HomeMy WebLinkAboutStaff Report 2511-5583, Staff Report 2601-5804CITY OF PALO ALTO
CITY COUNCIL
Special Meeting
Monday, January 12, 2026
Council Chambers & Hybrid
5:30 PM
Agenda Item
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,
Presentation
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
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
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.
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:
ATTACHMENT A
2025 CITY COUNCIL PRIORITIES AND OBJECTIVES
Council Priority OBJECTIVES
(70 in total)
Climate Action and Adaptation, & Natural Environment Protection (CA)
Modernize critical infrastructure for climate resilience
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
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
(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
taking advantage of the 2025 in‐channel construction season. (32)
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
priority projects will increase the ability of the storm drain system to convey water in the event of a San Francisquito Creek overflow. (31)
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
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
(13)
approval for Phase 2 (full service program) of the Advanced Whole Home Electrification Pilot Program and begin implementation. (19)
X
Advance citywide and regional climate adaptation and environmental protection strategies
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 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
8 X
9
10
11
X Council consideration of an ordinance implementing updated Stream/Creek Corridor Setback requirements. (34)
Council consideration of an ordinance implementing Bird Safe Glass & Wildlife Light Pollution Protections standards. (35)
X Advocate for the San Francisquito Creek Flood Protection capital project (Reach 2) through Council’s JPA representation and any Council approvals involved.
X **
(31)
12 X Initiate Preliminary Engineering and Environmental Clearance Work for Quarry Road Extension in Partnership with Stanford University, Caltrans, & VTA.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.
Advance active and sustainable transportation
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 X
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)
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 X
Council adoption. (15)
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)
Page 1 of 5
ATTACHMENT A
2025 CITY COUNCIL PRIORITIES AND OBJECTIVES
Council Priority OBJECTIVES
(70 in total)
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
Complete E‐Mobility Strategic Plan for Council acceptance. Develop, approve and implement the Plan which reflects feedback on strategies reviewed by the
Ad Hoc Climate Protection Committee and its Working Group. (21)
Propose an updated multifamily EV charger program (EV 2.0) for Council approval.
X
X
Promote clean energy and reduce fossil fuel dependence
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)
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,
and track use of the fuel, explore potentially subsidizing the cost of unleaded fuel, and develop updated lease requirements to promote unleaded fuel .
X
(77)
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 X
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)
23 X Present an ordinance to Council enacting the 2026 California Building Standards Code update, including the California Green Building Standards Code; submit
the California Building Standards Commission for approval.
an Advanced Commercial Rooftop HVAC Pilot Program proposal and review with the Climate Action and Sustainability Ad Hoc Committee for
to Council. (20)
X
Economic Development & Retail Vibrancy (ED)
Activate and enhance key commercial districts
25 X X Council approval of outdoor activation guidelines for California Avenue. Council approval of outdoor activity guidelines informed by continued engagement with X *
stakeholders on a refined priorities and recommendations and Initiate implementation. (2)
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)
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 Propose and implement outdoor activation guidelines for Car‐Free Ramona Street. Initiate implementation of Council approved outdoor activity guidelines
by continued engagement with stakeholders on a refined priorities and recommendations.
X **
Council approval of Ramona Street design and funding appropriations. Engage stakeholders to develop design proposals for Car‐Free Ramona Street and
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
X Council approval of funding to continue Downtown cleanliness enhancements and other medium‐term investments. Include necessary proposals and budget
as part of the development of the FY 2026 Operating Budget to continue enhanced Downtown Cleanliness enhancements and other medium‐term
such as a Mobility Hub.
32 X X Begin feasibility analysis of Assessment District for University Avenue Streetscape. Conduct analysis to determine practicality of an assessment district or
funding strategy as a funding mechanism for capital enhancements to University Avenue Streetscape.
X
Support economic development and retail vibrancy
Page 2 of 5
ATTACHMENT A
2025 CITY COUNCIL PRIORITIES AND OBJECTIVES
Council Priority OBJECTIVES
(70 in total)
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 X **
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. (9)
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)
Council consideration of an ordinance restoring subjective wireless communication facility regulations. Hold a public hearing on a draft ordinance
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 light or utility poles.
36 X Refine destination marketing efforts and enhance Palo Alto’s international reputation. Meet with hospitality partners and incubator/accelerators to assess X
willingness to partner with the City on destination marketing efforts and propose next steps, including necessary appropriation actions, to City Council.
Implementing Housing Strategies for Social & Economic Balance (IHS)
Enable housing production through zoning and regulatory reform
37 X Prepare an ordinance for Council review expanding the housing focus area. Increase housing development potential along El Camino Real and consideration of X
an exemption from payment of development impact fees for inclusionary units under certain circumstances, consistent with Housing Element Program 3.4 E. (41)
38 X Present to Council an ordinance updating the City’s housing incentive program. Increase housing development potential and expand provisions to multi‐family
and other commercial districts in accordance with Housing Element Program 3.4 D. (46)
Prepare an update to the City's accessory dwelling unit ordinance. Update local implementation regulations to respond to changes in State Law, consistency
X
with the State Housing and Community Department's 2025 ADU Handbook and address applicable deficiencies identified in HCD's comment letter.
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
with appointed and elected officials, and review by the City Council of a community assessment report and receive updated project direction, consistent
Housing Element Program 6.6 C. (40)
X
Advance affordable housing developments
41 X Partner with Santa Clara County Housing Authority to achieve construction timeline milestones for the Palo Alto Homekey project (which will provide
housing and services for unhoused residents). (51)
different housing typology options for the one‐acre site near Matadero Creek. Use grant funded technical analysis to consider housing options for a
X **
42 X
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.
43 X Prepare the Community Development Block Grant (CDBG) 5‐Year Consolidated Plan and Annual Action Plan. The Quinquennial update helps jurisdictions to X
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 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. (8)
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
and approach.
Page 3 of 5
ATTACHMENT A
2025 CITY COUNCIL PRIORITIES AND OBJECTIVES
Council Priority OBJECTIVES
(70 in total)
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.
Support tenant protections and housing equity
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
barriers to housing by individuals with criminal records, consistent with Housing Element Program 6.6 I. (54)
Report out on initial data from the rental registry program and project implementation; receive feedback and recommendations for next steps. (57)
X
48 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,
and anticipated resource demand perspectives; receive direction on next steps. (55)
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
Improve citywide housing policy and planning
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
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
City’s Individual Review Program. (45)
Initiate evaluation of South of Forest Area Coordinated Area Plan (SOFA) development standards. Review and explore options to amend the coordinated area
X
52 X
plan with the intent to replace subjective development standards with objective standards consistent with Housing Element Program 3.7.
53 X Present to Council the Downtown Housing Plan Community Assessment report and receive Council direction on draft housing plan scenarios. Continue
the plan development and public engagement strategy to prepare draft housing plan and environmental review. (36)
Present an ordinance to Council that supports innovative housing structures. Creates zoning incentives or update development standards to support various
X
housing typologies, including micro‐units, intergenerational housing, aging adults, students and lower‐income units, consistent with Housing Element Program
6.5. (48)
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 X
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. (50)
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%
the units are deed restricted. (Housing Element Programs 2.1B; 3.1 B&C) (Housing Element Programs 2.1B; 3.1 B&C)
Public Safety, Wellness & Belonging (PS)
Modernize public safety infrastrucutre
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 X *
commemorate the official availability of public safety services from the facility for all. (72)
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
agencies and entities to address early warning technology, planning and procedural elements and risk mitigation. (71)
X Council approval of construction contract for Fire Station No. 4 Replacement project and initiation of construction. (73)
X
59 X
X Activate a fire engine at Fire Station 4. Augment staffing at Fire Station 4 to deploy either ambulance or fire engine response.
Page 4 of 5
ATTACHMENT A
2025 CITY COUNCIL PRIORITIES AND OBJECTIVES
Council Priority OBJECTIVES
(70 in total)
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)
Expand wellness and community serving facilities and services
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
measure in November 2026 and begin community polling to inform the development of a ballot measure for voter consideration. (61)
X Implement the 2024‐2025 Wellness & Belonging Action Plan. Complete the 28 action items in the action plan in collaboration with partners.
X
63 X
X Open 445 Bryant Street Community Center. Complete construction and any necessary partnership agreements to begin La Comida Senior Lunch Program at the
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
partnerships that serve the disability community, and implement new therapeutic recreation programs .
X Implement New Expanded CSD Recreation Special Events Workplan. Approve and implement the Workplan which expands Community Special Events that foster
belonging and celebrate the rich diversity of our community (60)
X
X Support Community Mental Health. Provide support for all ages through community partnerships, programs, and initiatives. (65)X
Promote environmental and transportation safety
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)
69 X Council Approval of Quiet Zone Concept Plans at Churchill Ave, Meadow Drive, and Charleston Rd Rail Crossings. (76)X
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 X
technology. Establish a Business Watch program to enhance collaboration with businesses and assign two officers at a minimum to patrol high traffic
areas.
*Revised estimated completion date
**Revised estimated completion date in 2026
Page 5 of 5
Q4 Update (October - December)
2025 City Council Priorities & Objectives
ATTACHMENT B
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 B
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 B
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 B
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 B
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 B
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 B
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 B
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 B
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 B
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 B
Page 11
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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 B
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 B
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 B
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 B
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 B
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 B
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 B
Page 18
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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 B
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 B
Page 20
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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 B
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 B
Page 22
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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 B
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 B
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 B
Page 25
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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 B
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 B
Page 27
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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 B
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 B
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 B
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 B
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 B
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 B
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 B
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 B
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 B
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 B
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 B
Item No. 2. Page 1 of 1
9
1
3
0
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
2025 City Council Priorities & Objectives Q4 Update& 2026 Retreat Process
January 12, 2026 1
•Review Q4 2025 Priorities & Objectives
•Status updates by Priority
•Council feedback
•2026 Retreat Process
•Council feedback on Policy & Services Annual Retreat recommendations
Agenda
2
Overall Priority Summary
2025 Council Priorities
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
70 Total Objectives
3
Climate Action and Adaptation & Natural Environment
Protection (CA&NEP)
24 Objectives
4
Completed Highlights:
•Grid modernization pilot area
•Newell Bridge and Hamilton Avenue projects
•Safe Streets For All and Bicycle and Pedestrian
Transportation Plans
•2026 Reach Codes adoption
•S/CAP plans: RRSP,E-Mobility Strategic Plan,2026-
2027 Workplan
•Building electrification and multifamily EV charging
programs
Climate Action & Natural Environment Protection
Objectives On-Track, Behind or On Hold
#Objective
1.2.3 Council consideration of an ordinance implementing updated Stream/Creek Corridor Setback
requirements.
1.4.1 Develop and begin implementing a City Facility Electrification Plan.
1.1.5 Complete deployment of 65,000 residential Advanced Metering Infrastructure (AMI) meters by
end of FY 2025 and begin deployment of commercial AMI meters.
1.2.4 Council consideration of an ordinance implementing Bird Safe Glass & Wildlife Light Pollution
Protections standards.
1.2.7 Develop an updated Regional Water Quality Control Plant Biosolids Facility Plan.
5
Economic Development & Retail Vibrancy (ED&RV)
Priority Summary
12 Objectives
6
Completed Highlights:
•Work on new parking structure in DT
•Downtown cleanliness enhancements
•Ordinance restoring subjective wireless
communication facility regulations
Economic Development & Retail Vibrancy
Objectives On-Track, Behind or On Hold
#Objective
2.1.1 Council approval of outdoor activation guidelines for California Avenue.*
2.1.2 Council approval of a final signage plan for California Avenue and funding appropriations.*
2.1.3 Council approval of a design option for California Ave.
2.1.4 Propose and implement outdoor activation guidelines for Car-Free Ramona Street.
2.1.5 Council approval of Ramona Street design and funding appropriations.*
2.1.8 Begin feasibility analysis of Assessment District for University Avenue Streetscape.
2.2.1 Complete build-out of fiber-to-the-premises (FTTP) pilot Phase 1 with grid modernization.
2.2.2 Council consideration of ordinance that expands retail opportunities & promotes retail
resiliency.*
2.2.4 Refine destination marketing efforts and enhance Palo Alto’s international reputation.
7* On-Track with change in scope or in progress.
Implementing Housing Strategies for Social and
Economic Balance (IHSSEB) Priority Summary
20 Objectives
8
Completed Highlights:
•Expanded Housing Focus Area
•Updated Housing Incentive Program
•Revised Accessory Dwelling Unit Ordinance
•Initiated San Antonio Road Area Plan
•Studied affordable housing typologies site near
Matadero Creek
•Engaged with Alta Housing for an affordable
housing development on Lot T
•Presented ideas to Council regarding Fair Chance
Ordinance
•Updated development impact fees
•Initiated phase 1 to address oversized vehicle
impacts
IHSSEB Objectives On-Track, Behind or On Hold
#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).
3.2.6 Organize an initial review of sources and methods to raise funding to support new affordable housing
production for future evaluation.
3.3.2 Report out on initial data from the rental registry program and project implementation; receive feedback
and recommendations for next steps.
3.3.3 Present to Council an analysis related to anti-rent gouging.
3.4.3 Present to Council the Downtown Housing Plan Community Assessment report and receive Council
direction on draft housing plan scenarios.
3.4.5 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.
9
Public Safety, Wellness & Belonging
(PSW&B) Priority Summary
14 Objectives
10
Completed Highlights
Opening Public Safety Building
Fire Station 4 Groundbreaking
Workforce Demographics Live
Enhance and Expand Inclusive
Programs and Services
Cubberley Master Plan
Public Safety Wellness & Belonging
Objectives On-Track, Behind or On Hold
#Objective
4.2.2 Implement the 2024-2025 Wellness & Belonging Action Plan.
4.2.3 Open 445 Bryant Street Community Center.
4.3.1
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.
11
DISCUSS 2026 CITY COUNCIL RETREAT PROCESS
12
Discuss Policy & Services Recommendations
•Continue the City Council 2025 Priorities into 2026
•Focus retreat on the development and prioritization of Mid-level
Goals.
.•Priorities- a topic that will receive significant attention during that year
.•Mid-Level Goals- P&S desire to bridge high level goals with detailed SMARTIE Objectives
.
•Objectives- reflect potential Council actions that are measurable and time-bound to make real progress
in advancing Council Priorities.
13
Policy & Services Recommendation
Proposed 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
14
Council Discussion
•Discuss and approve the Policy & Services recommendation to
continue the 2025 Priorities into 2026
•Discuss and recommend the process for the 2026 Retreat
•Define mid-level goals
•Approve retreat agenda
15
16
Lupita Alamos
Assistant to the City Manager
Kiely Nose
Assistant City Manager