$ 2 24.52$ 25.26$ 9004 Non-exempt Clerical Assistant - H 3 25.81$ 26.59$ 4 27.17$ 27.99$ 5 28.60$ 29.46$ SEIU Hourly Salary Schedule Service Employees International Union Hourly Group Page 1 of 6 Item 4 Attachment D - SEIU Hourly Salary Schedule 2025 - 2027        Item 4: Staff Report Pg. 137  Packet Pg. 205 of 469  Job Code FLSA Job Title Steps 3% Increase Effective 01/24/2026 3% Increase Effective 07/11/2026 1 19.70$ 20.30$ 2 20.74$ 21.37$ 9005 Non-exempt Custodial Aide - H 3 21.83$ 22.49$ 4 22.98$ 23.67$ 5 24.19$ 24.92$ 1 22.33$ 23.02$ 2 23.51$ 24.23$ 9006 Non-exempt Custodial Assistant - H 3 24.75$ 25.50$ 4 26.05$ 26.84$ 5 27.42$ 28.25$ 1 21.95$ 22.62$ 2 23.11$ 23.81$ 9007 Non-exempt House Manager - H 3 24.33$ 25.06$ 4 25.61$ 26.38$ 5 26.96$ 27.77$ 1 19.70$ 20.30$ 2 20.74$ 21.37$ 9008 Non-exempt Instructor Aide - H 3 21.83$ 22.49$ 4 22.98$ 23.67$ 5 24.19$ 24.92$ 1 27.57$ 28.41$ 2 29.02$ 29.90$ 9009 Non-exempt Instructor I - H 3 30.55$ 31.47$ 4 32.16$ 33.13$ 5 33.85$ 34.87$ 1 33.54$ 34.56$ 2 35.31$ 36.38$ 9010 Non-exempt Instructor II - H 3 37.17$ 38.29$ 4 39.13$ 40.31$ 5 41.19$ 42.43$ Page 2 of 6 Item 4 Attachment D - SEIU Hourly Salary Schedule 2025 - 2027        Item 4: Staff Report Pg. 138  Packet Pg. 206 of 469  Job Code FLSA Job Title Steps 3% Increase Effective 01/24/2026 3% Increase Effective 07/11/2026 1 38.64$ 39.81$ 2 40.67$ 41.90$ 9036 Non-exempt Instructor III-H 3 42.81$ 44.10$ 4 45.06$ 46.42$ 5 47.43$ 48.86$ 1 34.93$ 35.99$ 2 36.77$ 37.88$ 9011 Non-exempt Librarian - H 3 38.71$ 39.87$ 4 40.75$ 41.97$ 5 42.89$ 44.18$ 1 27.01$ 27.84$ 2 28.43$ 29.30$ 9012 Non-exempt Library Clerk - H 3 29.93$ 30.84$ 4 31.51$ 32.46$ 5 33.17$ 34.17$ 1 20.16$ 20.78$ 2 21.22$ 21.87$ 9013 Non-exempt Library Page - H 3 22.34$ 23.02$ 4 23.52$ 24.23$ 5 24.76$ 25.51$ 1 21.24$ 21.89$ 2 22.36$ 23.04$ 9014 Non-exempt Maintenance Assistant - H 3 23.54$ 24.25$ 4 24.78$ 25.53$ 5 26.08$ 26.87$ 1 21.75$ 22.40$ 2 22.89$ 23.58$ 9015 Non-exempt Open Space Technician - H 3 24.09$ 24.82$ 4 25.36$ 26.13$ 5 26.69$ 27.50$ Page 3 of 6 Item 4 Attachment D - SEIU Hourly Salary Schedule 2025 - 2027        Item 4: Staff Report Pg. 139  Packet Pg. 207 of 469  Job Code FLSA Job Title Steps 3% Increase Effective 01/24/2026 3% Increase Effective 07/11/2026 1 26.03$ 26.81$ 2 27.40$ 28.22$ 9016 Non-exempt Print Shop Assistant - H 3 28.84$ 29.71$ 4 30.36$ 31.27$ 5 31.96$ 32.92$ 1 37.64$ 38.77$ 2 39.62$ 40.81$ 9017 Non-exempt Project Construction Inspector - H 3 41.71$ 42.96$ 4 43.90$ 45.22$ 5 46.21$ 47.60$ 1 28.76$ 29.61$ 2 30.27$ 31.17$ 9018 Non-exempt Project Specialist - H 3 31.86$ 32.81$ 4 33.54$ 34.54$ 5 35.30$ 36.36$ 1 19.70$ 20.30$ 2 20.74$ 21.37$ 9020 Non-exempt Recreation Leader I - H 3 21.83$ 22.49$ 4 22.98$ 23.67$ 5 24.19$ 24.92$ 1 21.84$ 22.50$ 2 22.99$ 23.68$ 9021 Non-exempt Recreation Leader II - H 3 24.20$ 24.93$ 4 25.47$ 26.24$ 5 26.81$ 27.62$ 1 24.20$ 24.93$ 2 25.47$ 26.24$ 9022 Non-exempt Recreation Leader III - H 3 26.81$ 27.62$ 4 28.22$ 29.07$ 5 29.70$ 30.60$ Page 4 of 6 Item 4 Attachment D - SEIU Hourly Salary Schedule 2025 - 2027        Item 4: Staff Report Pg. 140  Packet Pg. 208 of 469  Job Code FLSA Job Title Steps 3% Increase Effective 01/24/2026 3% Increase Effective 07/11/2026 1 21.12$ 21.76$ 2 22.23$ 22.90$ 9023 Non-exempt Stock Clerk - H 3 23.40$ 24.10$ 4 24.63$ 25.37$ 5 25.93$ 26.71$ 1 23.29$ 24.00$ 2 24.52$ 25.26$ 9025 Non-exempt Technical Specialist - H 3 25.81$ 26.59$ 4 27.17$ 27.99$ 5 28.60$ 29.46$ 1 19.70$ 20.30$ 2 20.74$ 21.37$ 9026 Non-exempt Arts & Science Aide - H 3 21.83$ 22.49$ 4 22.98$ 23.67$ 5 24.19$ 24.92$ 1 27.57$ 28.41$ 2 29.02$ 29.90$ 9027 Non-exempt Arts & Science Professional I - H 3 30.55$ 31.47$ 4 32.16$ 33.13$ 5 33.85$ 34.87$ 1 33.54$ 34.56$ 2 35.31$ 36.38$ 9028 Non-exempt Arts & Science Professional II - H 3 37.17$ 38.29$ 4 39.13$ 40.31$ 5 41.19$ 42.43$ 1 38.64$ 39.81$ 2 40.67$ 41.90$ 9037 Non-exempt Arts & Science Professional III - H 3 42.81$ 44.10$ 4 45.06$ 46.42$ 5 47.43$ 48.86$ Page 5 of 6 Item 4 Attachment D - SEIU Hourly Salary Schedule 2025 - 2027        Item 4: Staff Report Pg. 141  Packet Pg. 209 of 469  Job Code FLSA Job Title Steps 3% Increase Effective 01/24/2026 3% Increase Effective 07/11/2026 1 19.77$ 20.36$ 2 20.81$ 21.43$ 9029 Non-exempt Arts & Science Technician - H 3 21.91$ 22.56$ 4 23.06$ 23.75$ 5 24.27$ 25.00$ 1 29.17$ 30.06$ 2 30.70$ 31.64$ 9030 Non-exempt Zoological Assistant - H 3 32.32$ 33.30$ 4 34.02$ 35.05$ 5 35.81$ 36.89$ Job Code FLSA Job Title 9035 Non-exempt General Laborer- H 18.70$ 74.51$ 19.27$ 76.75$ 19.85$ 79.06$ 9032 Non-exempt Inspector- H 18.70$ 74.51$ 19.27$ 76.75$ 19.85$ 79.06$ 9033 Non-exempt In the event of a minimum wage increase that exceeds the City's rates, the salary schedule will be adjusted as appropriate. 3% Increase Effective 01/24/2026 3% Increase Effective 07/11/26 Minimum Wage Increase Effective 01/01/2026 Page 6 of 6 Item 4 Attachment D - SEIU Hourly Salary Schedule 2025 - 2027        Item 4: Staff Report Pg. 142  Packet Pg. 210 of 469  8 3 8 2 City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Utilities Meeting Date: January 12, 2026 Report #:2510-5308 TITLE Approval of Professional Services Contract Number C26195486 with Baron Contracting in an Amount Not-to-Exceed $514,528 for Gas Leak Survey Services for a Period of Three Years. CEQA Status – Exempt Under CEQA Guidelines Sections 15301(c) and 15308 (Existing Facilities). RECOMMENDATION Staff recommends that the City Council approve and authorize the City Manager or their designee to execute Contract No. C26195486 (Attachment A) with Baron Contracting for annual walking and mobile gas leak surveys for a three-year term with a total not-to-exceed amount of $514,528, including $424,528 for basic services and $90,000 for additional services. EXECUTIVE SUMMARY The City’s Gas Operations in the Utilities Department conducts an annual mobile survey that tests of the atmosphere near gas mains; in gas, electric, telephone, sewer, and water system manholes; at cracks in the pavement and sidewalks; and at other locations offering an opportunity to find gas leaks. This survey checks every gas main in the City and walks every service line in each of the fourteen identified business districts. Gas Operations also conducts a walking survey of each gas service in the system in one half of the City every year, so that within a two-year cycle, the entire City is surveyed by walking. Natural movement in the ground as well as human impacts can cause small leaks in the system that would not necessarily be identified until they became larger and more hazardous. The walking leak survey involves a qualified technician carrying gas detection equipment and walking every gas service line and evaluating every gas meter in the portion of the City being surveyed. BACKGROUND The City of Palo Alto owns and operates its own utilities (water, gas, wastewater collection and treatment, and electric) and delivers gas to over 24,000 meters. The Utilities Department maintains and operates over 210 miles of distribution main and approximately 17,395 Item 5 Item 5 Staff Report        Item 5: Staff Report Pg. 1  Packet Pg. 211 of 469  8 3 8 2 individual gas service pipelines with an average service length of 61 feet. The distribution main pipeline material is comprised of polyethylene (PE) pipe, coated steel, polyvinyl chloride (PVC), and acrylonitrile butadiene styrene (ABS). The gas distribution system is split into a grid system by northern and southern sections. One section is leak surveyed annually, for one complete survey of the City every two years. There are fourteen principal business districts throughout the City, (consisting of over 1,870 gas services) which are surveyed annually. Lastly, leaks that were not repaired the previous year are carried over to the next year for leak surveying. These carry over leaks consist of approximately 100 annually. Item 5 Item 5 Staff Report        Item 5: Staff Report Pg. 2  Packet Pg. 212 of 469  8 3 8 2 ANALYSIS On August 19, 2025, the City posted a request for proposal (RFP) for the Gas Leak Survey on the City’s electronic procurement system, OpenGov. The bidding period was 22 calendar days. The City received four (4) proposals from qualified contractors on September 18, 2025, as listed below. Proposal Description Walking and Mobile Gas (Methane) Leak Surveys RFP No. 195486 Proposed Length of Project 3 years Number of Proposal Packages Downloaded 20 Total Days to Respond to Proposal 30 Pre-Proposal Meeting No Number of Proposals Received 4 (2 responsive and 2 non-responsive) Proposal Price Range $424,558 to $1,140,140 Public Link to Solicitation https://procurement.opengov.com/portal/palo- alto-ca/projects/191826 Proposal results of responsive submittals are shown below: Vendor Year 1 Year 2 Year 3 Total Baron Contracting $ 138,000 $ 141,525 $ 145,033 $ 424,558 Alisto Inc $ 367,300 $ 379,520 $ 393,320 $ 1,140,140 After a thorough review of the proposals submitted, Heath Consultants was disqualified due to being non-responsive to clarify their proposal cost calculations. Leak Detection Services Inc. was considered non-responsive as they did not provide all required documents in their proposal package. Baron Contracting was selected due to the quality of their proposal, past experience working with public agencies and total cost. Item 5 Item 5 Staff Report        Item 5: Staff Report Pg. 3  Packet Pg. 213 of 469  8 3 8 2 The City’s current vendor, Manesco Corporation, is currently completing the third year of a six- year contract for Gas Leak Survey services. Unfortunately, Manesco will be retiring and is unable to fulfill the remainder of the contract. The RFP was issued in anticipation of Manesco closing their business, solicitating proposals for three-years so that during this time, staff can evaluate the service provided. FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 5 Item 5 Staff Report        Item 5: Staff Report Pg. 4  Packet Pg. 214 of 469  Professional Services Rev. Oct 16,2024 Page 1 of 29 CITY OF PALO ALTO CONTRACT NO. C26195486 AGREEMENT FOR PROFESSIONAL SERVICES BETWEEN THE CITY OF PALO ALTO AND BARON CONTRACTING 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 BARON CONTRACTING, a California corporation, located at 1098 Foster City Blvd., #106-862, Foster City, CA 94404 (“CONSULTANT”). The following recitals are a substantive portion of this Agreement and are fully incorporated herein by this reference: RECITALS A. CITY intends to issue a contract (the “Project”) and desires to engage a consultant to perform leak surveys for the City 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”. 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 Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 5  Packet Pg. 215 of 469  Professional Services Rev. Oct 16,2024 Page 2 of 29 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 January 1, 2026, through December 31, 2029, 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 Five Hundred Fourteen Thousand Five Hundred Fifty-Eight Dollars ($514,558.00). The hourly schedule of rates, if applicable, is set out in Exhibit C-1, entitled “SCHEDULE OF RATES.” Any work performed or expenses incurred for which payment would result in a total exceeding the maximum compensation set forth in this Section 4 shall be at no cost to the CITY. Optional Additional Services Provision (This provision applies only if checked and a not-to-exceed compensation amount for Additional Services is allocated below under this Section 4.) In addition to the not-to-exceed compensation specified above, CITY has set aside the not- to-exceed compensation amount of Dollars ($ ) 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 Dollars ($ ), 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 Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 6  Packet Pg. 216 of 469  Professional Services Rev. Oct 16,2024 Page 3 of 29 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. 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 Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 7  Packet Pg. 217 of 469  Professional Services Rev. Oct 16,2024 Page 4 of 29 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. SECTION 12. SUBCONTRACTING. Option A: No Subcontractor: CONSULTANT shall not subcontract any portion of the Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 8  Packet Pg. 218 of 469  Professional Services Rev. Oct 16,2024 Page 5 of 29 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 Logan Baron 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 Diamond Perkins, Utilities Department, WGW Operations Division, 1007 Elwell Ct., Palo Alto, CA, 94303, Telephone: 650-838-2838. 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 Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 9  Packet Pg. 219 of 469  Professional Services Rev. Oct 16,2024 Page 6 of 29 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 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. 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 authorized to transact insurance business in the State of California. Any and all contractors of Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 10  Packet Pg. 220 of 469  Professional Services Rev. Oct 16,2024 Page 7 of 29 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 survive any expiration or termination of this Agreement: 14, 15, 16, 17, 19.2, 19.3, 19.4, 20, 25, Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 11  Packet Pg. 221 of 469  Professional Services Rev. Oct 16,2024 Page 8 of 29 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 identity, age, religion, disability, national origin, ancestry, sexual orientation, pregnancy, genetic Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 12  Packet Pg. 222 of 469  Professional Services Rev. Oct 16,2024 Page 9 of 29 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. SECTION 25. NON-APPROPRIATION. This Agreement is subject to the fiscal provisions of Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 13  Packet Pg. 223 of 469  Professional Services Rev. Oct 16,2024 Page 10 of 29 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. 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 Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 14  Packet Pg. 224 of 469  Professional Services Rev. Oct 16,2024 Page 11 of 29 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 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 Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 15  Packet Pg. 225 of 469  Professional Services Rev. Oct 16,2024 Page 12 of 29 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: 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: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 16  Packet Pg. 226 of 469  Professional Services Rev. Oct 16,2024 Page 13 of 29 CONTRACT NO. C26195486 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 BARON CONTRACTING By: ________________________________ Name: ______________________________ Title: _______________________________ By: ________________________________ Name: ______________________________ Title: _______________________________ Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F CEO Logan Baron Secretary Alicia Jordan Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 17  Packet Pg. 227 of 469  Professional Services Rev. Oct 16,2024 Page 14 of 29 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. Surveyors 1. CONTRACTOR will provide a minimum of two Gas Leak Surveyors (GLSs) to perform leak surveys. At least one GLS will have a minimum of 5-years’ experience and a second GLS will have a minimum of 2-years’ experience performing natural gas leak surveys and leak grading on gas distribution or transmission pipelines using flame ionization (FI) and remote methane leak detector (RMLD) units. GLSs will be experienced and qualified in use of the approved leak survey equipment. 2. CONTRACTOR will be required to test and will qualify for the following Industrial Training Services (ITS) Operator Qualification task list: ITS Task # Task Name Re-Qual. Frequency Qual. Method Span of Control 141 3 Years~ K&S 1:0* 1271 3 Years~ K&S 1:0* 1311 3 Years~ K&S 1:0* * City will not approve span of control for CONTRACTOR personnel. Each GLS will be required to test and obtain 3. CONTRACTOR’s personnel will be entered and stored into ITS database. City will upload a maximum of two technicians in City’s ITS database; any additional technicians will be uploaded into CONTRACTOR’s ITS database. City will be granted rights to access CONTRACTOR’s ITS database to review and download qualifications of CONTRACTOR’s personnel performing tasks for City for duration of the agreement. Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 18  Packet Pg. 228 of 469  Professional Services Rev. Oct 16,2024 Page 15 of 29 4. CONTRACTOR will maintain qualification records for personnel who perform covered tasks for a minimum period of 5 years after the individual is no longer performing them. The City has the right to review and receive such records upon request, for up to 5 years after the completion of the agreement. Equipment 1. Prior to beginning the leak survey each year, which is typically done in March/April, CONTRACTOR will submit an annual inventory list of each FI or RMLD unit that may be used. The list will identify survey usage (mobile or walking), model and serial number, CONTRACTOR’s identification number, age of unit, last calibration date, and next calibration due date. 2. CONTRACTOR will supply industry standard equipment for the duration of the contract. City reserves the right to accept or reject the equipment. Only units listed on the annual inventory list will be reviewed for approval by the City for use on this project. 3. CONTRACTOR will immediately remove from service any unit not calibrated in the appropriate intervals or not approved by City and replace such units with approved calibrated units. 4. While performing walking surveys, CONTRACTOR will provide each GLS with a handheld flame ionization unit or RMLD unit. 5. CONTRACTOR will supply gas canisters for FI units and ensure RMLD units are operational and fully charged. 6. While performing mobile surveys, CONTRACTOR will provide a vehicle, computer and approved mobile methane leak detector. The vehicle will be equipped with a multiple intake system of adequate length to obtain samples of air from an area at least eight (8) feet wide along the path of the survey. Mobile Survey 1. CONTRACTOR will furnish all labor and equipment necessary to conduct a mobile gas leak survey of approximately but not limited to Two Hundred Ten (210) miles of distribution mains, annually, through the City. 2. CONTRACTOR will operate the approved motor vehicle for use in conducting the survey. 3. CONTRACTOR will conduct the survey at speeds that allow an adequate sample to be continuously obtained by intakes as the vehicle passes over venting locations, considering the location of the gas main and any adverse conditions which may exist. Adverse conditions may include heavy traffic, parked vehicles, road closures, or other obstacles that may arise on public streets. The GLS will be accommodated in such adverse conditions as the GLS conducts the survey or inform the Project Manager if additional aid is required. Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 19  Packet Pg. 229 of 469  Professional Services Rev. Oct 16,2024 Page 16 of 29 4. CONTRACTOR will verify all detected all leak indications by a walking survey and will classify the leak indications in accordance with Table 1 at the end of this document. 5. CONTRACTOR will establish the spread and concentration of each leak indication and enter the ground leak detection details on a ground leak survey report form (see Exhibit F). 6. CONTRACTOR will enter information on the report that documents: a. The date and by whom the survey was conducted b. Each leak will be identified by: i. Numerical sequence ii. Address, grade iii. Percentage (%) or part per million (PPM) gas reading c. The location of the leak with diagram of property addresses, street intersections, valve locations, etc.... 7. CONTRACTOR will mark all leaks in yellow paint upon verification. 8. CONTRACTOR will take care to prevent overspray or damage to customer property. Walking Survey 1. CONTRACTOR will survey the entire gas distribution system in a two (2) year cycle. In even numbered years CONTRACTOR will conduct the walking survey on the north side of the City and in odd numbered years CONTRACTOR will conduct the walking survey on the south side of the City. Contractor’s 2023 walking gas leak survey (the first year of this contract) will cover the south side of the City and will include approximately 9,000 commercial and residential gas services. Maps of both the north and south sides of the City are included in (see Exhibit H). 2. In addition to either the north or south side of the City, CONTRACTOR will also include the following fourteen principal business districts in the annual walking survey: Business Districts: Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 20  Packet Pg. 230 of 469  Professional Services Rev. Oct 16,2024 Page 17 of 29 3. CONTRACTOR will be able to recognize and react appropriately according to their Contractor Operator Qualification certification to Abnormal Operating Conditions (AOCs) that may indicate a dangerous situation or a condition exceeding design limit. 4. CONTRACTOR will mark all leaks in yellow paint upon verification. 5. CONTRACTOR will take care to prevent overspray or damage to customer property. 6. The CONTRACTOR will furnish all professional services necessary to perform the tasks. 7. Provide a minimum of two technicians to be tested and qualified for performing leak surveys and completing visual inspections to identify abnormal operating conditions and atmospheric corrosion per the City’s Operator Qualification Plan. 8. Furnish all labor, equipment, material, travel and all necessary incidentals to conduct a mobile gas leak survey of all distribution mains. 9. Conduct a mobile survey of all gas distribution mains. 10. Check detection instruments for proper operation and calibrate each instrument with a known gas sample per the manufacturer’s specifications, before using the instruments to conduct the surveys. Submit proof of calibration each year to the Utilities Project before beginning the survey and as requested during the duration of the survey. 11. Furnish all labor, equipment, material, travel and all necessary incidentals to conduct a walking gas leak survey of all commercial and residential gas services, up to and including the meter sets in the fourteen principal business districts and either the North or South side of the City (in alternating years). 12. Survey each service line from the back of the curb up to and including the meter set. 13. Use gas detection equipment capable of detecting the concentration of at least 50 PPM of gas in the air at any sampling point. Equipment will analyze for methane content by using a flame ionization detector. The instrument will be equipped with a visual display of concentration levels and an audible detection alarm. 14. Document any Abnormal Operating Conditions (AOCs) found during the survey on a City-provided form (see Exhibit E), including photographs. Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 21  Packet Pg. 231 of 469  Professional Services Rev. Oct 16,2024 Page 18 of 29 15. Revisit sites as described below on any initially inaccessible service lines and meter sets. 16. Conduct a recheck of all existing gas leaks identified on the survey maps each year. 17. Submit all completed forms to the Project Manager no later than 7:30 A.M. on the next regular business day following the day of the survey. 18. City will provide no carbon required (NCR) forms for all leak documentation (see Exhibits E & F) and locked gate doorhangers (see Exhibit G). Walking Survey Details 1. CONTRACTOR will conduct the walking survey every year on alternating sides (north and south) of the City. Maps of both the north and south sides of the City are included in (see Exhibit H). 2. CONTRACTOR will survey the entire gas distribution system in a two (2) year cycle. In even numbered calendar years, CONTRACTOR will conduct the walking survey on the north side of the City and in odd numbered years, CONTRACTOR will conduct the walking survey on the south side of the City. The 2023 walking gas leak survey (the first year of this contract) will cover the south side of the City and will include approximately 9,000 commercial and residential gas services. 3. In addition to either the north or south side of the City, the annual walking survey also includes the following fourteen principal business districts: Business Districts: 4. CONTRACTOR will survey each gas service, up to and including the meter set. 5. CONTRACTOR will conduct the survey at walking speeds sufficiently slow to allow an adequate sample to be continuously obtained by the instrument intake as it passes over Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 22  Packet Pg. 232 of 469  Professional Services Rev. Oct 16,2024 Page 19 of 29 venting locations. In performing the leak survey of gas services, CONTRACTOR will survey the area to be covered along the route of the service line from the back of the curb, up to and including the meter set. 6. CONTRACTOR will address any leaks found during the walking survey as described below: a. Upon detection, CONTRACTOR will verify all leak indications and classify them in accordance with Table 1 at the end of this Exhibit. CONTRACTOR will establish the spread and concentration of each leak indication and enter the ground leak detection details on a ground leak survey report form (see Exhibit F). CONTRACTOR will enter information on the report form to document: i. When and by whom the survey was conducted ii. Each leak will be identified by: i. Numerical sequence ii. Address iii. Grade iv. Percentage (%) or part per million (PPM) gas reading v. Leak location, including a hand drawn map b. CONTRACTOR will complete meter leak/AOC forms supplied by the City, or a City approved equivalent (see Exhibit E), to assess compliance with City’s utility standards. CONTRACTOR may take the sample through the reading lid and is not required to remove the lids of curb meter boxes. i. CONTRACTOR will number the meter leak forms consecutively and separately from the ground leaks. CONTRACTOR will also conduct a visual inspection of the gas riser, gas meter and the regulator for defects, corrosion and illegal grounding by other utilities (including, but not limited to, telephone and cable companies). CONTRACTOR will complete a City- provided Abnormal Operating Condition (AOC) Survey form (see Exhibit E) for each location identified as an AOC. CONTRACTOR will provide a photograph of all reported AOCs. CONTRACTOR will ensure the address of the location will be visible in the photograph. c. CONTRACTOR will describe all ground leaks and meter leaks and note them on the City-provided Map at the appropriate address. CONTRACTOR’s notes will include leak number, leak concentration, leak location and Palo Alto Meter # from the meter, if applicable. CONTRACTOR will verify all addresses where leaks are found by checking the physical address on the building. i. In cases where there are inconsistencies between the physical addresses and the address in the Map, CONTRACTOR will consider the address on the building correct and note that on the Map and on the Survey Report Form. Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 23  Packet Pg. 233 of 469  Professional Services Rev. Oct 16,2024 Page 20 of 29 d. CONTRACTOR will mark each service with a red check ( ) on the Map and enter each service on the City-provided reporting format (spreadsheet or database) to report the data electronically. e. Any service not checked will be considered not surveyed and CONTRACTOR must be re-survey in order to adequately perform the tasks required in this Agreement (see subsection “f” immediately below for additional information on completing surveys). f. A location is considered completed/surveyed by CONTRACTOR only when CONTRACTOR’s GLS has leak tested the service line and meter set for gas leaks, and verified, classified and documented the findings. g. CONTRACTOR will make every reasonable effort to complete the survey upon the initial site visit. If the GLS is unable to conduct or complete the survey at any location because of an inability to access the premise, CONTRACTOR will take the following actions: i. Complete the “Special Instructions” section of the Gas Meter Leak/AOC Survey Tag (see Exhibit E). CONTRACTOR’s GLS will indicate on the form the reason the survey was not completed at the location (locked gate, dog, etc.). ii. A City-provided door hanger (see Exhibit G) will be attached to the door. The door hanger will advise the resident to contact the City to schedule a date/time for the survey to be conducted on the service/meter. iii. If CONTRACTOR’s GLS is unable to access a location to conduct a complete survey, CONTRACTOR will make up to two additional attempts. The Project Manager may assist in setting up appointments with residents for the two additional attempts. CONTRACTOR’s GLS will be courteous and on time for appointments. iv. CONTRACTOR’s GLS will be available at the conclusion of each survey to work with the City’s meter reading group to access any location where the GLS was unable to complete the survey due to inaccessibility or any other reason. v. If, after an initial visit and two additional visits as arranged by the Project Manager, the site is still inaccessible, the City will consider the contractor’s obligation fulfilled and eligible for payment. Re-survey of Existing 3 Gas Leaks A list of existing Grade 3 Gas Leaks will be provided to the CONTRACTOR’s GLS each year. CONTRACTOR will re-survey leaks and reassess them annually and provide a revised Leak Survey form (see Exhibit F) to the Project Manager. Leak resurveying is a time sensitive task and CONTRACTOR will observe department implemented timelines. As of December 2024, there were 115 existing gas leaks (Grade 3) identified in the gas Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 24  Packet Pg. 234 of 469  Professional Services Rev. Oct 16,2024 Page 21 of 29 distribution system. Known leaks are located throughout the City and are identified on the Maps with a red colored asterisk (*). The specific locations of existing leaks will be provided upon award of the contract. Work Hours CONTRACTOR will not conduct overtime, weekend or holiday work, unless receiving prior approval by City. The workday is M-TH 7:30 AM and 4:00 PM. General Reporting Requirements 1. CONTRACTOR’s GLS will immediately report all leaks of a hazardous nature (Grade 1) to Utility Dispatch at (650) 329-2579, to have the leak recorded in the dispatch log and to dispatch a Utility Field Services Representative to the location. The GLS will remain on site until Utility staff arrives. All houseline leaks discovered are considered grade 1 and CONTRACTOR will call them into dispatch. The GLS will wait on scene until a Field Service Representative or other City representative arrives and will communicate findings. 2. CONTRACTOR will deliver completed Survey Report forms, Gas Meter Leak / AOC Survey forms, and Maps to the City no later than 7:30 A.M. on the next regular workday following the survey, unless other arrangements are specifically identified by the City. Drug Testing Requirements CONTRACTOR’s employees who perform operating, maintenance, or emergency response functions on natural gas pipelines are subject to the provisions of Title 49 CFR Part 199, “Drug and Alcohol Testing”, including the requirements for drug testing, record keeping, education, and training. CONTRACTOR will ensure that its affected employees are given drug testing in accordance with the regulations. CONTRACTOR will submit a copy of its “Drug and Alcohol Testing Policy” before performing any work under this Agreement. Final Report CONTRACTOR will prepare a final report, which provides documentation of the entire survey and the results of such survey. One (1) hard copy of the report submitted to the City within thirty (30) days of the survey completion date. CONTRACTOR will provide an electronic copy of the report if available. Additional On-Call Services - Citywide CONTRACTOR will perform additional on-call leak surveying services at the request of City due to emergencies, uprating’s, and additional scheduled work that may come up within the contract period. See next page for Table 1 – Identification of Leak Grades Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 25  Packet Pg. 235 of 469  Professional Services Rev. Oct 16,2024 Page 22 of 29 Table 1 Grading and Identification of Gas Leaks Grade Definition Priority of Leak Repair Examples 3 Non-Hazardous – Leaks that are non- hazardous at the time of detection and can reasonably be expected to remain non-hazardous. Leaks will be scheduled for re-evaluation during the next scheduled leakage survey or within 15 calendar months of detection, whichever occurs first, until the leak is re- graded or no longer results in a reading. Grade 3 leaks may include, but are not limited to: 1. A leak that naturally vents to the atmosphere. 2. Any indication of gas < 4% gas-in-air (80% Low Explosive Level LEL) in small gas associated substructures such as valve boxes. 3. A leak with minimal migration. 4. Any indication of gas <1% gas-in-air (20% LEL) in a confined space. 2 Intermediate - Leaks that are not hazardous at the time of detection, justify scheduled repair based on probable future hazard. Leaks should be repaired within one year but no later than 15 months from the date reported. In determining the repair priority, criteria such as the following should be considered: 1. Amount of and migration of gas. 2. Proximity of gas to buildings and subsurface structures. 3. Extent of pavement. 4. Any leak, which in the judgment of company personnel at the scene, is of sufficient magnitude to justify schedule repair Grade 2 leaks may include, but are not limited to: 1. Any leak requiring action prior to any adverse changes in venting conditions. 2. Any leak that would likely migrate into or under buildings. 3. Any indication of gas > 2% gas-in-air (40% LEL) under a sidewalk in a wall-to-wall paved area that is not a Grade 1 leak. 4. Any indication of gas > 5% gas-in-air (100% LEL) under a street in a wall-to-wall paved area. 5. Any indication of gas < 4% gas-in-air (80% LEL) in small substructures associated with gas facilities that would likely migrate creating a probable future hazard. 6. Any indication of gas between 1% and 4% gas-in-air (20% - 80% LEL) in a confined space. 1 Hazardous - Leaks that pose an immediate hazard to persons or property and requires continuous action until conditions are no longer hazardous. Prompt remedial action must be undertaken for leaks classified as hazardous. Prompt remedial action may include, but not be limited to the following: 1. Implementation of the CPAU Emergency Operating Plan. 2. Evacuation of buildings. 3. Blocking off/barricading an area. 4. Rerouting traffic. 5. Eliminating ignition sources. 6. Venting the area and/or buildings. 7. Stopping the flow of gas by closing valves or other means. 8. Notifying Fire, Police and/or other emergency responders. Grade 1 leaks may include, but are not limited to: 1. Any gas leak that can be seen, heard, or felt. 2. Any leak which, in the judgment of company personnel at the scene, is considered as an immediate hazard. 3. Escaping gas that has ignited. 4. Any indication of gas that has migrated into or under a building. 5. Any indication of gas at the outside wall or where gas would likely migrate to an outside wall due to surface conditions or cover and/or subsurface structures or a building. 6. Any indication of gas > 4% gas-in-air (80% LEL) in a confined space. 7. Any indication of gas > 4% gas-in-air (80% LEL) in small substructures not associated with gas facilities where gas would likely migrate to the outside wall of a building. 8. All leaks inside a building(s) 9. All leaks inside enclosures containing electrical equipment. 10. All houseline leaks Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 26  Packet Pg. 236 of 469  Professional Services Rev. Oct 16,2024 Page 23 of 29 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 ___________________________________ Task Order and warrant that I have authority to sign on behalf of Consultant. APPROVED: COMPANY NAME: ______________________ BY:____________________________________ Name __________________________________ Title___________________________________ Date ___________________________________ Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 27  Packet Pg. 237 of 469  Professional Services Rev. Oct 16,2024 Page 24 of 29 EXHIBIT B SCHEDULE OF PERFORMANCE CONSULTANT shall perform the Services according to the following schedule, with clarifications by the Project Manager where needed: 1. Re-survey of all existing grade 3 leaks to be completed before their annual review date (between April 6th and May 15th of each year). 2. Walking Survey to be completed by December of each year, start date to be determined by the project manager each year usually around June, dependent on the completion of the resurveying leak survey. 3. Mobile Survey to be performed during October/November each year. 4. The complete gas survey to be completed by December 31 of each year. 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: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 28  Packet Pg. 238 of 469  Professional Services Rev. Oct 16,2024 Page 25 of 29 EXHIBIT C COMPENSATION CITY agrees to compensate CONSULTANT for the Services performed in accordance with the terms and conditions of this Agreement, including Services, any specified reimbursable expenses, and Additional Services (if any, per Section 4 of the Agreement), based on the hourly rate schedule attached as Exhibit C-1. The compensation to be paid to CONSULTANT under this Agreement for all Services, any specified reimbursable expenses, and Additional Services (if any, per Section 4), shall not exceed the amount(s) stated 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. 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. 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: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 29  Packet Pg. 239 of 469  Professional Services Rev. Oct 16,2024 Page 26 of 29 EXHIBIT C-1 SCHEDULE OF RATES CONSULTANT’s schedule of rates is as follows: CPAU GAS LEAK SURVEY BID TABLE Consultant Bid Schedule A: Mobile Gas (Methane) Year 1 Year 2 Year 3 Bid Schedule A Total- Years 1 through 3 Mobile Gas Leak Survey. All labor, equipment, material, travel and all necessary incidentals to conduct a mobile gas leak survey of the City's gas distribution system $ 40,000.00 $ 41,000.00 $ 42,025.00 $ 123,025.00 Bid Schedule B: Business District Gas Business Districts Year 1 Business Districts Year 2 Business Districts Year 3 Bid Schedule B Total- Years 1 through 3 Business District Leak Survey. All labor, equipment, material, travel and all necessary incidentals to conduct an annual walking gas leak survey of 14 business districts including $ 20,000.00 $ 20,500.00 $ 21,013.00 $ 61,513.00 Bid Schedule C: Walking Gas (Methane) Cost Per Service Surveyed Year 1 Cost Per Service Surveyed Year 2 Cost Per Service Surveyed Year 3 Bid Schedule C Total - Years 1 through 3 All labor, equipment, material, travel and all necessary incidentals to conduct an annual walking gas leak survey of approximately 9,000 residential & commercial gas services, up to and including the meter set including appropriate documentation and repeat visits when $ 8.33 $ 8.55 $ 8.76 $ 230,790.00 Bid Schedule D: Gas Leak Resurvey - Cost Per Service Resurveyed Year 1 Cost Per Service Resurveyed Year 2 Cost Per Service Resurveyed Year 3 Bid Schedule D Total - Years 1 through 3 All labor, equipment, material, travel and all necessary incidentals to resurvey approximately 100 existing gas leaks, up to and including the meter set including $ 30.00 $ 30.75 $ 31.55 $ 9,230.00 On-Call Services - Citywide Year 1 Year 2 Year 3 Total - Years 1 through 3 necessary incidentals to perform additional $ 30,000.00 $ 30,000.00 30,000.00 $ 90,000.00 Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 30  Packet Pg. 240 of 469  Professional Services Rev. Oct 16,2024 Page 27 of 29 documentation. Total $ 168,000.00 $ 171,525.00 $ 175,033.00 $ 514,558.00 Year 1 Year 2 Year 3 Total 3 Years The total proposed costs per year: • Year 1: $138,000 • Year 2: $141,525 • Year 3: $145,033 • On-Call Services: $30,000 The above pricing is broken down in the bid table. In addition to the bid table, we have included some rates below for various activities: • $225/hr of regular time labor o Bundled labor rate that includes truck, survey tools, and survey equipment o Labor for: OQ training, additional work, etc. • $300/hr for labor outside of work hours o Bundled labor rate that includes truck, survey tools, and survey equipment o Labor for: Emergency leak response, etc. • $500 mobilization cost for emergency/on-call services • Minimum of 4 hours of labor to be charged for each on-call request or additional work • $150/hr for additional admin work Docusign Envelope ID: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 31  Packet Pg. 241 of 469  Professional Services Rev. Oct 16,2024 Page 28 of 29 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. 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: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 32  Packet Pg. 242 of 469  Professional Services Rev. Oct 16,2024 Page 29 of 29 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: 6679A2C3-C4A0-4C67-9985-766D2E34D34F Item 5 Attachment A - Baron Contracting, Contract C26195486        Item 5: Staff Report Pg. 33  Packet Pg. 243 of 469  CPAU GAS LEAK SURVEY BID TABLE Consultant Bid Schedule A: Mobile Gas (Methane) Leak Survey Mobile Survey Year 1 Mobile Survey Year 2 Mobile Survey Year 3 Bid Schedule A Total- Years 1 through 3 Mobile Gas Leak Survey. All labor, equipment, material, travel and all necessary incidentals to conduct a mobile gas leak survey of the City's gas distribution system mains including appropriate documentation. Baron Contracting $40,000.00 $41,000.00 $42,025.00 $123,025.00 Alisto Inc.$29,610.00 $29,840.00 $30,270.00 $89,720.00 Heath Consultants Inc.DQ DQ DQ DQ Leak Detection Services Inc.DQ DQ DQ DQ Bid Schedule B: Business District Gas (Methane) Leak Survey Business Districts Survey Year 1 Business Districts Survey Year 2 Business Districts Survey Year 3 Bid Schedule B Total- Years 1 through 3 Business District Leak Survey. All labor, equipment, material, travel and all necessary incidentals to conduct an annual walking gas leak survey of 14 business districts including appropriate documentation. Baron Contracting $20,000.00 $20,500.00 $21,013.00 $61,513.00 Alisto Inc.$67,415.00 $68,945.00 $71,500.00 $207,860.00 Heath Consultants Inc.DQ DQ DQ DQ Leak Detection Services Inc.DQ DQ DQ DQ Bid Schedule C: Walking Gas (Methane) Leak Survey Cost Per Service Surveyed Year 1 Cost Per Service Surveyed Year 2 Cost Per Service Surveyed Year 3 Bid Schedule C Total - Years 1 through 3 Walking Gas Leak Survey. All labor, equipment, material, travel and all necessary incidentals to conduct an annual walking gas leak survey of approximately 9,000 residential & commercial gas services, up to and including the meter set including appropriate documentation and repeat visits when necessary. Baron Contracting $74,970.00 $76,950.00 $78,840.00 $230,760.00 Alisto Inc.$263,045.00 $273,240.00 $283,780.00 $820,065.00 Heath Consultants Inc.DQ DQ DQ DQ Leak Detection Services Inc.DQ DQ DQ DQ Bid Schedule D: Gas Leak Resurvey - Citywide. Cost Per Service Resurveyed Year 1 Cost Per Service Resurveyed Year 2 Cost Per Service Resurveyed Year 3 Bid Schedule D Total - Years 1 through 3 All labor, equipment, material, travel and all necessary incidentals to resurvey approximately 100 existing gas leaks, up to and including the meter set including appropriate documentation. Baron Contracting $3,000.00 $3,075.00 $3,155.00 $9,230.00 Alisto Inc.$7,230.00 $7,495.00 $7,770.00 $22,495.00 Heath Consultants Inc.DQ DQ DQ DQ Leak Detection Services Inc.DQ DQ DQ DQ Total Year 1 Year 2 Year 3 Total 3 Years Item 5 Attachment B - Bid Summary        Item 5: Staff Report Pg. 34  Packet Pg. 244 of 469  JASPER RIDGEGATE SealePark Gamble Garden Alma Parkette Byxbee Park Duncan Well Lot T Vacant The Bowl Hetch Hetchy Right of Way CommonArea "B" Timothy Hopkins Park Timothy Hopkins Park MALONEY FIELD PAMF CLARK BUILDING KORETPARK Calif StateLand Barron Park Elementary School Taxi Way Greer Park Lot CC LASUEN GROVE Bryant / LyttonParking Garage TowleCampground Flood Control Basin Arrillaga Property A Adobe Creek Pump Station Kehillah JewishHigh School Common Area Lot K REGION 12 Municipal Golf Course Composting Area ANGELLFIELD ARBORETUM GROVE Effluent Channel Sunset Magazine Common Area "A" MUDD CHEMGAZEBOS Unincorporated SCC See ROS B873P040 Lot Q Civic CenterPlaza AddisonElementary Runway ARRILLAGAPLAZA GOVERNORSCORNER TUNNELACCESS Whole FoodsParking FuelStorageArea Substation POOL VARSITY TENNISCOURTS John Boulware Park Eleanor Pardee Park Parcels merged April 2018 B914PP19-20 Bowman Int.School JacarandaCourtyard Lot C SHOPS DININGROOM HanoverSubstation Faber Laumeister Tract ESCONDIDOVILLAGE Ravine Timothy Hopkins Park THE OVAL GATE 12 10' Path C- 1576July 19, 2000Doc 15319770 REGION 7 JORDANQUAD Cogswell Plaza Arrilliaga Subdivision Baylands MECHEQUIP LINEARACCELERATOR(SLAC) GATE 3 Mitchell Park PUTTINGGREEN GATE 4 Palo VerdeElementarySchool CASPERQUAD Esther Clark Park C of C01-S005Main Quad Monte Bello Open Space Preserve GATE 7 STANFORD ATHLETICS SAND HILL FIELDS Block Books show Undefined SSE,PUE & SDE MASTERS GROVE KENNEDYGROVE 08-S600FROSTAMPHITHEATRE 06-750SCHWABRESIDENTIALCENTER THE BUTTERY Stanford Medical Center C of C Alta Mesa Memorial Park VenturaCommunity Center Rinconada Library Lot P Lot N C of CNov 15, 2000 Emily Renzel Ponds Del Medio Park Lot B WallisPark Flood Gates GATE 14 C of C C of C- 1213July 10, 1992 CofC12-19-1995P120OR0679 FROST AMPHITHEATER WOMENS SOFTBALL DIAMOND Lot R Oak CourtApartments Sand Point ESCONDIDO VILLAGE 5(EV-5)(UNITS 127-144) Flood Ponds Parking Parking PAMF PARKING STRUCTURE GASSTOR Hooks Island Parcel split 2013 Parcels merged for condos Aug 2016 Lot C-8 EUCALYPTUS GROVE C Johnson Park 05-730 Walter Hayes Elementary School Alexander Peers Park GATE 6 Parking Lot C of C10-26-1994 MaybellSubstation 01-502 Memorial Court ARIZONACACTUSGARDEN & LAWN Saint Albertthe GreatChurch Lot E C of CJune 26, 2002 Timothy Hopkins Park Montebello Reservoir Hetch Hetchy Right of Way Nixon Elementary School El Palo Alto Park UTILITYSHAFT Lot O Adobe Creek Substation Common Area GALVEZ FIELD DRIVINGRANGE Baylands Athletic Center EV-1(UNITS 1-54 Lot C-7 SOUTHWESTADIT GATE 9 BOYD & JILL SMITH FAMILY STADIUM WEST CAMPUSTENNIS COURTS Kite Hill Lot C-5 Garage CubberleyCommunity Center ROW PKG Greene Middle School Dwtn ChildCare Ctr Palo Alto Hills Country Club Lot K CPI El Camino Park MANZANITAFIELD REGION 8 10' Path Lawn Bowling Green Flood Control Basin Mountain View Shoreline Park Stratford School Whole FoodsMarket Mitchell Park COWELLCLUSTERHOUSES 10' Path HELIPORT Palo AltoHigh School CofC8-23-1996 KORETPLAZA Rinconada Park Common Area LyttonPlaza Hanover to Matadero Bike Path REGION 6 Mountain View Shoreline Park Terman Park GATE 2 Midtown Area Trailjunction C of COct 25, 2001 BaylandsInterpretiveCenter STANFORDGOLFCOURSE HooverElementary Briones Park POLICE COMPOUND CANFIELDCOURT 10-200 XRAINSAPARTMENTS Fletcher Mountain View Shoreline Park SEQPLAZA BIOLOGY GREENHOUSES Art Center Don Jesus Ramos Park El Camino Park FairmeadowElementarySchool Lot C-4 FRENCHMANSGATE Werry Park Portola Pastures Cogswell Plaza Alta Mesa Memorial Park CHILLERPAD TIBCO C of CJune 17, 2002 The Dish LEVINEFIELD El Palo Alto Park STEUBER FAMILY RUGBY FIELD Property Line409 Definedby Grant Deed#7934319Needsfurther review Los Trancos Open Space Preserve SUNKEN DIAMOND 05-750 Flood Control Basin NewGuineaSculptureGarden SERRA GROVE GATE 11 Land Fill SANDVOLLEYBALL Lot C-6 GATE 1 IM SOUTH C of CJune 24, 2002 Lot H C of C CPI Siebel VarsityGolf TrainingComplex Mayfield Park Stanford Shopping Center Mitchell Park C of C ROW GATE 8 C of C Mitchell Park Lot F Train Station, California Avenue Water Quality Control Plant Veteran's AdministrationHospital See parcel map P912 B018 fordetails of lot division EV-1 STANFORDGOLFCOURSE Santa Clara Valley Water District PIPEWAY Foothills Park SAP CofC16499644 Don SecundinoRobles Park GATE 15 JL StanfordMiddle School Matadero Well Mountain View Shoreline Park Wildhorse Valley Split by Council10-8-1951 06-400WILBURHALLCOMPLEX Byxbee Park CofC11-22-1995P106OR0467 05-010 XLAGUNITA COMPLEXCOURTYARD GSB NIGHTMANAGEMENT CENTER 09-S151RECYCLINGCENTER PIT C of C Common Area Weisshaar Park Public Storage Tom CaseyField CofC VMware SC CountyCourthouseand Jail Hoover Park REGION 4 Maintenance Yard See ROS B873P040 LOS TRANCOS WOODS Cameron Park Palo AltoAirport Monroe Mini Park ELECPAD OhloneElementarySchool Timothy Hopkins Park ARTIFICIAL TURF FIELD TOYON GROVE Greer Park C of C 3-27-1984Rec File #80116492Folder 2-52 CVS Pharmacy Monte Bello Open Space Preserve Hewlett Packard Hooks Point DuveneckElementarySchool Monroe Park Municipal Service Center Park BlvdSubstation Cornelis Bol Park Lot D CofC6-18-1993M840OR0204 Highway 280 C of C 06-PL78Casper QuadParking LotL-78 Hetch-Hetchy ROW C of CJan 25, 1999 FoothillReservoir #2 Kellogg Park Lot A C of C- 1206Feb 4, 1992 Lot WC REGION 2 57- LD- 236-13-1957 Gunn High School Hewlett Subdivision STANFORDCOMMUNITYFARM Hewlett Packard Fletcher Middle School POLICE CofCC-1610 Williams Park Jerry BowdenPark Scott Street Mini Park Tennis Courts Las Trampas Valley GATE 13 El CarmeloElementarySchool FOUNTAIN STABLESandBARNS Union Bank LotC-2 PKG MUNGER GRADUATE RESIDENCE COMPLEX Parkette C of COct 31, 2001 UTILITY SHAFT CHUCKTAYLORGROVE Stanford Palo AltoPlaying Fields Tract No. 5447 16-640 ENVIRONMENTALSAFETYFACILITY(ESF) MEMORIALAUDITORIUM Gunn High School Sterling Canal Juana BrionesElementarySchool EL CAMINO GROVE Mitchell Park REGION 10 Scott ParkHeritage Park LotC-9 TennisCourt TUNNELACCESS LAGUNITA GATE 10 PM 7919 DAN ELLIOTT PRACTICE FIELD CROWNQUAD C of C- 1206Feb 4, 1992 Arastradero Preserve Channing House B PAC-10PLAZA 58- LD- 371-8-1959 Lot G GATE 5 Parcel lines approximate.See SCC Assessor maps C of C WHITEMEMORIALPLAZA KEYS SCHOOLMIDDLE CAMPUS Welcome FORDPLAZA Hansen Way TAUBESOUTH FIRE 14-300RESIDENCES Lot C-3 ParkingGarage Sailing Station Los Trancos Open Space Preserve CARNEGIEINSTITUTION Parking CANTORRODINSCULPTUREGARDEN Alta Mesa Memorial Park Castilleja School Cooley Landing Arastradero Preserve Parking LotC-1 Record OverlapResearched 2-10-1976 Easement 1023E91-016Document 11176071Mayfield Reservoir POOL Duck Pond Lot S H7 H5 B6 C5 F4 H6 E9 F17 E5A5 E12 G10F10A10 D9A9 F15D15 F14D14 E13 J20 E11 G11 H20 H19 H18G18 G17D17 G7 D1 F18E18 E7D7C7B7A7 E6D6A6 F5D5B5 F11 E10 G9F9 F16E16D16 E15 E14 I20 B8 G4C4B4 C3 G8F8 K20 E3D3 E2D2 E1 E8D8 F7 G6F6C6 G5 K19G19 G16 E17 E4D4 F3 A8 City of Palo Alto E-Grid q Item 5 Attachment C - Gas Leak Survey Grid        Item 5: Staff Report Pg. 35  Packet Pg. 245 of 469  North Side of City South Side of City Attachment IV City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Administrative Services Meeting Date: January 12, 2026 Report #:2510-5319 TITLE Approval of a Contract with the Media Center for Cable Casting Services of Public Meetings for a Term of Three Years and a Not to Exceed Amount of $540,000 with Two One-Year Options to Extend for a Potential Not to Exceed amount of $900,000 over a five-year term, for cablecasting, production, and streaming services; CEQA Status – Not a Project. RECOMMENDATION Staff recommends that the City Council approve a three-year agreement (Attachment A) between the City of Palo Alto and Midpeninsula Community Media Center, Inc., from January 1, 2026 through January 1, 2029, in an amount not to exceed $180,000 per year, with two one- year options to extend (for a potential total not to exceed amount of $900,000 for a five-year term), for cablecasting, production and streaming services. BACKGROUND In 1983, a Joint Powers Agreement (JPA agreement) was entered into by the cities of Palo Alto, Menlo Park, East Palo Alto, the Town of Atherton, and San Mateo and Santa Clara counties for the purposes of obtaining cable television service within these jurisdictions (only portions of the counties are covered). The JPA agreement gives the City of Palo Alto (the City) the sole authority to act on behalf of the Joint Powers communities. Cable franchise holders provide various forms of compensation (franchise fees and public, education, and government (PEG) fees) to pay for the use of the Joint Powers’ public rights-of-way. The City’s Cable Television Ordinance provides that the City may designate a nonprofit entity to serve the Joint Powers by providing PEG facilities, programming and related services. Midpeninsula Community Media Center, Inc. (Midpen Media) has served in this capacity since the early 1990’s, through a series of agreements. In 2000, as part of the sale of Cable Co-op to AT&T, Midpen Media received a $17 million charitable donation. This donation was used to purchase a state-of-the-art studio, video production and training facility located at 900 San Antonio Road in Palo Alto. The donation monies are also used, on an ongoing basis, to fund a portion of Midpen Media’s annual operating expenditures. Since Midpen Media owns its video Item 6 Item 6 Staff Report        Item 6: Staff Report Pg. 1  Packet Pg. 246 of 469  production facility and has ongoing income from the AT&T donation to supplement its operating expenditures, there is a significant barrier to entry for any other provider of these services. Bringing in a new provider would require an extensive and complex implementation process involving the City’s IT department and the new service provider. As such, under Palo Alto Municipal Code (PAMC) 2.30.360, the City Manager has approved an exemption from competitive solicitation due to the impracticality to solicit for these services. ANALYSIS Item 6 Item 6 Staff Report        Item 6: Staff Report Pg. 2  Packet Pg. 247 of 469  FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Item 6 Item 6 Staff Report        Item 6: Staff Report Pg. 3  Packet Pg. 248 of 469  1 CONTRACT NO. C26196212 BETWEEN CITY OF PALO ALTO AND MIDPENINSULA COMMUNITY MEDIA CENTER, INC. FOR CABLECASTING, PRODUCTION, AND STREAMING SERVICES This Cablecasting, Production, and Streaming Services Agreement (the “Agreement”), dated as of December 15, 2025, is entered into by and between the CITY OF PALO ALTO, a California chartered municipal corporation (the "City"), and the MIDPENINSULA COMMUNITY MEDIA CENTER, INC., a corporation organized under the California Nonprofit Public Benefit Corporation Law ("Midpen Media") (individually, a “Party” and, collectively, the “Parties”), in reference to the following facts and circumstances: RECITALS: 1. The City is a party to the Amended and Restated Joint Exercise of Powers Agreement, dated June 23, 2009, and as hereinafter may be amended ("JPA Agreement"), by and between the Cities of Palo Alto, East Palo Alto and Menlo Park, the Town of Atherton and the Counties of San Mateo and Santa Clara (collectively, “Joint Powers” or “JPA”), and is authorized to act on behalf of the JPA members. 2. The City desires to provide support for the use of cable television public, educational, and government (“PEG”) access channels provided pursuant to federal and City law. 3. Pursuant to the Digital Infrastructure and Video Competition Act of 2006, codified at Cal. Util. Code §§ 5800 et seq. (“DIVCA”), the California Public Utilities Commission (“CPUC”) has granted separate video franchises to AT&T and Comcast to serve areas that include the jurisdictions of the JPA members. (AT&T, Comcast and any other entity franchised by the CPUC as a video service provider to provide video service within the jurisdictional area of any JPA member is referred to, individually, as “Cable Company” and, collectively, as “Cable Companies”.) 4. DIVCA permits, and the City’s Cable Television Ordinance No. 4636, adopted May 8, 2000, provides that (A) the City may designate a nonprofit access management entity (“Access Corporation”) to operate and administer PEG access facilities, equipment and channels (“PEG Facilities” or "PEG Facilities and Channels,” as appropriate), (B) certain channel capacity shall be provided by Cable Companies for PEG access, (C) certain ongoing payments shall be made by Cable Companies for PEG Facilities, and (D) certain services shall be provided by Cable Companies for PEG Facilities. 5. By an agreement between the City and Midpen Media, dated July 1, 2020, Midpen Media agreed to provide certain services to the City relating to support of City governmental access programming. 6. The City, by City Council Resolution No. 8100, adopted October 22, Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 4  Packet Pg. 249 of 469  2 2001, has designated Midpen Media as the Access Corporation to operate and manage the PEG Facilities and Channels. Midpen Media has served in such capacity since 2001, through a series of agreements. 7. Midpen Media has agreed to continue to serve as the Access Corporation designated by the City and to serve the JPA community by providing PEG access facilities, programming and services. 8. The City wishes Midpen Media to continue to provide, and Midpen Media wishes to provide, to the City certain services relating to and supporting the development, production, cablecasting and video streaming of City governmental access programming. NOW, THEREFORE, in consideration of the recitals and the following mutual covenants, terms and conditions, the Parties agree: SECTION 1. TERM OF AGREEMENT; TERMINATION 1.1 The term of this Agreement is three (3) years, commencing on December 15, 2025, unless it is terminated earlier, as provided in this Agreement. 1.2 This Agreement may be extended, by mutual agreement of the Parties, in writing, for up to two (2) additional one-year periods. 1.3 On or before January 1, 2028, the Media Center shall give the City written notice of its intention to seek an extension. If the Agreement is extended, on or before January 1, 2029, the Media Center shall give the City written notice of its intention to seek an additional extension. 1.4 On or before March 31, 2028 (and March 31, 2029, if the Agreement is extended in 2028), the City shall respond to the Media Center’s request for an extension, stating either the City’s decision to extend or not to extend. The City shall not be required to provide any reason for approving or denying the Media Center’s request. 1.5 Either Party may terminate this Agreement for convenience, on not less than one hundred eighty (180) days’ prior written notice. SECTION 2. SCOPE OF SERVICES AND COMPENSATION 2.1 General. Midpen Media's work for the City shall be scheduled at the City’s convenience based on the deadlines mutually agreed to between Midpen Media and the City. Absence of Midpen Media’s staff will not justify Midpen Media’s failure to comply with deadlines. Midpen Media will provide technical expertise and trained staff for City projects. Midpen Media will operate and maintain equipment for City projects. 2.2 Administration. Midpen Media shall maintain a backup library of electronic recordings of City meetings recorded under this Agreement for a period of one year after the expiration of the term. Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 5  Packet Pg. 250 of 469  3 2.3 Marketing and Publicity. Midpen Media will provide marketing and publicity of City programs, including, but not limited to, television and digital signage announcements. The City will augment this publicity as needed. 2.4 Services and Compensation. 2.4.1 Cablecasting services: Midpen Media shall cablecast all City Council, Commission, Board and Committee meetings, as set forth in Exhibit A, attached hereto and made a part hereof. These meetings will be aired on Government Access Channel 26; in the event Midpen Media Center cablecasts two City meetings at the same time, the second meeting will be aired on Government Access Channel 29 or in accordance with the JPA’s government channel policies and procedures when there is a scheduling conflict with another JPA member. Midpen Media shall bill the City on a monthly basis, at the hourly rates set forth in Exhibit B, attached hereto made a part hereof, for actual cablecasting hours. 2.4.2 Other production services, special events, and support services for City emergency operations: Midpen Media shall cablecast the Mayor’s State of the City address and the annual City Council retreat. Midpen Media will provide broadcasting support services for City emergency operations as needed. Other video production needs may be identified during the year. Midpen Media shall bill the City on a monthly basis for hours associated with these services, in accordance with the hourly rates set forth in Exhibit B. 2.4.2.1 Other productions and special events. (A) The City will attempt to provide a minimum of five (5) business days prior written notice of its desire to have other productions, special events or activities recorded. Subject to any pre-existing contractual obligations and personnel and equipment availability, Midpen Media shall attempt to provide the services requested by the City. 2.4.3 Streaming services: Midpen Media shall stream live any meeting cablecast on Government Access Channels. These Internet streams shall be accessible to users of established computer operating systems, devices, and internet browsers. (A) Midpen Media shall index and archive City meetings and post links to meeting archives on the Midpen Media website. Midpen Media shall make reasonable efforts to post meeting recordings on the Midpen Media website within two (2) business days following each meeting, and shall remain continuously available thereafter. Midpen Media shall use YouTube for indexing and archiving services, subject to YouTube’s then-current availability and access policies. Any alternate format shall be mutually agreed to by the Parties. (B) Midpen Media shall notify the City within two (2) hours of discovering that its website is disabled or off line, or any of the archived City recordings is unavailable to the public. Midpen Media shall make reasonable and diligent and efforts, working with YouTube as necessary, to restore access as soon as reasonably practicable, and will provide the City with timely updates regarding progress. (C) On termination or expiration of this Agreement as provided in Section 1, Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 6  Packet Pg. 251 of 469  4 Midpen Media shall deliver to the City a complete copy of all archived recordings on media provided by the City, in a machine-readable format mutually agreed-upon by the parties, within 30 days. This paragraph shall survive the termination or expiration of this Agreement. Midpen Media shall bill the City on a monthly basis for hours associated with these services, in accordance with the hourly rates set forth in Exhibit B. 2.4.4 City’s Utilities Department special events: Midpen Media shall record Utilities Department special events (including, but not limited to, meetings, workshops, and Facility Manager meetings) or as requested by the Manager of Utilities Program Services or his/her designee, provided five working days’ notice is given. Midpen Media shall bill the City on a monthly basis for hours associated with these services, in accordance with the hourly rates set forth in Exhibit B. 2.4.5 Compensation: The total amount of Midpen Media's billings shall not exceed One Hundred Eighty Thousand Dollars ($180,000) per year. Of this amount, Midpen Media’s billings for Utilities Department events as described in Section 2.4.4 above shall not exceed Forty Thousand Dollars ($40,000) per year. 2.4.6 Prompt Payment. The City will pay Midpen Media within thirty (30) days of receipt of a proper invoice from Midpen Media. SECTION 3. INDEMNITY; LIMITATION OF LIABILITY 3.1 Midpen Media shall indemnify and defend the City, and its elected and appointed officers and employees (an “Indemnified Party” or collectively “Indemnified Parties”), against any third-party claim (a) arising or resulting from or out of Midpen Media’s failure to comply with any applicable laws, rules, regulations or other requirements of local, state or federal authorities, or (b) of libel, slander, invasions of privacy, or infringement of common law or statutory copyright, which claim, directly or indirectly, results from Midpen Media’s use, or Midpen Media’s supervision of use by others, of channels, funds, equipment, facilities or staff granted under this Agreement, City law or the Cable Companies’ CPUC video service franchises. Midpen Media shall pay any costs or damages finally awarded by a court of competent jurisdiction or agreed upon in settlement. Midpen Media’s obligation under this Section are contingent on Midpen Media receiving prompt notice of any claim from the applicable Indemnified Party, sole control of the defense and settlement of any dispute (provided that an Indemnified Party may participate in such defense with counsel of its own choice at its own cost), and reasonable cooperation, at Midpen Media’s sole expense, from the Indemnified Parties. 3.2 IN NO EVENT WILL EITHER PARTY BE LIABLE FOR ANY CONSEQUENTIAL, INDIRECT, EXEMPLARY, SPECIAL OR INCIDENTAL DAMAGES, INCLUDING ANY LOST DATA AND LOST PROFITS, ARISING FROM OR RELATING TO THIS AGREEMENT, EVEN IF THE PARTIES HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. MIDPEN MEDIA’S TOTAL CUMULATIVE LIABILITY IN CONNECTION WITH THIS AGREEMENT, WHETHER IN CONTRACT OR TORT OR OTHERWISE, WILL NOT EXCEED $1,000,000. THIS SECTION DOES NOT LIMIT EITHER PARTY’S LIABILITY FOR BODILY INJURY OR PROPERTY DAMAGE. Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 7  Packet Pg. 252 of 469  5 SECTION 4. COPYRIGHTS The City shall own the copyright of any programs created or produced as a result of this Agreement, and Midpen Media shall make no claim of copyright or ownership of any such programming. SECTION 5. DISTRIBUTION RIGHTS Unless otherwise directed by the City, Midpen Media shall ensure that all programs produced under this Agreement shall be distributed on the governmental access channel(s) and the web, as described in this Agreement. This paragraph shall not be interpreted to restrict other distribution (beyond distribution on the channel(s) authorized by this Agreement), so long as such other distribution is with the prior written consent of the City and consistent with any pertinent guidelines established by the City, applicable PEG access operating policies and procedures, and applicable law. SECTION 6. INSURANCE 6.1 Midpen Media, 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 “C”, attached hereto and made a part hereof, and as follows in Section6.1.1. Midpen Media and its contractors, if any, shall obtain a policy endorsement naming CITY as additional insured under any general liability or automobile policy or policies. 6.1.1 Cablecasters’ Errors and Omissions Insurance in an amount not less than $1,000,000, each occurrence and aggregate covering the content of productions which are cablecast on the access channel(s) in, at a minimum, the following areas: libel and slander; copyright or trademark infringement; infliction of emotional distress; invasion of privacy; plagiarism; and the misuse of musical or literary materials. 6.2 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 authorized to transact insurance business in the State of California. Any and all contractors of Midpen Media 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 the CITY as additional insured under such policies as required above. 6.3 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 the 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, except after filing with the Purchasing Manager thirty (30) days’ prior written notice of the cancellation or modification. Midpen Media shall provide the Purchasing Manager written notice of the cancellation or modification within two (2) business days of Midpen Media’s receipt of such notice. Midpen Media 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. Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 8  Packet Pg. 253 of 469  6 6.4 The procuring of such required policy or policies of insurance will not be construed to limit Midpen Media’s liability hereunder nor to fulfill the indemnification provisions of this Agreement. Notwithstanding the policy or policies of insurance, Midpen Media 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 7. NONDISCRIMINATION 7.1 Midpen Media shall not discriminate against any person, employee or applicant for employment or subcontractor on the basis of 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. 7.2 Midpen Media shall not discriminate in the delivery of services on the basis 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. SECTION 8. INDEPENDENT CONTRACTOR It is understood and agreed that Midpen Media is an independent contractor and that no relationship of principal and agent or employer and employee exists between the Parties. If in the performance of this Agreement any third persons are employed by Midpen Media, such persons shall be entirely and exclusively under the control, direction and supervision of Midpen Media. All terms of employment, including hours, wages, working conditions, discipline, hiring and discharging or any other term of employment shall be determined by Midpen Media, and the City shall have no right or authority over such persons or terms of employment. SECTION 9. ASSIGNMENT Neither this Agreement, nor any interest herein, shall be assigned, encumbered or transferred by Midpen Media or its current board or members to any other person, either directly or indirectly, except as may be expressly authorized in writing by the City prior to any such assignment, encumbrance or transfer. SECTION 10. RECORDS Midpen Media shall maintain all necessary books and records in connection with the services provided pursuant to this Agreement. Upon receipt of a reasonable request of the City, Midpen Media shall, at any time during its normal business hours, make available to the City or its agents or representatives all of its records with respect to all matters covered by this Agreement. SECTION 11. NON-APPROPRIATIONS The provisions of this Agreement are subject to the fiscal provisions of the City Charter Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 9  Packet Pg. 254 of 469  7 and the Palo Alto Municipal Code. This Agreement will terminate without any penalty (a) at the end of any City fiscal year in the event that funds are not appropriated for the following fiscal year, or (b) at any time within the City's fiscal year in the event that funds are only appropriated for a portion of the fiscal years and funds for this Agreement are no longer available. SECTION 12. DEFAULT; REMEDIES FOR DEFAULT 12.1 Midpen Media shall be in default of this Agreement if it fails to perform any of its material obligations under this Agreement. If the Media Center fails to cure a default within forty-five (45) days after the City gives Mipen Media notice of default, the City shall give written notice to the Media Center that it has materially breached this Agreement, and the notice of termination shall become effective on the date specified in the notice by the City. 12.2 Section 12.1 notwithstanding, Midpen Media shall be in immediate default of this Agreement if any of its officers, employees, or agents misappropriates public funds provided to Midpen Media under this Agreement by the City or any Cable Company pursuant to a franchise agreement, or if it fails to obtain and maintain its tax exemption status under Section 501(c)(3) of the Internal Revenue Code of 1986. SECTION 13. NOTICES 13.1 All notices and other communications to be given by either Party may be given, in writing, by depositing the same in the United States mail, postage prepaid and addressed to the appropriate Party, as follows: To City: Office of the City Clerk City of Palo Alto Post Office Box 10250 Palo Alto, CA 94303 To Midpen Media: Midpeninsula Community Media Center, Inc. 900 San Antonio Road Palo Alto, CA 94303 13.2 Any Party may change its address for notice by written notice to the other Party at any time. SECTION 14. MISCELLANEOUS PROVISIONS 14.1 Each Party agrees to execute all documents and do all things necessary and appropriate to carry out the provisions of this Agreement. 14.2 The waiver by either party of any breach or violation of any covenant, term, condition or provision of this Agreement, or of the provisions of any ordinance or law, will not be deemed to be a waiver of any other term, covenant, condition, provisions, ordinance or law, or of any subsequent breach or violation of the same or of any other term, covenant, condition, provision, ordinance or law. Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 10  Packet Pg. 255 of 469  8 14.3 This Agreement shall be governed and interpreted in accordance with the laws of the State of California, without regard to its conflicts of law rules or principles. 14.4 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. 14.5 The covenants, terms, conditions and provisions of this Agreement will apply to, and will bind, the heirs, successors, executors, administrators, assignees, and consultants of the parties. 14.6 All exhibits referred to in this Agreement and any addenda, appendices, attachments, and schedules to this Agreement which, from time to time, may be referred to in any duly executed amendment hereto are by such reference incorporated in this Agreement and will be deemed to be a part of this Agreement. 14.7 This Agreement is the entire agreement of the Parties and supersedes all prior negotiations and agreements whether written or oral. This Agreement may be amended only by written agreement and no purported oral amendment to this Agreement shall be valid. 14.8 The individuals executing this Agreement represent and warrant that they have the legal capacity and authority to do so on behalf of their respective legal entities. 14.9 This Agreement may be signed in multiple counterparts, which shall, when executed by all the parties, constitute a single binding agreement. [SIGNATURES ARE SET FORTH ON THE FOLLOWING PAGE] Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 11  Packet Pg. 256 of 469  9 IN WITNESS WHEREOF, the Parties by their duly appointed representatives have executed this Agreement as of the date written above. ATTEST: CITY OF PALO ALTO: City Clerk Mayor APPROVED AS TO FORM: MIDPENINSULA COMMUNITY MEDIA CENTER, INC.: ________________________________ By:______________________________ City Attorney or Designee Name:___________________________ Title:____________________________ APPROVED: ________________________________ City Manager of Designee APPROVED: ________________________________ Chief Information Officer APPROVED: ________________________________ Risk Manager Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Biana Kovic Executive Director Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 12  Packet Pg. 257 of 469  10 EXHIBIT A Midpen Media shall cablecast the following meetings: • All Palo Alto City Council meetings held in the City Council Chambers or Community Meeting Room • All Palo Alto Planning and Transportation Commission meetings held in the City Council Chambers or Community Meeting Room • All Palo Alto Utilities Advisory Commission meetings held in the City Council Chambers or Community Meeting Room • All Palo Alto City Council Finance Committee meetings held in the City Council Chambers or Community Meeting Room • All Palo Alto City Council Policy and Services Committee meetings held in the City Council Chambers or Community Meeting Room • All Palo Alto Architectural Review Board meetings held in the City Council Chambers or Community Meeting Room • All Palo Alto Historic Resources Board meetings held in the City Council Chambers or Community Meeting Room • All Human Relations Commission meetings held in the City Council Chambers or Council Conference Room • All Library Advisory Commission meetings held in the City Council Chambers or Community Meeting Room • All Parks and Recreation Commission meetings held in the City Council Chambers or Community Meeting Room • All Public Art Commission meetings held in the City Council Chambers or Community Meeting Room • All City Council Rail Committee meetings held in the City Council Chambers or the Community Meeting Room • All meetings of any other ad hoc or regular City Council committee that may be established by the City Council, in the City Council Chambers or the Community Meeting Room • Citizen Advisory Committee meetings • Any special meetings as requested by the Palo Alto City Council or Palo Alto City Manager or his designee, provided five working days’ notice is given Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 13  Packet Pg. 258 of 469  11 • As requested, any special events at Mitchel Park • As requested, any Palo Alto City Library event • Christmas Tree Lighting events and as requested, any holiday / special events • All mayoral-related special events • All firefighter public seminar events • All sibling city events as may be requested. City may notify Midpen Media that the cablecast of any of the above meetings are not required for a certain date(s) or period of time. Further, if any of the legislative or advisory bodies listed no longer require cablecasting, City will notify Midpen Media. City may request that Midpen Media cablecast the meetings of other bodies formed during the term of this Agreement; the cablecasting of these additional meetings may be added by a writing signed by City’s Cable Coordinator and Midpen Media’s Chief Executive Officer. Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 14  Packet Pg. 259 of 469  12 EXHIBIT “B” SCHEDULE OF RATES Midpen Media shall charge City according to the following schedule of rates for performing the following services related to governmental access programming: Meeting Coverage (three-hour minimum): City Hall Video Coverage: $126.00 per hour Single Camera Coverage with City equipment at location: $126.00 per hour Single Camera Coverage with Media Center equipment: $136.00 per hour Remote video coverage with the studio $287.00 per hour in a box. Crew of 3 requires 4.0 hrs/set up, plus breakdown and transportation time (minimum of 2 hrs of meeting coverage) Parking Permit Reimbursement for meetings starting Visitor Permit Fee Before 3pm Cancellation fee (for City’s cancellation of scheduled Midpen Media coverage without 24 hours' prior notice the Midpen Media): $314.00 flat fee Additional Services: Web indexing and archiving: $115.00 per meeting Server storage for archived meetings: $179.00 per month Video clip preparation: $105.00 per hour I-Net Services: $145.00 per hour Program Development: Site visit and planning: $159.00 per hour Videography with equipment: $131.00 per hour Editing: $105.00 per hour Hosting and preparation: $145.00 per hour Studio crew per person: $65.00 per hour Technical Consult/Troubleshooting $159.00 per hour Duplication of videotapes/DVD’s of meetings: Meetings under two hours $28.00 per dup Meetings over two hours $38.00 per dup Provide training and / or certification in the use 10% discount Of equipment, channels, and services for City from generally Employees applicable rate The foregoing rates shall remain unchanged though December 31, 2025. Thereafter, the Midpen Media may increase these rates, no more often than once per calendar year, provided that, absent the prior consent of the City, any such increase in rates shall not exceed the amount of the increase Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 15  Packet Pg. 260 of 469  13 in the Consumer Price Index – All Urban Consumers for the San Francisco-Oakland-San Jose MSA during the preceding calendar year. Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 16  Packet Pg. 261 of 469  14 EXHIBIT C 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, 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 NO 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 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 WITH RESPECT TO CLAIMS ARISING OUT OF THE OPERATIONS OF THE NAMED INSURED, INSURANCE AS AFFORDED BY THIS Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 17  Packet Pg. 262 of 469  15 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 Docusign Envelope ID: E34B3B82-199D-4E3A-AF43-9D707922A7BE Item 6 Attachment A - Midpen Media, Contract C26196212        Item 6: Staff Report Pg. 18  Packet Pg. 263 of 469  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: IT Department Meeting Date: January 12, 2026 Report #:2510-5289 TITLE Approve the City Manager or Designee to Execute Purchase Order C26196045 with Insight Public Sector, Utilizing a County of Riverside Cooperative Contract ITARC-00930, to Procure Microsoft Enterprise Software Licensing, Cloud Services, and Server/Data Center Licensing for a 3-Year Term with a maximum Total Not-To-Exceed Amount of $2,506,936, inclusive of a Contingency in the Amount of $50,000 Annually. RECOMMENDATION Staff recommends that City Council approve and authorize the City Manager or designee to execute Purchase Order C26196045 with Insight Public Sector, utilizing the County of Riverside Cooperative Contract ITARC-00930, to procure Microsoft 365 enterprise licensing, Azure cloud services, Microsoft security and collaboration tools, server and SQL licensing, and related support services for a 3-year term (February 1, 2026 to January 31, 2029) with a base contract amount of $2,356,936 and an additional $50,000 annual contingency to accommodate potential increases in Microsoft licensing or cloud usage needs (Attachment A). BACKGROUND On February 24, 2020, City Council approved a 3-year contract with Insight Public Sector, leveraging the County of Riverside Enterprise Agreement for Microsoft products and services1. The County of Riverside’s master agreement allowed the City to secure significant discounts through cooperative purchasing, exempt from Palo Alto’s competitive solicitation requirements under PAMC 2.30.360(j). 1 February 24, 2020 City Council Staff Report no. 10946, Item no. 7: https://www.paloalto.gov/files/assets/public/v/1/agendas-minutes-reports/reports/city-manager-reports- cmrs/year-archive/2020/id-10946.pdf?t=53319.98s Item 7 Item 7 Staff Report        Item 7: Staff Report Pg. 1  Packet Pg. 264 of 469  On January 30, 2023, Council approved Amendment No. 1 to Contract C20177991, extending the term for another three years for $1.7 million through January 20263. This extension continued Microsoft G3/G5 enterprise licensing, Azure cloud commitments, and security add- ons such as Defender and Power BI. During this period, the City implemented expanded cybersecurity protections, deployed cloud-based backups, and utilized Microsoft scheduling and data services to support emergency response and business continuity. ANALYSIS Table 1: Three-Year Cost Breakdown Contract Year Term Period Amount Total $2,356,936 Note: Amounts shown above represent the base contract costs only and do not include the additional $50,000 annual contingency. Totals have been rounded to the nearest whole dollar and may not equal the sum of the individual line items due to the rounding of individual cents. 3 January 30, 2023 City Council Staff Report, Item no. 2: https://www.paloalto.gov/files/assets/public/v/1/agendas- minutes-reports/reports/city-manager-reports-cmrs/year-archive/2020/id-10946.pdf?t=53319.98 Item 7 Item 7 Staff Report        Item 7: Staff Report Pg. 2  Packet Pg. 265 of 469  $2.36 million is 39.7% higher than the prior three years of $1.7 million. This price increase reflects growth and true-ups in the City’s license counts and security add-ons implemented during the prior term (e.g., expanded M365 licensing, security tools such as Microsoft Defender and related protections), and higher subscription-based consumption costs, including Azure cloud services and associated storage/backup usage that scale with operational demand. The proposed amount reflects current licensing requirements and the City’s projected cloud and security needs over the next three-year term to avoid service disruption and maintain compliance with Microsoft licensing requirements. By leveraging the Riverside agreement, the City secures competitive discounts on software licensing, cloud subscriptions, and security add- ons, while streamlining contract management and ensuring compliance with Microsoft licensing requirements. FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW Quality Act (CEQA) under CEQA Guidelines section 15061(c)(3).  ATTACHMENTS APPROVED BY: Item 7 Item 7 Staff Report        Item 7: Staff Report Pg. 3  Packet Pg. 266 of 469  1 of 5 11/13/2025 City of Palo Alto Date:November 6, 2025 Robertson, Christopher Enrollment:68000857 (480) 409-6775 http://www.insight.com/azureterms Customer understands and acknowledges that it is obtaining the software Products directly from Microsoft Corporation and that Insight provides no warranty to Customer covering the Products purchased hereunder. All warranties relating to such Products are granted solely by Microsoft Corporation. Confidential.Cover Thank you for the opportunity to quote. Item 7 Attachment A - Insight Microsoft Licensing 3-Yr Quote        Item 7: Staff Report Pg. 4  Packet Pg. 267 of 469  11/13/2025 Page 2 of 5 City of Palo Alto Quotation:1125-PaloAlto-Budgetary-Renewal-V5-MSEA-FA Date:November 6, 2025 Enrollment:68000857 Contract:ITARC-00930 Part Number Item Name Level Purchase Period Pool Product Type Quantity Unit Price Additional Products 9GS-00135 CIS Suite Datacenter Core ALng SA 2L D Added at Signing Servers Software Assurance 24 183.88$ 4,413.12$ 9GA-00313 CIS Suite Standard Core ALng SA 2L D Added at Signing Servers Software Assurance 248 39.19$ 9,719.12$ 359-00961 SQL CAL ALng SA User CAL D Added at Signing Servers Software Assurance 1000 37.73$ 37,730.00$ 810-04760 SQL Server Enterprise ALng SA D Added at Signing Servers Software Assurance 15 1,552.99$ 23,294.85$ 228-04433 SQL Server Standard ALng SA D Added at Signing Servers Software Assurance 12 162.27$ 1,947.24$ 9EP-00208 System Center DC Core ALng SA 2L D Added at Signing Servers Software Assurance 56 53.97$ 3,022.32$ 9EN-00198 System Center Standard Core ALng SA 2L D Added at Signing Servers Software Assurance 304 19.78$ 6,013.12$ QEJ-00003 Visual Studio Ent with GitHub ALng SA D Added at Signing Applications Software Assurance 2 1,077.53$ 2,155.06$ QEK-00003 Visual Studio Pro with GitHub ALng SA D Added at Signing Applications Software Assurance 1 308.67$ 308.67$ 6VC-01254 Win Remote Desktop Services CAL ALng SA UCAL D Added at Signing Servers Software Assurance 20 26.13$ 522.60$ 9EA-00278 Win Server DC Core ALng SA 2L D Added at Signing Servers Software Assurance 140 139.19$ 19,486.60$ 9EA-00279 Win Server DC Core ALng SASU 2L Win Server Std D Added at Signing Servers SA Step Up 484 274.16$ 132,693.44$ 9EM-00270 Win Server Standard Core ALng SA 2L D Added at Signing Servers Software Assurance 506 21.37$ 10,813.22$ Year One Subscriptions Total:533,526.00$ Additional Products 9GS-00135 CIS Suite Datacenter Core ALng SA 2L D Added at Signing Servers Software Assurance 24 183.88$ 4,413.12$ 9GA-00313 CIS Suite Standard Core ALng SA 2L D Added at Signing Servers Software Assurance 248 39.19$ 9,719.12$ 359-00961 SQL CAL ALng SA User CAL D Added at Signing Servers Software Assurance 1000 37.73$ 37,730.00$ 810-04760 SQL Server Enterprise ALng SA D Added at Signing Servers Software Assurance 15 1,552.99$ 23,294.85$ 228-04433 SQL Server Standard ALng SA D Added at Signing Servers Software Assurance 12 162.27$ 1,947.24$ 9EP-00208 System Center DC Core ALng SA 2L D Added at Signing Servers Software Assurance 56 53.97$ 3,022.32$ 9EN-00198 System Center Standard Core ALng SA 2L D Added at Signing Servers Software Assurance 304 19.78$ 6,013.12$ QEJ-00003 Visual Studio Ent with GitHub ALng SA D Added at Signing Applications Software Assurance 2 1,077.53$ 2,155.06$ QEK-00003 Visual Studio Pro with GitHub ALng SA D Added at Signing Applications Software Assurance 1 308.67$ 308.67$ 6VC-01254 Win Remote Desktop Services CAL ALng SA UCAL D Added at Signing Servers Software Assurance 20 26.13$ 522.60$ 9EA-00278 Win Server DC Core ALng SA 2L D Added at Signing Servers Software Assurance 140 139.19$ 19,486.60$ 9EA-00279 Win Server DC Core ALng SASU 2L Win Server Std D Added at Signing Servers SA Step Up 484 274.16$ 132,693.44$ 9EM-00270 Win Server Standard Core ALng SA 2L D Added at Signing Servers Software Assurance 506 21.37$ 10,813.22$ Year Two Subscriptions Total:533,526.00$ Additional Products 9GS-00135 CIS Suite Datacenter Core ALng SA 2L D Added at Signing Servers Software Assurance 24 183.88$ 4,413.12$ 9GA-00313 CIS Suite Standard Core ALng SA 2L D Added at Signing Servers Software Assurance 248 39.19$ 9,719.12$ 359-00961 SQL CAL ALng SA User CAL D Added at Signing Servers Software Assurance 1000 37.73$ 37,730.00$ 810-04760 SQL Server Enterprise ALng SA D Added at Signing Servers Software Assurance 15 1,552.99$ 23,294.85$ 228-04433 SQL Server Standard ALng SA D Added at Signing Servers Software Assurance 12 162.27$ 1,947.24$ 9EP-00208 System Center DC Core ALng SA 2L D Added at Signing Servers Software Assurance 56 53.97$ 3,022.32$ Confidential.EA At Signing Thank you for the opportunity to quote. Item 7 Attachment A - Insight Microsoft Licensing 3-Yr Quote        Item 7: Staff Report Pg. 5  Packet Pg. 268 of 469  11/13/2025 Page 3 of 59EN-00198 System Center Standard Core ALng SA 2L D Added at Signing Servers Software Assurance 304 19.78$ 6,013.12$ QEJ-00003 Visual Studio Ent with GitHub ALng SA D Added at Signing Applications Software Assurance 2 1,077.53$ 2,155.06$ QEK-00003 Visual Studio Pro with GitHub ALng SA D Added at Signing Applications Software Assurance 1 308.67$ 308.67$ 6VC-01254 Win Remote Desktop Services CAL ALng SA UCAL D Added at Signing Servers Software Assurance 20 26.13$ 522.60$ 9EA-00278 Win Server DC Core ALng SA 2L D Added at Signing Servers Software Assurance 140 139.19$ 19,486.60$ 9EA-00279 Win Server DC Core ALng SASU 2L Win Server Std D Added at Signing Servers SA Step Up 484 274.16$ 132,693.44$ 9EM-00270 Win Server Standard Core ALng SA 2L D Added at Signing Servers Software Assurance 506 21.37$ 10,813.22$ Year Three Subscriptions Total:533,526.00$ Three Year Subscriptions Total:1,600,578.00$ Three Year Combined Total:2,356,936.08$ Confidential.EA At Signing Thank you for the opportunity to quote. Item 7 Attachment A - Insight Microsoft Licensing 3-Yr Quote        Item 7: Staff Report Pg. 6  Packet Pg. 269 of 469  11/13/2025 Page 4 of 5 City of Palo Alto Quotation:1125-PaloAlto-Budgetary-Renewal-V5-MSEA-FA Subscription Start Date:2/1/2026 November 6, 2025 Subscription End Date:1/31/2029 68000857 ITARC-00930 Year One:12 Months 12 Part Number Item Name Level Purchase Period Pool Product Type Quantity Term Price Extended Price Enterprise Products - Lead AAD-34700 M365 G3 Unified FSA Renewal GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1100 $328.82 361,702.00$ AAD-34704 M365 G3 Unified FUSL GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 225 $386.81 87,032.25$ AAL-45735 M365 G5 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 5 $612.45 3,062.25$ Additional Products - Commercial Azure AAA-35418 Azure Monetary Commitment Provision D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1 $0.00 -$ Additional Products - Lead J5U-00004 AzureprepaymentG ShrdSvr ALNG SubsVL MVL Commit Provision D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1 $0.00 -$ 3GU-00001 Defender O365 P1 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 30 $18.32 549.60$ 3NS-00003 Exchange Online P2 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 150 $73.02 10,953.00$ PEY-00002 GitHub Enterprise Sub Per User D Non-Specific Applications Monthly Subscriptions-VolumeLicense 15 $191.82 2,877.30$ EP2-24658 M365 Copilot GCC Sub Add-on D Non-Specific Applications Monthly Subscriptions-VolumeLicense 25 $366.30 9,157.50$ 3EB-00001 M365 F1 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 100 $23.44 2,344.00$ M9T-00002 O365 Extra File Storage GCC Sub Add-on Extra Storage 1 GB D Non-Specific Servers Monthly Subscriptions-VolumeLicense 5000 $2.20 11,000.00$ 7E7-00001 Planner & Project P3 FSA GCC Renewal Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 100 $232.97 23,297.00$ 7VX-00001 Planner & Project P5 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 2 $502.32 1,004.64$ 1O5-00001 Power Automate Premium GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 2 $161.17 322.34$ HJR-00002 Power BI Premium EM1 GCC Sub D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1 $5,708.18 5,708.18$ 6U1-00004 Power BI Premium USL GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 6 $200.98 1,205.88$ DDJ-00001 Power BI Pro GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 39 $100.37 3,914.43$ NYH-00001 Teams AC with Dial Out US/CA GCC Sub Add-on D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1325 $0.00 -$ LM9-00001 Teams Domestic Calling Plan GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 2 $128.94 257.88$ VA1-00001 Teams Rooms Pro GCC Sub Per Device D Non-Specific Servers Monthly Subscriptions-VolumeLicense 5 $429.79 2,148.95$ 9K4-00003 Visio P2 FSA GCC Renewal Sub Per User D Non-Specific Applications Monthly Subscriptions-VolumeLicense 60 $116.48 6,988.80$ 12 Month Total:533,526.00$ Enterprise Products - Lead AAD-34700 M365 G3 Unified FSA Renewal GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1100 $328.82 361,702.00$ AAD-34704 M365 G3 Unified FUSL GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 225 $386.81 87,032.25$ AAL-45735 M365 G5 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 5 $612.45 3,062.25$ Additional Products - Commercial Azure AAA-35418 Azure Monetary Commitment Provision D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1 $0.00 -$ Additional Products - Lead J5U-00004 AzureprepaymentG ShrdSvr ALNG SubsVL MVL Commit Provision D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1 $0.00 -$ 3GU-00001 Defender O365 P1 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 30 $18.32 549.60$ 3NS-00003 Exchange Online P2 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 150 $73.02 10,953.00$ PEY-00002 GitHub Enterprise Sub Per User D Non-Specific Applications Monthly Subscriptions-VolumeLicense 15 $191.82 2,877.30$ EP2-24658 M365 Copilot GCC Sub Add-on D Non-Specific Applications Monthly Subscriptions-VolumeLicense 25 $366.30 9,157.50$ 3EB-00001 M365 F1 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 100 $23.44 2,344.00$ M9T-00002 O365 Extra File Storage GCC Sub Add-on Extra Storage 1 GB D Non-Specific Servers Monthly Subscriptions-VolumeLicense 5000 $2.20 11,000.00$ 7E7-00001 Planner & Project P3 FSA GCC Renewal Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 100 $232.97 23,297.00$ 7VX-00001 Planner & Project P5 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 2 $502.32 1,004.64$ 1O5-00001 Power Automate Premium GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 2 $161.17 322.34$ HJR-00002 Power BI Premium EM1 GCC Sub D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1 $5,708.18 5,708.18$ 6U1-00004 Power BI Premium USL GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 6 $200.98 1,205.88$ DDJ-00001 Power BI Pro GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 39 $100.37 3,914.43$ NYH-00001 Teams AC with Dial Out US/CA GCC Sub Add-on D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1325 $0.00 -$ LM9-00001 Teams Domestic Calling Plan GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 2 $128.94 257.88$ VA1-00001 Teams Rooms Pro GCC Sub Per Device D Non-Specific Servers Monthly Subscriptions-VolumeLicense 5 $429.79 2,148.95$ 9K4-00003 Visio P2 FSA GCC Renewal Sub Per User D Non-Specific Applications Monthly Subscriptions-VolumeLicense 60 $116.48 6,988.80$ 12 Month Total:533,526.00$ Confidential.EA Monthly Subscriptions Thank you for the opportunity to quote. Item 7 Attachment A - Insight Microsoft Licensing 3-Yr Quote        Item 7: Staff Report Pg. 7  Packet Pg. 270 of 469  11/13/2025 Page 5 of 5Enterprise Products - Lead AAD-34700 M365 G3 Unified FSA Renewal GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1100 $328.82 361,702.00$ AAD-34704 M365 G3 Unified FUSL GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 225 $386.81 87,032.25$ AAL-45735 M365 G5 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 5 $612.45 3,062.25$ Additional Products - Commercial Azure AAA-35418 Azure Monetary Commitment Provision D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1 $0.00 -$ Additional Products - Lead J5U-00004 AzureprepaymentG ShrdSvr ALNG SubsVL MVL Commit Provision D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1 $0.00 -$ 3GU-00001 Defender O365 P1 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 30 $18.32 549.60$ 3NS-00003 Exchange Online P2 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 150 $73.02 10,953.00$ PEY-00002 GitHub Enterprise Sub Per User D Non-Specific Applications Monthly Subscriptions-VolumeLicense 15 $191.82 2,877.30$ EP2-24658 M365 Copilot GCC Sub Add-on D Non-Specific Applications Monthly Subscriptions-VolumeLicense 25 $366.30 9,157.50$ 3EB-00001 M365 F1 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 100 $23.44 2,344.00$ M9T-00002 O365 Extra File Storage GCC Sub Add-on Extra Storage 1 GB D Non-Specific Servers Monthly Subscriptions-VolumeLicense 5000 $2.20 11,000.00$ 7E7-00001 Planner & Project P3 FSA GCC Renewal Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 100 $232.97 23,297.00$ 7VX-00001 Planner & Project P5 GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 2 $502.32 1,004.64$ 1O5-00001 Power Automate Premium GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 2 $161.17 322.34$ HJR-00002 Power BI Premium EM1 GCC Sub D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1 $5,708.18 5,708.18$ 6U1-00004 Power BI Premium USL GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 6 $200.98 1,205.88$ DDJ-00001 Power BI Pro GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 39 $100.37 3,914.43$ NYH-00001 Teams AC with Dial Out US/CA GCC Sub Add-on D Non-Specific Servers Monthly Subscriptions-VolumeLicense 1325 $0.00 -$ LM9-00001 Teams Domestic Calling Plan GCC Sub Per User D Non-Specific Servers Monthly Subscriptions-VolumeLicense 2 $128.94 257.88$ VA1-00001 Teams Rooms Pro GCC Sub Per Device D Non-Specific Servers Monthly Subscriptions-VolumeLicense 5 $429.79 2,148.95$ 9K4-00003 Visio P2 FSA GCC Renewal Sub Per User D Non-Specific Applications Monthly Subscriptions-VolumeLicense 60 $116.48 6,988.80$ 12 Month Total:533,526.00$ 36 Month Total:1,600,578.00$ Confidential.EA Monthly Subscriptions Thank you for the opportunity to quote. Item 7 Attachment A - Insight Microsoft Licensing 3-Yr Quote        Item 7: Staff Report Pg. 8  Packet Pg. 271 of 469  City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Police Meeting Date: January 12, 2026 Report #:2512-5609 TITLE 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. RECOMMENDATION Staff recommends the City Council adopt an ordinance (Attachment A) amending the Palo Alto Municipal Code Chapter 4.54 on massage establishments and Chapter 4.56 on hot tub/sauna establishments, as unanimously recommended by the Policy and Services Committee on October 29, 2025 with minor updates from public feedback as detailed below in this staff report. Staff also recommend adoption of a resolution amending the Municipal Penalty Schedule (Attachment B) to conform existing penalties to new code numbering and delete penalties for sections no longer used. EXECUTIVE SUMMARY The proposed ordinance updates the Palo Alto Municipal Code to regulate massage and massage therapists in Palo Alto as well as hot tub/sauna businesses. For massage businesses and therapists, the codes provide clear standards to ensure massage therapy businesses are run safely and legally by setting basic rules for their buildings, cleanliness, and staff qualifications, while also deterring illegal activities like human trafficking, wage theft, and prostitution. This update allows only massage therapists certified by the state-sanctioned non-profit California Massage Therapy Council (CAMTC) to conduct massage in the city for the businesses. The new framework also offers City enforcement staff a broader mandate, increased options for enforcement, and clearer parameters for action. Updates to existing fees will be considered. For Hot Tub/Sauna establishments, the proposed code directs the business operator to comply with County of Santa Clara requirements so the city can delete redundant codes. Item 8 Item 8 Staff Report        Item 8: Staff Report Pg. 1  Packet Pg. 272 of 469  BACKGROUND Palo Alto’s regulation of massage and hot tub/sauna businesses has evolved over the years. For massage businesses, it began formally in the early 1970s when the city enacted PAMC 4.54 to regulate massage businesses, in response to concerns about health and public safety. Codes were removed in 1997 to allow home-based massage businesses1. In 2008, the regulatory landscape for massage therapy in California underwent a pivotal transformation with the passage of Senate Bill 731 (SB 731). This legislation established the California Massage Therapy Council (CAMTC), a private, non-profit organization tasked with overseeing the voluntary statewide certification of massage professionals. By creating a unified framework for certification and granting CAMTC the authority to conduct background checks and regulate massage schools, SB 731 replaced the previous patchwork of inconsistent local regulations with uniform state standards, thereby elevating professional standards and enhancing public protection. Further regulatory updates by state legislature came in 2011 (AB 619), reverting some control over massage business licensing back to local jurisdictions. In response, the City adopted an ordinance updating the Municipal Code in 20122. This is the last time the PAMC was updated for massage. Staff has identified 19 existing massage establishments that will need to obtain establishment permits under the new code. Every massage therapist working in Palo Alto is already CAMTC- certified or is working on obtaining certification. Staff has identified one Hot Tub/Sauna business. ANALYSIS This discussion will address massage businesses and then hot tub/saunas. Since the last time Palo Alto updated the PAMC related to massage businesses in 2012, several more state assembly bills have been passed. The proposed ordinance would align Palo Alto with current state law, the CAMTC standards, and updated regulatory practices, fostering a safe and healthy environment for the massage business community, service providers, and the customer. Similar to the current code, the proposed code requires massage establishments and practitioners to meet certain minimum standards, including building, sanitation, and 1 City Council, June 10, 1997 Report #273-97 https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=65065 2 City Council, July 23, 2012, Report #2988 https://recordsportal.paloalto.gov/WebLink/ DocView.aspx?id=78648&dbid=0&repo=PaloAlto Passed on September 9, 2012 https://www.paloalto.gov/files/assets/public/v/1/agendas-minutes- reports/agendasminutes/city-council-agendas-minutes/00-archive/2012/09-04-12-agenda.pdf) Item 8 Item 8 Staff Report Item 8: Staff Report Pg. 2 Packet Pg. 273 of 469  operational requirements. Massage establishments will continue to have a local permit to operate, with provisions for annual permit renewals, application procedures, and associated fees. Like current code, the proposed code requires permits to be displayed where they are easily visible and allows city officials to inspect establishments to ensure compliance. Both existing and proposed codes provide a process for denying, suspending, or revoking permits if applicants or permit holders are found to have violated certain rules or laws, and in both, there is an appeals process for those who have been denied a permit or had one revoked. Item 8 Item 8 Staff Report        Item 8: Staff Report Pg. 3  Packet Pg. 274 of 469  Staff would like to express appreciation to the Santa Clara County Human Trafficking Task Force, CAMTC staff, and City of Sunnyvale personnel for their valuable input and collaboration in developing these amendments to the massage ordinance. Their expertise and support were instrumental in shaping these changes. For hot tub/sauna code sections, much of the code is deleted and the licensing requirement is changed from City issuance to a requirement it be licensed by the County of Santa Clara, which already licenses such businesses for compliance with County environmental health standards. Since the Policy and Services review, the Department conducted two outreach sessions and follow-up discussions with the business community and updated the ordinance Policy and Services recommended advancing to City Council based on the feedback received. Those updates are reflected in the ordinance in Attachment A and include: 1.Hours of Operation For massage establishments that have been in operation for 10 years or longer, the Department reinstated an exemption process to allow establishments to provide massage services past 10:00 p.m. However, even with an exemption, no massage shall conclude later than midnight. The hour restriction does not apply to the use of hot tubs and saunas at combined hot tub/massage establishments. 2.Posting of Price List The originally proposed ordinance required all services and prices to be displayed in a public area. In recognition of a combination of massage and non-massage (hot tub) offerings and variable pricing (e.g., based on time, day, or holiday), the Department updated the proposed ordinance to require only that massage service prices be posted, with an allowance for price variability. 3. Main Entry Door The Department has updated the proposed ordinance to permit one or more entry doors leading directly to the reception and waiting area, rather than limiting establishments to a single entry. This change is intended to prevent patron entry from inconspicuous or rear entrances while allowing flexibility in business layout. 4. Locking of Interior Doors The updated language now allows practical exceptions to the prohibition on locking interior doors. Hot tub rooms, private offices, storage rooms, and equipment rooms are now exempt from this requirement. 5. Beds and Soft Mattresses The revised ordinance permits soft mattresses in hot tub rooms, recognizing their role in patron safety and comfort. 6. Alcohol Service Massage establishments are not allowed to serve or sell alcohol. For businesses that are also a hot tub/sauna establishment, the revised ordinance clarifies that the restriction Item 8 Item 8 Staff Report        Item 8: Staff Report Pg. 4  Packet Pg. 275 of 469  does not apply to the non-massage areas of the establishment. Alcohol service is still subject to other laws, including California Alcohol Beverage Control as may be applicable. 7. Sandal/Flip Flop Requirement The Department updated the requirement in the proposed ordinance to state that sandals or flip flops must be provided to patrons if they are offered use of shower facilities. This replaces the previous language, which prohibited patrons from using shower facilities unless wearing slip-resistant sandals or flip flops. FISCAL/RESOURCE IMPACT The work to create this proposal has been done by City staff with no-cost support by the previously mentioned organizations. The adoption of the proposed ordinance would not significantly impact existing workload of staff. Department revenue and expenses are not expected to change. Updated fees related to permitting will be updated in the FY 2027 budget cycle if they are required. STAKEHOLDER ENGAGEMENT As massage establishments and massage therapist applicants have contacted the Police Department’s code enforcement over the last year, staff has notified them that the City is exploring significant updates regarding regulation and permitting processes for massage establishments. As this process moves along, staff will engage individually with established businesses to inform them of the proposed changes. The Department held an in-person information session on November 18, 2025, at the Downtown Library with establishment representatives. From that meeting and others, the Department updated the proposed ordinance to reflect valuable feedback. A second meeting was held with the establishments on December 11, 2025, to review those changes. What is presented with this report reflects those updates since Policy and Services reviewed the originally proposed ordinance. ENVIRONMENTAL REVIEW Council action on this item is exempt from review under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3), as it can be seen with certainty that the activity will not have a significant effect on the environment. ATTACHMENTS Attachment A: Ordinance Amending PAMC Chapters 4.54 and 4.56 Attachment B: Resolution Amending and Restating the Administrative Penalty Schedule to Amend Penalties for PAMC Chapters 4.54 and 4.56. APPROVED BY: Andrew Binder, Police Chief Item 8 Item 8 Staff Report        Item 8: Staff Report Pg. 5  Packet Pg. 276 of 469  NOT YET APPROVED 1 149_20251222_ts24 Ordinance No. _____ Ordinance of the Council of the City of Palo Alto Amending Chapter 4.54 (“Massage Establishments”) and Chapter 4.56 (Hot Tub/Sauna Establishments) of Title 4 (Business Licenses and Regulations) 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. Massage establishments are primarily regulated in the Palo Alto Municipal Code at PAMC Chapter 4.54. The last major update to this chapter was in 2012. Chapter 4.54 is currently enforced primarily by the Palo Alto Police Department. B. Massage is also regulated in state law under the Massage Therapy Act, codified in the Business and Professions Code section 4600 et seq. The State Legislature enacted the Act in 2008. The Act was substantially amended in 2014 under AB 1147, and has been amended again in 2025 under AB 1504. C. Through this ordinance, the City desires to amend Chapter 4.54 in order to respond to the changes to the Act and codify existing practices. Foremost, this ordinance will result in the City no longer licensing individual massage technicians; instead, technicians must be certified by the California Massage Therapy Council (“CAMTC”). The CAMTC is the state- recognized body in charge of such certification and enacts statewide standards for training and certification. The CAMTC also approves massage schools in an effort to uphold training standards and prevent bad actors from opening degree mills. This update also ensures that local regulations stay current with industry standards and public health requirements, enhancing safety and professionalism. These updates also help address new trends, prevent illicit activities, and clarify licensing procedures for businesses. D. This ordinance also amends Chapter 4.56 (Hot Tub/Sauna Establishments) to remove existing permitting requirements. These establishments are already regulated by the County’s Department of Environmental Health. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 6  Packet Pg. 277 of 469  NOT YET APPROVED 2 149_20251222_ts24 SECTION 2. Chapter 4.54 (Massage Establishments) of the Palo Alto Municipal Code is hereby amended and restated in its entirety to read as follows: 4.54.010 Purpose and intent. In enacting this chapter, the City Council recognizes that massage therapy is a professional pursuit which can offer the public valuable health and therapeutic services, but that unless properly regulated, the practice of massage therapy and the operation of massage businesses may be associated with unlawful activity and pose a threat to the quality of life in the local community. It is the purpose and intent of this chapter to provide for the orderly regulation of offices and establishments providing massage therapy services, and to prevent and discourage the misuse of massage therapy as a front for human trafficking, prostitution, and related activities in violation of state law, all in the interests of the public health, safety, and welfare, by providing certain minimum building, sanitation, and operation standards for such businesses, and by requiring certain minimum qualifications for the operators and practitioners of such businesses. It is the further intent of this chapter to streamline local massage therapy permitting procedures, while still facilitating and advancing the ethical practice of massage therapy, by relying upon the uniform statewide regulations enacted by the Legislature in 2008 as Business and Professions Code Sections 4600 et seq., known as the Massage Therapy Act, as subsequently amended, and by restricting the commercial practice of massage in the city to those persons duly certified to practice by the California Massage Therapy Council formed pursuant to those statutes. 4.54.020 Definitions. For the purpose of this chapter, unless the context clearly requires a different meaning, the words, terms, and phrases set forth in this section shall have the meanings that are given them in this section: "Authorized massage professional" means a massage professional who is identified in a permit issued pursuant to this chapter as a person employed or retained by a massage establishment to practice massage. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 7  Packet Pg. 278 of 469  NOT YET APPROVED 3 149_20251222_ts24 "California massage therapy council" or "CAMTC" means the massage therapy organization formed pursuant to Business and Professions Code Section 4600 et seq. "CAMTC-certified massage professional" means any individual currently certified by the California Massage Therapy Council as a massage therapist or massage practitioner pursuant to Business and Professions Code Section 4600 et seq. "Compensation" means the payment, loan, advance, donation, contribution, deposit, exchange, or gift of money or anything of value. "Department" means the Chief of the Palo Alto Police Department or designee charged with the administration of this chapter. "Inspector" means the person or persons designated by the city to conduct any inspections required or permitted under this chapter. "Massage," "massage therapy," and/or "bodywork" for purposes of this chapter mean the skillful application of touch, including but not limited to, pressure, stroking, kneading, compression on or movement of the external surfaces of the body by a practitioner to produce increased awareness, relaxation, pain relief, injury rehabilitation, or neuromuscular reeducation. "Massage establishment" means any business that offers massage therapy, baths or health treatments including, but not limited to, aromatherapy, vapor, shower, electric tub, sponge, hot towels, mineral fermentation, sauna, steam or any other type of bath, involving massages or baths in exchange for compensation. Home-based massage businesses and businesses that provide mobile massage services are also considered to be massage establishments. For purposes of this chapter, the term "massage establishment" may be applied to include establishments which offer or advertise themselves as providing "relaxation" or "tanning" Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 8  Packet Pg. 279 of 469  NOT YET APPROVED 4 149_20251222_ts24 where the essential nature of the interaction between the employee and the customer involves "massage" as defined herein. The terms, names or phrases listed on business license or fictitious name application forms are not necessarily conclusive as to the nature of the business. "Owner" or "massage establishment owner" means any of the following persons: (1) The sole proprietor of a sole proprietorship operating a massage establishment. (2) Any general partner of a general or limited partnership that owns a massage establishment. (3) Any person who has a ten percent or greater ownership interest in a corporation that owns a massage establishment. (4) Any person who is a member of a limited liability company that owns a massage establishment. (5) All owners of any other type of business association that owns a massage establishment. "Operator" or "massage establishment operator" means any person who is an owner or manager of a massage establishment. "Mobile massage service" means the engaging in or carrying on of massage therapy for compensation at locations other than a massage establishment at a fixed location. "Patron" means an individual on the premises of a massage establishment for the purpose of receiving massage therapy. "Person" means any individual, firm, association, partnership, corporation, joint venture, limited liability company, or combination of individuals. "Reception and waiting area" means an area immediately inside the main entry door of the massage establishment dedicated to the reception and waiting of patrons or visitors of the massage establishment and which is not a massage therapy room or otherwise used for the provision of massage therapy services. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 9  Packet Pg. 280 of 469  NOT YET APPROVED 5 149_20251222_ts24 “School of massage” means any school or institution of learning that is recognized as an approved school pursuant to Business and Professions Code Division 2, Chapter 10.5 (known as the Massage Therapy Act), as may be amended. "Sole proprietorship" means a massage establishment where the owner owns one hundred percent of the business and has one or no other employees or independent contractors. "Visitor" means any individual not retained or employed by the massage establishment and not receiving or waiting to receive massage therapy services, but excluding law enforcement personnel or governmental officials performing governmental business. 4.54.030 Business registration required. The requirements of this chapter are in addition to any business registration and business tax requirements imposed pursuant to PAMC Chapters 4.60 and 2.37, respectively of this code. 4.54.040 Other permits and authorizations required. The requirements of this chapter are in addition to any permits or authorizations that may be required under other applicable laws including but not limited to the city's building, fire, zoning, and health regulations. 4.54.050 Exemptions. This chapter shall not apply to the following classes of individuals while engaged in the performance of the duties of their respective professions: (a) Physicians, surgeons, chiropractors, osteopaths, podiatrists, physical therapists, nurses, acupuncturists or any other person licensed to practice any healing art under the provisions of Division 2 (commencing with Section 500) of the Business and Professions Code when engaging in such practice within the scope of his or her license. This subsection (a) shall apply only to a person who meets the qualifications above and shall Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 10  Packet Pg. 281 of 469  NOT YET APPROVED 6 149_20251222_ts24 not extend to any other person, including by virtue of being a tenant, independent contractor, employee, or co-worker of the exempted person. (b) Trainers of any amateur, semi-professional, or professional athlete or athletic team, so long as such persons do not practice massage therapy as their primary occupation at any location where they provide such services in the city. (c) Barbers, estheticians, and cosmetologists who are duly licensed under the laws of the State of California, while engaging in practices within the scope of their licenses. This subsection (c) shall apply only to a person who meets the qualifications above and shall not extend to any other person, including by virtue of being a tenant, independent contractor, employee, or co-worker of the exempted person. (d) Individuals administering massages or health treatments involving massage to persons participating in single occurrence athletic, recreational, or educational events such as road races, track meets, triathlons, educational events, or conferences, provided that the event is open to the public or to a significant segment of the public such as employees of sponsoring or participating corporations, and the massage services are provided at the site of the event during, immediately preceding, or immediately following the event. (e) Individuals administering massages or health treatments involving massage to persons at a state-licensed “general acute care hospital” or other “health facilities” as defined by California Health and Safety Code section 1250 when employed or contracted at the direction of the hospital or health facility. (f) Somatic practitioners who use no physical touch of any kind at any time in their practice. (g) Enrolled students of a school of massage when they are performing massage within the city as part of a formal supervised internship or training program operated by the school, without compensation other than school credit, on the premises of a massage establishment duly authorized to operate pursuant to the terms of this chapter; and provided that the operator of the massage establishment has first notified the Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 11  Packet Pg. 282 of 469  NOT YET APPROVED 7 149_20251222_ts24 Department in writing of the name, residence address, and school of the students and the dates of the trainings. 4.54.060 CAMTC certification required. It is unlawful for any individual to practice massage therapy for compensation within the city unless that individual is a CAMTC-certified massage professional. 4.54.070 Reserved. 4.54.080 Massage establishment permit required—Prohibited conduct. (a) It is unlawful for any person to operate a massage establishment within the city without first obtaining a massage establishment permit from the Department. (b) It is unlawful for a massage establishment operator to employ or retain any person to practice massage therapy for compensation, or to allow any person to perform massage therapy for compensation on the premises of a massage establishment, unless that person is a CAMTC-certified massage professional and unless that person is identified as an authorized massage professional on the permit issued pursuant to this chapter. For purposes of this chapter, a massage establishment operator "employs or retains" a person to practice massage therapy for compensation when: (1) That person is a directly paid employee of the massage establishment; or (2) That person's association with a massage establishment is that of an independent contractor who receives compensation for massage therapy provided to patrons of the massage establishment; or (3) That person receives a referral of patrons from the massage establishment and, at any time before or after the referral, arranges in any way for compensation to flow to the massage establishment operator. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 12  Packet Pg. 283 of 469  NOT YET APPROVED 8 149_20251222_ts24 (c) It is unlawful for a massage establishment to operate under any name or conduct business under any designation not specified in the massage establishment permit issued pursuant to this chapter. (d) It is unlawful for a massage establishment to continue to operate following the sale or transfer of any interest in the massage establishment to a person who was not identified as an owner in the massage establishment permit application. 4.54.090 Permit application. The owners of the massage establishment shall file an application for a permit on a form provided by the Department. The application shall be accompanied by the fee established by the city's fee schedule. The application shall include the following information: (a) The name, address, and telephone number of the massage establishment. (b) The name, residence address and telephone number, and business address and telephone number of each owner of the massage establishment. (c) The form of business under which the applicant will be conducting the massage `establishment, i.e., corporation, general or limited partnership, limited liability company, or other form. If the applicant is a corporation, the name of the corporation shall be set forth exactly as shown in its articles of incorporation, together with the names and residence addresses of each of its officers, directors, and each shareholder holding more than ten percent of the stock of the corporation. If the applicant is a general or limited partnership, the application shall set forth the name and residence address of each of the partners, including limited partners. If one or more of the partners is a corporation, the provisions of this section pertaining to a corporate applicant shall apply. If the applicant is a limited liability company, the application shall set forth the name and residence address of each of the members. If one or more of the members is a partnership, limited liability company, or corporation, the provisions of this section pertaining to a partnership, limited liability company, or corporate applicant shall apply, as applicable. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 13  Packet Pg. 284 of 469  NOT YET APPROVED 9 149_20251222_ts24 (d) The name, address, and telephone number of the owner of the real property upon, in, or from which the certified massage establishment is to be operated. In the event the applicant is not the legal owner of the property, the application shall be accompanied by a copy of any written lease between the applicant and the property owner authorizing use of the premises for a massage establishment, or, alternatively, if there is no written lease, then a written, notarized acknowledgment from the property owner that the property owner has been advised that a massage establishment will be operated by the applicant upon, in, or from the property owner's property. (e) If the massage establishment will be located on a property in a residential or commercial condominium or other common interest development, the applicant shall submit a notarized statement from the homeowner's association or condominium owner's association acknowledging that the association has been advised that a massage establishment will be operated by the applicant and that such use of the property is allowed by the property's covenants, codes, and restrictions. This requirement is in addition to any applicable zoning code requirements or regulations. (f) A description of the proposed massage establishment, including the type of treatments to be administered. (g) The name of each individual who the massage establishment employs or retains to perform massage therapy for compensation, whether on or off the massage establishment premises. (h) The name of each individual who is regularly employed or retained by the massage establishment to perform services on the premises other than massage therapy, and the nature of their services. (i) For each individual who the massage establishment does or will employ or retain to perform massage therapy for compensation, whether on or off the massage establishment premises, a copy of that individual's current certification from the CAMTC as a certified massage practitioner or certified massage therapist, and a copy of his or her current CAMTC-issued identification card. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 14  Packet Pg. 285 of 469  NOT YET APPROVED 10 149_20251222_ts24 (j) For each owner of the massage establishment who is a CAMTC-certified massage professional, a copy of his or her current certification from the CAMTC as a certified massage practitioner or as a certified massage therapist and a copy of his or her current CAMTC-issued identification card. (k) For each owner of the massage establishment who is not a CAMTC-certified massage professional, the following information: (1) Whether any owner of the massage establishment has within the five years immediately preceding the date of application been convicted of any felony in any state. (2) Whether any owner of the massage establishment is currently required to register under the provisions of Section 290 of the California Penal Code. (3) The business, occupation, and employment history of each owner of the massage establishment for five years preceding the date of application, and the inclusive dates of same. (4) One set of fingerprints, and any required fee for such fingerprinting shall be paid by the applicant. (l) Whether any certificate, license or permit has ever been issued to the applicant by any jurisdiction under the provisions of any ordinance or statute governing massage or somatic practice, and as to any such certificate, license or permit, the name and address of the issuing authority, the effective dates of such certificate, license or permit, whether such certificate, license or permit was ever suspended, revoked, withdrawn, or denied; and copies of any documentary materials relating to such suspension, revocation, withdrawal, or denial. (m) Such other information as may be required by the permit authority to determine compliance with any other eligibility requirements for issuance of the permit as specified by federal, state, or local law. (n) A statement that within the last five years the applicant has not failed to comply with a final court order or administrative action of an investigatory agency finding a violation of Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 15  Packet Pg. 286 of 469  NOT YET APPROVED 11 149_20251222_ts24 applicable federal, state and local wage and hour laws, including, but not limited to, the Federal Fair Labor Standards Act, the California Labor Code, and any local minimum wage ordinance or prevailing wage requirements. For purposes of this subsection, a final court order or administrative action is one as to which there is no pending appeal and the time for filing an appeal has passed. 4.54.100 Permit issuance. (a) The Department shall issue a massage establishment permit if the applicant meets the requirements of this chapter and no grounds for denial exist under Section 4.54.110. The Department may impose conditions on the permit consistent with this chapter and applicable law. (b) Notice to Property Owner. If the applicant is not the record owner of the property where the massage establishment is located, the Department may send a written notice to the property owner advising of the issuance of the permit and of the regulations applicable to the massage establishment. The Department may also provide the property owner with copies of any other notices or communications with the applicant sent at any time before or after issuance of the permit. (c) Term. A massage establishment permit issued pursuant to the terms of this chapter shall be valid for a term of one year from the date of issuance, and, unless suspended or revoked, must be renewed by the massage establishment operator annually so long as the massage establishment is operating within the city. (d) Insurance. Insurance coverage is a condition of receiving a permit and proof of such coverage is required. Unless specified otherwise by Department regulation, proof of liability insurance, or the equivalent, for not less than one hundred thousand dollars ($100,000) per massage therapist licensed, or to be licensed, at the massage establishment up to a maximum of one million dollars ($1,000,000) shall be required by the time of permit issuance. This requirement can be satisfied by insurance provided in the name of a massage therapist or the massage establishment. Coverage must be Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 16  Packet Pg. 287 of 469  NOT YET APPROVED 12 149_20251222_ts24 maintained for the entirety of the permit period. The Department may establish regulations governing insurance requirements that do not conflict with this section. 4.54.110 Permit denial. The Department may deny an application for a massage establishment permit on any of the following grounds: (a) The massage establishment, as proposed by the applicant, would not comply with the requirements of this chapter. (b) The massage establishment, as proposed by the applicant, would not comply with any applicable law, including, but not limited to the city's building, fire, zoning, and health regulations or regulations under the CAMTC. (c) The applicant has knowingly made any false, misleading or fraudulent statement of material fact in the application for a massage establishment permit. (d) Any owner of the massage establishment, within five years immediately preceding the date of filing of the application, has been convicted in a court of competent jurisdiction of any offense that relates directly to the operation of a massage establishment whether as a massage establishment owner or operator or as a person practicing massage for compensation, or as an employee of either; or has at any time been convicted in a court of competent jurisdiction of any felony the commission of which occurred on the premises of a massage establishment. (e) Any owner of the massage establishment is currently required to register under the provisions of Section 290 of the California Penal Code. (f) Any owner of the massage establishment, within five years of the date of application, has been convicted in a court of competent jurisdiction of any violation of Sections 266, 266a, 266e, 266f, 266g, 266h, 266i, 266j, 315, 316, 318, 647(b) of the California Penal Code, or conspiracy or attempt to commit any such offense, or any offense in a jurisdiction outside of the State of California that is the equivalent of any of the aforesaid offenses. (g) Any owner of the massage establishment has been subjected to a permanent injunction against the conducting or maintaining of a nuisance pursuant to Sections 11225 through Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 17  Packet Pg. 288 of 469  NOT YET APPROVED 13 149_20251222_ts24 11235 of the California Penal Code, or any similar provision of law in a jurisdiction outside the State of California. (h) Any owner of the massage establishment, within five years of the date of application, and as established by clear and convincing evidence, has engaged in acts prohibited under California Penal Code Sections 266, 266a, 266e, 266f, 266g, 266h, 266i, 266j, 315, 316, 318, 647(b). (i) Any owner of the massage establishment is an individual who has not attained the age of eighteen years. (j) Any owner of the massage establishment, within five years immediately preceding the date of filing of the application, has had a certificate, permit or license to practice massage for compensation or to own and/or operate a massage establishment revoked or denied in any jurisdiction, including CAMTC. (k) Any owner of the massage establishment currently owns or operates a massage establishment in the city of Palo Alto that is not in good standing due to the existence of uncorrected violations or unpaid fines or fees. (l) Within the last five years, the applicant has failed to comply with a final court order or administrative action of an investigatory agency finding a violation of applicable federal, state and local wage and hour laws, including, but not limited to, the Federal Fair Labor Standards Act, the California Labor Code, and any local minimum wage ordinance or prevailing wage requirements. For purposes of this subsection, a final court order or administrative action is one as to which there is no pending appeal and the time for filing an appeal has passed. 4.54.120 Notice of denial—Appeal. (a) If an application for a massage establishment permit is denied, the Department shall give written notice to the applicant specifying the grounds for denial. (b) The applicant may appeal the decision to deny a massage establishment permit by filing a written notice of appeal with the Department within fifteen days after deposit of the decision in the mail, specifying in detail the grounds for such appeal. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 18  Packet Pg. 289 of 469  NOT YET APPROVED 14 149_20251222_ts24 (c) The City Clerk shall set a time and place for the hearing on the appeal not less than thirty days after the date the appeal was received by the Department, and shall give written notice by mail to the applicant of the date, time, and place for the hearing. The hearing may be conducted virtually or by phone at the discretion of the City. The hearing shall be conducted in accordance with Section 4.54.180. (d) After the hearing on the appeal, the City’s hearing officer may refer the matter back to the Department for a new investigation and decision, may affirm the decision of the Department, or may direct the Department to issue the license. The decision of the hearing officer or designee upon such appeal shall be final and shall be subject to judicial review according to the provisions and time limits set forth in Code of Civil Procedure Section 1094.6. 4.54.130 Amendments to permit required upon change of information. (a) Within 14 days of a change of the information provided in the application for a certified massage establishment on file with the City, the operator shall file an application to amend the permit to reflect such change. An application to amend a massage establishment permit shall be made by submitting an application on a form provided by the Department. The application shall be accompanied by the fee established by the city's fee schedule. (b) The application shall not be approved unless the Department determines that the terms of the amended permit comply with all requirements of this chapter and all other local, state, and federal laws, and the massage establishment has no outstanding violations or unpaid citations or fees. Inspection of the massage establishment may be required prior to approval of the amendment. (c) An amendment shall not be used to change the location or owners of a massage establishment. Instead, a new permit application is required. (d) A denial of an application to amend a massage establishment permit may be appealed in the same manner as a denial of an application for a permit under Section 4.54.120. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 19  Packet Pg. 290 of 469  NOT YET APPROVED 15 149_20251222_ts24 4.54.140 Requirements for all massage establishment facilities and operations. (a) Operational Requirements. Except as otherwise specifically provided in this chapter, the following operational requirements shall be applicable to all massage establishments located within the city: (1) No massage establishment shall be kept open for business between the hours of ten p.m. of one day and eight a.m. of the following day. A massage begun any time before ten p.m. must nevertheless terminate at ten p.m. This restriction does not apply to the use of hot tubs at a massage establishment that also has hot tubs in compliance with PAMC Chapter 4.56, but must follow any other applicable law or condition of permit as to hours of operation. (A) After ten years of continuous operation, a massage establishment may be exempted from the hours restrictions of this section by the Department upon a written request which details the factual reasons supporting good cause for the exemption. The Department, in determining what constitutes good cause for this exemption from the hours restrictions, shall consider and weight the following factors: (i) ongoing compliance with this Chapter including updated review of permit requirements; (ii) the impact which the massage establishment has had on the health, safety, and welfare of the local community, including, but not limited to, parking and traffic congestion; and (iii) the massage establishment's compliance or noncompliance with all federal, state, and local laws, including, but not limited to, this municipal code. If, upon review of those factors, the Department determines that good cause does exist for the requested exemption, the Department may then exempt the massage establishment from the hours restrictions of this section. However, in no event shall any massage end later than midnight or begin earlier than six a.m. If the Department denies an application for an exemption under this subsection (A), the massage establishment may appeal under the process in PAMC section 4.54.120. The Department may revoke an exemption issued under this subsection (A) for the Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 20  Packet Pg. 291 of 469  NOT YET APPROVED 16 149_20251222_ts24 reasons stated in PAMC section 4.54.170 and such revocation is subject to hearing under PAMC section 4.54.180. (2) The hours of operation of the massage establishment shall be displayed in a conspicuous public place in the reception and waiting area and in any front window clearly visible from outside of the massage establishment. (3) Patrons and visitors shall be permitted in the massage establishment only during the hours of operation. (4) During the hours of operation, patrons shall be permitted in massage therapy rooms only if at least one duly authorized certified massage professional is present on the premises of the massage establishment. Patrons shall not be permitted in any employee break room on the premises. (5) During the hours of operation, visitors shall not be permitted in massage therapy rooms except as follows: (A) The parents or guardian of a patron who is a minor child may be present in the massage therapy room with that minor child; (B) The minor child of a patron may be present in the massage therapy room with the patron when necessary for the supervision of the child; or (C) The conservator, aid, or other caretaker of a patron who is elderly or disabled may be present in the massage therapy room with that elderly or disabled person. (6) During the hours of operation, except as otherwise provided herein, no visitors shall be permitted in massage therapy rooms, break rooms, dressing rooms, showers, or any other room or part of the massage establishment premises other than the reception and waiting area or toilet rooms. (7) Except for a patron who is inside a massage therapy room for the purpose of receiving a massage, no patrons or visitors shall be permitted in or on the massage establishment premises at any time who are less than fully clothed in outer garments of nontransparent material, or who display or expose themselves in underclothing or similar intimate apparel. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 21  Packet Pg. 292 of 469  NOT YET APPROVED 17 149_20251222_ts24 (8) A list of massage services available and the cost of such services shall be posted in an open and conspicuous public place on the premises. The massage services shall be described in English and may also be described in such other languages as may be convenient. No massage establishment operator shall permit, and no person employed or retained by the massage establishment shall offer to perform any massage services or request or demand fees other than those posted. (9) The massage establishment shall keep on the premises a complete and current roster of all owners, operators, and managing employees of the massage establishment and all massage professionals and other persons employed or retained by the massage establishment. The roster shall include the name, residence address, and phone number of each individual. The roster shall be available for inspection by city officials charged with the enforcement of this chapter. (b) Physical Facility and Building and Fire Code Requirements. Except as otherwise specifically provided in this chapter, the following physical facility and building code requirements shall be applicable to all massage establishments located within the city: (1) Main entry door and reception and waiting area required. One or more main entry door shall be provided for patron entry to the massage establishment, which shall open to an interior patron reception and waiting area immediately. All patrons and any persons other than individuals employed or retained by the massage establishment shall be required to enter and exit through the main entry door(s). Unless the massage establishment is a sole proprietorship or a home occupation with one or no other employees, the main entry door shall be unlocked at all times during business hours. (2) No massage establishment located in a building or structure with exterior windows fronting a public street, highway, walkway, or parking area shall block visibility into the interior reception and waiting area through the use of curtains, Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 22  Packet Pg. 293 of 469  NOT YET APPROVED 18 149_20251222_ts24 closed blinds, tints, or any other material that obstructs, blurs, or unreasonably darkens the view into the premises. (3) All interior doors, including massage therapy rooms or cubicles (but excluding individual dressing rooms, showers, and toilet rooms, storage/equipment rooms, offices for staff only, and rooms for hot tubs at massage establishments that are also a hot tub/sauna establishment in compliance with PAMC Chapter 4.56) shall be incapable of being locked and shall not be blocked to prevent opening. Draw drapes, curtain enclosures, or accordion-pleated closures in lieu of doors are acceptable on all inner massage therapy rooms or cubicles. (4) Minimum lighting equivalent to at least one forty-watt light shall be provided in each massage therapy room or cubicle. (5) A massage table or professional massage chair specifically designed for seated massage shall be used for all massage therapy, with the exception of "Thai," "Shiatsu," and similar forms of massage therapy, which may be provided on a padded mat on the floor, provided the patron is fully attired in loose clothing, pajamas, scrubs, or similar style of garment. Massage tables shall have a minimum height of eighteen inches. (6) Beds, floor mattresses, and waterbeds are not permitted on the premises of the massage establishment, and no massage establishment shall be used for residential or sleeping purposes, which may be shown by circumstantial evidence such as the presence of bedding, pillows, sleeping bags, suitcases, clothing, toiletries or other personal belongings, cooking appliances, utensils or food in excess of a business establishment's normal requirements. A massage establishment that is also a hot tub/sauna establishment in compliance with PAMC Chapter 4.56 may have beds or floor mattresses only in rooms used for hot tubs and shall not be used for massage or residential purposes. (7) All locker facilities that are provided for the use of patrons shall be fully secured for the protection of the patrons' valuables, and each patron shall be given control of the key or other means of access. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 23  Packet Pg. 294 of 469  NOT YET APPROVED 19 149_20251222_ts24 (8) The massage establishment shall comply with all applicable state and local building and fire codes as adopted in Title 16 of this code. (9) Any signage referring to the massage establishment located on or adjacent to the building housing the massage establishment must match the business name that is listed on the massage establishment permit. A massage establishment shall not have signage that refers to another business name. (c) Health and Safety Requirements. Except as otherwise specifically provided in this chapter, the following health and safety requirements shall be applicable to all massage establishments located within the city: (1) The massage establishment shall at all times be equipped with an adequate supply of clean sanitary towels, coverings, and linens. Massage table or chair shall be covered with a fresh, clean sheet or other clean covering appropriate to the equipment for each patron, just before the client arrives. After a towel, covering, or linen has been used once, it shall be deposited in a closed receptacle and not used again until properly laundered and sanitized. Towels, coverings, and linens shall be laundered either by regular commercial laundering, or by a noncommercial laundering process that includes immersion in water at least one hundred forty degrees Fahrenheit for not less than fifteen minutes during the washing or rinsing operation. Clean towels, coverings, and linens shall be stored in closed, clean cabinets when not in use. A certified massage professional engaged in the practice of mobile massage shall carry a sufficient quantity of clean and sanitary towels, sheets, and linens to comply with the requirements. (2) All massage therapy rooms or cubicles, wet and dry heat rooms, toilet rooms, shower compartments, hot tubs, and pools shall be thoroughly cleaned and disinfected as needed, and at least once each business day when the premises has been or will be open and such facilities in use. All bathtubs shall be thoroughly cleaned and disinfected after each use. (3) All liquids, creams, or other preparations used on or made available to patrons shall be kept in clean and closed containers. Powders may be kept in clean Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 24  Packet Pg. 295 of 469  NOT YET APPROVED 20 149_20251222_ts24 shakers. All bottles and containers shall be distinctly and correctly labeled to disclose their contents. When only a portion of a liquid, cream, or other preparation is to be used on or made available to a patron, it shall be removed from the container in such a way as not to contaminate the remaining portion. (4) No invasive procedures shall be performed on any patron. Invasive procedures include, but are not limited to: (A) Application of electricity that contracts the muscle; (B) Penetration of the skin by metal needles; (C) Abrasion of the skin below the nonliving, epidermal layers; (D) Removal of skin by means of any razor-edged instrument or other device or tool; (E) Use of any needle-like instrument for the purpose of extracting skin blemishes; and (F) Other similar procedures. (5) All bathrobes, bathing suits, and/or other garments that are provided for the use of patrons shall be either fully disposable and not used by more than one patron, or shall be laundered after each use pursuant to subsection (c)(1) of this section. (6) All combs, brushes, and/or other personal items of grooming or hygiene that are provided for the use of patrons shall be either fully disposable and not used by more than one patron, or shall be fully disinfected after each use. (7) All massage establishments must provide patrons with slip-resistant sandals or flip-flops to wear while in the shower compartment. All footwear such as sandals or flip-flops that are provided for the use of patrons either shall be fully disposable and not used by more than one patron, or shall be fully disinfected after each use. (8) Patrons' genitals and female patrons' breasts must be fully draped at all times while any individual employed or retained by the massage establishment is in the massage room or cubicle with the patron. No massage shall be provided to a Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 25  Packet Pg. 296 of 469  NOT YET APPROVED 21 149_20251222_ts24 patron that results in intentional contact, or occasional and repetitive contact, with the genitals or anal region of a patron. (9) No alcoholic beverages shall be sold, served, or furnished to any patron; nor shall any alcoholic beverages be kept or possessed on the premises of a massage establishment. A massage establishment that is also a hot tub/sauna establishment in compliance with PAMC Ch. 4.56 is not subject to this limitation for non-massage areas of the establishment, but must adhere to all other applicable laws, including any applicable zoning code provisions and California Department of Alcohol Beverage Control requirements. (d) Attire and Physical Hygiene Requirements. The following attire and physical hygiene requirements shall be applicable to all employees and any other persons who work permanently or temporarily on the premises of a massage establishment within the city, including, but not limited to, all persons who are employed or retained to practice massage for the massage establishment: (1) No person shall dress in: (A) Attire that is transparent, see-through, or substantially exposes the person's undergarments; (B) Swim attire, unless providing a water-based massage modality approved by the CAMTC; (C) A manner that exposes the person's chest, breasts, buttocks, or genitals; (2) No massage establishment operator, employee, or visitor shall, while on the premises of a massage establishment or while performing any mobile massage service, and while in the presence of any patron, customer, employee or visitor, expose his or her chest, breast, buttocks, or genitals. (3) All persons shall thoroughly wash their hands with soap and water or any equally effective cleansing agent immediately before providing massage to a patron. No massage shall be provided upon a surface of the skin or scalp of a patron where such skin is inflamed, broken (e.g., abraded or cut), or where a skin infection or eruption is present. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 26  Packet Pg. 297 of 469  NOT YET APPROVED 22 149_20251222_ts24 (e) Display of Permit and Certifications. (1) The massage establishment permit shall be displayed in an open and conspicuous place on the premises visible from the main entry door and/or reception and waiting area of the massage establishment. (2) Each person employed or retained by a massage establishment to perform massage in or on the premises or through a mobile massage service shall display on his or her person the valid current photograph-bearing identification card issued to that employee by the CAMTC. A copy of each such identification card and the person's original CAMTC certificate shall also be displayed in an open and conspicuous place visible from the main entry door and/or reception and waiting area of the massage establishment. The home address of any employee need not be displayed. If a massage establishment has more than 25 massage therapists and can demonstrate to the Department it is not reasonably practical to display a copy of each identification card and original CAMTC certificate as required above, then the massage establishment may request from the Department an alternative method of displaying copies of identification cards and CAMTC certificates. Such alternatives may only be approved in writing and shall comply with any applicable state law requirements. (f) Display of Human Trafficking Notices. The massage establishment shall comply with the requirements in California Civil Code Section 52.6 related to the posting of information for victims of human trafficking. (g) Home Occupation and Mobile-Only Businesses—Exemptions. (1) Where a certified massage establishment is a home occupation, and the operator has complied with the provisions of Section 18.42.010 of this code pertaining to home occupations, the provisions of subsections (a)(2), (b)(1)—(3), and (b)(6) of this section shall not apply, and the portions of the residence subject to the requirements of subsections (b) and (c) of this section shall be only those portions that are used at any time by the patron of the massage establishment. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 27  Packet Pg. 298 of 469  NOT YET APPROVED 23 149_20251222_ts24 (2) For massage establishments that provide mobile-only services and have no fixed location for performing massage, provisions of this section related to businesses with fixed locations shall not apply. Specifically, the provisions of subsections (a)(2)—(9), (b)(1)—(4), (b)(6)—(8), (c)(2) and (7), (e)(1), and (f) of this section shall not apply to mobile-only establishments. 4.54.150 Massage establishment inspections. (a) As a condition of the massage establishment permit, investigating officials of the Department shall have the right to enter any massage establishment, other than an establishment providing mobile only services, during regular business hours, to make reasonable inspection to ascertain whether there is compliance with the provisions of this chapter. For home occupations, reasonable inspection shall be limited to the portions of the residence open to patrons. (b) The massage establishment operator shall take immediate action to correct each violation noted by the inspector. A reinspection will be performed to ensure that each violation noted by the inspector has been corrected. 4.54.160 Reserved. 4.54.170 Revocation or suspension. All massage establishment operators shall be deemed to know and understand the requirements and prohibitions of this chapter. Any massage establishment permit issued pursuant to this chapter may be suspended or revoked by the Department after a hearing, where the Department finds that any of the following have occurred on even a single occasion: (a) The permittee or any person employed or retained by the massage establishment has violated any provision of this chapter. (b) The permittee or any person employed or retained by the massage establishment has been convicted in a court of competent jurisdiction of having violated, or has engaged in conduct constituting a violation of, any of the following: California Penal Code Sections 266, 266a, 266e, 266f, 266g, 266h, 266i, 266j, 315, 316, 318, 647(b), or conspiracy or Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 28  Packet Pg. 299 of 469  NOT YET APPROVED 24 149_20251222_ts24 attempt to commit any such offense, or any offense in a jurisdiction outside of the State of California that is the equivalent of any of the aforesaid offenses. (c) The permittee or any person employed or retained by the massage establishment is required to register under Section 290 of the California Penal Code. (d) The permittee has been subject to a permanent injunction against the conducting or maintaining of a nuisance pursuant to this code, or Sections 11225 through 11235 of the California Penal Code, or any similar provision of law in any jurisdiction outside the State of California. (e) The permittee or any person employed or retained by the massage establishment has engaged in fraud or misrepresentation or has knowingly made a misstatement of material fact while working in or for the massage establishment as it pertains to the massage establishment. (f) The permittee has continued to operate the massage establishment after the massage establishment permit has been suspended. (g) Massage has been performed on the premises of the massage establishment, with or without the permittee's actual knowledge, by any person who is not a duly authorized CAMTC-certified massage professional. (h) A person who is not a duly authorized CAMTC-certified massage professional has provided mobile massage services through or on behalf of the massage establishment. (i) There have been one or more acts prohibited under California Penal Code Sections 266, 266a, 266e, 266f, 266g, 266h, 266i, 266j, 315, 316, 318, or 647(b), taking place on the premises of the massage establishment, whether or not any criminal prosecution has been pursued or conviction obtained for such acts, and whether or not they occurred with or without the actual knowledge of the permittee. (j) The permittee or any person employed or retained by the massage establishment or any other person on the premises of the massage establishment has engaged in conduct or committed acts that a reasonable person in the patron's position would understand as an offer to perform on or engage in with the patron acts that are sexual in nature or that involve touching of the patron's genitals, or anal region. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 29  Packet Pg. 300 of 469  NOT YET APPROVED 25 149_20251222_ts24 (k) The permittee or any person employed or retained by the massage establishment has engaged in sexually suggestive advertising related to massage services available at the massage establishment, including, but not limited to displaying photographs of individuals clothed in swim attire, or attire that is transparent, see-through or substantially exposes the individual's undergarments, breasts, buttocks, or genitals, describing massage services as "erotic," "sensual" or similarly sexual in nature, listing advertisements in any media (including online) intended for adults only, or describing the appearance or age of massage providers. (l) If the applicant has failed to comply with a final court order or administrative action of an investigatory agency finding a violation of applicable federal, state and local wage and hour laws, including, but not limited to, the Federal Fair Labor Standards Act, the California Labor Code, and any local minimum wage ordinance or prevailing wage requirements. For purposes of this subsection, a final court order or administrative action is one as to which there is no pending appeal and the time for filing an appeal has passed. In addition, any disciplinary action taken by CAMTC shall be considered in determining grounds for revocation, suspension or nonrenewal. 4.54.180 Hearing for revocation or suspension. (a) The Department shall give written notice of a hearing for the revocation or suspension of any permit granted pursuant to this chapter to the permittee. The notice shall set forth the time and place of the hearing, the ground or grounds upon which the hearing is based, the pertinent code sections, and a brief statement of the factual issues in support thereof. The notice shall be mailed, postage prepaid, addressed to the permittee at the last known address of the permittee, or it shall be delivered to the permittee personally, at least ten days prior to the hearing date. (b) Within ten days of the hearing the Department shall render its decision in writing, stating its findings and the action taken, if any. The decision letter shall be mailed, postage prepaid, addressed to the permittee at the last known address of the permittee, or it shall be delivered to the permittee personally. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 30  Packet Pg. 301 of 469  NOT YET APPROVED 26 149_20251222_ts24 (c) Within ten days from the deposit of the decision letter in the mail or its receipt by the permittee, whichever occurs first, the permittee may appeal the decision in writing to the city manager or designee, setting forth with particularity the ground or grounds for the appeal. (d) The hearing officer shall give written notice of the hearing on the appeal not less than ten days from the date the appeal was received by the city. The hearing shall be conducted in accordance with Section 4.54.190. (e) After the hearing on the appeal, the hearing officer or designee may refer the matter back to the Department for a new investigation and decision, may affirm the decision of the Department, may dismiss the disciplinary action, or may revoke or suspend the permit. The decision of the hearing officer upon such appeal shall be final and shall be subject to judicial review according to the provisions and time limits set forth in Code of Civil Procedure Section 1094.6. (f) The notices provided to the massage establishment pursuant to this section may also be sent to the owner of the premises where the massage establishment is located. However, failure to provide notice to the property owner shall not invalidate any actions taken by the city. 4.54.190 Hearing rules. The following rules shall apply to any hearing required by this chapter. All parties involved shall have the right to offer testimonial, documentary, and tangible evidence bearing on the issues, to be represented by counsel, and to confront and cross-examine witnesses. Any relevant evidence may be admitted if it is the sort of evidence upon which reasonable persons are accustomed to rely in the conduct of serious affairs. Any hearing under this chapter may be continued for a reasonable time for the convenience of a party or witness. 4.54.200 Violations a public nuisance—Penalties, nuisance abatement, and other remedies. Any massage establishment operated, conducted, or maintained contrary to the provisions of this chapter shall be, and the same is hereby declared to be, unlawful and a public nuisance, and Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 31  Packet Pg. 302 of 469  NOT YET APPROVED 27 149_20251222_ts24 the city attorney may, in addition to or in lieu of prosecuting a criminal action hereunder, commence an action or actions, proceeding or proceedings, for the abatement, removal and enjoinment thereof, in the manner provided by law. Such remedies shall be in addition to any other judicial and administrative penalties and remedies available to the city under this code or under state law. (a) For the purpose of enforcing the requirements of this chapter, all owners and operators of the massage establishment shall be jointly and severally responsible for the conduct of all massage establishment employees, agents, independent contractors, or other representatives while such persons are on the premises of the massage establishment or providing mobile massage services on behalf of the massage establishment. (b) In addition to any other remedy available to the city under applicable law, a massage establishment permit may be suspended or revoked as provided in Sections 4.54.170 and 4.54.180. Upon issuance of a final order by the Department or Hearing Officer to revoke the massage permit, the massage establishment shall immediately cease operation, and, if so ordered by the hearing officer, no other massage establishment shall be permitted to operate at that location by any person for a period of not less than five years ("the moratorium period"). If the operator is not also the legal owner of the real property on which the massage establishment is situated, notice of such revocation and the five-year prohibition shall be provided by the permit authority to the owner of record of the property as shown on the latest county assessment roll. (c) In addition to any other remedy available to the city under applicable law, a massage establishment permit may not be renewed or amended unless and until all due and unpaid citations issued pursuant to this chapter are paid in full, and all outstanding violations have been corrected. (d) Notwithstanding any other provision of this chapter, where a Notice of Revocation or Suspension has been issued to the operator of a massage establishment pursuant to Section 4.54.180 of this chapter, the Department shall not process or grant an application for a massage establishment permit for a new massage establishment at the Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 32  Packet Pg. 303 of 469  NOT YET APPROVED 28 149_20251222_ts24 same premises unless and until such Notice of Revocation or Suspension is dismissed; or a final determination is made pursuant to that section that the current operator's massage establishment permit is not or should not be revoked; or any moratorium period imposed pursuant to this chapter has expired. 4.54.200 Administrative Citations and Penalties (a) Violations. Upon a finding by the City that a business has violated any provision of this chapter, the City may issue an administrative citation and/or compliance order resulting in administrative fines pursuant to PAMC Chapters 1.12 and 1.16. (b) Separate Violations. Each violation of any provision of this chapter shall constitute a separate violation. Each client to whom massage is provided or offered in violation of this chapter shall also constitute a separate violation. Each day upon which a massage business remains open for business in violation of this chapter shall also constitute a separate violation. (c) Outstanding Fines. All outstanding penalties resulting from administrative citations and/or compliance orders must be paid prior to the issuance or renewal of any registration. (d) Appeals. Appeals of administrative citations and compliance orders may be made pursuant to the appeal procedures in PAMC Chapters 1.12 and 1.16, respectively. SECTION 3. Chapter 4.56 (Hot Tub/Sauna Establishments) of the Palo Alto Municipal Code is hereby amended and restated in its entirety to read as follows: 4.56.010 Purpose and intent. It is the purpose and intent of this chapter to provide for the orderly regulation of hot tub/sauna establishments and hot tub/sauna establishment employees, as defined in this chapter in the interests of the public health, safety and welfare by providing certain minimum building, sanitation and health standards for hot tub/sauna establishments and by providing certain minimum standards and regulations regarding the conduct and activities of the owners and employees of hot tub/sauna establishments.Reserved. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 33  Packet Pg. 304 of 469  NOT YET APPROVED 29 149_20251222_ts24 4.56.020 Definitions. For the purpose of this chapter, unless the context clearly requires a different meaning, the words, terms, and phrases set forth in this section shall have the meanings given them in this section: (a) "Hot tub/sauna establishment" means any establishment having a fixed place of business where any person, as defined in this section, for compensation, engages in, conducts, carries on or permits to be engaged in, conducted or carried on any of the following as the principal functions; provided, that any establishment wherein any employee provides any services defined as massage or adult entertainment by Sections 4.54.020 or 4.55.020 shall be licensed pursuant to the provisions of Chapters 4.54 or 4.55, respectively. (1) Where Russian, Turkish, Finnish, Swedish, hot air, vapor, electric cabinet, steam, mineral, sweat, salt, Japanese, sauna, fomentation, alcohol or baths of any kind whatsoever are furnished or made available; and/or (2) Where the public has access, on a rental basis, to private rooms or suites located within the establishment, in which are located or provided hot tubs, jacuzzis, saunas, showers, similar and/or related facilities, or any combination thereof. The term "hot tub/sauna establishment" does not include licensed hospitals, nursing homes, sanitaria, or individuals holding a valid certificate to practice the healing arts under the laws of the state of California, or individuals working under the direction of any such certificated persons. The term "hot tub/sauna establishment" does not include any type of a privately owned and operated health spa, gymnasium or exercise facility where the primary purpose of the establishment is the offering of exercise or physical fitness equipment and facilities to prospective patrons; even though such establishment may have, on its premises, facilities for hot baths, and/or hot tubs, jacuzzis, saunas and related facilities for the incidental use of patrons. (b) "Hot tub/sauna establishment employee" means every owner, partner, manager, supervisor, employee or any other person, whether paid or not, who renders personal services of any type in the operation of a hot tub/sauna establishment. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 34  Packet Pg. 305 of 469  NOT YET APPROVED 30 149_20251222_ts24 (c) "License" means the license to operate a hot/tub sauna establishment as required by this chapter. (d) "Permit" means the permit to engage in the activities of a hot tub/sauna establishment employee as required by this chapter. (e) "Person" means any individual, partnership, firm, association. joint venture, corporation. or combination of individuals. Whenever, in this chapter, the singular form of any of the terms defined in this section is used, the same includes the plural form of such term. 4.56.030 Hot tub/sauna establishment County license required. It is unlawful for any person to engage in, conduct or carry on, in or upon any premises within the city the operation of a hot tub//sauna establishment without the any applicable valid license(s) or permit(s) required by and obtained from the chief of police as required by this chapter. A. hot tub/sauna establishment license the County of Santa Clara. shall be issued to any person who has complied with the requirements of Sections 4.56.050 and 4.56.110, and all applicable provisions of the code; unless grounds for denial of such license are found to exist. In addition to those set forth in Section 4.04.140, grounds for denial shall include: (a) The applicant made a material misstatement in the application for a license; (b) The applicant has, within five years immediately preceding the date of the filing of the application, been convicted in a court of competent jurisdiction of an offense involving conduct which requires registration under California Penal Code Section 290, or any violations of Sections 311 through 311.7, 313.1, 314, 315, 316, 318, or 647(a), 647(b), 647(d), or 647(h) of the California Penal Code, or of any offense involving theft of property or violence; (c) That the operation of a hot tub/sauna establishment, as proposed by the applicant, if permitted, would not comply with all applicable laws including, but not limited to, all city ordinances and regulations; (d) That the operation of the proposed hot tub/sauna establishment is likely to be injurious to the health, safety and welfare of the people of the city; Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 35  Packet Pg. 306 of 469  NOT YET APPROVED 31 149_20251222_ts24 (e) That the applicant is lacking in the background and qualifications to conduct a bona fide hot tub/sauna establishment; or (f) That the applicant has violated any provision of this chapter, or of any similar ordinance, law, rule or regulation of another public agency which regulates the operation of hot tub/sauna or related establishments. 4.56.040 Hot tub/sauna establishment license application fee. Any application for a license to operate a hot tub/sauna establishment shall be accompanied by a nonrefundable fee as set forth in the municipal fee schedule. The application fee shall be used to defray, in part, the costs of investigation and report, and is not made in lieu of any other fees or taxes required under this code. A license to operate a hot tub/sauna establishment shall be renewed annually. The renewal fee shall be as set forth in the municipal fee schedule. Reserved. 4.56.050 Application for hot tub/sauna establishment license. Any application for a license to operate a hot tub/sauna establishment shall be made with the chief of police. Within thirty working days following receipt of a completed application, the chief of police shall either issue the permit or mail a written statement of his reasons for denial thereof. The application shall set forth the exact nature of the hot tub/sauna operations or activities to be conducted, the proposed place of business and facilities therefor, and the name and address of each applicant. In addition to the requirements of Chapter 4.04 and this section, any applicant shall furnish the following information: (a) The previous address of applicant, if any, for a period of three years immediately prior to the date of the application and the dates of residence at each; (b) Written proof that the applicant is at least eighteen years of age; (c) Applicant's height, weight, color of eyes and hair; Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 36  Packet Pg. 307 of 469  NOT YET APPROVED 32 149_20251222_ts24 (d) The applicant shall allow the police department official processing the application to take photographs and fingerprints of the applicant; (e) Business, occupation or employment history of the applicant for the three years immediately preceding the date of the application; (f) If the applicant is a corporation, the name of the corporation shall be set forth exactly as shown in its articles of incorporation, together with the names and residence addresses of each of its officers, directors, and each stockholder holding more than five percent of the stock of the corporation. If the applicant is a partnership, the application shall set forth the name and residence address of each of the partners, including limited partners. If one or more of the partners is a corporation, the provisions of this section pertaining to a corporate applicant shall apply; (g) The names and residence addresses of all persons currently employed or intended to be employed in the hot tub/sauna establishment, regardless of the nature of the employment, other than any person licensed pursuant to Section 4.56.060, along with the proposed or actual nature of the work performed or to be performed, and recent passport-size photographs, suitable to the police department official processing the application, of each such employee. All such employees shall be requested to obtain the permit specified in Section 4.56.060. Any applicant or licensee shall notify the city in writing of the names, addresses, and nature of the work, of any new or proposed employees, and supply the photographs described in this subsection upon determining to employ such person. No such person shall commence such employment until a permit has been obtained as specified in Section 4.56.060. "Employee" means "hot tub/sauna establishment employee" as defined herein. It shall be unlawful for any licensee to employ any hot tub/sauna establishment employee who does not possess a valid permit provided for in Section 4.56.020. Any licensee shall notify the chief of police in writing of the termination of employment of any employee, whether terminated by the licensee or employee, within five days of such termination; (h) Such other information as may be deemed necessary by the chief of police. Reserved. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 37  Packet Pg. 308 of 469  NOT YET APPROVED 33 149_20251222_ts24 4.56.060 Hot tub/sauna establishment employee permit required. It is unlawful for any person to act as a hot tub/sauna establishment employee unless such person holds a valid permit issued by the chief of police. A hot tub/sauna establishment employee permit shall be issued to any person who has fulfilled the requirements of Section 4.56.080, and all other applicable provisions of this code; unless grounds for denial of such permit are found to exist. In addition to those set forth in Section 4.04.140, grounds for denial shall include: (a) The applicant made a material misstatement in the application for the permit; (b) The applicant, within five years immediately preceding the date of the filing of the application, has been convicted in a court of competent jurisdiction of any offense involving conduct which requires registration under California Penal Code Section 290, or any violation of Sections 311 through 311.7, 313.1, 314, 315, 316, 318 or 647(a), 647(b), 647(d), or 647(h) of the California Penal Code or of any offense involving theft of property; (c) The issuance of the permit is likely to be injurious to the health, safety, welfare, and interest of the people of the city; (d) The applicant has previously violated any provision of this chapter, or of any similar ordinance, law, rule or regulation of another public agency which regulates the operation of hot tub/sauna establishments or hot tub/sauna establishment employees; (e) The applicant is under eighteen years of age. Reserved. 4.56.070 Hot tub/sauna establishment employee application fee. Any application for a permit to act as hot tub/sauna establishment employee shall be accompanied by a nonrefundable fee as set forth in the municipal fee schedule. A hot tub/sauna establishment employee permit shall be renewed annually. The renewal fee shall be as set forth in the municipal fee schedule. Any person who applies for a license to operate a hot tub/sauna establishment and who desires to act as a hot tub/sauna establishment employee within said establishment shall not be required to pay the fee required by the municipal fee schedule, but shall be required to furnish the information set forth in Section 4.56.080. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 38  Packet Pg. 309 of 469  NOT YET APPROVED 34 149_20251222_ts24 Reserved. 4.56.080 Application for hot tub/sauna establishment employee permit. Any application for a permit to act as a hot tub/sauna establishment employee shall be made with the chief of police. Within thirty working days following receipt of a completed application, the chief of police shall either issue the permit, or mail a written statement of his reason for denial thereof. The chief of police may require the applicant to allow fingerprints to be taken. In addition to the requirements of Chapter 4.04, the applicant shall furnish the following information: (a) Name, residence address and telephone number; (b) Social security number and driver's license number if any; (c) Applicant's weight, height, color of hair and eyes; (d) The applicant shall furnish a recent photograph of applicant to the police department official who processes the application; (e) Written evidence that the applicant is at least eighteen years of age; (f) Business, occupation or employment of the applicant for the three years immediately preceding the date of application; (g) The name and address of the establishment where the applicant is to be employed, and the name of the owner or operator of the same. Any hot tub/sauna establishment employee granted a permit pursuant to this section must report any change in hot tub/sauna establishment employment within five days of said change; (h) Whether such person has ever been convicted of any crime mentioned in Section 4.56.060. If any person has been so convicted, a statement must be made giving the place and court in which said conviction was had, the specific charge or charges under which the conviction was obtained, and the sentence imposed as a result of such conviction; (i) Such other information as may be deemed necessary by the chief of police. Reserved. 4.56.090 Appeal. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 39  Packet Pg. 310 of 469  NOT YET APPROVED 35 149_20251222_ts24 In the event a permit or license application has been denied, the applicant shall proceed pursuant to the appeal and hearing provision of Chapter 4.04. Reserved. 4.56.100 Hot tub/sauna establishment and operations requirements. All hot tub/sauna establishments shall comply with the following facilities and operations requirements and each of the requirements listed in this section shall be conditions of any hot tub/sauna establishment license which is issued pursuant to the requirements of this chapter: (a) Hot tub/sauna establishments shall comply with all applicable provisions of this code and with all applicable health and sanitation laws, rules and regulations of the county of Santa Clara and state of California. (b) Toilet and lavatory facilities shall be provided for employees and patrons of a hot tub/sauna establishment in a number and type not less than the minimum number and type specified in the applicable code section for such type of use. (c) A manager or other supervisory representative of the licensee shall be and remain on the premises of the licensed hot tub/sauna establishment at all times during the operating hours of the establishment. The licensee shall furnish the chief of police with a list of all persons authorized by licensee to act as manager or representative of the licensee. Any change in said list shall be reported to the chief of police immediately. (d) All suites and rooms within hot tub/sauna establishments, for the use of patrons, shall be provided with clean laundered sheets, towels and linens in sufficient quantities which shall be laundered between consecutive uses thereof and stored in an approved sanitary manner. The same sheets, towels and linens shall not be used in excess of one rental period. No sheets, towels or linens shall be laundered or dried in any hot tub/sauna establishment unless such establishment is provided with approved laundry facilities comparable to commercial laundering facilities, for such laundering and drying. Approved receptacles shall be provided for the storage of soiled sheets, linens, and towels. Heavy white paper may be substituted for sheets; provided that such paper is used once for each person and then discarded into a sanitary receptacle. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 40  Packet Pg. 311 of 469  NOT YET APPROVED 36 149_20251222_ts24 (e) All walls, ceilings, floors, pools, showers, bathtubs, hot tubs, jacuzzis, saunas, steam rooms, and all other physical facilities within the establishment must be in good repair and maintained in a clean and sanitary condition. Wet and dry heat rooms, steam or vapor rooms, or steam or vapor cabinets, shower compartments, bathrooms, toilet rooms, saunas, jacuzzis, hot tubs, and individual suites shall be thoroughly cleaned and disinfected each day the business is in operation. Bathtubs (not including hot tubs) shall be cleaned and thoroughly disinfected after each use. Not more than one hot tub or similar water-holding device shall be operated from the same heating or filtering device or any similar mechanism unless each such hot tub or other similar device is capable of being emptied and refilled independent of any other hot tub. (f) The walls in all rooms where water or steam baths are given shall have a washable, mold- resistant surface. (g) All lavatories or wash basins shall be provided with hot and cold running water, soap and single-service towels in wall-mounted dispensers. (h) Cabinets or other covered space shall be provided for the storage of clean linen. (i) To protect patrons from potential health and sanitary hazards, all hot tub/sauna establishment employees shall be clean and shall perform all services on the premises in full, clean outer garments. (j) Security deposit facilities capable of being locked by the patron or a waterproof security bag that may be carried by the patron shall be available for the protection of the valuables of the patron. (k) Each service or facility offered, the price thereof, and the minimum length of time such service shall be performed shall be posted in a conspicuous public location within the hot tub/sauna establishment. If the hot tub/sauna establishment contains within it one or more individual rooms or suites, the hourly rental rate for such individual rooms or suites shall also be posted in a conspicuous public location, along with the minimum and maximum periods of time such individual rooms or suites can be rented. All letters and numbers shall be capitals, and not less than one-half inch in height. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 41  Packet Pg. 312 of 469  NOT YET APPROVED 37 149_20251222_ts24 (l) No mirrors of any type shall be placed at any location within or inside the hot tub/sauna establishment unless the approval of the chief of police has first been obtained; provided, however, that if the hot tub/sauna establishment is comprised of one or more individual rooms or suites, a small mirror, not more than three square feet in size, may be placed on the interior of such room or suite on the door leading from such individual room or suite into any interior hallway within such establishment, or such other comparable location not visible from the exterior of such individual room or suite when the door thereto is open as may be approved by the chief of police. (m) If the hot tub/sauna establishment is comprised of one or more individual rooms or suites which are rented to patrons, the interior of any such individual room or suite shall not be visible from any point outside the room or suite when the door leading from such individual room or suite into any interior hallway is closed. (n) No alcoholic beverages of any type shall be permitted to be brought into or consumed within or upon the premises or property of any hot tub/sauna establishment. (o) No nudity shall be permitted or allowed to occur in any interior hallways of the establishment, or in any other open patron area or areas located within the hot tub/sauna establishment. Nudity shall only be permitted or allowed within the confines of an individual room or suite located within the establishment and then only by the patrons who have rented such room or suite. (p) No individual under the age of eighteen years shall be allowed to enter into or to remain upon or within the premises of any hot tub/sauna establishment unless such individual is accompanied by his or her parent or guardian. (q) All hot tub/sauna establishment employees, while on duty: (1) Shall remain fully clothed at all times; (2) Shall not remain inside any of the individual rooms or suites with any patrons of the establishment while the doors leading to the hallways from such rooms or suites are closed. Said doors shall remain closed at all times during which the individual room or suite is occupied and utilized by any patron; Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 42  Packet Pg. 313 of 469  NOT YET APPROVED 38 149_20251222_ts24 (3) Shall not perform, for compensation or otherwise, any type of personal services for the patrons of the establishment, which personal services consist of the touching of any part of the body of a patron with any part of the employee's body, or any implement utilized by an employee. (r) (1) Hot tub/sauna establishments shall close and remain closed from eleven p.m. to nine a.m. (2) After one year of operation, a hot tub/sauna establishment may be exempted from the hours restrictions of this section by the chief of police upon a written request which details the factual reasons supporting good cause for the exemption. The chief of police, in determining what constitutes good cause for this exemption from the hours restrictions, shall consider and weight the following factors: (A) The criteria outlined in Section 4.04.140 of Chapter 4.04; (B) The criteria outlined in Section 4.56.030 of this chapter; (C) The impact which the hot tub/sauna establishment has had on the health, safety, and welfare of the local community, including, but not limited to, parking and traffic congestion; (D) The hot tub/sauna establishment's compliance or noncompliance with all federal, state, and local laws, including, but not limited to, this municipal code. If, upon review of these factors, the chief of police determines that good cause does exist for the requested exemption, the chief may then exempt the particular hot tub/sauna establishment from the hours restrictions of this section. However, in no event shall any hot tub/sauna establishment close later than two a.m. nor open earlier than six a.m. (3) The exemption from the hours restrictions of this section shall be subject to review and renewal annually at the same time as the renewal of the underlying license and the same factual showing shall be made as that required for the initial exemption. The chief shall not grant an hours exemption unless said establishment has maintained the criteria specified in Section 4.56.100(r)(2). (s) No hot tub/sauna establishment shall be allowed in the following locations: (1) Within two hundred fifty feet of the exterior property limits of any public or private elementary school, junior high school or high school; Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 43  Packet Pg. 314 of 469  NOT YET APPROVED 39 149_20251222_ts24 (2) Within two hundred fifty feet of the exterior limits of any district where residential use is the principal permitted use, including all R and RM districts, O-S districts, and any P-C or P-F districts where the principal use permitted or maintained is residential; or (3) Within twelve hundred feet of the exterior property limits of any other premises lawfully occupied by a hot tub/sauna establishment or by any establishment subject to the provisions of Chapters 4.54 or 4.55, or any cardroom licensed pursuant to Chapter 4.52. Notwithstanding the provisions of this subdivision, subject to all other provisions of this chapter, a hot tub/sauna establishment license may be issued for an establishment located within twelve hundred feet of another hot tub/sauna establishment, an establishment subject to the provisions of Chapters 4.54 or 4.55, or any cardroom licensed pursuant to Chapter 4.52 if the applicant has obtained, and has in effect, a valid conditional use permit pursuant to Chapter 18.76 (Permits and Approvals). Application for a license under this chapter shall be made and processed prior to an application for a use permit. In the event it is determined that a license under this chapter would be issued for the provisions of this subdivision, the application for a use permit shall then be processed. A license under this chapter shall not be issued until completion of the use permit application process. In the case of such an application, the time limit for action on a hot tub/sauna establishment license application contained in Section 4.56.050 shall be automatically extended as necessary to follow processing of the use permit application. For the purpose of determining compliance with standard (3), as to, between and with respect to establishments lawfully in operation on the effective date of this section, priority between such existing establishments shall be assigned in accordance with the dates upon which said establishments commenced such lawful operations. In the event any dispute arises regarding said dates, the applicant shall have the obligation to establish the date on which he commenced lawful operation. Any hot tub/sauna establishment lawfully in operation on the effective date of this section shall, within sixty days of said date apply to the chief of police for a determination as to compliance with the provisions of this section. Said application shall be in such form as prescribed by the chief of police. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 44  Packet Pg. 315 of 469  NOT YET APPROVED 40 149_20251222_ts24 Any hot tub/sauna establishment legally existing on the effective date of this subsection and which is not in compliance with the provisions of this subsection shall comply with said provisions within three years of the effective date of this subsection; provided, however, that any such establishment which intends to in any way transfer ownership or alter or change the nature of any such hot tub/sauna establishment on or after the effective date of this subsection shall comply with the provisions of this subsection prior to such transfer, alteration or change. Any such use which at the expiration of said period is not in compliance with the provisions of this subsection shall at that time discontinue and abate its operation. Any hot tub/sauna establishment lawfully in operation upon the effective date of this subsection failing to comply with the provisions of this subsection shall be issued a limited-term license containing a statement on its face reciting such noncompliance and the date by which compliance must be accomplished, and that said license shall not be renewed beyond said date. All distances referred to in this subsection shall be measured between the closest points on the exterior property lines or area boundaries of the parcels or areas involved, except that when a hot tub/sauna establishment subject to the provisions of this section occupies one unit of a multi-unit structure located on a single parcel, distances shall be measured from the exterior boundaries of the unit so occupied. Reserved. 4.56.110 Inspection by officials. Any and all investigating officials of the city shall have the right to enter hot tub/sauna establishments from time to time during regular business hours to make reasonable inspections to observe and enforce compliance with building, fire, electrical, plumbing or other health safety regulations. A warrant shall be obtained whenever required by law. 4.56.120 Business name. No person licensed to operate a hot tub/sauna establishment shall operate under any name or conduct business under any designation not specified in the a County license(s). Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 45  Packet Pg. 316 of 469  NOT YET APPROVED 41 149_20251222_ts24 4.56.130 Business location change. Upon a change of location of a hot tub/sauna establishment, an application to the chief of police shall be made in the same form as an original application, and such application shall be granted, provided all applicable provisions of this code are complied with as in the case of an original application, and a change of location fee as set forth in the municipal fee schedule to defray, in part, the costs of investigation and report has been paid to the city. Reserved. 4.56.140 Sale or transfer of hot tub/sauna establishment interest. A sale or transfer of any interest in a hot tub/sauna establishment, which interest would be reported as required in this chapter upon application for a hot tub/sauna establishment license, shall be reported to the chief of police within ten days of such sale or transfer. The chief of police shall investigate any person receiving any interest in a hot tub/sauna establishment as a result of such sale or transfer, and if such person satisfies the requirements relating to hot tub/sauna establishment license applicants, the existing license shall be endorsed to include such person. A fee as set forth in the municipal fee schedule shall be paid to the city for the investigation by the chief of police necessitated by each such sale or transfer. Reserved. 4.56.150 Display of permits, licenses. The owner or operator of a hot tub/sauna establishment shall display the hot tub/sauna establishment license and the permit of each and every hot tub/sauna establishment employee employed in the establishment in an open and conspicuous place on the premises. Passport- size photographs of the licensee and permittees shall be affixed to the respective license and permits on display pursuant to this section. Home addresses of hot tub/sauna establishment employees need not be displayed. Reserved. 4.56.160 Grounds for denial, probation, and disciplinary action. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 46  Packet Pg. 317 of 469  NOT YET APPROVED 42 149_20251222_ts24 In addition to any provisions contained in this chapter, the provisions of Section 4.04.140 shall apply to licenses and permits required under this chapter. Any circumstances constituting grounds for denial shall also constitute grounds for revocation, suspension or disciplinary action. Reserved. 4.56.170 Hearing. Any licensee or permittee whose license or permit has been suspended or revoked shall proceed pursuant to the appeal and hearing provisions of Chapter 4.04. Reserved. 4.56.180 Application to existing establishments and employees. All operators of existing hot tub/sauna establishments, and all hot tub/sauna establishment employees in the city upon the effective date of this chapter shall comply with all application and other requirements within thirty days following the effective date of this chapter. Reserved. 4.56.190 Application of other code provisions. Chapter 4.04 shall apply to the subject matter of this chapter in all respects, including those not specifically mentioned in this chapter. Reserved. 4.56.200 Employment of persons under the age of eighteen years prohibited. No licensee shall employ, hire or retain the services of any individual who is under the age of eighteen years old. No licensee shall knowingly employ, hire or retain the services of, or continue to employ or retain, any individual who has been convicted of any of the offenses set forth in subsection (b) of Section 4.56.060, or who has failed to obtain the permit required by Section 4.56.060. Reserved. Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 47  Packet Pg. 318 of 469  NOT YET APPROVED 43 149_20251222_ts24 SECTION 4. If any section, subsection, clause or phrase of this Ordinance is for any reason held to be invalid, such decision shall not affect the validity of the remaining portion or sections of the Ordinance. The Council hereby declares that it should have adopted the Ordinance and each section, subsection, sentence, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid. SECTION 5. The Council finds that this project is exempt from the provisions of the California Environmental Quality Act (“CEQA”), pursuant to Section 15061 of the CEQA Guidelines, because it can be seen with certainty that there is no possibility that the ordinance will have a significant effect on the environment. SECTION 6. This ordinance shall be effective 31 days after adoption. INTRODUCED: PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: ____________________________ ____________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: ____________________________ ____________________________ Assistant City Attorney City Manager ____________________________ Chief of Police Item 8 Attachment A - Ordinance Amending PAMC Chapters 4.54 and 4.56        Item 8: Staff Report Pg. 48  Packet Pg. 319 of 469  *NOT YET APPROVED* 150_20251222_ts24 1 Resolution No. _____ Resolution of the Council of the City of Palo Alto Amending and Restating the Administrative Penalty Schedule and Civil Penalty Schedules for Certain Violations of the Palo Alto Municipal Code The Council of the City of Palo Alto RESOLVES as follows: SECTION 1. Administrative Penalties. The administrative penalty schedule for violations of the Palo Alto Municipal Code established by Resolution No. 10265 is hereby amended and restated to read as follows (edited sections underlined): Standard penalty unless otherwise indicated below. $50 Second violation within 36 month period 150% of listed penalty (unless otherwise specified) Third & subsequent violations within 36 month period. 200% of listed penalty (unless otherwise specified) Delinquency penalty. 10% per month, simple interest, on delinquent amount 4.04.020 License or permit required. 300 4.04.100 Display of license or permit. 300 4.10.045 License fees for pushcart vendors. 300 4.10.050 Regulations for solicitors and peddlers. 350 4.10.055 Identification cards for solicitors. 250 4.10.057 Regulations for pushcart vendors. 300 4.10.070 License required - circus etc. 300 4.10.120 Arcade prohibited. 250 4.10.200 Pawn brokers prohibited. 250 4.10.230 Daily report of second hand dealers. 250 4.10.240 Maintaining reports - second hand dealers. 250 4.10.260 Failure to make report - second hand dealers. 250 4.10.270 Second hand goods held for inspection. 250 4.18.040 Unlawful dog or cat kennel. 250 4.30.010 Soliciting without a permit. 250 4.30.100 Conduct of solicitations. 250 4.32.020 Soliciting without a permit. 250 4.32.060 Investigation of records of solicitor. 250 4.32.090 Acts required during solicitation. 250 4.32.100 Restriction of solicitation. 250 4.32.110 Hours of solicitation. 250 4.34.020 Permit required - closing out sale. 250 4.39.030 Audible alarms. 250 4.39.040 Limitation on automatic dialing devices. 250 4.39.060 Registration of alarm. 250 4.39.110 Alarm violations. 100 4.42.020 Certificate of public convenience. 1000 Item 8 Attachment B - Resolution Amending and Restating the Administrative Penalty Schedule to Amend Penalties for PAMC Chapters 4.54 and 4.56.        Item 8: Staff Report Pg. 49  Packet Pg. 320 of 469  *NOT YET APPROVED* 150_20251222_ts24 2 4.42.085 Controlled substance and alcohol testing. 500 4.42.090 Taxi owners permit. 5000 4.42.100 Taxi drivers permit expired. 250 4.42.130(b) Taxi drivers permit not displayed. 250 4.42.190 Taximeters. 500 4.42.200 Taxi cab operating regulations. 250 4.42.210(a) Interference with inspection. 500 4.42.210(b) Inspection of vehicles. 500 4.42.220 Operating regulations. 500 4.42.230 Maintenance of vehicles. 500 4.51.030 License required - bingo. 250 4.51.050 Minors restricted - bingo. 50 4.51.080 Staffing and operations - bingo. 250 4.51.110 Physical presence required - bingo. 250 4.52.020 License required - billiards and bowling. 1000 4.52.040 Minors restricted - billiards and bowling. 250 4.52.060 Offensive conduct - billiards and bowling. 250 4.52.070 Interference w/emerg. Access -billiards/bowling. 250 4.54.060 CAMTC cert. required - massage tech. 250 4.54.080(a) Permit required - massage establishment. 1000 4.54.080(b)-(d) Prohibited conduct – massage establishment 250 4.54.130 Failure to amend massage estab. permit 100 4.54.140 Massage establishment facilities. 250 4.55.030 License required - adult entertainment. 1000 4.56.030 License required - hot tub and sauna. 1000 4.56.120 Business name - hot tub and sauna. 250 4.57.020 Permit required - firearms sales. 1000 4.57.095 Firearms dealers – business and security. 500 4.58.020 Minors restricted - narcotics paraphernalia shop. 750 4.58.030 Regulations - narcotics paraphernalia shop. 750 4.59.010 Pet shop requirements. 250 4.59.020 Pet shop sanitation. 250 4.59.030 Pet shop food. 250 4.59.040 Pet shop notification. 250 4.59.050 Pet shop - sale of dangerous or wild animals. 250 4.59.070 Dead animals. 250 4.59.080 Permit required - pet shop and kennel. 250 4.59.090 Permit required - grooming shop. 250 4.59.095 Sales of kittens and puppies. 250 4.59.100 Sales of raccoons. 250 4.59.105 Sales of rabbits, chicks, ducklings. 250 4.60.030 Business registration required 250 4.60.060 Business registry application required 250 4.60.120(a) Business registry fee delinquency 50% of registry fee if 1-30 days late 100% of fee or 31+ days late 5.12.010 Permit required - refreshment stand. 250 5.20.030 Discarding solid waste. 250 5.20.040 Accumulation of garbage. 250 5.20.050 Unauthorized bins, boxes, containers-first violation. 500 Second and subsequent violations. 1000 5.20.080 Number of containers required. 250 5.20.090 Collection of recyclable materials. 250 for Commercial Premises 50 for Residential Premises Item 8 Attachment B - Resolution Amending and Restating the Administrative Penalty Schedule to Amend Penalties for PAMC Chapters 4.54 and 4.56.        Item 8: Staff Report Pg. 50  Packet Pg. 321 of 469  *NOT YET APPROVED* 150_20251222_ts24 3 5.20.100 Collection of compostable materials. 250 for Commercial Premises 50 for Residential Premises 5.20.105 Contamination of containers. 250 for Commercial Premises 50 for Residential Premises 5.20.108 Multifamily properties/Commercial premises. 250 5.20.109 Requirements for special events. 100 5.20.111 Self-haul in violation of code 100 5.20.120 Improper container condition. 250 5.20.130 Maintenance of bins and boxes- first violation. 250 Second and subsequent violations. 500 5.20.160 Spillage or leakage of solid waste. 250 5.20.180 No accumulation of solid waste. 250 5.20.190 No burning, burial, or dumping of solid waste. 250 5.20.200 Hazardous waste. 500 5.20.220 Scavenging prohibited. 100 5.30.020 Polystyrene & Non-Recyclable Plastic. 500 5.30.025(a)-(d) Limitation on use of Disposable Foodware items 100 and other Disposable products. 5.30.025(e) Prohibition of third-party vendors providing utensils 350 or condiments unless requested by customer. 5.35.020 Bags at retail establishments. 500 5.35.030 Bags at supermarkets. 500 6.08.020(b) Interference with animal control officer. 250 6.16.010 No dog license. 50 6.16.080 Number of dogs allowed. 100 6.16.100 Leash Law. 100 6.20.010 Animals at large. 100 6.20.020 Animals on unenclosed premises. 100 6.20.030 Animals kept in enclosures. 100 6.20.035 Tying animals to bicycle racks or trees. 100 6.20.040 Nuisance on sidewalk. 100 6.20.045 Animal waste removal - first offense. 25 6.20.045 Animal waste removal - second offense. 50 6.20.045 Animal waste removal - third offense. 125 6.20.055 Animals in vehicles. 250 6.20.060 Bees close to property line. 100 6.20.080 Permit required - livestock. 100 6.20.090 Maintaining birds, goats, pigs and rabbits. 100 6.20.110 Number of cats kept. 100 6.20.120 Permit required - breeding animals. 100 6.20.130 Cat or dog in heat. 100 6.20.140 Barking dogs. 100 6.20.150 Vaccination required - animals. 100 6.20.160 Sanitary enclosures. 100 6.20.170 Slaughter of animals. 500 6.24.020 Permit required - construction of stable. 250 6.24.050 Maintenance of stable. 250 6.28.040 Possession of dangerous or wild animals. 500 6.32.010 Keeping diseased animals. 500 6.32.020 Confining animals with rabies. 500 6.32.050 Dead animals in public. 500 6.36.010 Sales of certain animals. 250 Item 8 Attachment B - Resolution Amending and Restating the Administrative Penalty Schedule to Amend Penalties for PAMC Chapters 4.54 and 4.56.        Item 8: Staff Report Pg. 51  Packet Pg. 322 of 469  *NOT YET APPROVED* 150_20251222_ts24 4 8.04.020 Unauthorized removal of public trees 5000 per tree or reproduction cost up to 10,000, whichever is greater 8.04.020(a) Failure to comply with permit 500 per tree for work on public trees. 8.04.020(a) Damage to public trees 150 per inch diameter of damaged tree part 8.04.020(b) Fasten a sign, wire, or injurious material 250 per tree to any public tree. 8.04.020(c) Excavate or pave near public trees 500 per tree 8.04.080 Interference with tree enforcement. 500 8.08.010 Weeds as public nuisance. 250 8.10.040 Failure to disclose protected tree 500 per tree 8.10.050 Unauthorized removal of protected tree 5000 per tree or reproduction cost up to 10,000, whichever is greater 8.10.055 Failure to comply with tree replacement. 750 per tree 8.10.070 Failure to care for protected trees. 500 per tree 8.10.080(b) Failure to comply with development conditions. 500 per condition 9.04.010 Open container in business district. 100 9.04.020 Open container in City parking lot. 100 9.04.030 Open container near liquor store. 100 9.04.040 Social host. First violation 250 Second violation 500 Third & subsequent violation 1000 9.06 (All sections) Vanlording prohibited 500 9.07.020 Safe Storage of Firearms 1000 9.08.010 Discharge of firearms/fireworks. 1000 9.09.010(a) Urinating/defecating on street or public place. 250 9.09.010(b) Igniting or maintaining outdoor fire. 250 9.10.030 Residential property noise limits. 100 9.10.040 Commercial property noise limits. 100 9.10.050 Public property noise limits. 100 9.10.060(b) Construction noise signs. 250 9.10.060(c) Construction noise. 250 9.10.060(d) Construction equipment noise. 100 9.10.060(e) Residential power equipment noise. 100 9.10.060(f) Leaf blower noise- first violation. 250 Leaf blower noise- second violation 500 Leaf blower noise- third and subsequent violation 1000 9.10.060(g) Street sweeping noise. 100 9.10.060(h) Refuse collection noise. 100 9.10.060(i) Safety device noise. 100 9.10.060(k) Public parking lot cleaning noise. 100 9.10.060(l) Business district street cleaning noise. 100 9.12.010 Loudspeakers. 150 9.14.020 Smoking prohibited - enclosed places. 250 (2nd violation in 1 year: $300; 3rd and subsequent violations in 1 year: $500) 9.14.025 Smoking prohibited – unenclosed areas. 250 (2nd violation in 1 year: $300; 3rd and subsequent violations in 1 year: $500) 9.14.030 Smoking prohibited - city cars. 250 (2nd violation in 1 year: $300; 3rd and subsequent violations in 1 year: $500) Item 8 Attachment B - Resolution Amending and Restating the Administrative Penalty Schedule to Amend Penalties for PAMC Chapters 4.54 and 4.56.        Item 8: Staff Report Pg. 52  Packet Pg. 323 of 469  *NOT YET APPROVED* 150_20251222_ts24 5 9.14.035 Smoking prohibited – public parks and public events 250 (2nd violation in 1 year: $300; 3rd and subsequent violations in 1 year: $500) 9.14.040 Smoking prohibited - child care facilities. 250 (2nd violation in 1 year: $300; 3rd and subsequent violations in 1 year: $500) 9.14.050 Smoking prohibited – commercial areas and public events. 250 (2nd violation in 1 year: $300; 3rd and subsequent violations in 1 year: $500) 9.14.080 Location of tobacco vending machines. 1000 9.14.090 Display of tobacco products. 500 9.14.100 Failure to post “No Smoking” signs. 50 9.22.010 Impersonating public officials. 500 9.26.020 False representation as police officer. 250 9.28.010 Hotel guest register required. 250 9.28.020 Use of false name by hotel guest. 50 9.40.020 Landing aircraft at other than airport. 1000 9.44.010 Solicitation prohibited - public parking lot. 100 9.48.010 Displaying goods on sidewalk. 50 9.48.025 Sitting or lying on University Avenue sidewalks. 100 9.48.030 Operation of sidewalk elevator. 500 9.48.040 Throwing rubbish on streets. 250 9.48.050 Obligation to clean sidewalk. 200 9.50.010 Graffiti prohibited on public property. 500 9.56.030 Abatement of public nuisance. 500 unless otherwise specified 9.56.030(a)(5) Thirty-five foot site triangle. 200 9.56.030(a)(8) Foliage/branch obstruction. 200 9.56.030(a)(10) Excessive planting strip vegetation height. 150 9.60.030 Blocking entrances to City Hall. 500 9.60.050 Placing signs or climbing on City Hall. 500 9.60.060 Bicycles and skateboards at City Hall. 50 9.60.070 Alcoholic beverages prohibited - City Hall. 100 9.64.010 Overnight use of community facilities 250 9.74.030 Discrimination in housing. 250 9.78.020 Mosquito breeding places. 500 9.79.100 News rack violations. 100 12.08.010 Permit required - public right of way. 500 12.08.100 Removal of City Engineer monuments. 500 12.11.010 Building parklet on public right-of-way without 1000 permit 12.11.060 Violation of Chapter 12.11, permit, or regulations 500 12.12.010 Building on public easement without or in violation 1000 of encroachment permit 12.12.020 Failure to obtain or violation of commercial 500 sidewalk encroachment permit 12.16.030 Overhead wires in underground districts. 500 12.16.090 Property owner responsibility. 500 12.20.010 Utility rules and regulations 500 unless otherwise specified 12.20.010 Emergency water conservation regulations 100 (2nd violation in 1 year: $250; (Reso. Nos. 9509, 9460, 9449) 3rd and subsequent violations in 1 year: $500) 12.20.020 Providing false information to City Utilities. 500 Item 8 Attachment B - Resolution Amending and Restating the Administrative Penalty Schedule to Amend Penalties for PAMC Chapters 4.54 and 4.56.        Item 8: Staff Report Pg. 53  Packet Pg. 324 of 469  *NOT YET APPROVED* 150_20251222_ts24 6 12.32.010 Water use regulation. 100 15.04.070 Violations of Uniform Fire Code. 500 unless otherwise specified 16.04.050 Violations of California Building Code as amended. 500 unless otherwise specified 16.05.040 Violations of California Mechanical Code as amended500 16.06.050 Violations of California Residential Code as amended.500 16.08.040 Violations of California Plumbing Code as amended. 500 16.09.200 Violations of Sewer Use Ordinance 1000 16.10.020 Construction of private sewer system. 750 16.10.050 Permit required - private sewage system. 500 16.11 (All Sections) Violations of the Stormwater Pollution Prevention Ordinance 1000 16.13 (All Sections) Violations of the Food Facilities Ordinance 1000 16.14.040 Violations of California Green Building 500 Standards Code as amended 16.14.260 Failure to meet diversion requirements. $150 per ton of waste not diverted or $3000, whichever is greater 16.14.370 Failure to meet diversion requirements. $150 per ton of waste not diverted or $3000, whichever is greater 16.16.060 Violations of California Electrical Code as amended. 500 16.17.020 Violations of California Energy Code as amended. 500 16.18.020 Violations of International Pool and Spa Code as 500 amended 16.20.020 Design review required - signs. 500 16.20.090 Prohibited signs. 250 16.20.100 Prohibited locations - signs. 250 16.20.110 Fuel price signs required. 250 16.20.210 Non-compliance with sign ordinance. 250 16.20.230 Abandoned signs. 250 16.20.250 Parking of advertising vehicles. 250 16.24.080 Fence violation. 250 16.28.060 Permit required - excavation and grading. 500 16.28.330 Protection of adjacent property. 500 16.28.340 Deposits of earth, rock, etc. 500 16.32.010 Permit required - moving a building. 250 16.36.050 Curb painting without a permit. 100 16.36.060 House numbering required. 100 16.38.020 Certificate of occupancy – community housing. 500 16.40.040 Dangerous and substandard buildings. 500 16.40.090 Non-compliance with order of building official. 500 16.40.180 Interference with repair or demolition work. 500 16.42.090 Failure to submit seismic report. 250 16.45.070 Failure to pay fee - Stanford Research Park. 250 16.46.060 Failure to pay fee - San Antonio - West Bayshore. 250 16.47.050 Failure to pay housing impact fee. 250 16.49.050 Exterior alteration of downtown historic structures 10000 or a significant structure outside the downtown without or in violation of permit 16.49.060 Demolition of a significant downtown building 10000 without or in violation of permit 16.49.070 Demolition of a contributing downtown structure 10000 or significant structure outside the downtown Item 8 Attachment B - Resolution Amending and Restating the Administrative Penalty Schedule to Amend Penalties for PAMC Chapters 4.54 and 4.56.        Item 8: Staff Report Pg. 54  Packet Pg. 325 of 469  *NOT YET APPROVED* 150_20251222_ts24 7 without or in violation of permit 16.49.080 Maintenance of downtown historic structure. 10000 16.49.090 Demolition of downtown historic structure. 10000 16.52.070 Construction - flood hazards. 500 16.59.090 Failure to pay fee- Citywide Transportation Impact. 250 16.60.090 Failure to pay fee- Charleston/Arastradero. 250 16.62.020 Maintenance of expired building permit 200 for 31st through 60th day 400 for 61st through 120th day 800 for 121st day and thereafter 16.66 (All Sections) Violations of Hauled Liquid Waste 1000 Ordinance 17.04.020 Violations of hazardous materials storage. 500, unless otherwise specified 17.04.030 Specific obligation - hazardous materials. 500 17.10.010 General obligation - underground storage tanks. 750 unless otherwise specified 17.10.040 Permit required - underground storage. 500 17.10.140 Financial responsibility - underground storage. 500 17.10.150 Monitoring underground storage tanks. 1000 17.10.170 Unlawful abandonment - underground storage tanks.1000 17.12.010 Permit required - hazardous materials storage. 750 17.12.020 New hazardous materials storage facilities. 750 17.12.060 Hazardous materials storage facilities. 750 17.16.010 Hazardous materials management plan. 250 17.20.010 Hazardous materials inventory statement. 250 17.24.010 Hazardous materials discharge report. 750 17.32.010 Permit required - storage of hazardous materials. 1000 18.01.080 Violation of zoning laws. 500 18.16.060(d)Hotel stay in excess of 30 days. 200 18.38.020 Planned Community zoning (unless otherwise 500 specified in PC ordinance) 2500 beginning the 181st day following notice of violation Violations of Ordinance 5069 shall be subject to the penalties listed above except that the penalty for violations of Sections 4(b)(1), (2), (6), and (7) of Ordinance 5069 shall not be subject to the penalties above or to the escalators for second, third and subsequent violations, but shall be $2157 per day, for each and every day that a grocery store is not in operation within College Terrace Centre in accordance with the terms of Ordinance 5069. (The City Council intends to adjust this penalty amount periodically in future updates to this administrative penalty schedule to account for periodic increases in the Consumer Price Index for All Urban Consumers.) In calculating the penalties for such violations, the City will allow for a grace period for any daily violations that Item 8 Attachment B - Resolution Amending and Restating the Administrative Penalty Schedule to Amend Penalties for PAMC Chapters 4.54 and 4.56.        Item 8: Staff Report Pg. 55  Packet Pg. 326 of 469  *NOT YET APPROVED* 150_20251222_ts24 8 do not exceed six (6) cumulative months in any five (5) year period. However, this grace period was previously applied to violations from 1/10/18 through 7/10/18, so there is no entitlement to any further grace period prior to 1/10/23. 18.42.060(a)Incompatibility of home occupations. 200 18.42.060(b) Employees of home occupation. 200 18.42.060(c) On site advertising of home occupation. 200 18.42.060(d) Floor area of home occupation. 200 18.42.060(e) Traffic related to home occupation. 200 18.42.060(f) Home occupation as nuisance. 200 18.42.060(g) Outdoor storage related to home occupation. 200 18.42.070 Servicing vehicles in residential zone. 250 18.52.050 Transportation demand management conditions 1000 4000 beginning the 181st day following notice of violation 18.84.200 Temporary uses. 250 22.04.030 Compliance with park regulations. 46 for violation of regulation R1-6 requiring payment of Foothills Park entry fee; 250 for violation of all other Park & Open Space Regulations. 22.04.040 Failure to obtain use permit. 300 22.04.150(b) Entry at unapproved location - Foothills Park 50 22.04.150(c) Person in park after hours - Foothills Park. 250 22.04.150(d) Speed limit 20MPH - Foothills Park. 250 22.04.150(e) Vehicles in Foothills Park after hours. 100 22.04.150(f) Skateboards and motorcycles - Foothills Park. 250 22.04.150(g) Smoking on trails - Foothills Park. 1000 22.04.150(h) Fires in Foothills Park. 1000 22.04.150(i) Use of trails - Foothills Park. 100 22.04.150(l) Unleashed dog - Foothills Park. 250 22.04.155 Restraint of dogs in City parks. 250 22.04.160 Permit required - sales in parks. 250 22.04.170 Violation of park use permit. 250 22.04.180 Sound in parks. 250 22.04.190 Unauthorized golf and other games in parks. 250 22.04.200 Unauthorized models and kites in parks. 100 22.04.210 Parking in parks. 100 22.04.215 Launch and takeout from ramp or dock. 250 22.04.220 Bicycle not permitted on trails. 250 22.04.230 Dumping in park. 1000 22.04.240 Interference with park use permit. 250 22.04.250 Park regulations . 250 unless otherwise specified 22.04.260 Discharge of weapons in park. 500 22.04.270 Removal of flora or fauna. 500 22.04.280 Removal of turf or soil. 500 22.04.290(a) Damaging, defacing, etc., property. 1000 22.04.290(b) Marking, writing or printing on property. 1000 22.04.290(c) Attaching sign, etc., without permit. 500 Item 8 Attachment B - Resolution Amending and Restating the Administrative Penalty Schedule to Amend Penalties for PAMC Chapters 4.54 and 4.56.        Item 8: Staff Report Pg. 56  Packet Pg. 327 of 469  *NOT YET APPROVED* 150_20251222_ts24 9 22.04.290(d) Entering, etc., structure after posted hours. 250 22.04.290(e) Bringing portable tables without a permit. 100 22.04.300 Unlawful fire in city park. 1000 22.04.310 Enid Pearson Arastradero, Esther Park closure. 250 22.04.315 Byxbee Park and Baylands closed. 250 22.04.320 Parks closed. 250 22.04.321(a)Skateboarding in park after hours. 50 22.04.322 Trespass at Rinconada Park pool. 50 22.04.330 Alcohol in Cogswell Park. 250 22.04.331 Alcohol in Lytton Plaza. 250 22.04.332 Alcohol in Johnson Park. 250 22.04.333 Alcohol in Boulware Park. 250 22.04.334 Alcohol in Scott St. Minipark. 250 22.04.335 Alcohol in Greer Park. 250 22.04.336(a)Alcohol in Rinconada Park. 250 22.04.337 Alcohol in Mitchell Park. 250 22.04.338 Alcohol in Robles Park. 250 22.04.339 Alcohol in Hopkins Park. 250 22.04.340 Vehicles in park. 250 22.04.341 Alcohol in El Palo Alto Park. 250 22.04.342 Alcohol in Heritage Park. 250 22.04.343 Alcohol in Pardee Park. 250 22.04.350 Consumption of alcoholic beverage in vehicles. 250 22.04.360 Open container in park - alcoholic beverage. 250 22.04.370 Reckless driving in park. 250 22.04.380 Unlawful riding and towing in parks. 250 22.04.390 Duck pond. 100 SECTION 2. Municipal Code Civil Penalties. The civil penalty schedule for violations of the Palo Alto Municipal Code established by Resolution No. 10265 is hereby restated to read as follows*: Standard penalty unless otherwise indicated below. $46 10.36.020 No parking in parkways. 46 10.36.030(a)Storage on the street (72 hours). 86 10.36.040(a)(1)Vehicle for sale on street. 46 10.36.040(a)(2)Repairing vehicle on street. 46 10.36.050 Not w/in 18” of left curb--One-way street. 46 10.36.090 Removal of chalk markings. 111 10.40.020(a)(1)Parking violation – red curb. 46 10.40.020(a)(4)Parking violation – green curb. 46 10.40.020(a)(5)Parking violation – blue curb. 308 10.40.020(b)Parking in violation of sign (except blue curb). 46 10.40.020(b)Unlawful disabled parking - signs (blue curb). 308 10.40.040(b)Commercial vehicle double parking. 46 10.40.050 Unlawful parking in yellow loading zone. 46 10.40.060 Unlawful parking in passenger loading zone. 46 10.40.070 Unlawful alley parking. 46 10.40.100(g)Parking in a bus zone. 46 10.44.010(b)Overtime parking (limited time zone). 41 10.44.010(c)Additional violation of time limited or no 44 parking zones. 10.44.020 Oversized vehicle parking 46 Item 8 Attachment B - Resolution Amending and Restating the Administrative Penalty Schedule to Amend Penalties for PAMC Chapters 4.54 and 4.56.        Item 8: Staff Report Pg. 57  Packet Pg. 328 of 469  *NOT YET APPROVED* 150_20251222_ts24 10 10.44.040(b)Not in space marking. 46 10.44.050 Parking violation. 46 10.44.060 Dealers--parking for sale or repair. 46 10.44.070(b)Parking in violation of posted sign. 46 10.44.080 Vehicle obstruction of roadway or lot. 46 10.44.090 Unattended vehicle, engine running. 111 10.45.110 Parking in on-street valet parking space. 46 10.46.110 Overtime residential parking permit (CT) 53 10.48.030 Truck route violation. 211 10.50.100(a)Violation of posted RPP permit sign 53 10.60.070(c)Permit not properly displayed. 41 10.60.070(d)Overtime permit parking in City lot. 41 10.60.070(e)Parking without permit in permit area. 46 22.04.150(e)In Foothills Park after hours. 111 22.04.210 Parking in parks. 111 Late payment penalty. 35 Collection cost penalty. 35% of listed penalty *All penalties include state-mandated assessments pursuant to Gov’t. Code 76000, S.B 1407(2008), and Government Code 76000.3 (S.B. 857, 2008) totaling $12.50. SECTION 3. Vehicle Code Civil Penalties. The civil penalty schedule for violations of the California Vehicle Code established by Resolution No. 10265 is hereby restated to read as follows*: 5200 No front license plate. $78 (If corrected within 31 days) 10 (state mandated) 5204(a) No registration tabs on license plate. 78 (If corrected within 31 days) 10 (state mandated) 21113(a) Parking on public grounds. 46 22500(a) Parking in an intersection. 46 22500(b) Parking in a crosswalk. 46 22500(d) Parking w/in 15 feet--fire station driveway. 46 22500(e) Blocking driveway. 46 22500(f) Parking on sidewalk. 46 22500(g) Parking or stopping--excavation site, etc. 46 22500(h) Double parking on roadway. 46 22500(i) Parking in a bus zone. 261 22500(l) Parking in front of accessible curb. 303 22500.1 Parking in a fire lane (public or private). 46 22502 Right hand wheels not w/in 18” of rt. curb. 46 22505(b) Parking on state highway violation. 46 22507.8(a-b)Unlawful parking in handicapped space. 303 22507.8(c)(1-2)Straddling Lines/Cross hatched, disabled. 303 22511.57(a) Parking/standing of vehicle in disabled parking $753 stall or space with invalid license/placard. 22511.57(b) Unauthorized use of license/placard for vehicle $753 parking/standing in disabled parking stall or space. 22511.57(c) Parking/standing of vehicle in disabled parking $753 stall or space with counterfeit, forged, altered or mutilated license/placard for disabled. 22514 Parking within 15 feet of fire hydrant. 46 Item 8 Attachment B - Resolution Amending and Restating the Administrative Penalty Schedule to Amend Penalties for PAMC Chapters 4.54 and 4.56.        Item 8: Staff Report Pg. 58  Packet Pg. 329 of 469  *NOT YET APPROVED* 150_20251222_ts24 11 22515 Unattended vehicle, engine running. 111 22516 Person locked in vehicle. 111 22521 Parking within 7 1/2 feet of railroad tracks. 46 22522 Parking near sidewalk access ramp. 303 22523(a) Unlawful abandonment of vehicle on highway. 131 22523(b) Abandoned vehicle--public/private property. 131 22526 Entering/blocking intersection – anti-gridlock. 131 22951 No street, alley parking--patron vehicles. 46 *All penalties include state-mandated assessments pursuant to Gov’t. Code 76000, S.B 1407(2008), and Government Code 76000.3 (S.B. 857, 2008) totaling $12.50. SECTION 4. The Council finds that the adoption of this resolution does not meet the definition of a project under Public Resources Code Section 21065, thus, no environmental assessment under the California Environmental Quality Act is required. SECTION 5. The changes made in this Resolution shall be effective upon adoption. INTRODUCED AND PASSED: AYES: NOES: ABSTENTIONS: ABSENT: ATTEST: ________________________________ ________________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: _______________________________ ________________________________ City Attorney or Designee City Manager ________________________________ Chief of Police Item 8 Attachment B - Resolution Amending and Restating the Administrative Penalty Schedule to Amend Penalties for PAMC Chapters 4.54 and 4.56.        Item 8: Staff Report Pg. 59  Packet Pg. 330 of 469  City Council Staff Report Report Type: CONSENT CALENDAR Lead Department: City Clerk Meeting Date: January 12, 2026 Report #:2512-5745 TITLE SECOND READING: Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026) (FIRST READING: December 8, 2025; PASSED 7-0) BACKGROUND The City Council heard this item on December 8, 2025 for a first reading and approved it on a 7- 0 vote. No changes were made to the ordinance, and it is now before the City Council for a second reading. ATTACHMENTS Attachment A: Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026) APPROVED BY: Mahealani Ah Yun, City Clerk Item 9 Item 9 Staff Report        Item 9: Staff Report Pg. 1  Packet Pg. 331 of 469  *NOT YET APPROVED* 1 Ordinance No. _____ Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026) The Council of the City of Palo Alto ORDAINS as follows: SECTION 1. Findings and declarations. The City Council finds and declares as follows: 1. In 2021, the California Legislature and the Governor approved AB 481, which requires the City Council to approve a “Military Equipment Use Policy” in order to acquire, use, or seek funds for the use of certain equipment used by law enforcement. AB 481 is codified at Gov. Code section 7070 et seq. 2. The City Council adopted Ordinance 5562 in September 2022 to approve the City’s first Military Equipment Use Policy. The Ordinance was last renewed on November 4, 2024 as Ordinance 5636. 3. As required by Govt. Code section 7072, the Palo Alto Police Department submitted an annual military equipment report for each type of military equipment approved by the City Council. This report was posted publicly on the Department’s website in November 2025. The Department also held a community engagement meeting on November 20, 2025. 4. As required by Govt. Code section 7071, the City Council now intends to renew and restate Ordinance 5635 to implement the Military Equipment Use Policy for another year. SECTION 2. The City Council makes the following required findings in compliance with Gov. Code section 7071(d)(1) and (e) as to the attached Military Equipment Use Policy: (A) The military equipment is necessary because there is no reasonable alternative that can achieve the same objective of officer and civilian safety. (B) The proposed military equipment use policy will safeguard the public’s welfare, safety, civil rights, and civil liberties. (C) The equipment is reasonably cost effective compared to available alternatives that can achieve the same objective of officer and civilian safety. (D) Prior military equipment use complied with the military equipment use policy that was in effect at the time. SECTION 3. The City Council hereby approves the attached Military Equipment Use Policy incorporated as Exhibit A to this ordinance. SECTION 4. If any section, subsection, sentence, clause, or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions o f this Ordinance. The City Council hereby declares that it would have passed this Ordinance and each and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional without regard to whether any portion of the Ordinance would be subsequently declared invalid or unconstitutional. Item 9 Attachment A - Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026)        Item 9: Staff Report Pg. 2  Packet Pg. 332 of 469  *NOT YET APPROVED* 2 SECTION 5. The Council finds that adoption of this Ordinance is not a “project” within the meaning of CEQA. SECTION 6. This Ordinance shall be effective on the thirty-first date after the date of its adoption. This Ordinance shall supersede Ordinance 5635, and any conflict shall be resolved in favor of this Ordinance. SECTION 7. This Ordinance shall be uncodified. INTRODUCED: PASSED: AYES: NOES: ABSENT: ABSTENTIONS: NOT PARTICIPATING: ATTEST: ____________________________ ____________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: ____________________________ ____________________________ Assistant City Attorney City Manager ____________________________ Chief of Police Item 9 Attachment A - Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026)        Item 9: Staff Report Pg. 3  Packet Pg. 333 of 469  *NOT YET APPROVED* 3 Exhibit A Palo Alto Police Department Military Equipment Use Policy (Updated November 2025) I. PURPOSE This policy is provided to fulfill the obligations set forth in Assembly Bill No. 481 as codified at Govt. Code section 7070 et seq., and establishes guidelines for the acquisition, funding, use and reporting of “military equipment”, as the term is defined in Government Code section 7070. These obligations include but are not limited to seeking approval on specific items deemed, by statute, to be military equipment and requirements related to compliance, annual reporting, cataloging, and complaints regarding these items. II. PROCEDURE A. DEFINITIONS 1. Governing Body – The City Council of the City of Palo Alto. 2. Military Equipment – Shall have the same meaning as defined by California Government Code § 7070(c). B. GOVERNING BODY APPROVAL 1. The Department shall obtain approval of the governing body prior to engaging in any of the following activities: a. Requesting military equipment made available pursuant to Section 2576a of Title 10 of the United States Code. b. Seeking funds for military equipment including, but not limited to, applying for a grant, soliciting or accepting private, local, state, or federal funds, in-kind donations, or other donations or transfers. c. Acquiring military equipment either permanently or temporarily, including by borrowing or leasing. d. Collaborating with another law enforcement agency in the deployment or other use of military equipment within the territorial jurisdiction of the governing body. e. Using any new or existing military equipment for a purpose, in a manner, or by a person not previously approved by the governing body pursuant to general order f. Soliciting or responding to a proposal for, or entering into an agreement with, any other person or entity to seek funds for, apply to receive, acquire, use, or collaborate in the use of, military equipment. g. Acquiring military equipment through any means not provided in a. through f. 2. In seeking the approval of the governing body, the Department shall comply with Gov. Code § 7071, which requires that the Department submit a proposed military equipment use policy, or subsequent amendments, to the City Council and the public via the law enforcement agency’s internet website at least 30 days prior to any public hearing concerning the military equipment at issue. Item 9 Attachment A - Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026)        Item 9: Staff Report Pg. 4  Packet Pg. 334 of 469  *NOT YET APPROVED* 4 3. The governing body must be able to make the following findings in approving the Military Equipment Use Policy as required by Gov. Code § 7071(d)(1) in order to use military equipment: a. The military equipment is necessary because there is no reasonable alternative that can achieve the same objective of officer and civilian safety. b. The proposed military equipment use policy will safeguard the public’s welfare, safety, civil rights, and civil liberties. c. If purchasing the equipment, the equipment is reasonably cost effective compared to available alternatives that can achieve the same objective of officer and civilian safety. d. Prior military equipment use complied with the military equipment use policy that was in effect at the time, or if prior uses did not comply with the accompanying military equipment use policy, corrective action has been taken to remedy nonconforming uses and ensure future compliance. C. MILITARY EQUIPMENT ANNUAL REPORT The Department shall submit an annual military equipment report to the governing body that addresses each type of military equipment possessed by the Department in compliance with Gov. Code § 7072. 1. The Department shall also make each annual military equipment report publicly available on its internet website for as long as the military equipment is available for use. 2. The annual military equipment report shall, at a minimum, include the following information for the immediately preceding calendar year for each type of military equipment: a. A summary of how the military equipment was used and the purpose of its use. b. A summary of any complaints or concerns received concerning the military equipment. c. The results of any internal audits, any information about violations of the military equipment use policy, and any actions taken in response. d. The total annual cost for each type of military equipment, including acquisition, personnel, training, transportation, maintenance, storage, upgrade, and other ongoing costs, and from what source funds will be provided for the military equipment in the calendar year following submission of the annual military equipment report. e. The quantity possessed for each type of military equipment. f. If the Department intends to acquire additional military equipment in the next year, the quantity sought for each type of military equipment. The Department will document each use of military equipment and, via administrative review, ensure compliance with this policy. Any instances of non -compliance will be reported to the City Council via the annual military equipment report, and to the Independent Police Auditor where appropriate. Item 9 Attachment A - Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026)        Item 9: Staff Report Pg. 5  Packet Pg. 335 of 469  *NOT YET APPROVED* 5 D. MILITARY EQUIPMENT USE POLICY COMPLAINTS AND CONCERNS Pursuant to Gov. Code § 7070(d)(7), members of the public may register complaints or concerns or submit questions by any of the following means: 1. Via email to: militaryequipment@cityofpaloalto.org 2. Via phone call to: (650) 329-2406 3. Via mail sent to: Palo Alto Police Department Attn: Personnel and Training 275 Forest Avenue Palo Alto, CA 94301 The Department is committed to responding to complaints, concerns and/or questions received through any of the above methods in a timely manner. E. MILITARY EQUIPMENT TRAINING Military equipment shall only be used after applicable training, including any course required by the Commission on Peace Officer Standards and Training (P.O.S.T.), has been completed, unless exigent circumstances arise. F. MILITARY USE EQUIPMENT POLICY CONTENTS All military use equipment kept and maintained by the Department shall be cataloged in a way which addresses each of the following requirements in compliance with Gov. Code § 7070(d): 1. A description of each type of military equipment, the quantity sought, its capabilities, expected lifespan, and product descriptions from the manufacturer of the military equipment. 2. The purposes and authorized uses for which the law enforcement agency or the state agency proposes to use each type of military equipment. 3. The fiscal impact of each type of military equipment, including the initial costs of obtaining the equipment and estimated annual costs of maintaining the equipment. 4. The legal and procedural rules that govern each authorized use. 5. The training, including any course required by the Commission on Peace Officer Standards and Training, that must be completed before any officer, agent, or employee of the law enforcement agency or the state agency is allowed to use each specific type of military equipment to ensure the full protection of the public’s welfare, safety, civil rights, and civil liberties and full adherence to the military equipment use policy. 6. The mechanisms to ensure compliance with the military equipment use policy, including which independent persons or entities have oversight authority, and, if applicable, what legally enforceable sanctions are put in place for violations of the policy. Item 9 Attachment A - Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026)        Item 9: Staff Report Pg. 6  Packet Pg. 336 of 469  *NOT YET APPROVED* 6 G. USE POLICY FOR SPECIFIC EQUIPMENT Qualifying Equipment Owned/Utilized by the Department Equipment Type: 37mm Less Lethal Launchers and Kinetic Energy Munitions - CA Gov’t Code §7070(c)(14) Quantity Owned/Sought: 30 owned Lifespan: Approximately 15 years Equipment Capabilities: The 37MM Less Lethal Launcher is capable of firing 37MM Kinetic Energy and Chemical Agent Munitions. Palo Alto PD only possesses “KO1” impact baton rounds in its inventory. Manufacturer Product Description: Sage Control Ordinance 37MM launchers are rugged, reliable, and simple to operate less lethal launchers. These launchers are light weight, versatile and used worldwide by police officers. The 37MM launcher family of products is available in single-shot (“Ace”), double-shot (“Deuce”), or magazine fed configurations. Palo Alto PD possesses the “Ace” and “Deuce” models. Purpose/Authorized Uses: The 37MM Less Lethal Launchers and Kinetic Energy Munitions are intended for use as a less lethal use of force option. Kinetic energy projectiles, when used properly, are less likely to result in death or serious physical injury and can be used in an attempt to de-escalate a potentially deadly situation. Circumstances appropriate for deployment include, but are not limited to, situations in which: (a) The suspect is armed with a weapon and the tactical circumstances allow for the safe application of approved munitions. (b) The suspect has made credible threats to harm him/herself or others. (c) The suspect is engaged in riotous behavior or is throwing rocks, bottles or other dangerous projectiles at people and/or officers. (d) There is probable cause to believe that the suspect has already committed a crime of violence and is refusing to comply with lawful orders. Fiscal Impacts: The initial cost of this equipment was approximately $27,000. The ongoing costs for munitions will vary and maintenance is conducted by departmental staff. Legal/Procedural Rules Governing Use: Use governed by applicable State, Federal and Local law, and PAPD policy, including but not limited to PAPD policy §§ 300 (Use of Force) and 308 (Control Devices and Techniques). Use will continue to be subject to an administrative Use of Force review. Training Required: Officers must complete a department certified 37mm course as well as regular training and qualifications as required by law and policy. Other Notes: None. Equipment Type: Long Range Acoustic Device (LRAD) - CA Gov’t Code §7070(c)(13) Quantity Owned/Sought: 1 Lifespan: Unknown. Equipment Capabilities: LRAD systems are a type of Acoustic Hailing Device (AHD) used to send messages over long distances. LRAD systems produce much higher sound levels (volume) than normal loudspeakers or megaphones, and can be more narrowly directed. Manufacturer Product Description: LRAD systems are a type of Acoustic Hailing Device (AHD) used to send messages over long distances. LRAD systems produce much higher sound levels Item 9 Attachment A - Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026)        Item 9: Staff Report Pg. 7  Packet Pg. 337 of 469  *NOT YET APPROVED* 7 (volume) than normal loudspeakers or megaphones. Over shorter distances, LRAD signals are loud enough to cause pain in the ears of people in their path. Purpose/Authorized Uses: Primarily used to communicate, from a safe distance, with armed and/or barricaded subjects, for the purpose of negotiation. Can also be used in furtherance of search and rescue operations, and to communicate lawful dispersal orders. Fiscal Impacts: The initial cost of this equipment was approximately $10,000. The ongoing cost for maintenance will vary. Legal/Procedural Rules Governing Use: Use governed by applicable State, Federal and Local law, and PAPD policy, including but not limited to PAPD policy § 414 (Hostage and Barricade Incidents). Use will be subject to an administrative review. Training Required: The Palo Alto Police Department provides internal training for staff members prior to allowing them to use this equipment. Other Notes: This equipment is maintained and operated by members of the Department’s Crisis Negotiation Team (CNT). Equipment Type: Diversionary Devices and Chemical Agents (tear gas) and pepper balls - CA Gov’t Code §7070(c)(12) Quantity Owned/Sought: 108 Lifespan: 5 years Equipment Capabilities: Capable of creating auditory/visual distractions, and/or deploying tear gas or pepper chemical to distract potentially dangerous individuals. Manufacturer Product Description: The Palo Alto Police Department uses Diversionary Devices and Chemical Agents produced by Defense Technology (DT) and Combined Tactical Systems (CTS). All Chemical Agents utilized by PAPD contain CS (Orthochlorobenzalmalononitrile) or OC (Oleoresin Capsicum). Diversionary Devices: 1. Mini-Bang (CTS-7290M) a. The Model 7290M Flash-Bang exhibits all of the same attributes of its larger counterpart but in a smaller and lighter package. Weighing in at just 15 ounces the new 7290M is approximately 30% lighter than the 7290 but still has the same 180db output of the 7290 and produces 6-8 million candela of light. 2. 9-Bang (CTS-7290-9) a. The Model 7290- Aluminum Body Flash Bang's patented multi-bangs feature top and bottom non-fragmenting, minimal movement devices that perform with high reliability incorporating CTS Superior fuze components with the patented and US Army adopted Confidence Clip and pin shroud. Chemical Agents: 1. CS 37mm Liquid Ferret Barricade Round (CTS-3330) a. 3330 – Liquid CS filled projectile penetrates intermediate barriers and delivers irritant agents into an adjacent room. 2. CS 37mm Liquid Ferret Barricade Round (DT-1162) Item 9 Attachment A - Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026)        Item 9: Staff Report Pg. 8  Packet Pg. 338 of 469  *NOT YET APPROVED* 8 a. The Ferret® 37 mm CS Round is a frangible projectile filled with chemical agent. Upon impacting the barrier, the nose cone ruptures and instantaneously delivers the .16 oz. agent payload inside a structure. 3. CTS 5230b Baffled CS a. The design of the Baffled CS allows the contents to burn within an internal can and external baffling, and disperse the agent safely with reduced risk of fire. The grenade is designed primarily for indoor tactical situations to detect and/or dislodge a barricaded subject. This grenade can be hand thrown or launched from a fired delivery system. 4. CTS 5230 Riot CS a. The CTS Riot CS is specifically designed for outdoor use. It discharges a high volume of smoke and chemical agent through multiple emission ports. This grenade can be hand thrown or launched from a fired delivery system. Smoke: 1. CTS 5210 White Smoke a. The CTS 5210 White Smoke Grenade is designed specifically to conceal tactical movement or to route a crowd. The volume of non-irritant smoke and agent is vast and obtrusive. PepperBall: Less lethal launchers are designed for minimum time between launches and quick reload speed, so whether in a crowd control scenario, tactical or even Mobile Field Force situation, the PepperBall system offers flexibility, safety and security, all within on e platform. Each launcher is air powered, with either carbon dioxide (CO2), nitrogen, or compressed air powering the launch of projectiles. Purpose/Authorized Uses: creating explosive distractions, and/or deploying chemical agents. Fiscal Impacts: The initial cost of the Pepperball equipment was approximately $7,920. The ongoing costs for munitions will vary and maintenance is conducted by departmental staff. The initial cost of the distraction devices and chemical agents was approximately $2,400. The ongoing costs for munitions will vary and (minimal, if any) maintenance is conducted by departmental staff. Legal/Procedural Rules Governing Use Use governed by applicable State, Federal and Local law, and PAPD policy, including but not limited to PAPD policy §§ 300 (Use of Force), 308 (Control Devices and Techniques), and 408 (Crisis Response Unit).Use of tear gas or pepper balls will continue to be subject to an administrative Use of Force review. Use of distraction devices will be subject to an administrative review to ensure policy compliance. Training Required: A P.O.S.T. certified Control Devices and Techniques Department chemical agent and distraction device instructor provides internal training for all members of the SWAT team prior to allowing them to use flashbang grenades or tear gas. The Department provides internal training for all members prior to allowing them to use pepper balls. Other Notes: Distraction devices and chemical agents are exclusively maintained and operated by members of the Department’s Special Weapons and Tactics Team (SWAT). Equipment Type: Bolt Action Rifle and Ammunition - CA Gov’t Code §7070(c)(10) Quantity Owned/Sought: 1 owned Lifespan: Approximately 15 years Item 9 Attachment A - Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026)        Item 9: Staff Report Pg. 9  Packet Pg. 339 of 469  *NOT YET APPROVED* 9 Equipment Capabilities: Accuracy International rifle is capable of firing a 7.62mm/.308 cal projectile bullet. Manufacturer Product Description: Accuracy International (AI) Accuracy Tactical bolt action rifle .308 Winchester/7.62mm NATO. 1. 20" barrel threaded 5/8x24 2. Nightforce:C622 Scope .250 MOA 3. AI Adjustable cheek piece 4. AI Two-stage trigger 5. AI 10-round .380 caliber magazine 6. AI Three-position safety Purpose/Authorized Uses: This rifle is authorized for use by a specially-trained, SWAT marksman only and may be deployed in any circumstance where the officer can articulate a reasonable expectation that the rifle may be needed. Examples of some general guidelines for deploying the rifle may include but are not limited to: 1. Situations where the officer reasonably anticipates an armed encounter. 2. When the officer is faced with a situation that may require accurate and effective fire at long range. 3. Situations where an officer reasonably expects the need to meet or exceed a suspect's firepower. 4. When an officer reasonably believes that there may be a need to fire on a barricaded person or a person with a hostage. 5. When an officer reasonably believes that a suspect may be wearing body armor. 6. When authorized or requested by a supervisor. Fiscal Impacts: This equipment was purchased by the Palo Alto Police Department at an initial cost of $6500.00. The ongoing costs for ammunition will vary and maintenance is conducted by departmental staff. Legal/Procedural Rules Governing Use: Use governed by applicable State, Federal and Local law, and PAPD policy, including but not limited to PAPD policy §§ 300 (Use of Force), 312 (Firearms), and 408 (Crisis Response Unit).Each use will continue to be subject to an administrative Use of Force review. Training Required: In addition to CA P.O.S.T. certified patrol rifle and CA P.O.S.T. certified standard SWAT Operator training, SWAT marksmen must successfully complete a CA P.O.S.T. certified course as well as regular SWAT marksmanship training and qualifications as required by law and policy. Other Notes: None. Qualifying Equipment Owned/Utilized by Palo Alto OES Equipment Type: Command and control vehicle – CA Gov’t Code §7070(c)(5) Quantity Owned/Sought: 1 Lifespan: Approximately 20 years Item 9 Attachment A - Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026)        Item 9: Staff Report Pg. 10  Packet Pg. 340 of 469  *NOT YET APPROVED* 10 Equipment Capabilities: The City of Palo Alto Office of Emergency Services (OES) has a Mobile Emergency Operations Center (MEOC) vehicle. Manufacturer Product Description: The MEOC is built on a 40’ Freightliner chassis, 2010 Model Year. Purpose/Authorized Uses: The MEOC serves as a resource for public safety and coordinates with other such vehicles operated by other agencies. It is deployed to “all hazards” ranging from natural disasters, wildfires, crime, special events, and planned and unplanned disruptions to 9-1-1 and Emergency Operations Center systems and facilities. Fiscal Impacts: The MEOC was acquired in approximately 2010 with grant funding of $300,000 and City funding of $375,000. The ongoing costs for maintenance and operation will vary and most maintenance is conducted by City staff. Legal/Procedural Rules Governing Use: It is the policy of OES to use the MEOC in accordance with California State law regarding the operation of motor vehicles. Furthermore, since the MEOC is grant-funded and since the MEOC is a rare resource, the City may support mutual aid with the MEOC (for example wildfire response). Use will be subject to an administrative review to ensure policy compliance. Training Required: The MEOC is a highly complex system. City staff are provided with requisite training and licensing, depending on their role in supporting the MEOC. Other Notes: The MEOC is not a “military vehicle” but could support coordination with the National Guard, FEMA, and other cooperating agencies after a major earthquake or other disaster. Qualifying Equipment known to be owned and/or utilized by law enforcement units with which the Palo Alto Police Department collaborates and/or participates for law enforcement purposes Equipment Type: Unmanned Aircraft Systems (UAS/Drones) – CA Gov’t Code §7070(c)(1) Quantity Owned/Sought: None (outside owned) Lifespan: Various Equipment Capabilities: Remotely piloted aerial vehicles capable of providing live and recorded video images captured from aerial positions, including images enhanced by Forward Looking Infrared (FLIR) and optical zoom lenses. Manufacturer Product Description: Various. Dependent upon the availability of mutual aid equipment and personnel at the time of need. Purpose/Authorized Uses: UAS/Drones may be utilized to enhance the Department’s mission of protecting lives and property when other means and resources are not available or are less effective. Uses may include but are not limited to: search and rescue; suspect apprehension; crime scene documentation; tactical operations; scene security; hazard monitoring, identification and mitigation; response to emergency calls; crisis communications; legally authorized surveillance. Fiscal Impacts: None. Equipment owned, maintained, and operated by another agency. Legal/Procedural Rules Governing Use: Use governed by applicable State, Federal and Local law, Federal Aviation Administration (FAA) regulations, and PAPD policy, including but not limited to PAPD policy §§ 322 (Search and Seizure) and 352 (Outside Agency Assistance).Federal Aviation Administration (FAA) regulations . Absent a warrant or exigent circumstances, operators and observers shall adhere to FAA altitude regulations and shall not intentionally record or transmit images of any location where a person would have a Item 9 Attachment A - Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026)        Item 9: Staff Report Pg. 11  Packet Pg. 341 of 469  *NOT YET APPROVED* 11 reasonable expectation of privacy (e.g., residence, yard, enclosure). Operators and observers shall take reasonable precautions to avoid inadvertently recording or transmitting images of areas where there is a reasonable expectation of privacy. Upon mutual aid or other request from PAPD, UAS/Drone will be operated by the deploying agency’s staff pursuant to their own policies and review. Training Required: Prior to piloting any UAS/Drone staff members must secure an FAA Remote Pilot License and complete all training required by our FAA COA. Other Notes: None. Equipment Type: Unmanned, remotely piloted, powered ground vehicles - CA Gov’t Code §7070(c)(1) Quantity Owned/Sought: None (outside owned) Lifespan: Various Equipment Capabilities: Robots are capable of being remotely navigated to provide scene information and intelligence in the form of video and still images transmitted to first responders. Manufacturer Product Description: Various. Dependent upon the availability of mutual aid equipment and personnel at the time of need. Purpose/Authorized Uses: To enhance the safety of potentially dangerous situations by providing first responders with the ability to capture video and still images of hazardous areas prior to, or in lieu of, sending in personnel. Fiscal Impacts: None. Equipment owned, maintained, and operated by another agency. Legal/Procedural Rules Governing Use: Absent a warrant or exigent circumstances, operators and observers shall adhere to all applicable privacy laws and shall not intentionally record or transmit images of any location where a person would have a reasonable expectation of privacy (e.g., residence, yard, enclosure). Use governed by applicable State, Federal and Local law, Federal Aviation Administration (FAA) regulations, and PAPD policy, including but not limited to PAPD policy §§ 322 (Search and Seizure) and 352 (Outside Agency Assistance). Upon mutual aid or other request from PAPD, vehicle will be operated by deploying agency’s staff pursuant to their own policies and review. Training Required: Subject to the policies of the deploying agency. Other Notes: While the Palo Alto Police Department does not own or operate this equipment, it could be deployed to an incident within city limits. Equipment Type: Wheeled vehicles that have a breaching apparatus attached - CA Gov’t Code §7070(c)(3) Quantity Owned/Sought: None (outside owned) Lifespan: Various Equipment Capabilities: Capable of breaching doors, gates, and other points of entry; facilitating the safe transport of officers or civilians facing an armed suspect. Manufacturer Product Description: Various. Dependent upon the availability of mutual aid equipment and personnel at the time of need. Purpose/Authorized Uses: Breaching doors, gates, and other points of entry. Safely transporting police personnel or evacuating civilians, when facing with an armed suspect. Fiscal Impacts: None. Equipment owned, maintained, and operated by another agency. Legal/Procedural Rules Governing Use: Use governed by applicable State, Federal and Local law, and PAPD policy, including but not limited to PAPD policy §§ 322 (Search and Seizure) and 352 (Outside Agency Assistance). Upon mutual aid or other request from PAPD, vehicle will be operated by deploying agency’s staff pursuant to their own policies and review. Item 9 Attachment A - Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026)        Item 9: Staff Report Pg. 12  Packet Pg. 342 of 469  *NOT YET APPROVED* 12 Training Required: Subject to the policies of the deploying agency. Other Notes: While the Palo Alto Police Department does not own or operate this equipment, it could be deployed to an incident within city limits. Item 9 Attachment A - Ordinance of the Council of the City of Palo Alto Renewing the Military Equipment Use Policy in Compliance with Govt. Code Section 7070 et seq. (2025-2026)        Item 9: Staff Report Pg. 13  Packet Pg. 343 of 469  City Council Staff Report Report Type: CONSENT CALENDAR Lead Department: City Clerk Meeting Date: January 12, 2026 Report #:2512-5746 TITLE SECOND READING: Ordinance of the Council of the City of Palo Alto Prohibiting Parking of Detached Trailers and Other Non-Motorized Vehicles on Public Streets (FIRST READING: December 8, 2025; PASSED 6-1, Lythcott-Haims no) BACKGROUND The City Council heard this item for a first reading on December 8, 2025 and approved it on a 6- 1, Lythcott-Haims no vote. No changes were made to the ordinance, and it is now before the City Council for a second reading. ATTACHMENTS Attachment A: Ordinance of the Council of the City of Palo Alto Prohibiting Parking of Detached Trailers and Other Non-Motorized Vehicles on Public Streets APPROVED BY: Mahealani Ah Yun, City Clerk Item 10 Item 10 Staff Report        Item 10: Staff Report Pg. 1  Packet Pg. 344 of 469  *NOT YET APPROVED* 1 0290189_20251119_ms29 Ordinance No. ____ Ordinance of the Council of the City of Palo Alto Prohibiting Parking of Detached Trailers and Other Non-Motorized Vehicles on Public Streets The Council of the City of Palo Alto does ORDAIN as follows: SECTION 1. Findings and Declarations. The City Council finds and declares as follows: A. Section 22507 of the California Vehicle Code authorizes the City to regulate the parking of vehicles on City streets. B. The City has experienced a proliferation of detached trailers and other non-motorized vehicles parked on public streets and an associated increase in reports of public health, safety and aesthetic concerns. C. Street parking is a limited resource within the City. Storage of detached trailers and other non-motorized vehicles on public streets consumes limited parking supply and impedes the use of the public streets for temporary parking. D. Detached non-motorized vehicles that cannot be moved on a regular basis impede street sweeping and other clean-up operations and restrict views of motorists, cyclists and pedestrians. E. Inhabited non-motorized vehicles can lead to unauthorized gray and black water disposal with the potential for illegal discharges of septic waste, wastewater, fuels, or trash from such vehicles into City streets, gutters, or storm drains due to their inability to move to access authorized disposal sites. This is particularly hazardous to the public health because Palo Alto’s storm drain system flows directly into the San Francisco Bay. The City has an obligation under federal, state, and regional regulations to keep pollutants out of the storm drain system. F. Detached trailers and other non-motorized vehicles cannot be easily or quickly moved in an emergency and may therefore cause safety hazards. SECTION 2. Section 10.44.020 of the Palo Alto Municipal Code is amended to read as follows (additions underlined, deletions struck through): 10.44.020 Standing or parking, two a.m. to six a.m. (a) No person shall, between the hours of two a.m. and six a.m. of any day, unless authorized by a hardship permit issued pursuant to Section 10.44.021 or a construction or maintenance permit issued pursuant to Section 10.40.045, park upon streets or alleys located within a residential zone or public facility zone any of the following vehicles: (1) Oversized vehicles; (2) Trailers; (3) Camper shells; (4) Tow trucks as defined by California Vehicle Code Section 615; (5) Special construction equipment as defined by California Vehicle Code Section 565. Item 10 Attachment A - Ordinance of the Council of the City of Palo Alto Prohibiting Parking of Detached Trailers and Other Non-Motorized Vehicles on Public Streets        Item 10: Staff Report Pg. 2  Packet Pg. 345 of 469  *NOT YET APPROVED* 2 0290189_20251119_ms29 (b) Notwithstanding the provisions of this section, no signs or markings are necessary to give effect to the restrictions and prohibitions contained in this section. No person shall park or leave standing a non-motorized vehicle upon any public street or highway. (1) For the purposes of this subsection, “non-motorized vehicle” means any trailer, camp trailer, semitrailer or trailer coach as defined by the California Vehicle Code. “Non-motorized vehicle” does not include any bicycle, scooter, or micromobility device. (2) This subsection shall not apply to a nonmotorized vehicle that is attached to a vehicle capable of moving the nonmotorized vehicle in a lawful manner upon the street, carries a hardship permit issued pursuant to Section 10.44.021 or a construction or maintenance permit issued pursuant to Section 10.40.045, is actively being loaded or unloaded, or is undergoing emergency repairs. (c) Where not inconsistent with the U.S. Constitution or other applicable law, vehicles parked in violation of this section are subject to tow. SECTION 3. Severability. If any provision, clause, sentence or paragraph of this ordinance, or the application to any person or circumstances, shall be held invalid, such invalidity shall not affect the other provisions of this Ordinance which can be given effect without the invalid provision or application and, to this end, the provisions of this Ordinance are hereby declared to be severable. SECTION 4. Effective Date. This ordinance shall be effective on the thirty-first day after the date of its adoption. // // // // // // // // // // // Item 10 Attachment A - Ordinance of the Council of the City of Palo Alto Prohibiting Parking of Detached Trailers and Other Non-Motorized Vehicles on Public Streets        Item 10: Staff Report Pg. 3  Packet Pg. 346 of 469  *NOT YET APPROVED* 3 0290189_20251119_ms29 SECTION 5. CEQA. The City Council finds and determines that this Ordinance is not a project within the meaning of section 15378 of the California Environmental Quality Act (“CEQA”) because it has no potential for resulting in physical change in the environment, either directly or ultimately. Alternatively, it is exempt from CEQA under CEQA Guidelines section 15308 as a regulatory action for the protection of the environment. INTRODUCED: PASSED: AYES: NOES: ABSTENTIONS: ABSENT: ATTEST: ____________________________ ____________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: ____________________________ ____________________________ Assistant City Attorney City Manager ____________________________ Chief Transportation Official ____________________________ Chief of Police Item 10 Attachment A - Ordinance of the Council of the City of Palo Alto Prohibiting Parking of Detached Trailers and Other Non-Motorized Vehicles on Public Streets        Item 10: Staff Report Pg. 4  Packet Pg. 347 of 469  City Council Staff Report Report Type: CONSENT CALENDAR Lead Department: City Clerk Meeting Date: January 12, 2026 Report #:2512-5747 TITLE SECOND READING: Ordinance of the Council of the City of Palo Alto Prohibiting Rental of Vehicles for Human Habitation (FIRST READING: December 8, 2025; PASSED 6-1, Lythcott-Haims no) BACKGROUND The City Council heard this item for a first reading on December 8, 2025 and approved it on a 6- 0, Lythcott-Haims no vote. No changes were made to the ordinance, and it is now before the City Council for a second reading. ATTACHMENTS Attachment A: Ordinance of the Council of the City of Palo Alto Prohibiting Rental of Vehicles for Human Habitation APPROVED BY: Mahealani Ah Yun, City Clerk Item 11 Item 11 Staff Report        Item 11: Staff Report Pg. 1  Packet Pg. 348 of 469  *NOT YET APPROVED* 1 0290191_20251119_ms29 Ordinance No. ____ Ordinance of the Council of the City of Palo Alto Prohibi ng Rental of Vehicles for Human Habita on The Council of the City of Palo Alto does ORDAIN as follows: SECTION 1. Findings and Declara ons. The City Council finds and declares as follows: A. The prac ce of ren ng out recrea onal vehicles or other oversized vehicles for use as living or sleeping quarters, known as “vanlording,” is a growing concern in many ci es, including the City of Palo Alto. B. Recrea onal vehicles used for vanlording are parked on public streets, occupying valuable and limited street parking spaces. C. Allowing vanlords to rent out vehicles in the public right of way facilitates private profit- taking from the use of a public resource. D. The prac ce of vanlording is unlicensed and unregulated and therefore o en associated with unregistered, poorly maintained, and inadequately insured vehicles. E. Vanlords offer renters a place to stay without responsibly addressing health and safety issues that can arise when inhabited vehicles are parked on public streets. These issues include improper waste disposal, unsanitary condi ons, illegal parking, tapping into or blocking fire hydrants or other u lity infrastructure, and the crea on of fires. F. The ren ng out of vehicles for human habita on is not currently regulated. Unlike tradi onal landlords and property management en es, vanlords are not explicitly subject to laws that require the upkeep and maintenance of rental housing. Accordingly, those who rent from them are not protected by laws that secure tenants’ rights or even basic habitability standards. G. With this ordinance, the City Council intends to prohibit vanlording within the City of Palo Alto. SECTION 2. Chapter 9.06 Rental of Vehicles for Human Habita on is hereby added to Title 9 of the Palo Alto Municipal Code, to read as follows: 9.06.010 Rental of recrea onal vehicles for living or sleeping quarters – Prohibi on. No person shall rent, lease, let out, or otherwise loan any oversized vehicle which is subsequently u lized for living or use as sleeping quarters on any street, alley, or city-owned or city-controlled premises in exchange for money, goods, or services. For the purposes of this Chapter, “oversized vehicle” means any vehicle exceeding seven feet in height or exceeding twenty feet in overall length or exceeding seven feet in width (including any Item 11 Attachment A - Ordinance of the Council of the City of Palo Alto Prohibiting Rental of Vehicles for Human Habitation        Item 11: Staff Report Pg. 2  Packet Pg. 349 of 469  *NOT YET APPROVED* 2 0290191_20251119_ms29 load or accessory thereon other than antennas), provided that this defini on shall not apply to vehicles which exceed these dimensions solely because of modifica ons required to accommodate a disability and the vehicle is lawfully displaying a disabled placard or license. It shall not be necessary to prove that the person who rented, leased, let out, or otherwise loaned any vehicle which was subsequently u lized for living or sleeping quarters intended or knew that the vehicle would be used for living or use as sleeping quarters on any street, alley, or city-owned premises. 9.06.020 Rental of recrea onal vehicles for living or sleeping quarters – Adver sements prohibited. No person shall adver se for rent, lease, let out, or loan in any newspaper, or through any other medium including online, social media, or other pla orms, any oversized vehicle available for the purpose of u lizing the vehicle for living or use as sleeping quarters on any street, alley, or city-owned or city-controlled premises. 9.06.030 Rental of Vehicles in the Public Right of Way It shall be unlawful for any person who deals in or whose business involves the rental or leasing of vehicles, including recrea onal vehicles (RVs) or other oversized vehicles, to park, store, or leave standing any such vehicles, whether occupied or vacant, on any street, alley, or other public right-of-way during the conduct of such business. This prohibi on does not apply to a vehicle owned only for personal use and not involved in the business of rental or leasing of vehicles, if otherwise legally parked. 9.06.050 Rental of Space in the Public Right of Way No person or en ty other than the City of Palo Alto and any of its departments or designees or other appropriate public en ty shall have the authority to sell, lease, license, permit, reserve or facilitate the reserving of any street, way, alley, highway, road, parkway, parking space or other public right of way or City-controlled parking lot in the City of Palo Alto without wri en authoriza on from the City. Any person who purports to sell, lease, license, permit, reserve or facilitate reserving of space in the public right of way via a wri en or oral agreement of any kind, with or without compensa on, is in viola on of this sec on. 9.06.060 Enforcement Item 11 Attachment A - Ordinance of the Council of the City of Palo Alto Prohibiting Rental of Vehicles for Human Habitation        Item 11: Staff Report Pg. 3  Packet Pg. 350 of 469  *NOT YET APPROVED* 3 0290191_20251119_ms29 Each day in which a viola on of this Chapter occurs shall cons tute a separate viola on of this Chapter. Each vehicle in viola on of this Chapter shall cons tute a separate viola on of this Chapter. Viola ons are enforceable through any penalty available by law, including those specified in Title 1 of this Code. SECTION 3. Severability. If any provision, clause, sentence or paragraph of this ordinance, or the applica on to any person or circumstances, shall be held invalid, such invalidity shall not affect the other provisions of this Ordinance which can be given effect without the invalid provision or applica on and, to this end, the provisions of this Ordinance are hereby declared to be severable. SECTION 4. Effec ve Date. This ordinance shall be effec ve on the thirty-first day a er the date of its adop on. // // // // // // // // // // // // Item 11 Attachment A - Ordinance of the Council of the City of Palo Alto Prohibiting Rental of Vehicles for Human Habitation        Item 11: Staff Report Pg. 4  Packet Pg. 351 of 469  *NOT YET APPROVED* 4 0290191_20251119_ms29 SECTION 5. CEQA. The City Council finds and determines that this Ordinance is not a project within the meaning of sec on 15378 of the California Environmental Quality Act (“CEQA”) because it has no poten al for resul ng in physical change in the environment, either directly or ul mately. INTRODUCED: PASSED: AYES: NOES: ABSTENTIONS: ABSENT: ATTEST: APPROVED: ______________________________ ____________________________ City Clerk Mayor APPROVED AS TO FORM: ____________________________ City Manager ______________________________ Assistant City A orney ____________________________ Chief of Police Item 11 Attachment A - Ordinance of the Council of the City of Palo Alto Prohibiting Rental of Vehicles for Human Habitation        Item 11: Staff Report Pg. 5  Packet Pg. 352 of 469  City Council Staff Report Report Type: CONSENT CALENDAR Lead Department: City Clerk Meeting Date: January 12, 2026 Report #:2512-5748 TITLE SECOND READING: Interim Ordinance of the Council of the City of Palo Alto Temporarily Extending Interim Ordinance 5645, Amending Various Chapters of Title 16 (Building Regulations) and Title 18 (Zoning) and Title 21 (Subdivisions and Other Divisions of Land) of the Palo Alto Municipal Code to Implement Recent State Housing Laws (FIRST READING: December 8, 2025, PASSED 7-0) BACKGROUND The City Council heard this item on December 8, 2025 for a first reading and approved it on a 7- 0 vote. No changes were made to the ordinance, and it is now before the City Council for a second reading. ATTACHMENTS Attachment A: Interim Ordinance of the Council of the City of Palo Alto Temporarily Extending Interim Ordinance 5645, Amending Various Chapters of Title 16 (Building Regulations) and Title 18 (Zoning) and Title 21 (Subdivisions and Other Divisions of Land) of the Palo Alto Municipal Code to Implement Recent State Housing Laws APPROVED BY: Mahealani Ah Yun, City Clerk Item 12 Item 12 Staff Report        Item 12: Staff Report Pg. 1  Packet Pg. 353 of 469  * NOT YET APPROVED * 1 0160178_20251114_ay16 Ordinance No. ____ Interim Ordinance of the Council of the City of Palo Alto Temporarily Extending Interim Ordinance 5645, Amending Various Chapters of Title 16 (Building Regulations) and Title 18 (Zoning) and Title 21 (Subdivisions and Other Divisions of Land) of the Palo Alto Municipal Code to Implement Recent State Housing Laws 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. On January 13, 2025, the City Council adopted Ordinance No. 5645, Amending Various Chapters of Title 16 (Building Regulations) and Title 18 (Zoning) and Title 21 (Subdivisions and Other Divisions of Land) of the Palo Alto Municipal Code to Implement Recent State Housing Laws, with an expiration date of December 31, 2025. B. The City Council now desires to extend these sections of the ordinance until December 31, 2026. SECTION 2. The effective date of Ordinance No. 5645 is hereby extended to December 31, 2026, unless further extended by the City Council or superseded by replacement legislation. SECTION 3. If any section, subsection, clause or phrase of this Ordinance is for any reason held to be invalid, such decision shall not affect the validity of the remaining portion or sections of the Ordinance. The Council hereby declares that it should have adopted the Ordinance and each section, subsection, sentence, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid. SECTION 4. Environmental Review. The Council finds that the Ordinance is exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) because it can be seen with certainty that there is no possibility that updating the municipal code to implement existing changes in preemptive state housing law will have a significant effect on the environment. // // Item 12 Attachment A - Interim Ordinance of the Council of the City of Palo Alto Temporarily Extending Interim Ordinance 5645, Amending Various Chapters of Title 16 (Building Regulations) and Title 18 (Zoning) and Title 21 (Subdivisions and Other Divisions of Land) of the Palo Alto Municipal Code to Implement Recent State Housing Laws        Item 12: Staff Report Pg. 2  Packet Pg. 354 of 469  * NOT YET APPROVED * 2 0160178_20251114_ay16 SECTION 4. Effective Date. This ordinance shall be effective on the thirty-first day after the date of its adoption (second reading). INTRODUCED: 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 12 Attachment A - Interim Ordinance of the Council of the City of Palo Alto Temporarily Extending Interim Ordinance 5645, Amending Various Chapters of Title 16 (Building Regulations) and Title 18 (Zoning) and Title 21 (Subdivisions and Other Divisions of Land) of the Palo Alto Municipal Code to Implement Recent State Housing Laws        Item 12: Staff Report Pg. 3  Packet Pg. 355 of 469  City Council Staff Report From: City Manager Report Type: ACTION ITEMS Lead Department: Community Services Meeting Date: January 12, 2026 Report #:2511-5568 TITLE Study and Assessment of Palo Alto Turf Systems and Direct Staff to Proceed with El Camino Park Synthetic Turf Replacement and Natural Grass Pilot; CEQA Status – Categorically and Statutorily Exempt RECOMMENDATION The City Council Ad Hoc Committee recommends that City Council direct staff to: 1. Proceed with replacing the existing synthetic turf at El Camino Park with improved synthetic turf using organic infill and to implement risk management measures, including stormwater filtration, enhanced maintenance practices, and related mitigation measures; and 2. Pursue a natural grass pilot project to enhance playability and durability; and 3. Continue to explore opportunities to transition from synthetic turf at Cubberley. EXECUTIVE SUMMARY At its November 17, 20251 meeting, City Council considered a staff and Park and Recreation Commission recommendation to approve the Study and Assessment of Turf Systems for the City of Palo Alto Playing Fields2 and to proceed with replacement of the synthetic turf at El Camino Park. City Council voted unanimously to defer action and establish an Ad Hoc Committee to further discuss the Study with staff and return with recommendations. 1 City Council, November 17, 2025, Agenda Item #9, SR# 2508-5070, https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83867 2 2025 Study and Assessment of Turf Systems for the City of Palo Alto Playing Fields, Updated: November 3, 2025, https://www.paloalto.gov/files/assets/public/v/1/community-services/staff-report-contracts/open-space-parks- and-golf/turf-study-report/2025-city-of-palo-alto-turf-study-report.pdf Item 13 Item 13 Staff Report Item 13: Staff Report Pg. 1 Packet Pg. 356 of 469  Since that meeting, staff have completed additional follow-up requested by City Council and the Ad Hoc Committee, including interdepartmental stormwater assessments, clarification of cost assumptions, analysis of summer field utilization, and further evaluation of natural grass pilot options. The City Council Ad Hoc Committee met on November 24 and December 9, 2025. Based on those discussions, the Ad Hoc Committee recommends proceeding with replacement of the existing synthetic turf at El Camino Park using improved synthetic turf and organic infill with enhanced risk mitigation measures, advancing a pilot project to improve natural grass playability, and continuing to explore long-term opportunities to transition from synthetic turf at Cubberley. Staff analysis confirms that El Camino Park remains a critical component of the City’s athletic field system. Removal of the synthetic turf would displace approximately 1,221 permitted players annually, including about 570 Palo Alto residents, with no available capacity at other City fields to absorb this demand. Summer availability does not offset peak fall, winter, and spring demand, when fields are fully programmed. The Study and Assessment of Turf Systems is intended to inform the City’s long-term policy framework for athletic field surface decisions. Future actions, including Cubberley, will apply this framework using site-specific operational data and pilot outcomes, rather than initiating new systemwide studies. This approach balances fiscal stewardship, operational clarity, and timely decision-making. BACKGROUND The City of Palo Alto’s Community Services Department manages a system of natural and synthetic athletic fields, including El Camino Park, Stanford Palo Alto Community Playing Fields (Mayfield), and Cubberley. The synthetic turf field at El Camino Park, installed in 2015, has reached the end of its useful life and requires replacement. A Capital Improvement Project (PG-24000) to replace the El Camino Park synthetic turf was included in the FY2024 Adopted Capital Budget. In May 20245, the Finance Committee recommended that City Council direct staff conduct additional study to inform future turf replacement decisions. The Turf Study was incorporated into the FY 2025 Budget6, and replacement of the El Camino Park synthetic turf was placed on hold pending completion of the study. 5 Finance Committee, May 21, 2024; Agenda Item #1; SR# 2402-2664, https://cityofpaloalto.primegov.com/Portal/viewer?id=0&type=7&uid=543c404f-2b05-4cbb-b9df-75ffb768545d 6 City Council, June 17, 2024; Agenda Item #28; SR# 2406-3140, https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=82926 Item 13 Item 13 Staff Report Item 13: Staff Report Pg. 2 Packet Pg. 357 of 469  Replacement of the Mayfield synthetic turf was approved by City Council in June 20259. That project achieved substantial completion on December 5, 2025, and was delivered on time and on budget. The fields were immediately opened for public use. The Study and Assessment of Turf Systems for the City of Palo Alto Playing Fields evaluates synthetic, natural, and hybrid turf systems with respect to playability, lifecycle cost efficiency, maintenance requirements, environmental and health considerations, and community priorities. The Study includes a case study of El Camino Park and provides system-level recommendations for future turf decisions. On November 17, 2025, City Council considered a staff and Park and Recreation Commission recommendation to approve of the Study and Assessment of Turf Systems and to proceed with replacement of the synthetic turf at El Camino Park. City Council voted 7-0 to defer the item to a date uncertain and establish an Ad Hoc Committee to further discuss the Study with staff and return to Council with recommendations. A substitute motion to direct staff to proceed with synthetic turf replacement at El Camino Park and to designate Cubberley as a pilot natural grass site failed on a 3-4 vote. ANALYSIS The City initiated the Study and Assessment of Turf Systems to provide a consistent, systemwide framework for evaluating synthetic, natural, and hybrid turf systems across City athletic facilities. The Study evaluated lifecycle costs, playability, environmental considerations, maintenance requirements, and community priorities and is intended to guide future capital and operational decisions. At the November 17 Council meeting, the Council approved a new Ad Hoc Committee to further review the Study and return to Council with a recommendation. Mayor Lauing, Vice Mayor Veenker, and Councilmember Burt comprised the City Council Ad Hoc Committee, and met on November 24 and December 9, 2025. They reviewed the Study and Assessment of Turf Systems and requested additional clarification from staff on several topics. During these meetings, the Ad Hoc Committee sought further information regarding risk mitigation measures including stormwater protection measures, infill materials, PFAS considerations/testing, surface heat, and maintenance practices. Discussions also included lifecycle cost assumptions, seasonal field usage at El Camino Park, and potential pilot approaches for improving natural grass playability. The following sections summarizes the topics that were discussed by the Ad Hoc Committee. 9 3 City Council, June 9, 2025; Agenda Item #9; SR #2501-3998, https://recordsportal.paloalto.gov/WebLink/DocView.aspx?id=83440 Item 13 Item 13 Staff Report Item 13: Staff Report Pg. 3 Packet Pg. 358 of 469  Risk Mitigation Measures 6 performance. Item 13 Item 13 Staff Report        Item 13: Staff Report Pg. 4  Packet Pg. 359 of 469  Youth field demand in Palo Alto is driven primarily by organized league seasons, which occur in the fall, winter, and spring. Most youth leagues pause during the summer due to travel and camp participation. Winter league play cannot shift to summer because leagues do not operate during that period. During peak seasons, El Camino Park is fully booked on weekdays from approximately 4:00 p.m. to 10:00 p.m. and on weekends from approximately 8:00 a.m. to 10:00 p.m. There is no available capacity at other City fields to absorb El Camino Park use if the synthetic turf were removed. Item 13 Item 13 Staff Report        Item 13: Staff Report Pg. 5  Packet Pg. 360 of 469  FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT 11 of the Study. 11 Study and Assessment of Turf Systems, Appendix C: City of Palo Alto Outreach Questionnaire and Responses, https://www.paloalto.gov/files/assets/public/v/1/community-services/staff-report-contracts/open-space-parks- and-golf/turf-study-report/appendix-c-outreach-questions-and-responses.pdf Item 13 Item 13 Staff Report        Item 13: Staff Report Pg. 6  Packet Pg. 361 of 469  The City also maintained a dedicated project webpage13 to provide transparent and up-to-date information and to encourage community participation. The draft Study was released for public review on August 13, 2025, initiating a formal public comment period that ran through September 3, 2025. During that period, and through Parks and Recreation Commission meetings on August 26 and September 23, 2025, the City received a total of 32 public comments from 21 unique contributors. Appendix F of the Study summarizes these comments and provides a table of key themes and staff responses. ENVIRONMENTAL REVIEW APPROVED BY: 13 Turf Study Project Webpage, https://www.paloalto.gov/Departments/Community-Services/Parks-Open-Space- Golf-Division/Whats-Happening-in-Your-Parks/Turf-Study Item 13 Item 13 Staff Report        Item 13: Staff Report Pg. 7  Packet Pg. 362 of 469  3 5 1 3 3 5 1 3 Palo Alto Public Improvement Corporation Board of Directors Staff Report From: City Manager Report Type: ACTION ITEMS Lead Department: Administrative Services Meeting Date: January 12, 2026 Report #:2311-2231 TITLE Approval of Fiscal Year 2025 Palo Alto Public Improvement Corporation's Annual Financial Report. CEQA Status - Not a Project RECOMMENDATION Staff recommends that the Board of Directors of the Palo Alto Public Improvement Corporation (PIC) approve the Fiscal Year (FY) 2025 Annual Financial Report for the Palo Alto Public Improvement Corporation. BACKGROUND The City established the Palo Alto Public Improvement Corporation in 1983. The PIC is a nonprofit corporation, legally distinct from the City, that allows the City to issue Certificates of Participation (COPs) to fund capital improvements. The City Council serves as the PIC’s Board of Directors. The PIC, through a lease-leaseback structure, finances the acquisition, improvement, and construction of City facilities. The PIC uses the lease payments by the City’s General Fund to pay the debt service on the COPs. On July 13, 1998, Council adopted a resolution establishing itself as the Board of Directors of the PIC. The PIC’s bylaws of require its Board to meet at least annually and approve the annual financial report for the Corporation. In 1983 and 1998, the City of Palo Alto issued COPs to fund improvements to the Civic Center and the Golf Course, respectively. The Civic Center bonds were refinanced in 2002 to take advantage of lower interest rates and COPs were issued to finance the construction of commercial space adjacent to the new parking structure on Bryant/Florence Street. These bonds (referred to as the Downtown Parking Improvement bonds or 2002B COP) were used to build a two story above-ground structure of approximately 7,638 square feet at 445 Bryant Street. That structure was previously leased and operated as a privately owned fitness club until 2022 and will be re-opened as a downtown community center with classes, summer camps, a teen center operated by the Community Services Department and a senior nutrition program operated by La Comida. Item 14 Item 14 Staff Report        Item 14: Staff Report Pg. 1  Packet Pg. 363 of 469  3 5 1 3 3 5 1 3 In fiscal year 2018, the City issued the 2018 Capital Improvement Project and Refinancing COPs in the amount of $9 million to refinance the 2002B COPs ($0.6 million) and to finance renovations for the Palo Alto Municipal Golf Course ($8.4 million). Fire Station 1 was used as the leased property and collateral for these COPs since it had a market value closer to the COPs issuance amount. This provided a net present value savings of $0.2 million or 6.47% on the 2002B refunded bonds and substituted Fire Station 1 as the leased property/collateral. This refinancing allowed the City to then use the Civic Center as collateral for the 2021 Public Safety building COPs. ANALYSIS COPs Description Principal Outstanding (millions) Fiscal Year Debt will be Retired Total COPs $138.5 Item 14 Item 14 Staff Report        Item 14: Staff Report Pg. 2  Packet Pg. 364 of 469  3 5 1 3 3 5 1 3 Staff recommends that the Board of Directors of the Palo Alto Public Improvement Corporation (PIC) approve the FY 2025 Annual Financial Report for the PIC. POLICY IMPLICATIONS Approval of the Palo Alto Public Improvement Corporation’s Annual Financial Report is consistent with prior Council policy direction and resolutions. FISCAL/RESOURCE IMPACT Approval of the Palo Alto Public Improvement Corporation’s Annual Financial Report will have no resource impact. STAKEHOLDER ENGAGEMENT Staff works internally and coordinates with the City Auditor’s Office third party external auditor Macias Gini & O’Connell LLP (MGO) to prepare this report. ENVIRONMENTAL REVIEW This activity is not a project under California Environmental Quality Act (CEQA) as defined in CEQA Guidelines, section 15378, because it is an administrative activity that will not result in either a direct or reasonably foreseeable indirect physical changes in the environment. ATTACHMENTS Attachment A: Palo Alto Public Improvement Fiscal Year 2025 Annual Financial Report APPROVED BY: Lauren Lai, Administrative Services Director Item 14 Item 14 Staff Report        Item 14: Staff Report Pg. 3  Packet Pg. 365 of 469  PALO ALTO PUBLIC IMPROVEMENT CORPORATION (A Component Unit of the City of Palo Alto, California) Annual Financial Report For the Year Ended June 30, 2025 Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 4  Packet Pg. 366 of 469  PALO ALTO PUBLIC IMPROVEMENT CORPORATION (A Component Unit of the City of Palo Alto, California) Annual Financial Report For the Year Ended June 30, 2025 Table of Contents Page Independent Auditor’s Report ................................................................................................................... 1 Management’s Discussion and Analysis (Unaudited) .............................................................................. 3 Basic Financial Statements Government-wide Financial Statements: Statement of Net Position ................................................................................................................... 5 Statement of Activities ....................................................................................................................... 6 Debt Service Fund Financial Statements: Balance Sheet ..................................................................................................................................... 7 Statement of Revenues, Expenditures and Changes in Fund Balance ................................................ 8 Notes to the Basic Financial Statements .................................................................................................. 9 Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 5  Packet Pg. 367 of 469  www.mgocpa.com Macias Gini & O’Connell LLP 2121 N. California Boulevard, Suite 750 Walnut Creek, CA 94596 1 Independent Auditor’s Report Board of Director of the Palo Alto Public Improvement Corporation The Honorable Mayor and Members of the City Council of the City of Palo Alto, California Opinions We have audited the financial statements of the governmental activities and the major fund of the Palo Alto Public Improvement Corporation (Corporation), a component unit of the City of Palo Alto, California (City), as of and for the year ended June 30, 2025, and the related notes to the financial statements, which collectively comprise the Corporation’s basic financial statements as listed in the table of contents. In our opinion, the accompanying financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities and the major fund of the Corporation as of June 30, 2025, and the respective changes in financial position thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America. Basis for Opinions We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS). Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Corporation and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. Responsibilities of Management for the Financial Statements The Corporation’s management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Corporation’s ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter. Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 6  Packet Pg. 368 of 469  2 Auditor’s Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements. In performing an audit in accordance with GAAS, we: • exercise professional judgment and maintain professional skepticism throughout the audit. • identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. • obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Corporation’s internal control. Accordingly, no such opinion is expressed. • evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements. • conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Corporation’s ability to continue as a going concern for a reasonable period of time. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control–related matters that we identified during the audit. Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis be presented to supplement the basic financial statements. Such information is the responsibility of management and, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with GAAS, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Walnut Creek, California October 31, 2025 Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 7  Packet Pg. 369 of 469  PAL ALTO PUBLIC IMPROVEMENT CORPORATION (A Component Unit of the City of Palo Alto, California) Management’s Discussion & Analysis (Unaudited) For the Year Ended June 30, 2025 3 The Palo Alto Public Improvement Corporation (Corporation), a component unit of the City of Palo Alto (City), follows the provisions of Governmental Accounting Standards Board (GASB). The Corporation is controlled by the City and was organized to assist the City in financing public improvements. The Corporation issues debt and turns the proceeds of the debt over to the City under lease agreements that provide a revenue source for the repayment of this debt. The Corporation has three outstanding debts and has turned over the proceeds to the City, which pledged certain lease payments as collateral for this debt as discussed in Note 4 to the financial statements. FINANCIAL HIGHLIGHTS GASB requires the issuance of government-wide financial statements as well as fund financial statements. The government-wide financial statements report the balance of the Corporation’s long-term debt while the individual fund statements do not. In fiscal year 2018, the City issued 2018 Capital Improvement Project and Refinancing Certificates of Participation (2018 COPs) in the amount of $9.0 million to refinance the 2002B Downtown Parking Improvements Certificates of Participation remaining balance of $0.8 million, and also to fund the Palo Alto Municipal Golf Course renovations. In fiscal year 2019, the City issued the 2019 California Avenue Parking Garage tax exempt Series A and taxable Series B Certificates of Participation (2019A and 2019B COPs) in the amount of $26.8 million plus $4.9 million premium, and $10.6 million, respectively. The 2019A and 2019B COPs were issued to fund the construction of the new California Avenue parking garage. In fiscal year 2021, the City issued the 2021 Public Safety Building Certificates of Participation (2021 COPs) in the amount of $101.5 million plus $6.5 million premium. The 2021 COPs were issued to fund the construction of the new public safety building. As of June 30, 2025, the Corporation has the following outstanding debt: the 2018 COPs, 2019A and 2019B COPs, and 2021 COPs. At the government-wide level, the interest and fiscal agent charges were $4.3 million for fiscal year 2025, a decrease of $0.2 million from the prior year. The interest on leases from the City of Palo Alto was $4.3 million, a decrease of $0.2 million from the prior year. The decrease is mainly due to the decrease in outstanding debt from the prior year. The Corporation ended fiscal year 2025 with total assets of $148.8 million, a decrease of $3.6 million from the prior year. Total assets consisted of $0.1 million in cash and investments, $0.8 million of lease interest receivable from the City of Palo Alto, and $147.9 million of investment in leases to the City of Palo Alto. The total liabilities were $148.7 million, a decrease of $3.6 million from the prior year. The decrease of assets and liabilities resulted from scheduled principal and interest payments of the 2018 COPs, the 2019A and 2019B COPs, and the 2021 COPs. As of June 30, 2025, the Corporation reported a $0.1 million restricted net position. At the fund level, the Corporation’s revenues exceeded expenditures by $15.0 thousand. As of June 30, 2025, the Corporation had one fund, the Debt Service Fund, which reported a $0.1 million restricted fund balance. Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 8  Packet Pg. 370 of 469  PALO ALTO PUBLIC IMPROVEMENT CORPORATION (A Component Unit of the City of Palo Alto, California) Management’s Discussion & Analysis (Unaudited) (Continued) For the Year Ended June 30, 2025 4 OVERVIEW OF THE CORPORATION’S BASIC FINANCIAL STATEMENTS The annual financial report is comprised of two parts: 1) Management’s discussion and analysis (this part), 2) The basic financial statements, which include the government-wide and the fund financial statements, along with the notes to these financial statements. The basic financial statements comprise the government-wide financial statements and the fund financial statements. These two sets of financial statements provide two different views of the Corporation’s financial activities and financial positions, both short-term and long-term. The government-wide financial statements provide a long-term view of the Corporation’s activities as a whole, and comprise the statement of net position and the statement of activities. The statement of net position provides information about the financial position of the Corporation as a whole, including all its long-term liabilities on the full accrual basis, similar to that used by corporations. The statement of activities provides information about all the Corporation’s revenues and expenses on the full accrual basis, with the emphasis on measuring net revenues or expenses of the Corporation’s program. The statement of activities explains in detail the change in net position for the year. The fund financial statements report the Corporation’s operations in more detail than the corporate-wide statements and focus primarily on the short-term activities of the debt service fund. Fund financial statements measure only current revenues and expenditures; current assets, liabilities and fund balances; and they exclude capital assets and long-term debt. Together, these statements along with the notes to the financial statements are called the basic financial statements. DEBT ADMINISTRATION The Corporation issues debt in the form of Certificates of Participation (COPs) to be repaid from future lease receipts from the City. Legally, these COP issues are the Corporation’s debt only; the City is liable only for the payment of the amounts set forth in the lease securing each debt issue. As of June 30, 2025, the Corporation has the following outstanding debt (excluding premium): 2018 COPs, 2019A and 2019B COPs, and 2021 COPs with outstanding principal balances of $7.8 million, $33.6 million and $97.1 million, respectively. ECONOMIC OUTLOOK AND MAJOR INITIATIVES The economy of the City and its major initiatives for the coming year are discussed in detail in the City’s Annual Comprehensive Financial Report. CONTACTING THE CORPORATION’S FINANCIAL MANAGEMENT These basic financial statements are intended to provide citizens, taxpayers, investors, and creditors with a general overview of the Corporation’s finances. Questions about these financial statements should be directed to the Finance Department of the City of Palo Alto, 250 Hamilton Avenue, Palo Alto, CA 94301. Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 9  Packet Pg. 371 of 469  Assets Cash held for operations 112,885$ Cash and investments held by trustee 4,186 Lease interest receivable 775,266 Investment in leases to the City of Palo Alto 147,880,762 Total assets 148,773,099 Liabilities Interest payable 775,266 Long-term debt: Due in one year 3,743,253 Due in more than one year 144,137,509 Total liabilities 148,656,028 Net Position Restricted for debt service 117,071$ PALO ALTO PUBLIC IMPROVEMENT CORPORATION (A Component Unit of the City of Palo Alto) Statement of Net Position June 30, 2025 See accompanying notes to financial statements. 5 Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 10  Packet Pg. 372 of 469  Expenses Interest and fiscal agent charges 4,295,076$ Program revenues Interest on leases from the City of Palo Alto 4,295,673 Net program revenues 597 General revenues Investment earnings 14,430 Change in net position 15,027 Net position, beginning of the year 102,044 Net position, end of the year 117,071$ PALO ALTO PUBLIC IMPROVEMENT CORPORATION (A Component Unit of the City of Palo Alto) Statement of Activities For the Year Ended June 30, 2025 See accompanying notes to financial statements. 6 Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 11  Packet Pg. 373 of 469  Assets Cash held for operations 112,885$ Cash and investments held by trustee 4,186 Lease interest receivable 775,266 Investment in leases to City of Palo Alto 147,880,762 Total assets 148,773,099$ Deferred Inflows of Resources Unavailable lease receipts from the City of Palo Alto 148,656,028$ Fund balance Restricted for debt service 117,071 Total deferred inflows of resources and fund balance 148,773,099$ Reconciliation of fund balance to net position Fund balance restricted for debt service 117,071$ Long-term receivables are not available to pay for current period expenditures and are considered unavailable on the governmental fund balance sheet. 148,656,028 Some liabilities, including bonds payable, are not due and payable in the current period and therefore are not reported in governmental funds. Interest payable (775,266) Long-term debt due within one year (3,743,253) Long-term debt due in more than one year (144,137,509) Net position of governmental activities 117,071$ PALO ALTO PUBLIC IMPROVEMENT CORPORATION (A Component Unit of the City of Palo Alto) Balance Sheet June 30, 2025 Debt Service Fund See accompanying notes to financial statements. 7 Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 12  Packet Pg. 374 of 469  Revenues: Lease receipts from the City of Palo Alto: Principal 3,170,000$ Interest 4,729,196 Othe 597 Investments earnings 14,430 Total revenues 7,914,223 Expenditures: Debt service: Principal repayment 3,170,000 Interest and fiscal agent charges 4,729,196 Total expenditures 7,899,196 Net change in fund balance 15,027 Fund balance, beginning of the year 102,044 Fund balance, end of the year 117,071$ Reconciliation of net change in fund balance to change in net position Net change in fund balance - debt service fund 15,027$ Amounts reported for governmental activities in the statement of activities are different because: Repayment of bond principal is an expenditure in the governmental funds, but in the statement of net position the repayment reduces long-term liabilities. 3,170,000 Interest accrued on long-term debt and amortization of bond premium do not require the use of current financial resources and therefore are not reported as expenditures in governmental funds. Change in interest payable 25,867 Amortization of bond premium 408,253 Some amounts reported in the statement of revenues, expenditures and changes in fund balances reflect the timing of collection of assets which are not includable as revenues on the statement of activities. Lease receipt for bond principal repayment (3,170,000) Lease receipt for interest payment (25,867) Impact of bond premium amortization on lease receipt (408,253) Change in net position of governmental activities 15,027$ PALO ALTO PUBLIC IMPROVEMENT CORPORATION (A Component Unit of the City of Palo Alto) Statement of Revenues, Expenditures and Changes in Fund Balance For the Year Ended June 30, 2025 Debt Service Fund See accompanying notes to financial statements. 8 Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 13  Packet Pg. 375 of 469  PALO ALTO PUBLIC IMPROVEMENT CORPORATION (A Component Unit of the City of Palo Alto, California) Notes to the Basic Financial Statements For the Year Ended June 30, 2025 9 NOTE 1 – DESCRIPTION OF REPORTING ENTITY The Palo Alto Public Improvement Corporation (the Corporation) was incorporated in September 1983 under the General Nonprofit Corporation Law of the State of California to acquire, construct and lease capital improvement projects. The Corporation is exempt from federal income taxes under Section 501(c)(4) of the Internal Revenue Code. The Corporation provides financing of public capital improvements for the City through the issuance of Certificates of Participation (COPs), a form of debt which allows investors to participate in a stream of future lease payments. Proceeds from the COPs are used to construct projects which are leased to the City for lease payments which are sufficient in timing and amount to meet the debt service requirements of the COPs. The Corporation is an integral part of the City of Palo Alto, California (City). It primarily services the City and its governing body is composed of the City Council. Therefore, the financial data of the Corporation has also been included as a blended component unit within the City’s annual comprehensive financial report for the year ended June 30, 2025. NOTE 2 – SIGNIFICANT ACCOUNTING POLICIES (a) Basis of Presentation Government-wide Statements: The statement of net position and the statement of activities include the financial activities of the Corporation. Eliminations have been made to minimize the double counting of internal activities. The statement of activities presents a comparison between direct expenses and program revenues for each function of the Corporation’s activities. Direct expenses are those that are specifically associated with a program or function and, therefore, are clearly identifiable to a particular function. Program revenues include (a) charges paid by the recipients of goods or services offered by the programs, and (b) grants and contributions that are restricted to meeting the operational or capital requirements of a particular program. Revenues that are not classified as program revenues, including investment earnings, are presented as general revenues. Fund Financial Statements: The fund financial statements provide information about the Corporation’s funds. The emphasis of fund financial statements is on major individual funds, of which the Corporation only reports one debt service fund. (b) Major Fund Major funds are defined as funds that have either assets, liabilities, revenues or expenditures equal to ten percent of their fund-type total and five percent of the grand total. The Corporation has one fund which is reported as a major governmental fund in the accompanying financial statements as follows: Debt Service Fund – This fund accounts for debt service payments on the Corporation’s long-term debt. Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 14  Packet Pg. 376 of 469  PALO ALTO PUBLIC IMPROVEMENT CORPORATION (A Component Unit of the City of Palo Alto, California) Notes to the Basic Financial Statements (Continued) For the Year Ended June 30, 2025 10 NOTE 2 – SIGNIFICANT ACCOUNTING POLICIES (Continued) (c) Basis of Accounting The government-wide financial statements are reported using the economic resources measurement focus and the full accrual basis of accounting. Revenues are recorded when earned ad expenses are recorded at the time liabilities are incurred, regardless of when the related cash flows take place. Governmental funds are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Under this method, revenues are recognized when measurable and available. The City considers revenues susceptible to accrual to be available if the revenues are collected within ninety days after year-end. Expenditures are recorded when the related fund liability is incurred, except for principal and interest on long-term debt, claims and judgments, and compensated absences, which are recognized as expenditures to the extent they have matured. (d) Investment in Leases Improvements financed by the Corporation are leased to the City for their entire estimated useful life and will become the City property at the conclusion of the lease on November 1, 2050. The Corporation therefore records the present value of the lease and considers the leased improvement to have been sold for this amount when leased. (e) Net Position The government-wide financial statements utilize a net position presentation. Net position is further categorized as net investment in capital assets, restricted and/or unrestricted. As of June 30, 2025, the entire net position was considered restricted. Restricted Net Position – This category presents external restrictions imposed by creditors, grantors, contributors or laws or regulations of other governments and restrictions imposed by law through constitutional provisions or enabling legislation. (f) Deferred Inflows of Resources A deferred inflow of resources is defined as an acquisition of net asset or fund balances applicable to a future reporting period and will not be recognized as an inflow of resources (revenue) until that time. On the governmental fund balance sheet, the lease receipts from the City corresponding to the debt are recorded as deferred inflows of resources since the balances are not current financial resources. (g) Fund Balances At June 30, 2025, the Corporation’s governmental fund’s fund balances include the following classification: Restricted Fund Balance – includes amounts that can be spent only for the specific purposes stipulated by external resource providers, constitutionally or through enabling legislation. Restrictions may effectively be changed or lifted only with the consent of resource providers. Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 15  Packet Pg. 377 of 469  PALO ALTO PUBLIC IMPROVEMENT CORPORATION (A Component Unit of the City of Palo Alto, California) Notes to the Basic Financial Statements (Continued) For the Year Ended June 30, 2025 11 NOTE 2 – SIGNIFICANT ACCOUNTING POLICIES (Continued) (h) Estimates The preparation of basic financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. NOTE 3 – CASH AND INVESTMENTS HELD BY TRUSTEE (a) Interest Rate Risk Interest rate risk is the risk that a change in market interest rates will adversely affect the fair value of an investment. Normally, the longer it takes an investment to reach maturity, the greater will be that investment’s sensitivity to changes in market rates. Information about the sensitivity of the fair values of the Corporation’s investments to market interest rate fluctuations is provided by the following table that shows the distribution of the Corporation’s investments by maturity: Investment Type Amount Maturity Date Money Market Mutual Fund 4,186$ 42 days (b) Credit Risk Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. As of June 30, 2025, the Corporation’s investments in money market mutual funds are rated AAAm by Standard & Poor’s. (c) Fair Value Hierarchy The City categorizes its fair value measurements within the fair value hierarchy established by generally accepted accounting principles. The hierarchy is based on the valuation inputs used to measure fair value of the assets. Level 1 inputs are quoted prices in an active market for identical assets; Level 2 inputs are significant other observable inputs; and Level 3 inputs are significant unobservable inputs. The Corporation’s investments in money market mutual funds are not subject to the fair value hierarchy. (d) Investment Policy The Corporation must maintain required amounts of cash and investments by trustee under the terms of certain debt issues. These funds are unexpended bond proceeds or are pledged as reserves to be used if the Corporation fails to meet its obligation under these debt issues. The California Government Code (Code) requires these funds to be invested in accordance with bond indentures or State statutes. All these funds have been invested as permitted under the Code and bond indentures, including the cash held for operations invested in the City’s investment pool. The City’s investment policy is described in detail in the City’s Annual Comprehensive Financial Report. Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 16  Packet Pg. 378 of 469  PALO ALTO PUBLIC IMPROVEMENT CORPORATION (A Component Unit of the City of Palo Alto, California) Notes to the Basic Financial Statements (Continued) For the Year Ended June 30, 2025 12 NOTE 3 – CASH AND INVESTMENTS HELD BY TRUSTEE (Continued) The table below identifies the investment types that are authorized by the City’s investment policy. The table also identifies certain provisions of the City’s Investment Policy that address interest rate risk, credit risk and concentration of credit risk. Maximum Maturity Minimum Credit Quality Maximum Percentage of Portfolio Maximum Investment in One Issuer U.S. Government Securities 10 years (*) N/A No Limit No Limit U.S. Government Agency Securities 10 years (*) N/A No Limit (A) No Limit Certificates of Deposit 10 years (*) N/A 20% 10% of the par value of portfolio Bankers Acceptances 180 days N/A 30% $5 million Commercial Paper 270 days A-1 15% $3 million (B) Local Agency Investment Fund N/A N/A No Limit $75 million per account Short-Term Repurchase Agreements 1 year N/A No Limit No Limit City of Palo Alto Bonds N/A N/A No Limit No Limit Money Market Deposit Accounts N/A N/A No Limit No Limit Mutual Funds N/A N/A 20% 10% Negotiable Certificates of Deposit 10 years (*) N/A 10% $5 million Medium-Term Corporate Notes 5 years AA 10% $5 million 10 years (*) AA/AA2 40% No Limit Supranational 5 years AA/AA2 20% 10% of the par value of ortfolio (A) (B) The lesser of $3 million or 10% of outstanding commercial paper of any one institution. (*) The maximum maturity is based on the Investment Policy that is approved by the City Council and is less restrictive than the California Governmental Code. Authorized Investment Type California State and Municipal and other 49 State Issued Bonds Callable and multi-step securities are limited to no more than 25% of the par value of the portfolio, provided that: 1) the potential call dates are known at the time of purchase, 2) the interest rates at which they "step- up" are known at the time of purchase, and 3) the entire face value of the security is redeemed at the call date. Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 17  Packet Pg. 379 of 469  PALO ALTO PUBLIC IMPROVEMENT CORPORATION (A Component Unit of the City of Palo Alto, California) Notes to the Basic Financial Statements (Continued) For the Year Ended June 30, 2025 13 NOTE 4 – LONG-TERM DEBT The Corporation’s long-term debt activities are presented below: Balance Balance Amount due July 1, 2024 Retirements June 30, 2025 in one year Certificates of Participation 2018 Capital Improvement Project 2.20-4.22%, due 11/1/2047 7,985,000$ 205,000$ 7,780,000$ 215,000$ 2019 California Ave. Parking Garage Series A & B 2.5%-5%, due 11/1/2048 34,365,000 720,000 33,645,000 760,000 2021 Public Safety Building 2%-5%, due 11/1/2050 99,370,000 2,245,000 97,125,000 2,360,000 Add: Unamortized Premium 9,739,015 408,253 9,330,762 408,253 Total 151,459,015$ 3,578,253$ 147,880,762$ 3,743,253$ On June 1, 2018, the City issued the 2018 Capital Improvement Project and Refinancing Certificates of Participation (2018 COPs) in the amount of $9.0 million to fully refinance the 2002B Downtown Parking Improvement Project Certificates of Participation and to fund the renovation of the Palo Alto Municipal Golf Course. Principal payments are due annually on November 1 and interest payments semi-annually at various rates on May 1 and November 1. The 2018 COPs are secured by lease revenues received by the Corporation from any City’s General Fund revenue source. On March 21, 2019, the City issued the 2019 California Avenue Parking Garage tax exempt Series A and taxable Series B Certificates of Participation (2019A and 2019B COPs) in the amount of $26.8 million plus $4.9 million premium, and $10.6 million, respectively, for the construction of the new California Avenue Parking Garage. Principal payments are due annually on November 1 and interest payments semi-annually at various rates on May 1 and November 1. The 2019A and 2019B COPs are secured by lease revenues received by the Corporation from any City’s General Fund revenue source. On March 24, 2021, the City issued the 2021 Public Safety Building Certificates of Participation (2021 COPs) in the amount of $101.5 million plus $6.5 million premium for the construction of the new public safety building. Principal payments are due annually on November 1 and interest payments semi-annually at various rates on May 1 and November 1. The 2021 COPs are secured by lease revenues received by the Corporation from any City’s General Fund revenue source. Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 18  Packet Pg. 380 of 469  PALO ALTO PUBLIC IMPROVEMENT CORPORATION (A Component Unit of the City of Palo Alto, California) Notes to the Basic Financial Statements (Continued) For the Year Ended June 30, 2025 14 NOTE 4 – LONG-TERM DEBT (Continued) Future annual debt service on the outstanding debt is shown below: For the Year Ending June 30, Principal Interest Total 2026 3,335,000$ 4,569,844$ 7,904,844$ 2027 3,495,000 4,402,268 7,897,268 2028 3,675,000 4,226,076 7,901,076 2029 3,865,000 4,040,594 7,905,594 2030 4,050,000 3,845,456 7,895,456 2031-2035 23,090,000 16,373,857 39,463,857 2036-2040 27,300,000 12,124,665 39,424,665 2041-2045 31,570,000 7,796,552 39,366,552 2046-2050 33,215,000 2,745,366 35,960,366 2051 4,955,000 55,744 5,010,744 138,550,000$ 60,180,422$ 198,730,422$ Events of Default and Acceleration Clauses Generally, the Corporation is considered to be in default if the Corporation fails to pay the principal of and interest on the outstanding long-term debt when become due and payable. If an event of default has occurred and is continuing, the principal of the long-term debt, together with the accrued interest, may be declared due and payable immediately. Item 14 Attachment A - FY 2025 PIC Financial Statements        Item 14: Staff Report Pg. 19  Packet Pg. 381 of 469  City Council Staff Report From: City Manager Report Type: ACTION ITEMS Lead Department: City Manager Meeting Date: January 12, 2026 Report #:2512-5778 TITLE Review and Approval of Suggested Changes to the City Council Procedures and Protocols Handbook as Recommended by the Policy and Services Committee. CEQA Status – Not a project. RECOMMENDATION The Policy and Services Committee recommends that the City Council review and approve suggested changes to the City Council Procedures and Protocols Handbook. The recommended suggestions relate to Brown Act Amendments, Proclamations, Consent Calendar Process, and Mayor/Vice Mayor Compensation. Other suggested changes may also be discussed. BACKGROUND The Municipal Code provides that the City Council shall adopt “a handbook of procedural rules governing any aspect of the conduct of meetings and hearings for the Council and its standing committees, including but not limited to agenda requirements, the order of business, rules of order, rules of evidence, closed session procedures and rules for public participation in meetings.” The City Council adopted the first version of the City Council Procedures and Protocols Handbook in the early 2000s and regularly updates the Handbook. The Handbook is available on the City’s website.1 Section 8.1 of the Handbook states the frequency that City Council should review the Handbook. This year is the first year of returning to a regular review of the Handbook as the City Council chose not to do additional Handbook review in late 2024 given the extensive work done in 2023 and early 2024. On December 15, 2025, the City Council adopted two changes to the Handbook recommended by the Policy and Services Committee.2 These recommended changes came from the November 1 https://www.cityofpaloalto.org/files/assets/public/v/6/city-clerk/city-charterprocedures/2024-adopted-council- protocols-and-procedures-manual-10.2024.pdf 2 City Council Meeting, December 15, 2025, Item #9. Link: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=16357 Item 15 Item 15 Staff Report        Item 15: Staff Report Pg. 1  Packet Pg. 382 of 469  19, 2025 Policy and Services Committee5 discussion of recurring City Council items and were suggestions intended to lighten the load on City Council meeting agendas. Changes went to City Council for approval separate from the regular Handbook review as one of them was a timely item for approval. The two items included reviewing the Handbook in odd years and providing committee chairs the discretion to call January committee meetings if needed. Attachment B) were not recommended at this time but may be further discussed by the full City Council. ANALYSIS Attachment A with these proposed changes. Of note, in the redlined Handbook, staff also included language adopted on December 16, 20246 related to Councilmember expense reimbursement. These changes are shown in redline since they are not currently reflected in the published Handbook. Recommended revision #1 - SB 707 Brown Act Amendments Updates 5 Policy and Services Committee Meeting, November 19, 2025, Item #5; Link: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=16308 6 City Council Meeting, December 16, 2024, Item #26. Link: https://cityofpaloalto.primegov.com/Portal/Meeting?meetingTemplateId=14537 Item 15 Item 15 Staff Report        Item 15: Staff Report Pg. 2  Packet Pg. 383 of 469  attachment incorporate the following new alternative teleconferencing provisions, effective January 1, 2026: Quarter 1 Calendar Year 2026 –tentatively February 2026 Policy and Services Committee Policy guidance on public outreach and access, subsidiary bodies’ teleconferencing, and technology disruption policy. Quarter 2 Calendar Year 2026 –Action Item at City Council Meeting anticipated in spring Recommended Revision #2 – Proclamations Recommended Revision #3 – Handling of pulled Consent Calendar Items Recommended Revision #4 – Mayor and Vice Mayor Additional Compensation Item 15 Item 15 Staff Report        Item 15: Staff Report Pg. 3  Packet Pg. 384 of 469  and make recommendations for updated Councilmember compensation. The Councilmember compensation committee was never formed. The Policy and Services Committee discussed the need for an alternative approach for identifying committee members. FISCAL/RESOURCE IMPACT No fiscal impact known at this time for the Handbook review. STAKEHOLDER ENGAGEMENT Staff solicited suggestions from City Councilmembers with a due date of December 1, 2025. Those items were included for Committee review at the December 9, 2025 meeting. ENVIRONMENTAL REVIEW Council action on this item is not a project as defined by CEQA because revising the Procedures and Protocols Handbook is a continuing administrative or maintenance activity. CEQA Guidelines section 15378(b)(2). ATTACHMENTS Attachment A: Council Protocols and Procedures Manual December 2025 Redline Attachment B: Compilation of All Suggested Handbook Ideas, 2025 APPROVED BY: Ed Shikada, City Manager Item 15 Item 15 Staff Report        Item 15: Staff Report Pg. 4  Packet Pg. 385 of 469  If you have any questions about this handbook, please feel free to contact the City Clerk by phone at (650) 329-2571 and e-mail at city.clerk@paloalto.govcityofpaloalto.org or the City Attorney by phone at (650) 329-2171 and e-mail at city.attorney@paloalto.govcityofpaloalto.org. CITY COUNCIL PROCEDURES AND PROTOCOLS HANDBOOK Procedures and Protocols Approved 09/09/2024 (lLast uUpdated January 12, 2026 505/13/2024 and 05/20/2024) Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 5  Packet Pg. 386 of 469  TABLE OF CONTENTS Introduction........................................................................................................................................3 PART I: CITY COUNCIL PROCEDURES ....................................................................................................4 SECTION 1 – CITY COUNCIL ORGANIZATION AND STRUCTURE..............................................................................4 1.1 Annual Organization of City Council .........................................................................................................4 1.2 Council Committees..................................................................................................................................4 1.3 Respect the Work of the Council Committees ..........................................................................................7 SECTION 2 - GENERAL PROCEDURES FOR CITY COUNCIL MEETINGS .....................................................................7 2.1 Meeting Schedules, Agendas and Supporting Materials ..........................................................................8 2.2 The Mayor and Vice Mayor Should Work with Staff to Plan the Council Meetings ..................................9 2.3 Attendance Procedures ............................................................................................................................9 2.4 Colleagues’ Memos.................................................................................................................................14 SECTION 3 - CITY COUNCIL MEETING ORDER OF THE AGENDA ...........................................................................15 3.1 Call to Order ...........................................................................................................................................15 3.2 Special Orders of the Day .......................................................................................................................16 3.3 Closed Sessions .......................................................................................................................................16 3.4 Agenda Changes, Additions, and Deletions ............................................................................................18 3.5 General Public Comment (see Section 5 on Public Participation for more details about “General Public Comment”)..................................................................................................................................18 3.6 Councilmember Questions, Comments, and Announcements (including reports on Boards, Commissions, and Committees).............................................................................................................18 3.7 Study Sessions ........................................................................................................................................18 3.8 Consent Agenda......................................................................................................................................19 3.9 City Manager’s Comments ......................................................................................................................21 3.10 Action Items............................................................................................................................................21 3.11 Adjournment ..........................................................................................................................................21 SECTION 4 - PROCEDURES AT CITY COUNCIL MEETINGS .....................................................................................22 4.1 Council Motion and Voting Processes throughout the Agenda (exist. Procedures 2.4 U and V)............22 4.2 Motion Procedures .................................................................................................................................22 4.3 Voting and Debate of Agenda Items .......................................................................................................26 4.4 Quasi-Judicial Matters ............................................................................................................................28 SECTION 5 - HOW THE PUBLIC ENGAGES WITH THE CITY COUNCIL ....................................................................30 5.1 Public Participation During City Council Meetings ..................................................................................30 SECTION 6 - CITY COUNCIL QUESTIONS ON AGENDA-RELATED ITEMS ...............................................................33 6.1 Submit Questions on Council Agenda Items Ahead of the Meeting .......................................................33 6.2 City Council emails for Agenda-Related Items Procedure.......................................................................34 SECTION 7 – COUNCIL VALUES AND ANNUAL COUNCIL PRIORITIES ...................................................................34 SECTION 8 - PROCEDURES AND PROTOCOLS REVIEW AND ENFORCEMENT .......................................................36 8.1. Annual Review and Update of the Handbook .........................................................................................36 8.2. Commitment to Follow the Procedures and Protocols Handbook .........................................................36 8.3 Procedures for Enforcement ....................................................................................................................36 PART II: CITY COUNCIL PROTOCOLS ...................................................................................................41 SECTION 1 – CITY COUNCIL CONDUCT.................................................................................................................41 Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 6  Packet Pg. 387 of 469  1.1 Positive Work Place Environment ...........................................................................................................41 1.2 Comply with Law ....................................................................................................................................41 1.3 City Council Core Responsibilities (exist. Protocol Sec. 1)......................................................................41 1.4 General Member Conduct ......................................................................................................................42 1.5 Decisions Based on Merit .......................................................................................................................43 1.6 Advocacy 43 1.7 Council Conduct with City Staff...............................................................................................................44 1.8 Use of Staff Time.....................................................................................................................................45 SECTION 2 - CITY COUNCIL CONDUCT WITH PALO ALTO BOARDS AND COMMISSIONS .....................................46 2.1 If Attending a Board or Commission Meeting, Identify Your Comments as Personal Views or Opinions. 46 2.2 Refrain from Lobbying Board and Commission Members .......................................................................46 2.3 Remember that Boards and Commissions are Advisory to the Council as a Whole, not as Individual Councilmembers ....................................................................................................................................46 2.4 Concerns about an Individual Board or Commission Member Should be Pursued with Tact ..................46 2.5 Be Respectful of Diverse Opinions ..........................................................................................................47 2.6 Keep Political Support Away from Public Forums ...................................................................................47 2.7 Maintain an Active Liaison Relationship..................................................................................................47 2.8 Role of Council Liaison to Board or Commission.....................................................................................47 SECTION 3 - STAFF CONDUCT WITH CITY COUNCIL .............................................................................................47 3.1 Respond to Council Questions as Fully and as Expeditiously as is Practical ............................................47 3.2 Respect the Role of Councilmembers as Policy Makers for the City .......................................................47 3.3 Demonstrate Professionalism and Non-Partisanship in all Interactions with the Community and in Public Meetings ......................................................................................................................................47 3.4 It is Important for the Staff to Demonstrate Respect for the Council at all Times ..................................48 SECTION 4 - CITY COUNCIL AND BOARDS AND COMMISSIONS POLICY FOR TRAVEL AND MISCELLANEOUS EXPENSE REIMBURSEMENT ................................................................................................................................48 4.1 Miscellaneous Expenditures ...................................................................................................................48 4.2 Council and Boards and Commission Travel Policy .................................................................................48 SECTION 5 – CITY COUNCIL REIMBURSEMENT POLICY FOR EXPENSES INCURRED IN THE PERFORMANCE OF THEIR OFFICIAL DUTIES .......................................................................................................................................50 5.1 Purpose ...................................................................................................................................................50 5.2 Authorized Expenses ..............................................................................................................................50 5.3 Monitoring and Reporting ......................................................................................................................51 SECTION 6 - Confidentiality, Conflicts of Interest, Gifts And Favors ....................................................................51 Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 7  Packet Pg. 388 of 469  Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 8  Packet Pg. 389 of 469  3 City Council Procedures and Protocols Handbook Introduction The purpose of this City Council Procedures and Protocols Handbook is to review a set of rules through which the Palo Alto City Council conducts its business in a fair, equitable and effective manner. Adoption of the Handbook is requirement of the Palo Alto Municipal Code: Municipal Code 2.04.100 – Handbook of Procedural Rules The Council shall adopt by resolution a handbook of procedural rules governing any aspect of the conduct of meetings and hearings for the council and its standing committees, including but not limited to agenda requirements, the order of business, rules of order, rules of evidence, closed session procedures and rules for public participation in meetings. The handbook of procedural rules shall be deemed guidelines and failure to comply with any procedural rule shall not be the basis for challenge to or invalidation of any action of the council, nor shall they be construed to create any independent remedy or right of action of any kind. The handbook is organized in two parts: Part I: City Council Procedures This section explains the process through which work is done and basic rules for City Council meetings including public participation guidelines. Part II: City Council Protocols This section explains conduct guidance for the City Council. If a provision of this Handbook conflicts or is inconsistent with the Charter, the Municipal Code, or State or Federal law, the Charter, Code, or State or Federal law shall govern. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 9  Packet Pg. 390 of 469  3 City Council Procedures and Protocols Handbook Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 10  Packet Pg. 391 of 469  4 City Council Procedures and Protocols Handbook PART I: CITY COUNCIL PROCEDURES SECTION 1 – CITY COUNCIL ORGANIZATION AND STRUCTURE 1.1 Annual Organization of City Council The Palo Alto Charter, Article III, Section 8 directs Council to elect one of its members to serve as Mayor and one as Vice-Mayor, and sets forth their duties. Palo Alto Municipal Code Section 2.04.060 provides additional detail. In addition to those duties, the Mayor is also to make appointments of Councilmembers to regional bodies / agencies that Palo Alto has a seat on as applicable or where not otherwise provided for by law. Mayor and Vice-Mayor are elected at the first meeting in January each year. Nominations may be made by any Councilmember and do not require a second. 1.2 Council Committees (a) Standing Council Committees Policy It is the policy of the Council to use standing committees in open and public meetings to study City business in greater depth than what is possible in the time allotted for Council meetings. Purpose These rules are intended to enhance public participation and committee meetings so that the best possible decisions can be made for Palo Alto. General Requirements Council standing committees shall be subject to the following procedural rules: 1) Quorum A majority of the committee membership shall constitute a quorum. 2) Referrals Only the Council or City Manager shall make referrals to the standing committees. Referrals will generally be directed to only one of the standing committees. Items may be withdrawn from the committee and taken up for consideration by the Council at any Council meeting with the consent of a majority of the Council, and subject to any applicable noticing or agenda-posting requirements. 3) Attendance by Nonmembers As required by the Brown Act, Councilmembers who are not on a committee may attend the committee meeting but only as an observer; they may not speak or otherwise participate in the committee meeting. If Council wishes to allow members who are not serving on the committee to speak, the meeting should be noticed as a meeting of the full Council, and all Council procedural Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 11  Packet Pg. 392 of 469  5 City Council Procedures and Protocols Handbook requirements will apply. 4) Function of committees The purpose and intent of committee meetings is to expedite Council action by providing more thorough and detailed discussion and study of prospective or current Council agenda items with a full and complete airing of all sentiments and expressions of opinion on City problems by both the committee and the public. Actions of the committee shall be advisory recommendations only except as to matters delegated to the committee by Council. 5) Minutes and Report of Committee The City Clerk shall be responsible for the preparation and distribution to the Council of the minutes of standing committee meetings. The minutes for these meetings shall be action minutes which reflect the motions made during these meetings. The minutes of each committee meeting serve as the report to the Council and should be included, as appropriate, in subsequent relevant staff reports. 6) Agenda The presiding officer of each standing committee shall work with staff to prepare the agenda for committee meetings. Items should be scheduled as they are ready, taking into account the sequence of referral, the time required for staff research and analysis to support committee discussions, the time-sensitivity of items, and other factors as determined by the chair and City Manager. 7) Public Participation at Committees The presiding officer shall determine the time that each speaker is allotted during general public comment and public comment on agendized items. The chair will typically set individual speaker speaking time at 3 minutes per speaker. If extended public participation is desired the chair may provide for a longer period; if there are a large number of speakers or many agenda items, speaking time may be shortened. 8) New Standing Committees Council may establish new standing committees as needed. (b) Policy and Services Committee The Municipal Code states that the role of the Council Policy & Services Committee is to consider and make recommendations on matters referred to it by the Council relating to parliamentary and administrative procedures and policy matters pertaining to intergovernmental relations, personnel policies, planning and zoning, traffic and parking, public work, and community and human services. (§2.04.220). (c) Finance Committee The Municipal Code states that the role of the Council Finance Committee is to consider and make recommendations on matters referred to it by the Council relating to finance, budget, financial audits, capital planning and debt. (§2.04.210). Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 12  Packet Pg. 393 of 469  6 City Council Procedures and Protocols Handbook (d) Council Appointed Officers (CAO) Committee The CAO Committee meets on an as-needed schedule to address issues that Council has referred to the Committee related to Council's four direct appointees: the City Manager, City Attorney, City Clerk and City Auditor. For example, the committee may be tasked with duties related to performance evaluations, compensation, and the filling of vacancies. The CAO Committee is to make recommendations to the Council annually regarding the process for CAO evaluations and the selection of the consultant to serve as the facilitator for the CAO evaluations for the year. The CAO Committee is also to schedule the CAO performance evaluations in partnership with staff. (e) City Schools Liaison Committee The City-Schools Liaison Committee is composed of two Councilmembers and two members of the Board of Education of the Palo Alto Unified School District. The committee’s purpose is to share information, collaborate, and coordinate on issues related to Palo Alto’s school-aged children and youth. (f) Ad Hoc Committees Policy The Council may create Ad Hoc Committees on a limited basis where necessary to study City business in greater depth than what is possible in the time allotted for Council and Standing Committee meetings. Purpose These rules are intended to clarify the distinctions between Standing and Ad Hoc Committees and to set up guidelines for creation of Ad Hoc Committees. General Requirements Council Ad Hoc Committees shall be subject to the following procedural rules: 1) Definition of Ad Hoc Committee An Ad Hoc Committee is a temporary advisory committee composed solely of less than a quorum of members of the Council or any Council Standing Committee. The work of an Ad Hoc Committee has a limited or single purpose. An Ad Hoc committee is not intended to be perpetual but rather to be dissolved in a finite period time, once its specific task is completed. By contrast, a Standing Committee has continuing subject matter jurisdiction over a variety of related topics. 2) Brown Act The procedural requirements of the Brown Act apply to all committees that have either: (a) continuing subject matter jurisdiction over a matter or group of related matters; or (b) a regular meeting schedule set by Council action. All Standing Committees are Brown Act bodies. Ad hoc committees are generally not Brown Act bodies, provided that they are temporary bodies, formed for the purpose of addressing a limited or single purpose, include only members of Council, and do not have a regular meeting schedule set by Council action. When Council creates an Ad Hoc committee that is not a Brown Act body, Council may, at its discretion, direct that the committee follow Brown Act procedures. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 13  Packet Pg. 394 of 469  7 City Council Procedures and Protocols Handbook 3) Creation and Appointment The Mayor or the Council may create an Ad Hoc Committee and appoint three or fewer members of the Council to serve. In contrast, only the Council and not the Mayor alone can create a Standing Committee. The Mayor makes appointments to Standing and Ad Hoc Committees. The Mayor will publicly announce any Ad Hoc Committee created by her or him and its membership and stated purpose. The Clerk shall post this information on the Council website. The City Manager shall prepare a report to Council about the anticipated time commitment required for staff to assist the Ad Hoc Committee. 4) Duration Ad Hoc Committees are created for a finite period of time. If an Ad Hoc Committee does not complete its task by the end of the calendar year, it shall not continue unless reappointed by the new Mayor in the following year. 5) Members Ad Hoc Committees shall consist of less than a quorum of Councilmembers only, and shall not include any other persons, including members of other legislative bodies. 6) Reporting Ad Hoc Committees shall report their recommendations to the Council in the timeframe directed by Council. Any Councilmember may ask during ‘Councilmember Questions, Comments And Announcements’ that an updated Ad Hoc Committee report be placed on an upcoming meeting agenda. 7) Termination of Ad Hoc Committee by Majority of Council A majority of the Council may vote to terminate any Ad Hoc Committee following placement of the issue on an agenda. 8) Conclusion A public announcement shall be made any time the Ad Hoc Committee has concluded its work and/or upon dissolution. 1.3 Respect the Work of the Council Committees Council should respect the work of Council committees, as their purpose is to provide focused, in- depth discussion of issues to help inform and expedite Council business. If a matter is taken forward to the full Council for approval after receiving a unanimous vote at committee, the item will be placed on the Consent Calendar, unless otherwise recommended by the committee, Mayor, City Attorney or City Manager. * * * SECTION 2 - GENERAL PROCEDURES FOR CITY COUNCIL MEETINGS The purpose of these guidelines is to facilitate the orderly and efficient conduct of Council business. This purpose recognizes the value of establishing a community understanding of meeting procedures so that broad public participation is encouraged. This purpose also recognizes that Councilmembers must have Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 14  Packet Pg. 395 of 469  8 City Council Procedures and Protocols Handbook a common approach to the discussion and debate of City business so that meetings are both streamlined and thorough. These are guidelines, rather than rules. The Council intends that City staff and Councilmembers will follow these guidelines. However, these guidelines should not be used in a way that leads to inefficiency, unfairness, or the promotion of form over substance. In addition to Council-adopted guidelines, State law establishes a variety of mandatory meeting rules that the City must follow in order to ensure open government and fair process, regardless of unusual situations and consequences. (See Cal. Govt Code section 54950.) 2.1 Meeting Schedules, Agendas and Supporting Materials (a)Meeting Schedules for Regular and Special Meetings The Council generally conducts two different kinds of meetings: regular meetings and special meetings. The Municipal Code provides that regular Council meetings are conducted at City Hall on the first three Monday nights of each month, except during the Council’s annual summer and winter recesses, at 5:30 p.m. The Council also schedules periodic special meetings, which are meetings on any day or time other than the regular meeting time. This may include meetings on the regularly-scheduled first three Mondays where the start time is 5 p.m. or earlier, or meetings on a fourth or fifth Monday, or meetings scheduled on any other day or time. The Mayor or Council may call a special meeting on a minimum of 24 hours’ notice. Special meetings need not be held at City Hall, as long as the alternate location is within the City. The Council makes every effort to provide notice well in advance of 24 hours, especially when the special meeting is for the purpose of conducting a Study Session. (b) Posting of Agendas Under the Brown Act, meeting agendas must be posted no later than 72-hours prior to regular meetings and 24-hours prior to special meetings. It is City policy to make every effort to post the agenda on Thursday, 11 days prior to Monday meetings, whether regular or special. Agendas are posted in King Plaza by the elevators and are uploaded to the Council web page. (c) Supporting Reports and Materials It is City policy to make every effort to provide supporting reports and materials at the time the agenda is posted. Typically, this will occur 11 days before the meeting. Materials that are not available at the time of agenda posting will be distributed as soon as feasible before the meeting. Materials that are distributed to a majority of Council will be made available to the public at the same time, as required by law. Some materials, such as presentation materials or “supplemental memoranda” (previously referred to as “at places” memoranda) may be distributed to Councilmembers and the public at the meeting. (d) Late Submittal of Correspondence or Other Information Related to Planning Applications In order to allow for adequate staff review and analysis and to ensure public access to information, all plans, correspondence, and other documents supporting planning applications being heard by the Council Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 15  Packet Pg. 396 of 469  9 City Council Procedures and Protocols Handbook must be submitted to staff not later than noon five (5) working days prior to the release of the Council Agenda Packet. If any correspondence or other information is submitted after this deadline to Councilmembers or staff, and staff determines additional review is needed, staff will reschedule the item for a future Council meeting. If a Councilmember receives planning application materials from a project applicant, or receives other significant material related to the application from any source, he or she shall notify the City Clerk and the City Manager as soon as possible so that all relevant material can be entered into the official record and made available to all parties and the public. At the meeting the Council may determine whether to continue or refer the item to the appropriate board and/or commission if significant changes to a project or significant new information become known. 2.2 The Mayor and Vice Mayor Should Work with Staff to Plan the Council Meetings There are three purposes to the pre-Council planning meeting: 1) to plan how the meeting will be conducted, including review of approximate time allocation of Staff Report presentations and to ensure adequate time for large complex items; 2) to identify any issues or questions that may need greater staff preparation for the meeting; and 3) to discuss future meetings. Consideration in building the agenda should be given to the potential length of the meeting and at what point items of significant public concern may be heard. The purpose of the meeting is not to work on policy issues. Normally, only the Mayor and Vice Mayor are invited and expected to attend the pre-Council meetings with the City Manager, other CAOs, and department managers. The Mayor and Vice Mayor’s role is to represent the interest of the entire Council. 2.3 Attendance Procedures (a) Attendance Required Councilmembers, the City Clerk, City Attorney, and City Manager, along with any other City officers and department heads that have been requested to be present, shall take their regular stations in the Council Chambers at the start of every scheduled meeting. Councilmembers are expected to be present at the dais at all times except for necessary short breaks and other reasonable exceptions. The presiding officer will ensure that each meeting will include at least one 15-minute break. The Council expects its members to attend regularly and notify the City Clerk of any planned absences. The Council may levy fines of up to $250.00 against Councilmembers who willfully fail to attend meetings (PAMC section 2.04.050). (b)Remote Attendance Teleconferencing of Councilmembers at Council and Committee Meetings Councilmembers are strongly encouraged to attend meetings in person. State law allows Councilmembers to attend meetings remotely by teleconference by following the procedures outlined in Government Code Section 54953(b) (“Standard Remote AttendanceTeleconferencing”) or the alternative procedures outlined in Assembly Bill 2449 (introduced in 2022) (“AB 2449 Remote AttendanceAlternative Teleconferencing”). For convenience, these procedures are summarized below and are current as of the date of Handbook revision. If state law is subsequently amended, the amended terms of Sstate law will apply. Councilmembers are encouraged to consult in advance with the City Clerk and, if needed, the City Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 16  Packet Pg. 397 of 469  10 City Council Procedures and Protocols Handbook Attorney to ensure compliance with all required procedures. 1) Number of Remote Appearances Remote attendance shall be permitted not more than 3 five (5) times a year per legislative body (for example, five times a year for full Council meetings and five additional times a year for each Council committee). AB 2449Alternative Teleconferencing rules still apply, which state that no more than twolimit the number of meetings that may be attended remotely during a calendar year for “just cause,” depending on the frequency of the legislative body’s regular meetings, as described below. 2) General Procedures for Appearing RemotelyAttending by Teleconference Councilmembers must follow mandatory procedures set forth in sState law. At any meeting where a Councilmember is attending remotely, the following requirements must be met: (A) At least a quorum of the Council must participate from a singular physical location within the City. (B) The agenda must identify and include an opportunity for the public to attend and directly address the Councilmember through a call-in option, an internet- based service option, and in-person at the location of the meeting. (C) Council may not take action if there is an unresolved disruption to the meeting broadcast or to the ability to take call-in or internet-based public comment. If the above threshold requirements are met, the Councilmember attending remotely must ensure they follow the procedures associated with either Standard Remote Attendance Teleconferencing or AB 2449 Remote AttendanceAlternative Teleconferencing. 3) Standard Remote AttendanceTeleconferencing Procedures A Councilmember attending remotelyteleconferencing using these procedures must ensure that: (A) The meeting agenda identifies the remote attendanceteleconference location and is posted at that location in an area that is accessible and visible 24 hours a day for at least 72 hours prior to a regular meeting and 24 hours prior to a special meeting. (B) The remote attendanceteleconference location is open and fully accessible to the public, and fully accessible under the Americans with Disabilities Act, throughout the entire meeting. These requirements apply to private residences, hotel rooms, and similar facilities, all of which must remain fully open and accessible throughout the meeting, without requiring identification or registration. (C) The remote attendanceteleconference technology used is open and fully accessible to all members of the public, including those with disabilities. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 17  Packet Pg. 398 of 469  11 City Council Procedures and Protocols Handbook (D) Members of the public who attend the meeting at the remote attendanceteleconference location have the same opportunity to address the Council from the remote teleconference location that they would if they were present in Council Chambers. (E) The remote attendance teleconference location must not require an admission fee or any payment for attendance. (F) If the meeting will include a closed session, the Councilmember must ensure that there is a private location available for that portion of the meeting. A private location means a closed room such that no other person can hear any portion of the closed session. If the a Councilmember intends to follow the procedures of Standard Remote Attendance Teleconferencing but determines that any or all of these requirements cannot be met, he or she shall not participate in the meeting remotely using Standard Remote AttendanceTeleconferencing procedures. 4) Standard Remote AttendanceTeleconferencing Guidelines (A) Five days written notice in advance of the publication of the agenda must be given by the Councilmember to the City Clerk’s office about their intent to participate remotelyby teleconference; the notice must include the address at which the remote attendanceteleconferencing will occur, and the address the Council packet should be mailed to, if a hard copy is requested. (B) The Councilmember is responsible for posting the Council agenda in the remote teleconference location, or having the agenda posted by somebody at the location and confirming that posting has occurred. The City Clerk will assist, if necessary, by emailing, faxing or mailing the agenda to whatever address or fax number the Councilmember requests; however, it is the Councilmember’s responsibility to ensure that the agenda arrives and is posted. If the Councilmember will need the assistance of the City Clerk in delivery of the agenda, the fax number or address must be included in the five-day advance written notice above. (C) The Councilmember must ensure that the location will be publicly accessible while the meeting is in progress. (D) The Councilmember must state at the beginning of the Council meeting that the posting requirement was met at the location and that the location is publicly accessible and must describe the location. 5)AB 2449 Remote AttendanceAlternative Teleconferencing Procedures In 2022 tThe Legislature has adopted AB 2449, which amended the Brown Act to allow remote participation in certain narrow circumstances (listed below) without publishing the remote location on the meeting agenda and without providing public access from the Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 18  Packet Pg. 399 of 469  12 City Council Procedures and Protocols Handbook remote location. Where the requirements of AB 2449state law’s Alternative Teleconferencing procedures are met, a Councilmember is not required to follow the procedures described in Section 2.3(b)(3)(A)-(E), above. A Councilmember may use Alternative Teleconferencing AB 2449 if the Councilmember has either “just cause,” or “emergency circumstances” that require remote participation, as defined by AB 2449state law. (A)“Just cause” is defined as:. i.“Just cause” is defined as: ii.i.a childcare or caregiving need of a child, parent, grandparent, grandchild, sibling, spouse, or domestic partner that requires remote attendance, iii.ii.a contagious illness that prevents in-person attendance, iv.iii.a need related to a physical or mental disability which cannot be resolved by a request for reasonable accommodation, or iv.travel while on the business of a state or local agency,. v. an immunocompromised child, parent, grandparent, grandchild, sibling, spouse, or domestic partner of the member that requires the member to participate remotely, vi. a physical or family medical emergency, or v.vii.military service obligations that result in a member being unable to attend in person because they are serving under official written orders for active duty, drill, annual training, or any other duty required as a member of the California National Guard or a United States Military Reserve organization that requires the member to be at least 50 miles outside the boundaries of the local agency. (B) Notice. A Councilmember with “just cause” to attend remotely must notify the Council or Council committee and the City Clerk at the earliest possible opportunity, including at the start of the meeting, of their need to participate remotely and provide a general description of the circumstances. (C) Emergency Circumstances. “Emergency circumstances” is defined as a physical or family medical emergency that prevents a Councilmember from attending the Council meeting in person. i. Notification and acceptance. a. A Councilmember attending remotely due to “emergency circumstances” must notify the Council or Council committee and the City Clerk at the earliest possible opportunity. b. The Council or Council committee must request a general description of the circumstances relating to the Councilmember’s need to appear remotely. The description does not need to have more than 20 words, and the Councilmember does not have to disclose any personal medical information. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 19  Packet Pg. 400 of 469  13 City Council Procedures and Protocols Handbook c. At the earliest opportunity available to it, the Council or Council committee must, by a majority vote of its members, take action on the request to approve or disapprove it. If the request does not allow sufficient time to place it on the agenda for the meeting for which the request is made, the legislative body must take action on the request at the beginning of the meeting by majority vote. (D) Disclosures. Councilmembers attending remotely must publicly disclose at the meeting before any action is taken whether any other individuals 18 years of age or older are present in the room at the remote location with the member and the general nature of the member’s relationship with the individual. (E)Technology. Councilmembers attending remotely shall participate using both audio and visual technology. (F) Limits. Councilmembers may only attend meetings using Alternative Teleconferencing a limited number of times per year based on the frequency of the legislative body’s regular meetings. The limits are: i. City Council – 5 meetings per year ii. Finance Committee – 5 meetings per year i.iii.Other committees – 2 meetings per year If the Councilmember intending to follow the procedures of AB 2449 Remote Attendance Alternative Teleconferencing determines that any or all of these requirements cannot be met, he or she shall not participate in the meeting remotely using AB 2449 Remote Attendance Alternative Teleconferencing procedures. 6)AB 2449 Remote Attendance Alternative Teleconferencing Sample Scripts At the start of the meeting, the Councilmember attending remotely may use the following language to identify under which provision they are attending remotely: Just Cause: “I have just cause to attend this meeting remotely under AB 2449the Brown Act. I have not attended a meeting remotely due to just cause more than once this calendar year. I have attended [NUMBER] [COUNCIL/COMMITTEE] meetings remotely this calendar year. I must attend this meeting remotely because… 1. “… I must provide caregiving to [RELATION].” 2. “… a contagious illness prevents me from attending in person.” 3. “… I have a need related to a disability which could not be accommodated at this meeting.” 4.“… I am travelling while on official business of [STATE OR LOCAL AGENCY].” 5. “… my [RELATION] is immunocompromised, requiring me to participate remotely.” 6. “… a [PHYSICAL OR FAMILY] medical emergency prevents me from attending in person.” 4.7.“… I am serving under official written orders required as a member of [MILITARY Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 20  Packet Pg. 401 of 469  14 City Council Procedures and Protocols Handbook SERVICE ORGANIZATION] that requires me to be at least 50 miles outside of Palo Alto.” “In this room, I am accompanied by… 1. “…no one over the age of 18.” 2. “…one or more individuals over the age of 18. They are [RELATION (e.g., my spouse, coworker, medical provider)].” Emergency Circumstances: “Due to emergency circumstances, I request to attend this meeting remotely under AB 2449. I have attended [NUMBER] meetings remotely this calendar year. The [PHYSICAL OR FAMILY] medical emergency I am facing requires my remote attendance because [BRIEF DESCRIPTION].” “In this room, I am accompanied by… 1. “…no one over the age of 18.” 2.1.“…one or more individuals over the age of 18. They are [RELATION (e.g., my spouse, coworker, medical provider)].” 2.4 Colleagues’ Memos Councilmembers may bring forward a colleagues’ memo on any topic to be considered by the entire Council. A minimum of two Councilmembers are required to place such a memo on the agenda, reflective of the Council procedure requiring a motion and a second for consideration of a motion by the Council. Up to three Councilmembers may sign a colleague memo. To comply with the Brown Act, three is the maximum number Councilmembers who may discuss or sign onto a colleagues’ memo. Prior to preparing a colleagues’ memo, Councilmembers should consult with the City Manager to determine whether the City Manager is able to address the issues as part of their operational authority and within current budgeted resources. Colleagues’ memos should include a section drafted by the City Manager that identifies any potential staffing or fiscal impacts of the contemplated action. Councilmembers shall provide a copy of the proposed memo to the City Manager and City Attorney prior to finalization. Completed Council colleagues’ memos should be provided to the City Manager, City Attorney and City Clerk with as much advance notice as possible, to provide time for staff to prepare the resource impact section and prepare the memo for placement on the agenda. The Council will not take action on the night that a colleagues’ memo is introduced if it has any implications for staff resources or current work priorities which are not addressed in the memo. The Council will discuss the colleagues’ memo and refer it to a committee or direct the City Manager to agendize the matter for Council action. Action may be taken immediately by the Council on colleagues’ memos where there are no resource or staffing implications, or where these implications are fully outlined in the colleagues’ memo. The Brown Act requires that the public be fully informed of the potential action by the Council when the agenda is published. In order to satisfy the Brown Act requirements, the Council should consult with the City Attorney to ensure that the proposed title to the colleagues’ memo contains all actions that the Councilmembers want completed on the night of the Council review. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 21  Packet Pg. 402 of 469  15 City Council Procedures and Protocols Handbook Councilmembers nearing the end of their term desiring to submit a colleagues’ memo should consider submittal timing and steps needed in order to ensure Council discussion prior to the end of their term. Staff will make best efforts to agendize such memos prior to the end of the Council term. * * * SECTION 3 - CITY COUNCIL MEETING ORDER OF THE AGENDA Council agendas will be prepared by the City Clerk and presented to the Council in the order described below, except as determined otherwise by the Mayor in consultation with the City Manager. In setting the agenda, the typical order of agenda items is as shown below but the ordering can be changed in the agenda-setting process if needed. The City Manager, with prior approval of the Mayor, is authorized to designate upon the agenda items that shall be taken up first or at a specific time during the course of the meeting (PAMC section 2.04.070.) The Council may take matters up out of order upon approval by a majority vote of those present: Call to Order Special Orders of the Day Closed Session Agenda Changes, Additions and Deletions General Public Comment Councilmember Questions, Comments and Announcements Study Session Consent Agenda Items may be placed upon the consent calendar by any council-appointed officer whenever, in such officer's judgment, such items are expected to be routinely approved without discussion or debate. Council Minutes are approved on Consent. The consent calendar shall be voted upon as one item. City Manager Comments Action Items Adjournment Items Considered After 10:30 p.m.: The Council makes every effort to end its meetings before 11 p.m. With that goal in mind, the Council generally does not start discussion of new matters after 10:30 p.m. Before 10 p.m. the Council will decide and announce whether it will begin consideration of any agenda items after 10:30 p.m. and, if so, which specific items will be taken up. 3.1 Call to Order The meeting can be called to order in recognition of a holiday or special designation to bring awareness and show appreciation of that holiday or special designation. The Mayor will determine such recognitions in consultation with the Manager, and dates will primarily originate from a calendar adopted by the Council. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 22  Packet Pg. 403 of 469  16 City Council Procedures and Protocols Handbook 3.2 Special Orders of the Day (a)Council may acknowledge a special appreciation for individuals or groups for achievements, holidays (dates included in the annual Council-adopted calendar), etc., through the a Special Order of the Day. This can be done through: - A certificate of recognition for individuals or groups linked to a certain achievement, event or holiday - Information read by Councilmembers in honor of a group or individual - A proclamation or resolution presented to a group or individual - Informational presentation from a community group about their program. (b)Proclamations are issued at the discretion of the Mayor. Proclamations may be presented at a City Council meeting or issued without a formal presentation. If a presentation at City Council is requested, the Mayor, in consultation with the City Manager and City Clerk, will determine when the proclamation will be agendized. The public may submit requests via email to the City Clerk or via the City Clerk’s webpage. Councilmembers may direct proclamation requests to the Mayor. The City Clerk’s Office publishes all proclamations on the City’s website and regularly notifies the Council of proclamations issued without presentation at a City Council meeting. (c)The City annually issues routine, non-controversial proclamations for certain recognitions based off a list reviewed by the City Council, contingent upon approval by the Mayor and Vice Mayor. Potentially controversial proclamation will be brought to the full Council for a vote for approval. (b)(d)Council shall refrain from taking positions on matters related to foreign governments, or concerning the foreign policy of the United States, or its relationship to other countries. Additionally, the Council shall not adopt resolutions, issue proclamations or official statements, or otherwise engage in advocacy on issues that are outside the scope of local governance. The Council may support proclamations, resolutions, and matters directly related to Palo Alto’s Sister Cities, provided they focus on cultural, educational, commercial, or other collaborations consistent with the objectives of these partnerships. Council may adopt positions on domestic acts of the state or federal government which affect the resources of the City, or the health, safety and welfare of the residents or workers of the City consistent with our legislative guidelines. Statements representing the position of the Council on issues that are controversial, shall be voted upon by the Council. 3.3 Closed Sessions Closed sessions are the only part of a Council meeting that the public cannot attend though to the public may make public comments before the start of the closed session. Council may meet in closed session only as specifically authorized by State law. The most common types of closed sessions are labor negotiations, litigation, employment issues, and real estate negotiations. The Council will make a public report after the session where required by State or local law. (a) Closed Session Requirements Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 23  Packet Pg. 404 of 469  17 City Council Procedures and Protocols Handbook 1) Announcements Before Closed Sessions The Mayor/City Clerk shall announce the item or items to be considered in closed session by reference to the appropriate agenda number or letter, or in an alternate form that shall be provided by the City Attorney. 2) Public Comments Members of the public are permitted to make public comments on closed session matters. The City Clerk shall be present in the open session to record Council attendance and any statements made by the public or by the Council. 3) Vote to Go into Closed Session The Council shall vote to go into closed session. 4) Attendance The City Manager and City Attorney, or their designees, shall attend closed sessions unless it is necessary to excuse them. Additional staff and consultants may attend, but only to the extent that their attendance is necessary to support Council’s consideration of the item. 5) Public Reports State and local law require the Council to make a public report after a closed session when certain kinds of actions are taken (PAMC section 2.04.030). Reports from closed sessions shall be made by the Mayor, the Vice Mayor in the Mayor's absence, or such other City representative as designated by the Council. Such designated person is the only individual authorized to make public statements concerning the closed session. It is the policy of the Council to inform the public of action taken in closed session to the greatest extent possible. It is recognized, however, that the need for confidentiality is inherent in closed sessions and that certain matters if revealed may be a detriment to the results desired. The Council shall publicly report: (A) any decision to appoint, employ, or dismiss a public employee and the roll call vote thereon at its next public meeting; (B) actions related to litigation and the roll call vote on such actions, unless the report would, in the written opinion of the City Attorney for specifically stated reasons, clearly jeopardize the City’s ability to effectuate service of process on one or more unserved parties or impair the City’s ability to resolve the matter through negotiation, mediation or other form of settlement. Notwithstanding the City Attorney's written opinion, the Council may under any circumstance, by majority vote, determine that it is in the City's best interests to disclose actions taken in closed session related to litigation. The public report shall be given as soon as possible, but no later than the next regular meeting, and shall include the vote or abstention of every member present. The City Attorney’s written opinion shall be made public, along with any action taken and any vote thereon, as soon as any litigation is concluded. The City Attorney shall record any action and vote upon such forms as the City Attorney may deem desirable; Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 24  Packet Pg. 405 of 469  18 City Council Procedures and Protocols Handbook (C) Other matters as required by law. 6) No Minutes No minutes of closed sessions shall be kept. The City Attorney shall record the information necessary to comply with State law and Municipal Code section 2.04.030. 7) Confidentiality No person in attendance at a closed session may disclose the substance or effect of any matter discussed during the session (PAMC section 2.04.040), except to the extent authorized by a majority vote of Council or as required by a court. 3.4 Agenda Changes, Additions, and Deletions (a)By majority vote, Council may change the order or delete an item from the agenda. Council may not add items to the agenda except in cases of emergency as defined by State law. (b)When the Council decides to reschedule business items, the business items will generally be rescheduled as follows: 1) Items Rescheduled to a Date Uncertain When Council reschedules an item to a date uncertain, the City Manager, Clerk and Mayor shall confer on an appropriate date to reschedule the item. 2) Items Rescheduled to a Date Certain Council may reschedule an item to a specific future Council meeting. 3.5 General Public Comment (see Section 5 on Public Participation for more details about “General Public Comment”) 3.6 Councilmember Questions, Comments, and Announcements (including reports on Boards, Commissions, and Committees) The purpose of this agenda item is to allow Council to briefly ask staff about matters upon which Council has taken action or given direction, make general comments as a reference to staff on factual matters of community concern, or make brief announcements in a manner consistent with Government Code section 54954.2. If more than brief statements are desired, the item shall be agendized for a future meeting in the manner otherwise provided by these Procedures, such as by the City Manager or through a Colleagues’ Memo. Major policy issues and new assignments will not be discussed or considered in this item. To the extent possible, Council will confer with staff before raising matters under this agenda item. Councilmember questions, comments, and announcements are limited to 3 minutes per Councilmember. This agenda item will generally last up to 15 minutes and the public may not comment. 3.7 Study Sessions Study Sessions are agenda items during which the Council receives information about City business in an informal setting. Study sessions are intended to be discussion items only. The Decorum rules Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 25  Packet Pg. 406 of 469  19 City Council Procedures and Protocols Handbook still apply to the behavior of the Council and public. (a) Study Session Procedures 1) Time Special study sessions will be held as needed. 2) Topics and Process Study sessions are intended to be conducive to in-depth factual presentations by City staff and detailed questioning and brainstorming by Council on issues of significant interest. The Council may discuss the material freely without following formal rules of parliamentary procedure, and the presiding officer shall have discretion to determine the appropriate process for conducting the study session, including when public comment will be heard. 3) Public Participation Members of the public are allowed to make public comments on study session matters at the time directed by the presiding officer. The general rules of decorum apply. 4) No Action Taken Staff may be directed to bring matters back for Council consideration at future meetings, as no action can be taken. 3.8 Consent Agenda The Consent Agenda is the section where items not anticipated to require discussion can be presented and acted upon efficiently by Council. This generally includes administrative items; implementation of policies and programs previously approved by Council, including contracts; and other routine or non-controversial items. The Mayor and City Manager should be sensitive to high dollar value contracts and consider placing those items in the action agenda section. The consent section may include: (a) Ordinances and Resolutions The following ordinances and resolutions may appear on a consent calendar: 1) Second Reading (passage and adoption) of Ordinances. 2) Resolutions that are ceremonial in nature. 3) Ordinances or resolutions that implement a prior Council policy direction in the manner contemplated by the Council's previous actions, in the Adopted Budget (including the Capital Improvement Program and especially in the department key plans), the Council Priorities, and other similar sources. 4) Budget amendments that accept funding such as grants or gifts, provided Council has previously approved the activity or program. 5) Resolutions approving funding applications, such as grants or loans, provided that the program or activity has been previously approved by Council. 6) Clerical amendments to local laws. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 26  Packet Pg. 407 of 469  20 City Council Procedures and Protocols Handbook 7) Conforming amendments to local laws that are required by State law, except items of significant public interest. (b) Administrative Matters Including Contracts, Appointments, Approval of Applications, and Any Other Matter An administrative matter may be placed on the consent calendar if it is: 1) An action that is merely the administrative execution of previous Council direction. The Council direction and vote will be quoted in the Staff Report accompanying the item. 2) Contracts for which the subject or scope of work has been previously reviewed by the Council. 3) A contract for goods, general services, professional services, public works projects, dark fiber licensing contracts or wholesale commodities, purchases, as outlined in the Purchasing Ordinance, provided such contracts represent the customary and usual business of the department as included in the Adopted Budget. Examples include routine maintenance contracts, annual audit agreements software and hardware support agreements, janitorial services, and copier agreements or postage machine agreements. 4) Designation of heritage trees. 5) Designation of historic building at the request of the property owner if there are no unusual policy ramifications. 6) Approval of funding applications, such as grants or loans, provided that Council has previously approved the general program or activity. 7) Items identified in the Municipal Code for placement on Consent. This includes, for example, certain appeals of determinations of the Director of Planning and Development Services. 8) Approval of minutes. 9) Referral of an item to a Standing Committee, Committee, Board, Commission, or Council Appointed Officer. 10) Other similar matters as determined by the City Manager, in consultation with the Mayor. (c) Items Unanimously Recommended for Approval by a Council Committee or Council-Appointed Board or Commission, Unless Otherwise Recommended by the Committee/Commission, Mayor, City Attorney or City Manager Items recommended unanimously for approval by Council committees and Council-appointed boards and commissions are generally placed on Consent, except as otherwise recommended by the Committee, Board or Commission, or the Mayor, City Manager or City Attorney, or as required by law. (d) Public Comment on Consent Agenda Members of the public wishing to speak to items on the Consent Calendar shall be permitted to speak prior to Councilmember requests to remove an item or the vote to adopt the Consent Calendar. Members of the public who wish to speak to Consent Agenda items will receive the time limit set by the presiding officer (a total of 3 minutes or less) to speak to all Consent Agenda Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 27  Packet Pg. 408 of 469  21 City Council Procedures and Protocols Handbook items of interest regardless of the number of items of interest. (e) No Discussion or Debate; Voting; Recusals; Speaking to a No Vote There shall not be discussion or debate on any item on the Consent agenda. A Councilmember who needs to recuse themself from a Consent item shall inform the Mayor and make any public disclosure that is required. The Clerk shall record the recusal on the item. Any Councilmember may request that his or her vote be recorded as a "no" on any item or items on the Consent agenda. Any Consent item not receiving the number of “yes” votes required for the item is not approved. Councilmembers may explain their "no" votes at the end of the Consent Agenda, with 3- minutes permitted for non-appeal items and 5 minutes for appeal items for each Councilmember. When a Councilmember votes “no” on multiple Consent agenda items, the Councilmember has up to 3 minutes to speak on any and all of the “no” votes. Councilmembers may also submit statements in writing to the City Clerk before action is taken. The City Clerk shall preserve and make available such written statements in a manner consistent with the Brown Act and shall assure that the minutes of the meeting make reference to the existence and location of such written statements. (f) Council Requests to Remove Items from Consent Agenda Three Councilmembers may request that an item be removed from the Consent Agenda except where otherwise required by the Municipal Code. Under the Municipal Code, four votes are required to remove a second reading of an ordinance from the Consent Agenda. If feasible, a removed item will be heard as the first action item of the same meeting for a brief discussion, limited to 10 minutes. The removed item will be agendized for a subsequent meeting if it is not resolved within that timeframe. Removed items will be heard either later in the meeting or agendized for a subsequent meeting, depending upon the number of speakers, the anticipated length of the items that have been officially scheduled for discussion on a particular evening, the availability of staff required to support the discussion, and legally- required noticing procedures. The Mayor, in consultation with the City Manager, will decide when any removed items will be heard. Councilmembers who intend to request to remove an item should strive to inform the City Manager’s office no later than noon the Sunday before the meeting. This is so that the Manager can assess the operational impacts of rescheduling a removed item to a later agenda and, if appropriate, can arrange for appropriate staff to attend Council to support consideration of the item. 3.9 City Manager’s Comments 3.10 Action Items 3.11 Adjournment Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 28  Packet Pg. 409 of 469  22 City Council Procedures and Protocols Handbook * * * SECTION 4 - PROCEDURES AT CITY COUNCIL MEETINGS 4.1 Council Motion and Voting Processes throughout the Agenda (exist. Procedures 2.4 U and V) (a) Motions, Debate & Voting Policy and Summary of Rules It is the policy of the Council to follow simplified rules of parliamentary procedure for motions, debate and voting as an alternative procedure to Robert’s Rules of Order. These rules focus on the types of motions the Council can make and when those motions are properly used. See the Summary Table below. Purpose The purpose of these rules to facilitate orderly and thorough discussion and debate of Council business in order to create open respectful discussion and results that serve the public interest. (b)Motions A motion is a formal proposal by a Councilmember asking that the Council take a specified action. A motion must receive a second before the Council can consider a matter. Motions may be provided to the City Clerk in advance of the Council meeting so that the Clerk can efficiently post the motion on the screen for the convenience of the community and Councilmembers. There are two types of motions; these are the “main” motion and any secondary motions. Only one main motion can be considered at a time. The main motion is the first motion to be made and receive a second. A secondary motion is described below which can be considered while a main motion is pending. 4.2 Motion Procedures (a) Main Motion Procedures 1) Get the Floor A Councilmember should seek permission of the presiding officer before making a motion. 2) State the Motion A motion is made by a Councilmember (the “maker”) stating his or her proposal. Longer proposals can be written. 3) Second Required Any other Councilmember (including the presiding officer) who supports the proposal (or who simply wishes it to be considered) may “second” the motion without first being recognized. 4) Motion Transcribed The Clerk shall transcribe the motion so that Councilmembers, the public and staff can Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 29  Packet Pg. 410 of 469  23 City Council Procedures and Protocols Handbook read it. 5) Lack of a Second If there is no second stated immediately, the presiding officer should ask whether there is a second. If no Councilmember seconds the motion the matter will not be considered. 6) Discussion The maker shall be the first Councilmember recognized to speak on the motion if it receives a second. The seconder shall be the second Councilmember to speak on the motion. Generally Councilmembers will speak only once with respect to a motion. If the presiding officer or Council permits any Councilmember to speak more than once on a motion, all Councilmembers shall receive the same privilege. 7) Secondary Motions Secondary motions may be made by a Councilmember upon getting the floor. 8) Action After discussion is complete the Council will vote on the motion under consideration. (b)Secondary Motion Procedures Only one main motion may be entertained by Council at a time. The Council recognizes the following secondary motions which may be considered while a main motion is pending. These motions shall have precedence in the order listed below. This means that a secondary motion that is higher on the list will be considered ahead of a pending secondary motion that is lower on the list: The purpose of the allowed secondary motions is summarized in the following text and table. 1) Fix the time to which to adjourn This motion sets a time for continuation of the meeting. It requires a second, is amendable and is debatable only as to the time to which the meeting is adjourned. 2) Adjourn This motion ends the meeting or adjourns it to another time. It requires a second and is not debatable except to set the time to which the meeting is adjourned, if applicable. A motion to adjourn shall be in order at any time, except as follows: (a) when repeated without intervening business or discussion; (b) when made as an interruption of a member while speaking; (c) when the previous question has been ordered; and (d) while a vote is being taken. 3) Take a recess This motion interrupts the meeting temporarily. It is amendable but is not debatable. 4) Raise a question of personal privilege This motion allows a Councilmember to address the Council on a question of personal privilege and shall be limited to cases in which the Councilmember's integrity, character or motives are questioned or when the welfare of the Council is concerned. The maker of Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 30  Packet Pg. 411 of 469  24 City Council Procedures and Protocols Handbook the motion may interrupt another speaker if the presiding officer recognizes the "privilege." The motion does not require a second, is not amendable and is not debatable. 5) Lay on the table This motion is used to interrupt business for more urgent business. A motion to lay on the table requires a second, is not amendable and is not debatable. It shall preclude all amendments or debate of the subject under consideration. If the motion prevails, and the subject is tabled, the matter must be reagendized in the future if further consideration is to be given to the matter. 6) Previous question This motion “calls the question” by closing debate on the pending motion. A motion for previous question requires a second, is not debatable and is not amendable. It applies to all previous motions on the subject unless otherwise specified by the maker of the motion. If motion for previous question fails, debate is reopened; if motion for previous question passes, then vote on the pending motion. A motion for previous question requires a two- thirds vote of those Councilmembers present and voting. 7) Limit or extend debate This motion limits or extends the time for the Council or any Councilmember to debate a motion. It requires a second, is amendable and is not debatable. The motion requires a two-thirds vote of those Councilmembers present and voting. 8) Continue to a certain time This motion continues a matter to another, specified time. It requires a second, is amendable and is debatable as to propriety of postponement and time set. 9) Refer to a city agency, body, committee, board, commission or officer This motion sends a subject to another city agency, body, committee, board, commission or officer for further study and report back to Council, at which time subject is fully debated. It requires a second, is amendable, and is debatable only as to the propriety of referring. The substance of the subject being referred shall not be discussed at the time the motion to refer is made. 10) Amend or substitute A motion to amend retains the original motion and modifies it in some way. A substitute motion deletes the original motion and replaces it with a different motion. Both require a second, are amendable, and are debatable only when the motion to which they appy is debatable. A motion to amend an amendment is in order, but one to amend an amendment to an amendment is not. An amendment modifying a motion is in order but an amendment raising an independent question or one that is not germane to the main motion shall not be in order. Amendments take precedence over the main motion and the motion to postpone indefinitely. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 31  Packet Pg. 412 of 469  24 City Council Procedures and Protocols Handbook Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 32  Packet Pg. 413 of 469  25 City Council Procedures and Protocols Handbook (c) Motion Process Reference Chart Motion Description 2nd Required Debatable Amendable 2/3 Vote Fix the time to which to adjourn Sets a next date and time for continuation of the meeting YES Only as to time to which the meeting is adjourned YES NO Adjourn Sets time to adjourn. Not in order if (a) repeated without intervening business (b) made as an interruption of a member while speaking; (c) the previous question has been ordered; and (d) while a vote is being taken YES Only to set the time to which the meeting is adjourned NO NO Take a recess Purpose is to interrupt the meeting YES NO YES NO Raise a question of privilege Allows member to address Council on a question of personal privilege limited to Council welfare or cases where a member’s personal integrity, character, or motives are questioned. NO NO NO NO Lay on the table Interrupts business for more urgent business YES NO NO NO Previous question (close debate or “call the question”) Closes debate on pending motion YES NO NO YES Limit or extend limits of debate Purpose is to limit or extend debate YES NO YES YES Motion to continue to a certain time Continues the matter to another, specified time YES YES YES NO Refer to committee Sends subject to another city agency, body, committee, board, commission or officer for further study and report back to council, at which time subject is fully debated YES Only as to propriety of referring, not substance of referral YES NO Amend or substitute Modifies (or reverses course of) proposed action. Cannot raise independent question. Can amend an amendment, but no further YES Only if underlying motion is debatable YES NO Motion to Reconsider Motion that can be made only during the meeting or adjourned meeting in which the action was taken YES YES NO NO Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 33  Packet Pg. 414 of 469  25 City Council Procedures and Protocols Handbook Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 34  Packet Pg. 415 of 469  26 City Council Procedures and Protocols Handbook 4.3 Voting and Debate of Agenda Items (a) Presiding officer to review motion The presiding officer shall assure that all motions are clearly stated before allowing debate to begin. The presiding officer and the maker of the motion should work with the City Clerk to clarify the motion before allowing debate to begin. The presiding officer may review the motion prior to voting. (b) Presiding officer may debate and vote The presiding officer may move, second and debate from the chair, subject only to such limitations of debate as are by these rules imposed on all Councilmembers. The presiding officer shall not be deprived of any of the rights and privileges of a Councilmember. (c) Division of question If the question contains two or more divisible propositions, each of which is capable of standing as a complete proposition if the others are removed, the presiding officer may, and upon request of a Councilmember shall, divide the same. The presiding officer's determination shall be appealable by any Councilmember. (d) Withdrawal of motion A motion may only be withdrawn by the maker with the consent of the Councilmember seconding it. (e) Change of vote Councilmembers may change their votes before the next item on the agenda is called. (f) Voting On the passage of every motion, the vote shall be taken by voice or roll call or electronic voting device and entered in full upon the record, except where state law requires a roll call vote (g) Failure to vote It is the responsibility of every Councilmember to vote unless the member is recused. No Councilmember can be compelled to vote. (h) Abstaining from vote Councilmembers should only abstain if they are not sufficiently informed about an item, e.g., when there was a prior meeting on the topic and they were unable to view the prior meeting before the current meeting. In the event of an abstention, or silence during a vote, the abstainer in effect, "consents" that a majority of the quorum of the Councilmembers present may act for him or her. (i) Not participating A Councilmember who is recused from an item due to a conflict of interest, common law bias, or other legal prohibition shall make disclosures required by law, leave the dais if required, and not participate in any way in the discussion or determination of the item. A Councilmember may otherwise disqualify themself to avoid an appearance of impropriety. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 35  Packet Pg. 416 of 469  26 City Council Procedures and Protocols Handbook Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 36  Packet Pg. 417 of 469  27 City Council Procedures and Protocols Handbook (j) Tie votes Tie votes may be reconsidered during the time permitted by these rules on motion by any member of the Council voting yes or no during the original vote. Before a motion is made on the next item on the agenda, any member of the Council may make a motion to continue the matter to another date. To the extent allowed by law, it is the Council’s intention that any continuance hereunder shall suspend the running of any time in which action of the Council is required by law. Nothing herein shall be construed to prevent any Councilmember from recommending the agendizing of a matter that resulted in a tie vote for a subsequent meeting. (k) Motion to reconsider A motion to reconsider any action taken by the Council may be made only during the meeting or adjourned meeting when the action was taken. A motion to reconsider requires a second, is debatable and is not amendable. The motion must be made by one of the prevailing side of an issue but may be seconded by any Councilmember. A motion to reconsider may be made at any time and shall have precedence over all other motions, or while a Councilmember has the floor, providing that no vested rights are impaired. The purpose of reconsideration is to bring back the matter for review. If a motion to reconsider fails, it may not itself be reconsidered. Reconsideration may be moved only once on the same motion. However, a Councilmember may make a motion to rescind such action at a subsequent meeting of the Council, provided an appropriate item is on the published agenda. (l) Appeal from the decision of presiding officer When the rules are silent, the presiding officer shall decide all questions of order, subject to appeal by a Councilmember. When in doubt, the presiding officer may submit the question to the Council, in which case a majority vote shall prevail. Any decision or ruling of the presiding officer may be appealed by request of any member. The presiding officer shall call for a roll call or electronic voting device vote to determine if the presiding officer's ruling shall be upheld. If said vote passes or results in a tie vote, the presiding officer's ruling shall stand. If said vote fails, the decision or ruling of the presiding officer is reversed. (m)Getting the floor; improper references to be avoided Every Councilmember desiring to speak shall address the presiding officer and, upon recognition by the presiding officer, every Councilmember shall be confined to the question under debate, avoiding all indecorous language and personal attacks. (n) Interruptions Except for being called to order, a Councilmember once recognized, shall not be interrupted when speaking, except as otherwise provided for in these rules. A Councilmember called to order while speaking shall cease speaking until the question or order is determined, and, if in order, said Councilmember shall be permitted to proceed. (o) Councilmember Speaking Time The presiding officer shall give each Councilmember up to five (5) minutes to speak in each round of discussion during discussions on Council items where discussion takes place. The Council shall be guided by the speaking times set by the presiding officer and shall conclude comments at the direction of the presiding officer. The presiding officer shall endeavor to treat all members equitably. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 37  Packet Pg. 418 of 469  28 City Council Procedures and Protocols Handbook 4.4 Quasi-Judicial Matters (a) Quasi-Judicial Matters It is the policy of the Council to assure that the due process rights of all persons are protected during City hearings. A “quasi-judicial” hearing is a hearing that requires a higher level of procedural due process because of the potential impact on life, liberty or property. Usually, quasi-judicial hearings involve consideration of an application to develop real property. The City, including Council and associated Boards and Commissions, reaches a determination by applying standards and requirements in existing law to the facts and evidence submitted in the hearing. Findings must be stated to explain the evidentiary basis for Council’s final decision. Purpose These rules are intended to assure that Council decision making on quasi-judicial matters is based upon facts and evidence known to all parties and to support the role of Boards and Commissions in making independent recommendations to Council. General Requirements 1) Quasi-Judicial Proceedings Defined Quasi-judicial proceedings subject to these procedural rules include hearings involving the following matters: (A) Conditional Use Permits (B) Variances (C) Home Improvement Exceptions (D) Design Enhancement Exceptions (E) Subdivisions, other than final map approvals (F) Architectural Review (G) Other Matters as Determined by the City Attorney 2) Restrictions on Council Communications Outside of Quasi-Judicial Hearings It is the policy of the Council to discourage the gathering and submission of information by Councilmembers outside of any noticed public meeting, prior to final recommendations by the Architectural Review Board or Planning & Transportation Commission. The following procedural guidelines are intended to implement this policy but shall not be construed to create any remedy or right of action. 3) Identification of Quasi-Judicial Matters The City Attorney, in conjunction with the City Clerk and City Manager, will identify agenda items involving quasi-judicial matters on both the tentative and regular Council agendas. This identification is intended to inform the Council, interested parties, and the public that this policy will apply to the matter. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 38  Packet Pg. 419 of 469  28 City Council Procedures and Protocols Handbook Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 39  Packet Pg. 420 of 469  29 City Council Procedures and Protocols Handbook 4) Council to Track Contacts Councilmembers should track contacts with any person or entity pertaining to quasi-judicial matters. Contacts include conversations, meetings, site visits, mailings, or presentations during which substantial factual information about the item is gathered by or submitted to the Councilmember. 5) Disclosure When a quasi-judicial matter is agendized at Council, Councilmembers will disclose on the record any contacts they have had outside of a noticed meeting, identify any new or different information they have received, and note information that may influence their preliminary views or opinions about the item. Disclosures may be oral or written and should explain the substance of the contact so that the project applicant, other Councilmembers, interested parties, and the public will have an opportunity to learn of the factors influencing the Council's decision and have an opportunity to controvert or rebut any such factor during the hearing. Disclosure alone will not be deemed sufficient basis for a request to continue the item. A contact or the disclosure of a contact shall not be deemed grounds for disqualification of a Councilmember from participation in a quasi- judicial matter unless the Councilmember, in consultation with the City Attorney, determines that the nature of the contact is such that it is not possible for the Councilmember to reach an impartial decision on the item. 6) No Contacts after Hearings Following closure of a quasi-judicial hearing, and prior to a final decision, Councilmembers will refrain from any contacts pertaining to the item, other than clarifying questions directed to City staff. 7) Written Findings Required On any matter for which state law or City ordinance requires the preparation of written findings, the staff report and other materials submitted on the matter will contain findings proposed for adoption by the Council. Any motion directly or impliedly rejecting the proposed findings must include a statement of alternative or modified findings or a direction that the matter under consideration be continued for a reasonable period of time in order for staff to prepare a new set of proposed findings consistent with the evidence which has been presented and the decision which is anticipated. 8) Rules of Evidence Council hearings need not be conducted according to formal rules of evidence. Any relevant evidence may be considered if it is the sort of evidence upon which responsible persons rely in the conduct of serious affairs. The presiding officer may exclude irrelevant or redundant testimony and may make such other rulings as may be necessary for the orderly conduct of the proceedings while ensuring basic fairness and full consideration of the issues involved. Evidentiary objections shall be deemed waived unless made in a timely fashion before the Council. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 40  Packet Pg. 421 of 469  29 City Council Procedures and Protocols Handbook Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 41  Packet Pg. 422 of 469  30 City Council Procedures and Protocols Handbook 9) Councilmembers Who are Absent During Part of a Hearing A Councilmember who is absent from any portion of a hearing conducted by the Council may vote on the matter provided that he or she has watched the video record of the entire portion of the hearing from which he or she was absent and if she or he has examined all of the exhibits presented during the portion of the hearing from which he or she was absent. Councilmembers who were absent should state for the record that they have reviewed the proceedings and materials. (b) Presenting at Quasi-Judicial Hearings In the case of a quasi-judicial hearing, single applicants and appellants shall be given 10 minutes for their opening presentation and 3 minutes for rebuttal before the hearing is closed. In the case of a quasi-judicial hearing for which there are two or more appellants, the time allowed for presentation and rebuttal shall be divided among all appellants, and the total time allowed for all appellants shall be a total of twenty minutes for the opening presentation and six minutes for rebuttal before the hearing is closed; however, each individual appellant shall be given a minimum of 5 minutes for presentation and 3 minutes for rebuttal. In the event a request is made and the need for additional time is clearly established, the Presiding Officer shall independently, or may upon advice of the City Attorney, grant sufficient additional time to allow an adequate presentation by the applicant or appellant. (c) Submittal of Materials Directly to Council If Councilmembers receive materials related to a quasi-judicial agenda item they should notify the City Clerk and the City Manager as soon as possible so that the materials can be placed in the official record and distributed to all Councilmembers, parties to the proceeding, staff and the public. * * * SECTION 5 - HOW THE PUBLIC ENGAGES WITH THE CITY COUNCIL 5.1 Public Participation During City Council Meetings Overview The Council welcomes members of the public to participate in meetings through public comment opportunities. It is the policy of the Council to assure that members of the public have the opportunity to speak to any regular or special meeting agenda item before final action. These rules are intended to enhance public participation and Council debate so that the best possible decisions can be made for Palo Alto. Palo Alto has a long and proud tradition of open government and civil, intelligent public discourse. Open government meetings must allow everyone to be heard without fear of cheers or jeers. For these reasons, the Council takes these rules seriously. Disruptive or unruly behavior in violation of the law can result in removal from the Council meeting and/or arrest and prosecution. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 42  Packet Pg. 423 of 469  30 City Council Procedures and Protocols Handbook Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 43  Packet Pg. 424 of 469  31 City Council Procedures and Protocols Handbook (a) Access to Meetings 1) In-Person and Remote Participation Council meetings are available in person in the Council Chambers and through an online meeting platform. Members of the public are welcome to attend the meeting in person or to join the online meeting platform. 2) Translators Speakers may bring a translator as needed and will be allotted additional time, as appropriate. 3) ADA Access Palo Alto makes every reasonable effort to accommodate the needs of the disabled consistent with law. Any provision of these rules may be modified if needed to provide reasonable accommodation. Persons needing assistance should contact: the City Clerk, City of Palo Alto, 650- 329-2571 (voice) or email at City.Clerk@cityofpaloalto.orgCity.Clerk@cityofpaloalto.org. 4) The Council does not allow members of the public to activate their personal video during their public comments. The Council also does not offer remote participation during the General Public Comment (on items not on the agenda) section during Council meetings. (b) Summary of Rules for Public Participation Every regular Council agenda has two different kinds of opportunities for the public to speak. The first is during General Public Comment. The second is during the public comment or public hearing portion of each agenda item. 1) General Public Comment This part of the meeting is provided so that the public can speak to any subject that is in the Council’s jurisdiction, when there is no item listed on the agenda on that topic. Per meeting, the Council limits the time for General Public Comment to up to 30 minutes initially and allows the presiding officer to move additional General Public Comment to the end of the meeting agenda. State law does not permit the Council to act on or discuss an item raised at that meeting in General Public Comment. Councilmembers shall not enter into debate with speakers, but Councilmembers may ask brief clarifying questions and may ask City staff to follow up on any concerns raised. Remote participation will not be available during the General Public Comment section of the agenda. 2) Public comment or public hearing portion of each agenda Item The Brown Act requires the opportunity for public comment on all listed agenda items, except ceremonial items, procedural items (Agenda Changes and Deletions) and brief announcements (City Manager Comments and Councilmember Questions, Comments and Announcements). Public comments or testimony must be related to the matter under consideration. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 44  Packet Pg. 425 of 469  32 City Council Procedures and Protocols Handbook (c) Time Limits 1) Individual Speakers The presiding officer may announce the time that each speaker may use. The Council generally allows 3 minutes per speaker, but a shorter time may be designated when there are many speakers, numerous items on the agenda, or items anticipated to be lengthy. For example, if there are fewer than 10 speakers, the presiding officer may allow speakers 3 minutes to speak. Or if there are more than 10 speakers, then the presiding officer may choose to reduce the time for each speaker. 2) Spokesperson for a Group When a group of people wishes to address the Council on the same subject matter, they may designate a spokesperson to address the Council. Spokespersons are subject to the same time limits as other speakers, except that spokespersons who are representing a group of five or more people who have requested to speak and are verified as present in the Council Chambers or online will be allowed 10 minutes and will, to the extent practical, be called upon ahead of individual speakers. If the presiding officer reduces the speaking time for individual speakers, the total speaking time for a spokesperson will also be reduced as determined by the presiding officer. 3) Public Comment on Consent Agenda (repeat of Section 3.8d) Members of the public wishing to speak to items on the Consent Calendar shall be permitted to speak prior to Councilmember requests to remove an item or the vote to adopt the Consent Calendar. Members of the public who wish to speak to Consent Agenda items will receive the time limit set by the presiding officer (a total of 3 minutes or less) to speak to all Consent Agenda items of interest regardless of the number of items of interest. (d) Gaining Permission to Speak Any person who wants to make a spoken public comment on an item on the Council agenda can do so if they are attending either in person or virtually. If attending in person, members of the public should fill out a speaker card and hand it in to the City Clerk prior to the end of the staff presentation. Members of the public participating virtually should use the “raise hand” function in the online meeting platform, or if participating via phone, hit *9 to notify the Clerk that they wish to speak. The Clerk will provide the names of the speakers to the Mayor or Vice Mayor so that the speakers can be identified and organized in an orderly way. The presiding officer will endeavor to identify in advance the time when public comment cards will no longer be accepted. (e) Public Decorum During Meeting The presiding officer at Council meetings (usually the Mayor or Vice-Mayor) is authorized and required to “preserve strict order and decorum.” (PAMC section 2.04.080(b).) This is important in order to assure a fair opportunity for everyone to participate in an open and civil setting. 1) No person, other than a Councilmember and the person having the floor, shall be permitted to speak without the permission of the presiding officer. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 45  Packet Pg. 426 of 469  33 City Council Procedures and Protocols Handbook 2) All remarks should be addressed to the Council as a body and not to any individual member or staff person. 3) No person, besides staff or the Council, shall enter the staff area of the Council dais without the permission of the presiding officer or appropriate Council Appointed Officer. 4) The Palo Alto Municipal Code makes it unlawful for any person to: (1) Disrupt the conduct of a meeting; (2) Make threats against any person or against public order and security while in the Council Chambers; (3) Use the Council Chambers during meetings for any purpose other than participation in or observation of Council Meetings. Any Councilmember may appeal the presiding officer’s decision on a decorum violation to the full Council. Decorum violations are a misdemeanor and may lead to a person being removed from the Council meeting. (PAMC sections 2.04.120, 2.04.150.) (f) Record of Speakers 1) Persons wishing to address the Council within the meeting room, shall use the microphone provided for the public. All public speakers, whether in person or virtual participants shall speak in a recordable tone, either personally or with assistance, if necessary. 2) Speakers are requested to state their name but cannot be compelled to do so as a condition of addressing the Council. (g) End of Public Comment After a Council Motion Following the time for public input and once the matter is returned to the Council no person shall address the Council without first securing the permission of the presiding officer to do so, subject to approval of the City Attorney with respect to any hearing required by law. * * * SECTION 6 - CITY COUNCIL QUESTIONS ON AGENDA-RELATED ITEMS In order to facilitate open government, all Councilmembers should make decisions with the same information from Staff on agendized or soon-to-be agendized items (i.e., items on the tentative agenda or in a Council Committee). The Council adopted protocols provide a framework for the policy on e-mail communications between Councilmembers and staff on agenda-related items, including the following: 6.1 Submit Questions on Council Agenda Items Ahead of the Meeting In order to focus the Council meetings on consideration of policy issues and to maintain an open forum for public discussion, questions which focus on the policy aspects of agenda items should be discussed at the Council meeting rather than in one-on-one communications with staff prior to the meetings. Any clarifications or technical questions that can be readily answered can be handled before the meeting. Councilmembers are encouraged to submit their questions on agenda items to Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 46  Packet Pg. 427 of 469  34 City Council Procedures and Protocols Handbook the City Manager or other appropriate Council Appointed Officer by 5:00 p.m. the Wednesday prior to the meeting so staff can be prepared to respond before or at the Council meeting. If a staff report is incomplete by 5:00 p.m. Thursday, there will be an extension to submit Council questions until 5:00 p.m. Friday. Councilmembers are strongly discouraged from asking questions already addressed in the staff report. 6.2 City Council emails for Agenda-Related Items Procedure (a) Councilmembers should direct any questions on staff reports and agenda items only to the City Manager or designee. Questions on reports from the City Auditor, City Attorney, or City Clerk should be directed to the appropriate Council Appointed Officer. (b) Councilmembers should submit questions on agenda items no later than 5 p.m. on the Wednesday prior to the Council meeting at which the item will be discussed. Staff will make best reasonable efforts to post written responses to timely-submitted questions by Thursday 5 p.m. Any questions received after 5 p.m. on the Wednesday before the meeting may be responded to via e-mail, or alternatively, will be responded to at the Council meeting. (c) Staff will not engage in “dialogues” with individual Councilmembers regarding questions; however, follow-up questions to initial questions will be responded to at the Council meeting. (d) Staff will give highest priority to responding prior to the Council meeting via e-mail only on items on the Consent Agenda. Questions which address the policy aspects of the item on the Council agenda will not be responded to prior to the meeting, although Staff welcomes such questions in advance of the meeting in order to prepare for the Council and public discussion. Technical and clarifying questions on non-Consent Calendar items will be responded to as time permits. (e) If the staff will be responding to a Councilmember’s Consent Agenda question at the meeting rather responding to the question via e-mail, Staff will inform the Councilmember as early as possible after receipt of the question(s). (f) Questions and all staff-prepared responses will be forwarded to all Councilmembers as well as posted online for public review of Council agenda questions and staff responses. Staff will include the name of the Councilmember posing the questions in the “subject” field of the e-mail response. (g) Copies of all Councilmember agenda questions and staff responses will be emailed to the Council and posted publicly on the meeting agenda. If staff responses are not released until the meeting date, they will be provided in printed form at the dais. * * * SECTION 7 – COUNCIL VALUES AND ANNUAL COUNCIL PRIORITIES Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 47  Packet Pg. 428 of 469  35 City Council Procedures and Protocols Handbook (a) Council Values In November 2022, the Council adopted a set of values as described here: The Palo Alto City Council holds these values to help guide decisions that: 1) Balance revenues and expenses, now and in the future. 2) Are environmentally sustainable. 3) Integrate equity into our decisions, considering how decisions affect people differently based on their identity or circumstances. 4) Make decisions that create a healthy, safe and welcoming community for all. 5) Safeguard public trust through transparent practices and open communication. 6) Embrace innovation. (b) Annual Council Priorities Priorities Background and Definition The Council adopted its first Council priorities in 1986. Each year the Council reviews its priorities at its Annual Council Retreat. On October 1, 2012 the Council formally adopted the definition of a Council priority, and the Council’s process and guidelines for selection of priorities. There is a goal of no more than three to four priorities per year and priorities generally have a two- to three-year time limit. Council can identify two to three specific objectives within a priority. A Council priority is defined as a topic that will receive particular, unusual and significant attention during the year. This varies from a Council value which is defined as an enduring goal and intention to guide the work of the Council. The values (shared above) allow the Council to maintain these enduring intentions while also selecting annual priorities that reflect shorter- term projects and goals. Purpose The establishment of Council priorities will assist the Council and staff to better allot and utilize time for discussion and decision making. Process In advance of the annual Council Retreat, staff will solicit input from the Council on the priorities to be reviewed and considered for the following year. 1) Councilmembers may submit up to three priorities. 2) Priorities should be submitted no later than December 1. 3) As applicable, the City Manager will contact newly elected officials for their input by December 1. 4)The City Manager and the City Clerk will solicit for the public to share proposed priorities prior to the Council retreat. The Policy and Services Committee shall recommend to the Council which suggestions if any shall be considered at the Council retreat. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 48  Packet Pg. 429 of 469  36 City Council Procedures and Protocols Handbook 5) Staff will collect and organize the recommended priorities into a list for Council consideration and provide to Council in the packet for the Council retreat. 6) If needed, the Policy and Services Committee, each year at its December meeting, shall make recommendations about the process that will be used at the Annual Retreat paying particular attention to the number of priorities suggested by Councilmembers. The recommended process is to be forwarded to Council for adoption in advance of the Council retreat. * * * SECTION 8 - PROCEDURES AND PROTOCOLS REVIEW AND ENFORCEMENT 8.1. Review and Update of the Handbook Every odd year, the Policy and Services Committee shall initiate a review and update of the Procedures and Protocols Handbook and may make recommendations to Council. Council will review the Handbook and the recommendations of Policy and Services and approve updates as appropriate. The Council will not politicize these procedural issues. 8.2. Commitment to Follow the Procedures and Protocols Handbook Councilmembers have the primary responsibility to assure that these procedures and protocols are understood and followed, so that the public can continue to have full confidence in the integrity of government. As an expression of the standards of conduct expected by the Council for Councilmembers, the procedures and protocols are intended to be self-enforcing. They are most effective when members are thoroughly familiar with them and embrace their provisions. For this reason, Councilmembers entering office shall sign a statement affirming they have read and understood the Council procedures and protocols. 8.3 Procedures for Enforcement When a concern arises regarding a Councilmember’s conduct, the concerned Councilmember or members are encouraged, where possible, to raise and attempt to resolve the concern at the lowest possible level, such as through one-on-one direct conversations (consistent with the Brown Act) or through the Mayor. Under circumstances where Councilmembers believe that actions by another Councilmember are inconsistent with federal, state or local law, this Handbook, or any other document adopted by the Council, and that those actions require formal review and potential Council response, a public discussion and potential disciplinary action are available steps for review and enforcement. The following enforcement procedures are intended for serious or ongoing concerns that are not amenable to resolution through informal means. (a)Purpose. This policy provides the mechanism by which the Council may adopt a resolution of censure or take other disciplinary action expressing the Council's disapproval of the conduct of a Councilmember if the Council finds, subject to the procedures set forth herein, that a Councilmember's conduct violates federal, state or local law, this Handbook, or any other Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 49  Packet Pg. 430 of 469  37 City Council Procedures and Protocols Handbook document adopted by the Council. (b)Types of Disciplinary Actions. This section refers to the following types of disciplinary actions: (1)Admonition. An admonition is a warning or reminder. Council may direct an admonition to any or all members of the Council, reminding them that a particular type of behavior is in violation of law or City policy, and that if it occurs or recurs, could make a member subject to a reprimand or censure. An admonition does not necessarily require an investigation or separate hearings to determine whether an allegation is true. However, while an admonition may be issued by the Council prior to a formal investigation or any findings of fact regarding allegations, a significant factual basis should exist before issuing an admonition. In general, Council will provide its members with an opportunity to respond to the alleged violation before taking any action, including issuing an admonition. (2)Informal Reprimand and Direction to Correct. An informal reprimand is a reprimand directed to a Councilmember or members based on a particular action or set of actions that the Council determines violates law or City policy but is considered to be not sufficiently serious to require formal censure. The Council may include direction to the subject Councilmember or members to correct the particular behavior or the result of the behavior that violated law or City policy. (3)Resolution of Censure. Censure is a formal statement of disapproval expressed through a resolution. Censure is the strongest sanction available to Council, and is typically reserved for serious or recurring conduct, such as conduct that has substantially disrupted Council’s work, brought approbation on the City, or damaged public trust in City government. A resolution of censure may include the imposition of sanctions against the Councilmember, as allowed by law. Such sanctions may include, for example, removal from a committee or restrictions on City-related travel privileges. (c)Procedures. The following procedures are intended to guide Council to reach accurate and appropriate conclusions in an expeditious manner, while providing fairness and transparency for all Councilmembers and the public. Council will endeavor to adhere to these procedures, except where extraordinary circumstances require alternative steps be taken. In all cases, an opportunity to be heard will be afforded to any Councilmember who may be subject to informal reprimand or censure. (1)Should two or more Councilmembers believe that actions by a Councilmember are inconsistent with , those Councilmembers may use a Colleagues’ Memo to schedule public discussion of the matter at an upcoming Council meeting. A Colleagues’ Memo may initiate a discussion of Councilmember conduct and Council expectations, may propose that Council protocols be clarified or a new protocol be included in this Handbook, or may propose initiation of disciplinary action. Proposed disciplinary actions may include admonition, informal reprimand, direction to correct, and/or censure. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 50  Packet Pg. 431 of 469  38 City Council Procedures and Protocols Handbook (2)If a Colleagues’ Memo proposes discipline of a Councilmember, the Memo must contain the specific charges on which the proposed discipline is based. Completed Council Colleagues’ Memos shall be provided to the City Clerk’s staff by noon on the Thursday 11 days prior to the Council meeting that the memo is intended to be agendized, to provide time for the City Clerk to process for the Council packet. The City Clerk will provide a copy of the Colleagues’ Memo to the Councilmember who is the subject of the memo no later than the Thursday 11 days prior to the meeting at which the memo is agendized. (3)The Councilmember who is the subject of the proposed disciplinary action may address the matter in writing or at the Council meeting or both. If the Councilmember submits written materials, those must be published in a supplemental packet, no later than 72 hours before the meeting. (4)During the Council meeting at which the Colleagues’ Memo is agendized, the Council will decide, by majority vote, whether: (i)A formal disciplinary hearing should be agendized for a future Council meeting; (ii)Further investigation of the allegations is required; (iii)Further investigation is not warranted and an admonition should be issued; (iv)Council’s procedures and protocols should be clarified or a new procedure or protocol should be introduced; or (v)No further action is necessary. (5)If the Council determines that further investigation is required, the Mayor (or the Vice Mayor if the Mayor is the subject of the proposed disciplinary action) may designate an ad hoc committee to conduct the investigation. The Council or the ad hoc committee may select an independent investigator to assist in conducting the investigation. The independent investigator would be managed by the ad hoc committee or other official designated by Council. The ad hoc committee shall review the findings of the investigation and arrive at a recommendation to Council. The ad hoc committee should proceed as promptly as reasonably possible. (6)Upon receipt of the report of the ad hoc committee, the City Clerk shall place the matter on the Council's next agenda in order for the Council to receive the committee report and determine appropriate next steps. If the Council decides to set the matter for censure hearing, it shall schedule the hearing as soon as possible but no sooner than three weeks after its determination to hear the matter. Council shall give due consideration to requests from the subject Councilmember for additional time to prepare. The Council shall not schedule the matter during any previously scheduled excused absence of the subject Councilmember. (7)The Mayor (or the Vice Mayor if the Mayor is the subject of the proposed disciplinary action) will designate a Councilmember responsible for preparing and submitting to the City Clerk a censure resolution and supporting materials. Final materials shall be submitted to the Clerk by noon on the Thursday 11 days prior to the Council meeting that the hearing is intended to Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 51  Packet Pg. 432 of 469  39 City Council Procedures and Protocols Handbook be agendized, to provide time for the City Clerk to process the materials for the Council packet. The Councilmember assigned to prepare the materials will submit the draft resolution and supporting materials to the City Attorney’s Office no later than the Thursday 18 days before the hearing, to give the City Attorney’s Office adequate time to review the materials before publication. the Thursday 11 days prior to the Council meeting for which the hearing is agendized (8)The Councilmember who is the subject of the proposed disciplinary action may address the matter in writing or at the hearing or both. If the Councilmember submits written materials, those must be submitted in time to be published in a supplemental packet no later than 72 hours before the hearing. (9)At the disciplinary hearing, the Councilmember who is the subject of the request for disciplinary action shall have the opportunity to rebut the allegations in the censure resolution and to question any known complainants or witnesses if they agree to be questioned. The member subject to the charges may be represented and may have the representative speak or ask questions on their behalf (d)Disciplinary Action. If, at the close of the hearing, a majority of the Council finds that the subject member's conduct violates federal, state or local law, this Handbook, or any other document adopted by the Council, the Council may take one or more of the following actions: (1)Issue an Admonition. An admonition may be directed to any or all members of the Council, reminding them that a particular type of behavior is in violation of law or City policy. (2)Issue an Informal Reprimand with possible Direction to Correct. An informal reprimand may be issued to a Councilmember or members based on a particular action or set of actions that the Council determines violates law or City policy but is considered to be not sufficiently serious to require formal censure. The Council may include direction to the subject Councilmember or members to correct the particular behavior or the result of the behavior that violated law or City policy. (3)Adopt a Formal Resolution of Censure, with or without additional sanctions. The Council may adopt a resolution of censure based on clear and convincing facts supporting the allegations of misconduct giving rise to the censure. A resolution of censure may include the imposition of sanctions against the Councilmember as a majority of the Council deems appropriate, as allowed by law. Such sanctions may include, for example, removal from a committee and/or restrictions on City-related travel privileges. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 52  Packet Pg. 433 of 469  40 City Council Procedures and Protocols Handbook Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 53  Packet Pg. 434 of 469  40 City Council Procedures and Protocols Handbook Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 54  Packet Pg. 435 of 469  41 City Council Procedures and Protocols Handbook PART II: CITY COUNCIL PROTOCOLS The citizens, businesses and organizations of the city are entitled to have fair, ethical and accountable local government, which has earned the public’s full confidence for integrity. To this end, the City Council has adopted Council Protocols and this Code of Ethics for members of the City Council to assure public confidence in the integrity of local government and its effective and fair operation. SECTION 1 – CITY COUNCIL CONDUCT 1.1 Positive Work Place Environment Members shall support the maintenance of a positive and constructive work place environment for City employees and for citizens and businesses dealing with the City. Members shall recognize their special role in dealings with City employees to in no way create the perception of inappropriate direction to staff. 1.2 Comply with Law Members shall comply with the laws of the nation, the State of California and the City in the performance of their public duties. These laws include but are not limited to: the United States and California constitutions, the city Charter, laws pertaining to conflicts of interest, election campaigns, financial disclosures, employer responsibilities and open processes of governments and City ordinances and policies. (a) Respect for Process Members shall perform their duties in accordance with the processes and rules of order established by the Council governing the deliberation of public policy issues, meaningful involvement of the public and implementation of policy decisions of the Council by City staff. 1.3 City Council Core Responsibilities (exist. Protocol Sec. 1) All members of the Council, including those serving as Mayor and Vice Mayor, have equal votes. No Councilmember has more power than any other Councilmember, and all should be treated with equal respect. (a) All Councilmembers: 1) Demonstrate honesty and integrity in every action and statement 2) Comply with both the letter and spirit of the laws and policies affecting the operation of government. 3) Serve as a model of leadership and civility to the community 4) Inspire public confidence in Palo Alto government 5) Work for the common good, not personal interest 6) Prepare in advance of Council meetings and be familiar with issues on the agenda 7) Fully participate in Council meetings and other public forums while demonstrating respect, kindness, consideration, and courtesy to others 8) Do not politicize procedural matters such as minutes approval or agenda order for strategic purposes Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 55  Packet Pg. 436 of 469  42 City Council Procedures and Protocols Handbook 9) Participate in scheduled activities to increase Council effectiveness 10) Review Council procedures, such as these Council Protocols, at least annually 11) Represent the City at ceremonial functions at the request of the Mayor 12) Be responsible for the highest standards of respect, civility and honesty in ensuring the effective maintenance of intergovernmental relations 13) Respect the proper roles of elected officials and City staff in ensuring open and effective government 14) Provide contact information to the City Clerk in case an emergency or urgent situation arises while the Councilmember is out of town 1.4 General Member Conduct Councils are composed of individuals with a wide variety of backgrounds, personalities, values, opinions, and goals. Despite this diversity, all have chosen to serve in public office in order to improve the quality of life in the community. In all cases, this common goal should be acknowledged even as Council may "agree to disagree" on contentious issues. (a) Conduct of Members The professional and personal conduct of members must be above reproach and avoid even the appearance of impropriety. Members shall refrain from abusive conduct, personal charges or verbal attacks upon the character or motives of other members of the Council, boards and commissions, the staff or the public. Rude and unprofessional behavior are also unacceptable. Councilmembers are expected to share factual information during meetings and within the public domain and Councilmembers should refrain from repeating false and misleading information. (b)In Public Meetings 1) Use Formal Titles The Council should refer to one another formally during Council meetings as Mayor, Vice Mayor or Councilmember followed by the individual’s last name. Committee Meetings can be conducted less formally, at the discretion of the Committee Chair. 2) Practice Civility and Decorum in Discussions and Debate Difficult questions, tough challenges to a particular point of view, and criticism of ideas and information are legitimate elements of a free democracy in action. Be respectful of diverse opinions. 3) Honor the Role of the Presiding Officer in Maintaining Order and Equity Respect the Chair's efforts to focus discussion on current agenda items. Objections to the Chair's actions should be voiced politely and with reason, following the parliamentary procedures outlined in the Council Procedural Rules. 4) Demonstrate Effective Problem-Solving Approaches Councilmembers have a public stage to show how individuals with disparate points of view can find common ground and seek a compromise that benefits the community as a whole. Councilmembers are role models for residents, businesspeople and other stakeholders involved in public debate. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 56  Packet Pg. 437 of 469  43 City Council Procedures and Protocols Handbook 5) Be Respectful of Other People's Time Stay focused and act efficiently during public meetings. (c) In Private Encounters 1) Treat Others as You Would Like to be Treated Ask yourself how you would like to be treated in similar circumstances, and then treat the other person that way. 1.5 Decisions Based on Merit Members shall base their decisions on the merits and substance of the matter at hand, rather than on unrelated considerations. 1.6 Advocacy (a) Representation of Private Interests In keeping with their role as stewards of the public interest, members of Council shall not appear on behalf of the private interests of third parties before the Council or any other board, commission or proceeding of the City, nor shall members of boards and commissions appear before their own bodies or before the Council on behalf of the private interests of third parties on matters related to the areas of service of their bodies. (b) Advocacy Members shall represent the official policies or positions of the Council, board or commission to the best of their ability when designated as delegates for this purpose. When presenting their individual opinions and positions, members shall explicitly state they do not represent their body or the City, nor will they allow the inference that they do. (c) Council Voting Delegate Authority at Conferences / Annual Meetings The Council may authorize a Councilmember to act as the voting delegate at conferences or meetings of other bodies, including, but not limited to, the League of California Cities annual conference, National League of Cities conference, and the Association of Bay Area Governments (ABAG) annual meeting. Prior to the conference / meeting, the Council may provide the voting delegate with specific direction on proposed resolutions and other matters. When provided specific direction, the voting delegate’s authority is limited to matters on which the Council has directed the delegate to vote. In the absence of explicit direction, when the Councilmember is aware of a prior position the Council has taken, the Councilmember will adopt that position. (d) Be Cautious in Representing City Positions on Issues Before sending correspondence related to a legislative position, check with City staff to see if a position has already been determined. When corresponding with representatives of other governments or constituents remember to indicate, if appropriate, that the views you state are your own and may not represent those of the full Council. As a Councilmember, it is important to remember to indicate when the views you state are your own versus views which represent those of the full Council. This is relevant whether sending Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 57  Packet Pg. 438 of 469  43 City Council Procedures and Protocols Handbook Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 58  Packet Pg. 439 of 469  44 City Council Procedures and Protocols Handbook correspondence related to a legislative position or corresponding with constituents or representatives of other governmental agencies or organizations. Councilmembers appointed to regional boards, commissions, or agencies shall stay informed of any positions adopted by Council relevant to the jurisdiction of the Board and shall consider such positions along with other pertinent information in carrying out their duties on the regional body. In the case where a Councilmember is speaking publicly on an issue on which Council has taken a position, and that Councilmember also serves on a regional body that has also taken a position, , the Councilmember should clearly state whether they are speaking on behalf of the City or the regional body. (e) Use of City Letterhead Official Mayor/ Council letterhead should only be used for correspondence signed by the Mayor or Councilmembers when specifically directed by the Council or consistent with prior Council direction. This applies to the use of any stationery that could be interpreted as official letterhead. 1.7 Council Conduct with City Staff Governance of a City relies on the cooperative efforts of elected officials, who set policy, and City staff, which analyze problems and issues, make recommendations, and implement and administer the Council’s policies. Therefore, every effort should be made to be cooperative and show mutual respect for the contributions made by each individual for the good of the community. (a) Treat All Staff as Professionals Clear, honest communication that respects the abilities, experience, and dignity of each individual is expected. As with your Council colleagues, practice civility and decorum in all interactions with City staff. (b) Channel Communications through the Appropriate Senior City Staff Questions of City staff should be directed only to the City Manager, Assistant City Manager, City Attorney, City Clerk, Assistant City Clerk, City Auditor, Senior Assistant City Attorneys, or Department Heads. The Office of the City Manager should be copied on any request to Department Heads. Councilmembers should not set up meetings with department staff directly, but work through Department Heads, who will attend any meetings with Councilmembers. When in doubt about what staff contact is appropriate, Councilmembers should ask the City Manager for direction. However, nothing in these protocols is intended to hinder the access Council-appointed liaisons (e.g. to the San Francisquito JPA or NCPA) may require in order to fulfill their unique responsibilities. (c) In order to Facilitate Open Government, All Councilmembers Should Make Decisions with the Same information from Staff on Agendized or Soon-to be-Agendized Items (Items on the Tentative Agenda or in a Council Committee) (d) Never Publicly Criticize an Individual Employee, Including Council Appointed Officers. Criticism is differentiated from questioning Facts or the opinion of staff. All critical comments about staff performance should only be made to the City Manager through private correspondence or Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 59  Packet Pg. 440 of 469  44 City Council Procedures and Protocols Handbook Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 60  Packet Pg. 441 of 469  45 City Council Procedures and Protocols Handbook conversation. Comments about staff in the office of the City Attorney, City Auditor or City Clerk should be made directly to these CAOs through private correspondence or conversation. (e) Do Not Attend Staff Meetings Unless Requested by Staff Even if the Councilmember does not say anything, the Councilmember’s presence may imply support, show partiality, intimidate staff, or hampers staff’s ability to do its job objectively. (f) Depend upon the Staff to Respond to Citizen Concerns and Complaints It is the role of Councilmembers to pass on concerns and complaints on behalf of their constituents. It is not, however, appropriate to pressure staff to solve a problem in a particular way. Refer citizen complaints to the appropriate senior staff member, according to the protocol on channeling communications. The senior staff member should respond according to the Policy and Procedure for Responding to Customer Complaints. Senior staff is responsible for making sure the Councilmember knows how the complaint was resolved. (g) Do not Solicit Political Support from Staff The City Charter states that “Neither the city manager or any other person in the employment of the city shall take part in securing or shall contribute any money toward the nomination or election of any candidate for a municipal office.” In addition, some professionals (e.g., City Manager and the Assistant City Manager) have professional codes of ethics, which preclude politically partisan activities or activities that give the appearance of political partisanship. Councilmembers shall refrain from coercing staff in making recommendations to the Council as a whole. (h) Use of Public Resources Councilmembers shall not use public resources, such as City staff time, equipment, supplies or facilities, for private gain or personal purposes. 1.8 Use of Staff Time (a) Do Not Get Involved in Administrative Functions The key provisions on Council-staff relations found in section 2.04.170 of the Palo Alto Municipal Code: “Neither the council nor any of its committees or members shall direct, request or attempt to influence, either directly or indirectly, the appointment of any person to office or employment by the city manager or in any manner interfere with the city manager or prevent the city manager from exercising individual judgment in the appointment of officers and employees in the administrative service. Except for the purpose of inquiry, the council and its members shall deal with the administrative service solely through the city manager, and neither the council nor any member thereof shall give orders to any of the subordinates of the city manager, either publicly or privately.” (b) Respect the “One Hour” Rule for Staff Work Requests for staff support should be made to the appropriate senior staff member, according to the protocol for channeling communications. Any request, which would require more than one hour of staff time to research a problem or prepare a response, will need to be approved by the Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 61  Packet Pg. 442 of 469  46 City Council Procedures and Protocols Handbook full council to ensure that staff resources are allocated in accordance with overall council priorities. Once notified that a request for information or staff support would require more than one hour, the Councilmember may request that the City Manager place the request on an upcoming Council agenda. The 1-hour rule applies to all Councilmembers equally. *** SECTION 2 - CITY COUNCIL CONDUCT WITH PALO ALTO BOARDS AND COMMISSIONS The City has established several Boards and Commissions as a means of gathering more community input. Citizens who serve on Boards and Commissions become more involved in government and serve as advisors to the Council. They are a valuable resource to the City’s leadership and should be treated with appreciation and respect. Councilmembers serve as liaisons to Boards and Commissions, according to appointments made by the Mayor, and in this role are expected to represent the full Council in providing guidance on Council processes or actions to the Board or Commission. Refrain from speaking for the full Council on matters for which the full council has not yet taken a policy position. In other instances, Councilmembers may attend Board or Commission meetings as individuals, and should follow these protocols: 2.1 If Attending a Board or Commission Meeting, Identify Your Comments as Personal Views or Opinions. Councilmembers may attend any Board or Commission meeting, which are always open to any member of the public. Any public comments by a Councilmember at a Board or Commission meeting, when that Councilmember is not the liaison to the Board or Commission, should make a point to clearly state it is an individual opinion and not a representation of the feelings of the entire Council. 2.2 Refrain from Lobbying Board and Commission Members It is inappropriate for a Councilmember to contact a Board or Commission member to lobby on behalf of an individual, business, or developer, or to advocate a particular policy perspective. It is acceptable for Councilmembers to contact Board or Commission members in order to better understand a position taken by the Board or Commission or the status of an ongoing matter. 2.3 Remember that Boards and Commissions are Advisory to the Council as a Whole, not as Individual Councilmembers The Council appoints individuals to serve on Boards and Commissions, and it is the responsibility of Boards and Commissions to follow policy established by the Council. Councilmembers should not feel they have the power or right to unduly influence Board and Commission members. A Board and Commission appointment should not be used as a political reward. 2.4 Concerns about an Individual Board or Commission Member Should be Pursued with Tact If a Councilmember has concerns with a particular Board or Commission member fulfilling his or her roles and responsibilities and is comfortable in talking with that individual privately, the Councilmember should do so. If needed, the Councilmember may involve a Chair of a commission or the liaison to the commission if there is one. Alternatively, or if the problem is not resolved, the Councilmember should consult with the Mayor, who may address the issue to the Council as Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 62  Packet Pg. 443 of 469  47 City Council Procedures and Protocols Handbook appropriate. 2.5 Be Respectful of Diverse Opinions A primary role of Boards and Commissions is to represent many points of view in the community and to provide the Council with advice based on a full spectrum of concerns and perspectives. Councilmembers may have a closer working relationship with some individuals serving on Boards and Commissions but must be fair to and respectful of all citizens serving on Boards and Commissions. 2.6 Keep Political Support Away from Public Forums Board and Commission members may offer political support to a Councilmember, but not in a public forum while conducting official duties. Conversely, Councilmembers may support Board and Commission members who are running for office, but not in an official forum in their capacity as a Councilmember. 2.7 Maintain an Active Liaison Relationship Appointed Council liaisons or alternates are encouraged to attend all regularly scheduled meetings of their assigned Board or Commission. 2.8 Role of Council Liaison to Board or Commission The role of Council liaison to a Board or Commission is to be a point of contact with Council and a resource to the Board and Commission, as well as to share prior Council discussions and actions on issues as applicable, and assist the Board or Commission in understanding how it might inform Council decision-making. The liaison is expected to attend Board or Commission meetings as requested by the body unless the Councilmember has other conflicting duties. * * * SECTION 3 - STAFF CONDUCT WITH CITY COUNCIL 3.1 Respond to Council Questions as Fully and as Expeditiously as is Practical The protocol for staff time devoted to research and response is in application here. If a Councilmember forwards a complaint or service request to a department head or a Council Appointed Officer, there shall be follow-through with the Councilmember as to the outcome. 3.2 Respect the Role of Councilmembers as Policy Makers for the City Staff is expected to provide its best professional recommendations on issues. Staff should not try to determine Council support for particular positions or recommendations in order to craft recommendations. The Council must be able to depend upon the staff to make independent recommendations. Staff should provide information about alternatives to staff recommendations as appropriate, as well as pros and cons for staff recommendations and alternatives 3.3 Demonstrate Professionalism and Non-Partisanship in all Interactions with the Community and in Public Meetings Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 63  Packet Pg. 444 of 469  48 City Council Procedures and Protocols Handbook 3.4 It is Important for the Staff to Demonstrate Respect for the Council at all Times All Councilmembers should be treated equally. * * * SECTION 4 - CITY COUNCIL AND BOARDS AND COMMISSIONS POLICY FOR TRAVEL AND MISCELLANEOUS EXPENSE REIMBURSEMENT 4.1 Mayor and Vice Mayor Additional Compensation The Mayor shall receive $150 monthly and the Vice Mayor $100 monthly to defray additional expenses of these offices. 4.24.1 Miscellaneous Expenditures (a) Expenditure of City Council Contingency Funds Requests for expenditure of Council Contingency Funds up to $10,000 should be made to the Mayor and Vice Mayor. Where the Mayor and Vice Mayor agree with the request, it will be announced during Councilmember Questions, Comments and Announcements. The expenditure will be considered approved unless two or more Councilmembers request additional information or discussion, in which case the expenditure will be agendized at a future meeting. Expenditures over $10,000 require action by Council motions, which shall be by Colleagues’ Memo placed on Consent, or as part of an agendized item. (b) City Purchase of Tickets or Sponsorship of Non-Profit Organization Events The City Manager may purchase tickets or sponsor events by non-profit organizations, subject to budget availability, under any of the following circumstances: 1) where the event serves a City educational purpose, 2) recognition for work done by staff (not including elected or appointed officials), or 3) expending budget allocations specifically intended for event attendance. (c) Expenditure for Annual Holiday Event Expenditures of up to $1,500 from the Council Special Events budget may be directed to be expended from an annual holiday celebration, subject to budget availability for attendance by Councilmembers, executive leadership staff, and community leaders. Event details will be coordinated by the Mayor and facilitated by staff. 4.34.2 Council and Boards and Commission Travel Policy Councilmember travel expenses and reimbursements will adhere to the Citywide Travel Arrangements and Expense Reimbursement Policy (Administrative Policy 1-02/ASD) The following additional policy is set by the Council and applies to Councilmembers and to Board and Commissions members. In reimbursing travel and miscellaneous expenses, a municipal purpose requiring the expenditure of public funds must be in evidence; also, in accordance with the Charter and Municipal Code, such expenditures must be from authorized appropriations. Councilmembers are limited to six (6) times per year for travel reimbursements, subject to budget availability. Councilmember travel will be approved by the Mayor. (a) Travel Related to Sister Cities, Sibling City, or Shared Interests with Another City Abroad Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 64  Packet Pg. 445 of 469  49 City Council Procedures and Protocols Handbook 1) Given the City’s relationship with many Sister Cities and a Sibling City, there may be a need to send a Palo Alto delegation to another city abroad or within the United States related to Sister Cities, Sibling City, or shared interests between Palo Alto and another city abroad. The following will apply when a Councilmember travels abroad or domestically on behalf of the City as part of Sister City, Sibling City, or shared interests efforts. Note, such a trip would count towards the six (6) total tips cap described above. The proposed travel must include an approved Pre-Travel Authorization Request for travel that explains how the travel will advance the City's interests or policy/Council objectives and a consideration of the cost/value relationship of the trip. The request should also explain why virtual attendance is not effective in that circumstance. The Council will be responsible for ensuring that visits to any individual city will be reasonably spaced apart. The Pre-Travel Authorization Request will be approved by the Mayor. If the Mayor is the requested traveler, the request will be approved by the Vice Mayor. 2) Annually, the total amount the Council will budget for international and domestic travel related to Sister Cities, Sibling City, or shared interests between Palo Alto and another city abroad will be capped at $40,000 with reasonable annual adjustments beyond 2024 to account for inflation. This funding will be distributed equitably amongst Councilmembers who meet the guidelines above and express an interest to travel. 3) It is prohibited for the travelling Councilmember, Mayor, or Vice Mayor to accept hotel accommodations from Sister Cities, Sibling Cities, or Friendship Cities. When receiving other gifts from Sister Cities, Sibling Cities, or Friendship Cities, the Councilmember, Mayor, or Vice Mayor should use discretion and best judgment in accepting the gifts. (b) Support Services The City Clerk’s Office makes travel arrangements for Councilmembers. This service includes conference registration, hotel reservations, per diem advances and reimbursement of unforeseen expenses. The department liaison for each board and commission will be responsible for arrangements for Officials. (c) Activities Not Considered Reimbursable 1) Voluntary attendance at any conference or meeting, not representing the City. 2) Meetings of social or service organizations. 3) Meetings of voter groups or with individual citizens concerned with agenda items. 4) Election campaign activities. 5) Alcohol and entertainment expenses. 6)Personal portion of the trip and other non-mileage automobile expenses. (d) Reports to Council Councilmembers and officials shall provide brief verbal reports on meetings attended at the City’s expense at the next regular Council/Board/Commission meeting. If multiple Officials attended, a joint report may be made. All related documents are subject to the Public Records Act and can be periodically reviewed by auditors. Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 65  Packet Pg. 446 of 469  50 City Council Procedures and Protocols Handbook (e) Violation of This Policy Use of public resources or falsifying expense reports is in violation of this policy and may result in any or all of the following: 1) Loss of reimbursement privileges 2) A demand for restitution to the City 3) The City reporting the expenses as income to the elected or appointed Official to state and federal tax authorities 4) Civil penalties of up to $1000 per day and three times the value of the resources used 5) Prosecution for misuse of public resources * * * SECTION 5 – CITY COUNCIL REIMBURSEMENT POLICY FOR EXPENSES INCURRED IN THE PERFORMANCE OF THEIR OFFICIAL DUTIES 5.1 Purpose This PolicySection establishes the guidelines and standards regarding reimbursement of actual and necessary expenses of the City Council incurred in the performance of official City duties. Councilmembers may incur expenses in fulfilling the responsibilities as an elected official. All expenditures of public funds must be related to the performance of City business. Councilmembers may be reimbursed for actual and necessary expenses incurred in the performance of authorized City business and official duties in conformance with this Policy. Reimbursement for travel and mMiscellaneous expenses Expenditures shall be governed by Section 4 – City Council and Boards and Commissions Policy for Travel and Miscellaneous Expense Reimbursement, as detailed in that Section. 5.1 Authorized Expenses Communications tools (e.g., cellular phones, data plans, computers, and Internet access) are necessary for Councilmembers to fulfill their official responsibilities of communication with constituents, City staff, and others. In lieu of the City providing communication tools to each Councilmember, Councilmembers are expected to use personal devices in the course of their duties. (a) Technology Purchases Reimbursement Councilmembers may be reimbursed for technology purchases that are essential for performing official duties. These purchases include, but are not limited to, computers, printers, printer ink, tablets, software, and subscriptions services (e.g., internet, Zoom, etc.). If the technology purchase will be used exclusively for official business, the Councilmember will be reimbursed for all the actual cost of the purchase up to $2,000 each calendar year from the City Council Contingency Funding. A Councilmember is limited to one hardware item of the same type per Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 66  Packet Pg. 447 of 469  51 City Council Procedures and Protocols Handbook term. If the City fully reimburses a Councilmember for a physical device, the device must be returned to the City at the end of the Councilmember's service. However, the City may allow the Councilmember to keep the device if it is determined that the device has no value or is no longer useful to the City. If the technology purchase will be used for personal use as well as official business, Councilmembers will be reimbursed 25% of the actual cost of the purchase up to $2,000 each calendar year from the City Council Contingency Funding. Considering the difficulty in parsing out official use versus personal use in this circumstance, this shall be considered a reasonable amount to represent the reimbursement for actual costs associated with the technology purchase. (a) Cellular Phone Usage Reimbursement Councilmembers will be reimbursed 25% of the actual total monthly cost of the use of their cellular phone up to $2,000 each calendar year from the City Council Contingency Funding. Considering the difficulty in parsing out official use versus personal use in this circumstance, this shall be considered a reasonable amount to represent the reimbursement for actual costs associated with the use of their cellular phone. (b) Expenditures Requiring Council Approval Except as set forth in this SectionSections 4 and 5, all other expenditures require prior approval by the Council at a public meeting. Any questions regarding the propriety of a particular type of expense should be resolved by the Council before the expense is incurred. 5.1 Monitoring and Reporting All expenses and claims for reimbursement shall be submitted on City expense report forms within 60 days of the incurred expense. All expense reports shall be accompanied by documentation showing that the expenses comply with this Policy the policies set forth in this Manual for expenditure of public resources. Inability to provide such documentation in a timely manner may result in the expense being borne by the Councilmember. Reimbursements that do not comply with this policy will not be approved. Expense reports are subject to audits. Approved reimbursements will be processed and issued within 30 days of approval. *** SECTION 65 - Confidentiality, Conflicts of Interest, Gifts And Favors Members shall respect the confidentiality of information concerning the property, personnel or affairs of the City. They shall neither disclose confidential information without proper legal authorization, nor use such information to advance their personal, financial or other private interests. There are many State laws regarding confidentiality, conflicts of Interest, and gifts and favors. Councilmembers should stay apprised of and comply with State law on these topics. Resource Links: will be added here. Cal Cities Open & Public VI A Guide to the Ralph M. Brown Act https://www.calcities.org/resource/open-public-v-a-guide-to-the-ralph-m.-brown-act Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 67  Packet Pg. 448 of 469  52 City Council Procedures and Protocols Handbook Fair Political Practices Commission Conflict of Interest Rules https://www.fppc.ca.gov/learn/conflicts-of-interest-rules.html Fair Political Practices Statements of Economic Interest – Form 700 https://www.fppc.ca.gov/learn/conflicts-of-interest-rules.html Item 15 Attachment A - Council Protocols and Procedures Manual December 2025 Redline        Item 15: Staff Report Pg. 68  Packet Pg. 449 of 469  Page 1 of 2 1 0 0 8 1 Attachment B: City Council Suggestions for Handbook Changes Suggestions received as of December 1, 2025 Staff received responses from 3 Councilmembers regarding the Procedures and Protocols Handbook Annual Review. The responses are listed below. Lythcott-Haims: no specific suggestions Lauing: I think P&S should give consideration to slightly expanding the wording of Section 1.1 re: the election of Mayor and Vice Mayor. The few words used now in this section are correct, and the referral to the City Charter’s Article III Section 8 is good. For guidance to Councilmembers, consider language included such as: “A Mayor can serve multiple terms, including consecutive terms.” This would underscore the point to Council so they do not misunderstand our current practice of having the Mayor serve for one year and never consecutively. That is our tradition, but it is not policy. Burt: Study Sessions. o Allow for Study Sessions be agendized as Action Items to allow for the possibility of clearer CC direction than is provided by comments. Boards and Commissions. o Provide Boards with training for making motions. o Early 2026 CC review of whether to perform CC with verbatim transcriptions of PTC and UAC Board minutes now that AI transcriptions are higher quality and lower cost. o Clarify whether citizenship is a requirement for Board or Commission. CC member comments. o Limit the amount of time per CC member. o Provide guidance that comments should be limited to city government related matters. o Avoid personal or political comments. Consent Calendar. o Allow the CC be allowed to speak for one minute on why they recommend pulling an item. o Limit CC member time to speaking on no votes to 3 minutes? Item 15 Attachment B - Compilation of All Suggested Handbook Ideas, 2025        Item 15: Staff Report Pg. 69  Packet Pg. 450 of 469  Page 2 of 2 1 0 0 8 1 CC meeting schedule. o Clarify that no new items to be scheduled to start after 10. o No taking up items after 10PM without CC approval. Referrals to standing committees. o Spending- and finance-related items should go foremost to Finance Committee. If there is a separate policy issue then it may also go through P&S. Clarification on the role of CC liaisons to Boards. o CC should avoid providing personal opinions on policy issues City event sponsoring policy. o Allow for cultural events, but not religious. o Clarify Mayor’s ability to sponsor events Staff role supporting CC representatives on regional bodies. o Staff should provide briefings, respond to CC questions, collaborate with CC members. CC committees. o Clarify the role of the staff liaison to the committees to develop agendas in collaboration with chairs. Clarify Process for creating Blue Ribbon Task Forces, including appointment process. (CC = City Council) Item 15 Attachment B - Compilation of All Suggested Handbook Ideas, 2025        Item 15: Staff Report Pg. 70  Packet Pg. 451 of 469  City Council Staff Report Report Type: INFORMATION REPORTS Lead Department: Administrative Services Meeting Date: January 12, 2026 Report #:2412-3915 TITLE Monthly Investment Report - November 2025 (Unaudited) RECOMMENDATION This is an Information Report. No Council action is required. ANALYSIS The City’s Investment Policy (Policy)1 and California Government Code Section 53607 requires that a report of transactions (investments, reinvestment, sold, and exchanged securities) be made available to the Council on a monthly basis. This reporting requirement is separate and distinct from the quarterly investment report submitted under California Government Code Section 53646 that includes portfolio composition, a detailed list of all securities, performance compared to the Policy, overall compliance with the Policy, and the City’s ability to meet expenditure requirements over the next six months. ATTACHMENTS Attachment A: Investment Portfolio Transaction Ledger – November 2025 APPROVED BY: Lauren Lai, Administrative Services Director 1 Investment Policy Fiscal Year 2025-2026 (Adopted June 16, 2025); https://www.paloalto.gov/files/assets/public/v/2/administrative-services/investment-policies/investment- policyfy-2025-2026.pdf Item A Item A Staff Report        Item A: Staff Report Pg. 1  Packet Pg. 452 of 469  Buy Call Redemption Maturity Principal Paydown CUSIP Security Description Security Type Transaction Type Settlement Date Quantity Price Acq/Disp Yield Amount Purchased/Sold Interest Total Amount 91282CNU1 UNITED STATES TREASURY 3.625 08/15/2028 US GOV Buy 11/17/2025 5,000,000.00 100.059 3.601 -5,002,929.69 46,297.55 -5,049,227.24 912797RL3 UNITED STATES TREASURY 02/05/2026 T-BILL Buy 11/07/2025 10,000,000.00 99.056 3.865 -9,905,590.00 0.00 -9,905,590.00 4581X0EH7 INTER-AMERICAN DEVELOPMENT BANK 4.0 01/12/2028 SUPRANATIONAL Buy 11/07/2025 5,000,000.00 100.757 3.634 -5,037,850.00 63,888.89 -5,101,738.89 ---------Buy 11/10/2025 20,000,000.00 ---3.741 -19,946,369.69 110,186.44 -20,056,556.13 CUSIP Security Description Security Type Transaction Type Settlement Date Quantity Price Acq/Disp Yield Amount Purchased/Sold Interest Total Amount 46657VNZ9 JPMorgan Chase Bank, N.A. 4.6 11/01/2029 CD Call Redemption 11/03/2025 -250,000.00 100.000 0.000 250,000.00 0.00 250,000.00 12545JBB0 CIBM Bank 5.0 05/17/2028 CD Call Redemption 11/17/2025 -249,000.00 100.000 5.000 249,000.00 0.00 249,000.00 ------CD Call Redemption 11/10/2025 -499,000.00 100.000 2.495 499,000.00 0.00 499,000.00 CUSIP Security Description Security Type Transaction Type Settlement Date Quantity Price Acq/Disp Yield Amount Purchased/Sold Interest Total Amount 98321PAJ9 First Wyoming Bank & Trust 0.5 11/28/2025 CD Maturity 11/28/2025 -249,000.00 100.000 0.030 249,000.00 0.00 249,000.00 95960NKE6 Western State Bank 1.05 11/13/2025 CD Maturity 11/13/2025 -248,000.00 100.000 0.000 248,000.00 0.00 248,000.00 880591CJ9 TENNESSEE VALLEY AUTHORITY 6.75 11/01/2025 AGCY BOND Maturity 11/01/2025 -3,025,000.00 100.000 2.518 3,025,000.00 0.00 3,025,000.00 82436LAA3 Sherwin Williams Employees Credit Union 4.3 11/06/2025 CD Maturity 11/06/2025 -250,000.00 100.000 4.299 250,000.00 0.00 250,000.00 77535MAC7 Rogue Credit Union 5.0 11/10/2025 CD Maturity 11/10/2025 -249,000.00 100.000 0.033 249,000.00 0.00 249,000.00 605581LL9 MISSISSIPPI ST 3.646 11/01/2025 MUNI Maturity 11/01/2025 -250,000.00 100.000 1.093 250,000.00 0.00 250,000.00 6055805W5 MISSISSIPPI ST 4.681 11/01/2025 MUNI Maturity 11/01/2025 -150,000.00 100.000 1.906 150,000.00 0.00 150,000.00 594918BJ2 MICROSOFT CORP 3.125 11/03/2025 CORP Maturity 11/03/2025 -3,100,000.00 100.000 0.588 3,100,000.00 0.00 3,100,000.00 45950VPH3 INTERNATIONAL FINANCE CORP 3.0 11/15/2025 SUPRANATIONAL Maturity 11/15/2025 -1,500,000.00 100.000 0.693 1,500,000.00 0.00 1,500,000.00 06654HAA6 Banner Capital Bank 0.45 11/28/2025 CD Maturity 11/28/2025 -249,000.00 100.000 0.501 249,000.00 0.00 249,000.00 05580AXU3 BMW Bank of North America 0.5 11/20/2025 CD Maturity 11/20/2025 -249,000.00 100.000 0.500 249,000.00 0.00 249,000.00 ---------Maturity 11/06/2025 -9,519,000.00 100.000 1.300 9,519,000.00 0.00 9,519,000.00 Palo Alto Monthly Transactions 11/01/2025 - 11/30/2025 1 ATTACHMENT A Item AAttachment A - InvestmentPortfolio Transaction LedgerNovember 2025       Item A: Staff Report Pg. 2  Packet Pg. 453 of 469  Summary CUSIP Security Description Security Type Transaction Type Settlement Date Quantity Price Acq/Disp Yield Amount Purchased/Sold Interest Total Amount 3130B2RP2 FEDERAL HOME LOAN BANKS 5.25 09/25/2034 AGCY BOND Principal Paydown 11/20/2025 0.00 ---5.250 828,571.43 0.00 828,571.43 3130B2RP2 FEDERAL HOME LOAN BANKS 5.25 09/25/2034 AGCY BOND Principal Paydown 11/20/2025 0.00 ---5.250 828,571.43 0.00 828,571.43 CUSIP Security Description Security Type Transaction Type Settlement Date Quantity Price Acq/Disp Yield Amount Purchased/Sold Interest Total Amount ------------11/09/2025 9,982,000.00 ---3.007 -9,099,798.26 110,186.44 -9,209,984.70 Palo Alto Monthly Transactions ) 11/01/2025 - 11/30/2025 2 ATTACHMENT A Item AAttachment A - InvestmentPortfolio Transaction LedgerNovember 2025       Item A: Staff Report Pg. 3  Packet Pg. 454 of 469  City Council Staff Report From: City Manager Report Type: INFORMATION REPORTS Lead Department: Administrative Services Meeting Date: January 12, 2026 Report #:2509-5188 TITLE Property Agreements Entered into by City Manager Under Palo Alto Municipal Code Section 2.30.210(h) and Reported Per Section Code 2.30.710(b) for Fiscal Year 2025 RECOMMENDATION This is an informational report; no Council action is required. ANALYSIS Pursuant to Palo Alto Municipal Code (PAMC) Section 2.30.210(h)1, the City Manager may award and sign contracts to rent, lease, or license city real property to other parties regardless of the price for a term not exceeding three years. Additionally, the City Manager may enter into and sign contracts for the rental, lease or licensing of real property at the Cubberley Community Center for a term of up to five years. Attachment A was prepared pursuant to PAMC Section 2.30.710(b)2 and reports to the Council of all leases, licenses, and rentals of city real property with third parties, approved by the City Manager during fiscal year FY 2025. The report excludes agreements approved by the City Council. Total revenue for FY 2025 from agreements authorized by the City Manager during the fiscal year totaled $453,843. FISCAL/RESOURCE IMPACT The lease amounts presented in this report are consistent with the rental income revenue included in the FY 2025 budget. The ongoing portion of these leases will be used in the annual budget process to determine rental income revenue for future fiscal years. STAKEHOLDER ENGAGEMENT Staff coordinates with tenants on the execution of agreements and appropriate documents. ENVIRONMENTAL REVIEW This item is not a project as defined by the California Environmental Quality Act (CEQA) because 1 https://codelibrary.amlegal.com/codes/paloalto/latest/paloalto_ca/0-0-0-61881 2 https://codelibrary.amlegal.com/codes/paloalto/latest/paloalto_ca/0-0-0-62183 Item B Item B Staff Report        Item B: Staff Report Pg. 1  Packet Pg. 455 of 469  the report is for informational purposes only with no action required by the Council. CEQA ATTACHMENTS APPROVED BY: Item B Item B Staff Report        Item B: Staff Report Pg. 2  Packet Pg. 456 of 469  Number Tenant Address Room Square Feet Type of Agreement Execution Date Expiration Date Rent Rent Cycle TOTAL FY24-25 RENT 1 PALO ALTO PLAYERS-PENINSULA CENTER STAGE 1305 Middlefield Road N/A 500 Lease 8/20/202 8/31/2027 1,540.75$ Monthly 15,407.5$ 2 LIVING WISDOM SCHOOL 4000 Middlefield Road K4 2,940 Lease 8/23/202 month to month 6,350.4$ Monthly 67,062.2$ 3 AVENIDAS 4000 Middlefield Road H5 & FH 2,395 Lease 9/16/202 month to month 3,520.65$ Monthly 33,446.1$ 4 VANCE BROWN, INC. 300 Homer Avenue N/A 12,000 1st Amendment to License 10/15/202 12/31/202 932.0$ Monthly 2,392.13$ 5 ADA’S CAFÉ 3700 Middlefield Road N/A 578 3rd Amendment to Lease 12/3/202 12/31/202 515.0$ Monthly 3,664.47$ 6 Groundwork Support Services Inc. 4000 Middlefield Road D2 800 Lease 12/20/202 month to month 2,000.0$ Monthly 12,774.19$ 7 Adrienne Defendi 4000 Middlefield Rd. U2B 360 Lease 12/9/202 12/31/2025 $399.6 Monthly 4,795.2$ 8 Ala Mohseni & Nasim Moghadam 4000 Middlefield Road U1 720 Lease 12/12/202 12/31/2025 799.2$ Monthly 9,590.4$ 9 Brittany Bradley 4000 Middlefield Road E3 870 Lease 12/16/202 12/31/2025 $1,078 Monthly 12,936.0$ 10 Chandrika Marla 4000 Middlefield Road F3 480 Lease 12/9/202 12/31/2025 $595 Monthly 7,140.0$ 11 Charlotta Hauksdottir 4000 Middlefield Road E4B 360 Lease 12/9/202 12/31/2025 399.6$ Monthly 4,395.6$ 12 Charlotta Hauksdottir 4000 Middlefield Road E4 568 Lease 4/10/2025 12/31/2025 $630.4 Monthly 6,094.0$ 13 Cynthia Brannvall 4000 Middlefield Road U5A 480 Lease 2/20/202 12/31/202 $595.2 Monthly 3,571.2$ 14 Cynthia Brannvall 4000 Middlefield Road E1 720 Lease 10/15/202 12/31/2025 $892.8 Monthly 5,356.8$ 15 Darryl Dieckman 4000 Middlefield Road F5A 390 Lease 12/12/202 12/31/2025 $483.6 Monthly 5,803.2$ 16 Elizabeth Bennett 4000 Middlefield Road U2A 600 Lease 12/12/202 12/31/2025 $744 Monthly 8,928.0$ 17 Eric Fei Guan 4000 Middlefield Road E4 568 Lease 12/23/202 12/31/2025 $630 Monthly 6,935.2$ 18 Eric Fei Guan 4000 Middlefield Road E7 480 Lease 4/10/2025 12/31/2025 $532.8 Monthly 532.8$ 19 Harumo Sato 4000 Middlefield Road F1 760 Lease 12/17/202 12/31/2025 $942.4 Monthly 11,308.8$ 20 Jasmine Valandini 4000 Middlefield Road U5A 480 Lease 10/24/202 12/31/2025 $595.2 Monthly 3,571.2$ 21 Jaya Griscom 4000 Middlefield Road U4B 360 Lease 12/9/202 12/31/2025 $399.6 Monthly 4,795.2$ 22 Kiana Honarmand 4000 Middlefield Road U4A 360 Lease 12/9/202 10/1/2025 $446.4 Monthly 5,356.8$ 23 Martha Sakellariou 4000 Middlefield Road E7 480 Lease 12/17/202 6/1/2025 $532.8 Monthly 5,860.8$ 24 Martha Sakellariou 4000 Middlefield Road F4 480 Lease 5/7/2025 12/31/2025 $532.8 Monthly 532.8$ 25 Mik & May Gaspay 4000 Middlefield Road U5B 520 Lease 12/17/202 12/31/2025 $577.2 Monthly 6,926.4$ 26 Nina Krog Ekman 4000 Middlefield Road F4 480 Lease 12/9/202 6/1/2025 $532.8 Monthly 5,860.8$ 27 Robin Mullery 4000 Middlefield Road F5B 390 Lease 12/9/202 12/31/2025 $432.9 Monthly 5,194.8$ 28 Sang-ah Choi 4000 Middlefield Road F7 1,200 Lease 12/9/202 12/31/2025 $1,488 Monthly 17,856.0$ 29 Shannon Wright 4000 Middlefield Road F6 430 Lease 12/17/202 12/31/2025 $533.2 Monthly 6,398.4$ 30 Tara de la Garza 4000 Middlefield Road F2 480 Lease 1/2/2025 12/31/2025 $595.2 Monthly 7,142.4$ 31 Gaja Frampton 4000 Middlefield Road E4B 360 Lease 6/18/2025 12/31/2025 $446.4 Monthly 446.4$ 32 Simon Tran 4000 Middlefield Road E6 360 Lease 3/21/202 8/31/202 $446.4 Monthly 892.8$ 33 Laura Hughes 4000 Middlefield Road E6 360 Lease 8/29/202 12/31/202 $399.6 Monthly 1,598.4$ 34 Deborah Lawrence Schafer 4000 Middlefield Road E6 360 Lease 10/8/202 5/31/2025 $446.4 Monthly 2,232.0$ 35 Andy Licht 4000 Middlefield Road E6 360 Lease 3/3/2025 12/31/2025 $446.4 Monthly 446.4$ 36 Advantage Aviation 1903 Embarcadero Rd N/A 15,202 Lease 7/1/2022 6/20/2025 $3,127.81 Monthly 37,533.7$ 37 Rossi Aviation 1903 Embarcadero Rd N/A 12,800 Lease 7/1/2022 6/20/2025 $1,326.1 Monthly 15,913.91$ 38 Stanford Flying Club 1901 Embarcadero Rd N/A 530 Lease 7/1/2022 6/20/2025 $4,453.9 Monthly 53,447.6$ 39 Jato Aviation LLC. 1901 Embarcadero Rd N/A 618 Lease 7/1/2022 6/20/2025 $305.2 Monthly 3,662.35$ 40 Minority Television Project Inc. 1901 Embarcadero Rd N/A 2,174 Lease 7/1/2022 6/20/2025 $507.15 Monthly 6,085.85$ 41 Areo Works 1901 Embarcadero Rd N/A 13,780 Lease 7/1/2022 6/20/2025 $1,129.31 Monthly 13,551.73$ 42 West Valley Flying Club 1901 Embarcadero Rd N/A 9,990 Lease 7/1/2022 6/20/2025 $2,125.6 Monthly 25,507.72$ 43 Austro 1901 Embarcadero Rd N/A 320 Lease 7/1/2022 6/20/2025 74.57$ Monthly 894.87$ TOTAL 453,843.5$ Notes: Tenants numbers 18 and 24 moved studios during the fiscal year. Tenants numbers 31, 32, and 35 signed agreements that were 1 - 2 months long. CITY ADMINISTRATIVE SERVICES DEPARTMENT/REAL ESTATE DIVISION FY2025 Annual Report – Agreements Entered Into By City Manager Under PAMC Section 2.30.210(h) Item BAttachment A - FY 2025 Listof Agreements       Item B: Staff Report Pg. 3  Packet Pg. 457 of 469  City Council Staff Report From: City Clerk Report Type: INFORMATION REPORTS Meeting Date: January 12, 2026 Report #:2512-5659 TITLE Boards, Commissions, and Committees 2025 Year-End Attendance Report; CEQA Status - Not a Project RECOMMENDATION This is an informational report, no action is recommended. BACKGROUND The Boards, Commissions, and Committees (BCC) Handbook specifies that a compilation of attendance will be submitted to the City Clerk and presented to City Council at least annually listing absences for all members. The Handbook places an emphasis on the significance of consistent attendance and outlines the policies surrounding absences. Regular attendance by all members is essential to ensure collaborative and efficient public participation. Members are expected to make every effort to attend all scheduled meetings. Should a member be absent from more than one-third of the BCC meetings within a calendar year, their absences will be reported to the City Council, which could result in a removal. ANALYSIS Staff has collaborated with the assigned administrative support to compile a comprehensive report detailing the attendance and absences of the members and commissioners. The report reflects the numbers of absences, remote attendance, and total of meetings attended since the appointed term, and percentage of missed meetings. Commissioners who joined mid-term or finished their terms before the end of calendar year 2025 are indicated with an “X.” The purpose of this Year-End Attendance Report is to maintain transparency and determine if BCC members are adhering to attendance requirements. ATTACHMENTS Attachment A: 2025 Year-End Attendance Report of Boards, Commissions, and Committees APPROVED BY: Mahealani Ah Yun, City Clerk Item C Item C Staff Report        Item C: Staff Report Pg. 1  Packet Pg. 458 of 469  Architectural Review Board (ARB)Peter Baltay David Hirsch Kendra Rosenberg Yingxi Chen Mousam Adcock Marton Jojarth 1/2/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled X 1/16/2025 In Person In Person In Person In Person In Person X 2/6/2025 In Person In Person In Person In Person In Person X 2/20/2025 In Person In Person In Person In Person Absent X 3/6/2025 In Person In Person In Person In Person In Person X 3/20/2025 In Person In Person In Person In Person In Person X 4/3/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled X 4/17/2025 In Person In Person In Person In Person In Person X 5/1/2025 In Person In Person In Person In Person In Person X 5/15/2025 In Person In Person In Person In Person In Person X 6/5/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled X 6/19/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled X 7/3/2025 In Person In Person In Person In Person In Person In Person 7/17/2025 X In Person In Person In Person Absent Absent 8/7/2025 X In Person In Person In Person In Person In Person 8/21/2025 X In Person In Person In Person In Person In Person 9/4/2025 X In Person In Person In Person In Person In Person 9/18/2025 X In Person In Person In Person In Person In Person 10/2/2025 X In Person Absent In Person In Person In Person 10/16/2025 X In Person In Person In Person In Person In Person 11/6/2025 X Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled 11/20/2025 X Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled 12/4/2025 X In Person In Person In Person In Person In Person 12/18/2025 X Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meetings Attended In-Person 9 17 16 17 15 8 Meetings Attended Remote (Just Cause or Emergency)0 0 0 0 0 0 Meetings Attended Remote (Standard Brown Act)0 0 0 0 0 0 Total Meetings Attended 9 17 16 17 15 8 Total Meeting Absent 0 0 1 0 2 1 Percentage of Meetings Absent 0%0%6%0%12%11% 2025 Year-End Attendance Report of Boards, Commissions, and Committees Item C Attachment A - 2025 Year-End Attendance Report of Boards, Commissions, and Committees        Item C: Staff Report Pg. 2  Packet Pg. 459 of 469  Historic Resources Board (HRB)Caroline Willis Christian Pease Samantha Rohman Alisa Eagleston- Cieslewicz Geddes Ulinskas 1/9/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled 2/13/2025 In Person In Person In Person In Person In Person 3/13/2025 In Person In Person In Person In Person Remote (Just Cause or Emergency) 4/10/2025 In Person In Person In Person In Person In Person 5/15/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled 6/12/2025 In Person In Person Absent In Person In Person 7/10/2025 In Person In Person In Person Absent In Person 8/14/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled 8/28/2025 In Person Remote (Just Cause or Emergency)In Person In Person In Person 9/11/2025 In Person In Person In Person In Person In Person 10/9/2025 In Person Absent In Person In Person In Person 11/13/2025 In Person In Person In Person In Person In Person 12/11/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meetings Attended In-Person 9 7 8 8 8 Meetings Attended Remote (Just Cause or Emergency)0 1 0 0 1 Meetings Attended Remote (Standard Brown Act)0 0 0 0 0 Total Meetings Attended 9 8 8 8 9 Total Meeting Absent 0 1 1 1 0 Percentage of Meetings Absent 0%11%11%11%0% Item C Attachment A - 2025 Year-End Attendance Report of Boards, Commissions, and Committees        Item C: Staff Report Pg. 3  Packet Pg. 460 of 469  1/9/2025 X In Person In Person In Person In Person X In Person In Person In Person 2/13/2025 X Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled X Meeting Canceled Meeting Canceled Meeting Canceled 2/18/2025 (special)X In Person In Person In Person In Person X Absent Absent In Person 3/13/2025 X In Person In Person In Person Absent X In Person In Person In Person 4/10/2025 X Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled X Meeting Canceled Meeting Canceled Meeting Canceled 5/8/2025 X In Person In Person In Person In Person In Person In Person X In Person 6/12/2025 X In Person In Person Absent In Person In Person In Person X In Person 7/10/2025 X In Person In Person In Person Absent In Person In Person X In Person 8/14/2025 X Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled X Meeting Canceled 9/11/2025 X In Person In Person In Person In Person In Person In Person X In Person 10/9/2025 X Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled X Meeting Canceled 10/16/25 (special)X In Person Absent In Person In Person In Person In Person X In Person 11/13/2025 In Person In Person In Person X Absent Absent In Person X In Person 12/11/2025 In Person In Person In Person X In Person In Person In Person X In Person Meetings Attended In-Person 2 10 9 7 7 6 9 2 10 Meeting Attended Remote (Just Cause or Emergency)0 0 0 0 0 0 0 0 0 Meeting Attended Remote (Standard Brown Act)0 0 0 0 0 0 0 0 0 Total Meetings Attended 2 10 9 7 7 6 9 2 10 Total Meeting Absent 0 0 1 1 3 1 1 1 0 Percentage of Meetings Absent 0%0%10%13%30%14%10%33%0% Michelle Kraus Kaloma Smith Mary Kate Stimmler Human Relations Commission (HRC)Salwa Ansari Donald Barr Katie Causey Adriana Eberle Amy Hsieh Sridhar Karnam Item C Attachment A - 2025 Year-End Attendance Report of Boards, Commissions, and Committees        Item C: Staff Report Pg. 4  Packet Pg. 461 of 469  Parks & Recreation Commission (PRC)Jeff Greenfield Anne Warner Cribbs Amanda Brown Nellis Freeman Shani Kleinhaus Bing Wei Yudy Deng Roger Smith Vadim Axelrod 1/28/2025 In Person In Person In Person Absent In Person Remote (Just Cause or Emergency)In Person X X 2/25/2025 In Person In Person Absent In Person In Person Remote (Just Cause or Emergency)In Person X X 3/25/2025 In Person In Person Absent In Person In Person In Person In Person X X 4/11/2025 In Person In Person Remote (Just Cause or Emergency)In Person In Person In Person Absent X X 4/22/2025 In Person In Person Absent In Person In Person In Person In Person X X 5/27/2025 In Person In Person In Person Remote (Just Cause or Emergency)In Person Remote (Just Cause or Emergency)In Person X X 6/24/2025 In Person In Person In Person In Person Absent In Person In Person X X 7/22/2025 In Person In Person In Person In Person In Person Absent In Person X X 8/26/2025 In Person In Person In Person In Person In Person In Person In Person X X 9/23/2025 In Person In Person Absent In Person In Person In Person In Person X X 10/28/2025 In Person In Person Absent In Person In Person Absent In Person X X 11/25/2025 X X In Person In Person In Person In Person In Person In Person Standard Brown Act 12/16/2025 X X In Person In Person In Person Standard Brown Act Absent In Person In Person Meetings Attended In-Person 11 11 7 11 12 7 11 2 1 Meetings Attended Remote (Just Cause or Emergency)0 0 1 1 0 3 0 0 0 Meetings Attended Remote (Standard Brown Act)0 0 0 0 0 1 0 0 1 Total Meetings Attended 11 11 8 12 12 11 11 2 2 Total Meeting Absent 0 0 5 1 1 2 2 0 0 Percentage of Meetings Absent 0%0%38%8%8%15%15%0%0% Item C Attachment A - 2025 Year-End Attendance Report of Boards, Commissions, and Committees        Item C: Staff Report Pg. 5  Packet Pg. 462 of 469  Planning & Transportation Commission (PTC)Doria Summa Bart Hechtman Bryna Chang Cari Templeton Allen Akin Forest Olaf Peterson Kevin Ji Todd James 1/8/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled X X X 1/15/2025 Remote (Just Cause or Emergency)In Person In Person In Person In Person X X X 1/29/2025 In Person In Person In Person In Person In Person X X X 2/12/2025 In Person In Person Absent In Person In Person In Person X X 2/26/2025 In Person In Person In Person Absent In Person In Person In Person X 3/12/2025 In Person In Person In Person In Person In Person In Person In Person X 3/26/2025 In Person In Person In Person In Person In Person In Person In Person X 4/9/2025 X Remote (Just Cause or Emergency)In Person In Person In Person In Person In Person In Person 4/30/2025 X In Person Absent In Person In Person In Person In Person In Person 5/14/2025 X In Person In Person In Person In Person In Person In Person In Person 5/28/2025 X In Person In Person In Person In Person In Person In Person In Person 6/11/2025 X Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled 6/25/2025 X Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled 7/9/2025 X In Person In Person In Person In Person In Person In Person In Person 7/30/2025 X In Person In Person In Person In Person In Person Absent Absent 8/13/2025 X Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled 8/27/2025 X In Person Remote (Just Cause or Emergency)In Person In Person In Person In Person In Person 9/10/2025 X Absent In Person In Person In Person In Person In Person In Person 9/24/2025 X In Person In Person In Person In Person In Person In Person In Person 10/8/2025 X In Person In Person In Person In Person In Person In Person Absent 10/29/2025 X In Person In Person In Person In Person In Person In Person In Person 11/12/2025 X In Person In Person In Person In Person In Person In Person In Person 11/26/2025 X Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled 12/10/2025 X In Person In Person In Person In Person Remote (Just Cause or Emergency)In Person In Person 12/31/2025 X Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meetings Attended In-Person 5 17 16 18 19 16 15 11 Meetings Attended Remote (Just Cause or Emergency)1 1 1 0 0 1 0 0 Meetings Attended Remote (Standard Brown Act)0 0 0 0 0 0 0 0 Total Meetings Attended 6 18 17 18 19 17 15 11 Total Meeting Absent 0 1 2 1 0 0 1 2 Percentage of Meetings Absent 0%5%11%5%0%0%6%15% Item C Attachment A - 2025 Year-End Attendance Report of Boards, Commissions, and Committees        Item C: Staff Report Pg. 6  Packet Pg. 463 of 469  Public Art Commission (PAC)Hsinya Shen Lisa Waltuch Ben Miyaji Loren Gordon Amber Smith Harriet Stern Tara de la Garza Anjana Joshi Robin Mullery Simon Tran 1/16/2025 In Person Absent In Person Absent In Person In Person In Person X X X 1/31/2025 In Person In Person In Person In Person In Person In Person In Person X X X 2/20/2025 In Person In Person Remote (Just Cause)In Person In Person In Person In Person X X X 3/20/2025 In Person In Person Remote (Just Cause)In Person In Person In Person Absent X X X 4/17/2025 In Person In Person In Person In Person In Person In Person In Person X X X 5/15/2025 (CANCELED)Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled X X X 6/19/2025 In Person Remote (Just Cause or Emergency)In Person In Person In Person In Person Absent X X X 7/17/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled X X X 8/21/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled X X X 9/18/2025 In Person In Person In Person In Person In Person In Person In Person X X X 10/16/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled X X X 11/20/2025 In Person X X X In Person In Person In Person In Person In Person In Person 12/18/2025 In Person X X X Absent Absent In Person Absent In Person In Person Meetings Attended In-Person 9 5 5 6 8 8 7 1 2 2 Meetings Attended Remote (Just Cause or Emergency)0 1 2 0 0 0 0 0 0 0 Meetings Attended Remote (Standard Brown Act)0 0 0 0 0 0 0 0 0 0 Total Meetings Attended 9 6 7 6 8 8 7 1 2 2 Total Meeting Absent 0 1 0 1 1 1 2 1 0 0 Percentage of Meetings Absent 0%14%0%14%11%11%22% 50% (New Commissioner )0%0% Item C Attachment A - 2025 Year-End Attendance Report of Boards, Commissions, and Committees        Item C: Staff Report Pg. 7  Packet Pg. 464 of 469  Stormwater Management Oversight Committee (SWMOC)Catherine Perman Gregory Bennett Kevin Mayer Hal Mickelson Dena Mossar Ambika Pajjuri Ron Owes 4/22/2025 In Person In Person In Person In Person In Person In Person Absent 10/27/2025 In Person In Person In Person In Person Absent In Person Absent Meetings Attended In-Person 2 2 2 2 1 2 0 Meetings Attended Remote (Just Cause or Emergency)0 0 0 0 0 0 0 Meetings Attended Remote (Standard Brown Act)0 0 0 0 0 0 0 Total Meetings Attended 2 2 2 2 1 2 0 Total Meeting Absent 0 0 0 0 1 0 2 Percentage of Meetings Absent 0%0%0%0%50%0%100% Item C Attachment A - 2025 Year-End Attendance Report of Boards, Commissions, and Committees        Item C: Staff Report Pg. 8  Packet Pg. 465 of 469  Utilities Advisory Commission (UAC)Rachel Croft Phil Metz Robert Phillips Greg Scharff Meagan Mauter Chris Tucher Utsav Gupta 1/1/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled 1/7/2025 In Person In Person In Person In Person In Person In Person In Person 2/5/2025 In Person In Person In Person In Person Remote (Just Cause or Emergency)In Person In Person 3/5/2025 In Person In Person In Person In Person In Person In Person In Person 4/2/2025 In Person In Person In Person Remote (Just Cause or Emergency)In Person In Person Remote (Brown Act) 5/7/2025 In Person In Person In Person In Person In Person In Person Remote (Just Cause or Emergency) 6/4/2025 In Person In Person In Person In Person In Person In Person In Person 7/2/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled 7/9/2025 In Person In Person In Person In Person In Person In Person In Person 8/6/2025 Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled Meeting Canceled 9/3/2025 In Person In Person In Person Absent Remote (Just Cause or Emergency)Absent In Person 10/1/2025 Absent Absent In Person In Person In Person In Person Absent 11/5/2025 In Person In Person In Person Absent In Person In Person In Person 12/3/2025 In Person In Person In Person Absent In Person In Person Absent Meetings Attended In-Person 10 10 11 7 9 10 7 Meeting Attended Remote (Brown Act)0 0 0 0 0 0 1 Meeting Attended Remote (Just Cause or Emergency)0 0 0 1 2 0 1 Total Meetings Attended 10 10 11 8 11 10 9 Total Meeting Absent 1 1 0 3 0 1 2 Percentage of Meetings Absent 9%9%0%27%0%9%18% Item C Attachment A - 2025 Year-End Attendance Report of Boards, Commissions, and Committees        Item C: Staff Report Pg. 9  Packet Pg. 466 of 469  City Council Staff Report From: City Manager Report Type: INFORMATION REPORTS Lead Department: Administrative Services Meeting Date: January 12, 2026 Report #:2511-5393 TITLE Surplus Property Donated by the City to Nonprofit Agencies; CEQA Status: Not a Project RECOMMENDATION This item is an informational report, and no Council action is required. DISCUISSION Section 2.31.010 of the Palo Alto Municipal Code (PAMC) allows for the donation of unusable or obsolete City property and equipment to nonprofit or other organizations and to provide a report on such donations. The following are excerpts from the PAMC: (b) Property with No Commercial Value. The city manager may authorize the abandonment, destruction or donation to public bodies, charitable, civic or nonprofit organizations, of city property which has no commercial value or of which the estimated cost of continued care, handling, maintenance or storage would exceed the estimated proceeds of sale. Such determination shall be made in writing and countersigned by the director of administrative services. (c) Donations to Nonprofit Support Organizations. Notwithstanding any other provisions of this chapter, the city manager may adopt policies and procedures authorizing the donation of surplus property that is no longer suitable for use by the city to nonprofit organizations that are formed for the purpose of supporting city programs. The city's donation of surplus property shall be contingent on a written agreement that any profits from the sale of such items shall be used for the purchase of equipment, books or capital expenses related to the program supported by the nonprofit organization. (d) Annual Report to Council. The city manager shall identify all property donated to nonprofit agencies pursuant to subsection (b) or (c) above. In January of each year, the city manager shall provide a report to the city council that includes an inventory of the items donated by the city and all contributions made to the city from nonprofit Item D Item D Staff Report        Item D: Staff Report Pg. 1  Packet Pg. 467 of 469  Tabel 1: Donations to Nonprofit Agencies in Calendar Year 2025 Date of Donation Estimated Value Recipient organization Description of the item(s) donated 9/27/2025 N/A: Exceeded useful life Oaxaca Bomberos via Neighbors Abroad Expired Personal Protective Equipment and some small tools 7/2/2025 N/A: Exceeded useful life Boulder Creek Fire Department Expired Personal Protective Equipment and some small tools FISCAL/RESOURCE IMPACT The donated items are accomplished with existing staff in city departments. No other resource impacts are identified with this report. ENVIRONMENTAL REVIEW This report is for informational purposes only with no action required by the Council and therefore it is not a project as defined by the California Environmental Quality Act (CEQA). STAKEHOLDER ENGAGEMENT The Administrative Services Department collaborated with City departments to prepare the donation information contained in this report. APPROVED BY: Lauren Lai, Administrative Services Director Item D Item D Staff Report        Item D: Staff Report Pg. 2  Packet Pg. 468 of 469  Item No. 2. Page 1 of 1 City Council Supplemental Report From: Ed Shikada, City Manager Meeting Date: January 12, 2026 Item Number: 2 Report #:2601-5804 TITLE Supplemental Report - Review and Discuss 2025 Q4 Council Priorities & Objectives and format of the 2026 City Council Annual Retreat. CEQA Status – Not a project ANALYSIS This supplemental report adds an update that was inadvertently left out of Attachment B of the report. The printed report for January 12, 2026, Item #2 did not include an update on Objective 3.2.1 (Partner with Santa Clara County Housing Authority to achieve construction timeline milestones for the Palo Alto Homekey project (which will provide transitional housing and services for unhoused residents)). Objective 3.2.1 - Project Homekey Status: Behind December 2025 Update Achievements: Completion of all roofing and solar installation, as well as installation of all fencing for the Homekey project. Roadblocks: While there continue to be payment disputes (e.g., between contractors), there are no current critical path roadblocks. Next Steps: Continue construction of the elevated exterior walkway and support beams, maintaining progress to ensure overall completion remains on track for spring 2026. APPROVED BY: Ed Shikada, City Manager Item 2 Item 2 Supplemental Report        Item 2: Staff Report Pg. 1  Packet Pg. 469 of 469