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Ordinance No. 5704
Interim Urgency Ordinance of the Council of the City of Palo Alto Excluding from
the Effect of Government Code Section 65912.157 Those Properties Designated
as Local Historic Resources Pursuant to Palo Alto Municipal Code Chapter 16.49
and Amending the Zoning Map (Palo Alto Municipal Code Section 18.08.040)
The Council of the City of Palo Alto ORDAINS as follows:
SECTION 1. Findings and Declarations. The City Council finds and declares as follows:
A.On October 10, 2025, the Governor of the State of California signed Senate Bill 79 (SB 79),
which adopted California Government Code sections 65912.155 through 65912.162 and
requires local agencies, effective July 1, 2026, to permit high density residential
development in designated transit-oriented development (TOD) zones within one-half
mile of certain TOD stops.
B.There are three TOD zones in Palo Alto, centered on the Palo Alto, California Avenue, and
San Antonio Road Caltrain stations.
C.California Government Code section 65912.157 sets forth residential development
standards that apply to housing development projects within TOD zones, such as a height
of 75 feet, density of 120 dwelling units per acre, and floor area ratio of 3.5 for projects
within one-quarter mile of a Caltrain station.
D.Government Code section 65912.161, subdivision (b), permits local agencies to exclude
certain properties from compliance with Government Code section 65912.157 by
adopting an ordinance implementing SB 79, including:
a.A site that permits density and residential floor area ratio at no less than 50
percent of the standards specified under Government Code section 65912.157.
b.Sites with a historic resource designated as of January 1, 2025, on a local register.
E.The City Council desire to adopt an ordinance pursuant to Government Code section
65912.161, excluding sites designated as local historic resources on the Palo Alto Historic
Resources Inventory pursuant to Palo Alto Municipal Code (PAMC) Chapter 16.49.
F.SB 79 charges the California Department of Housing and Community Development (HCD)
with promulgating regulations relating to the bill by July 1, 2026. SB 79 further chargers
metropolitan planning organizations with creating maps of TOD stops and zones in
accordance with HCD guidance.
G.HCD issued a set of “advisory clarifications on definitions for Metropolitan Planning
Organizations” on March 23, 2026. The Metropolitan Transportation Commission (MTC),
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the metropolitan planning organization for the San Francisco Bay Area, released
preliminary draft maps on April 8, 2026.
H.Due to the short time between the issuance of guidance from HCD and MTC and the July
1, 2026 effective date of Government Code section 65912.157, there is insufficient time
for the amendments to the zoning map proposed in this ordinance to be presented for
review by the Planning and Transportation Commission.
I.The City Council finds and declares that the implementation of Government Code section
65912.157 on July 1, 2026 will create significant incentive for redevelopment of
properties in the TOD zones, including projects that would result in the loss of historic
resources. Accordingly, pursuant to PAMC sections 18.80.090 and 2.04.270, the City
Council adopts this ordinance as a temporary measure and an emergency measure to
prevent the loss of historic resources listed in the Palo Alto Historic Inventory and thereby
preserve the public health, safety, or welfare.
J.Additionally, for the reasons provided herein, the City Council finds and declares that the
potential loss of historic resources in TOD zones presents a current and immediate threat
to the public health, safety, or welfare that would be realized by approval of projects
under the standards set forth in Government Code section 65912.157. There are no
pending project applications that would be impacted by this ordinance and this ordinance
would not have the effect of denying any approvals needed for the development of
projects containing multifamily housing. Accordingly, this ordinance is necessary as an
interim, urgency measure pursuant to Government Code section 65858 to protect the
public health, safety, or welfare.
SECTION 2. Pursuant to Government Code section 65912.161, subdivision (b)(1), sites
designated as local historic resources on the Palo Alto Historic Resources Inventory as of January
1, 2025 are hereby temporarily excluded from the application of Government Code section
65912.157. These sites shall be excluded until one year following the adoption of the City’s
seventh cycle Housing Element.
SECTION 3. The Director of Planning and Development Services is hereby authorized
and directed to update Section 18.08.040 (the Zoning Map) of Title 18 (Zoning) of the Palo Alto
Municipal Code to indicate which sites within the TOD zones are and are not covered by
Government Code section 65912.157, including sites excluded pursuant to this Ordinance.
SECTION 4. If any section, subsection, sentence, clause, or phrase of this Ordinance is
for any reason held to be invalid or unconstitutional by a decision of any court of competent
jurisdiction, such decision shall not affect the validity of the remaining portions of this
Ordinance. The City Council hereby declares that it would have passed this Ordinance and each
and every section, subsection, sentence, clause, or phrase not declared invalid or
unconstitutional without regard to whether any portion of the Ordinance would be
subsequently declared invalid or unconstitutional.
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SECTION 5. The Council finds that the Ordinance is not a project under the California
Environmental Quality Act (CEQA) pursuant to Government Code section 65912.160,
subdivision (c)(2), because it makes the City’s zoning code consistent with the provisions of SB
79 by implementing Government Code section 65912.161, subdivision (b) and amending the
zoning map to indicate which sites are and are not subject to Government Code section
65912.157.
SECTION 6. This Ordinance shall be effective upon adoption by a four-fifths vote of
City Council members present and shall expire 45 days thereafter unless extended.
INTRODUCED and ADOPTED: JUNE 15, 2026
AYES: BURT, LAUING, STONE, VEENKER
NOES: LYTHCOTT-HAIMS
ABSENT: LU, RECKDAHL
ABSTENTIONS:
ATTEST:
____________________________ ____________________________
City Clerk Mayor
APPROVED AS TO FORM: APPROVED:
____________________________ ____________________________
Assistant City Attorney City Manager
____________________________
Director of Planning and
Development Services
Docusign Envelope ID: DFC58930-1AA8-8537-81E7-E5F8CB4EF94A
Certificate Of Completion
Envelope Id: DFC58930-1AA8-8537-81E7-E5F8CB4EF94A Status: Completed
Subject: ORD 5704 - Interim Urgency Ordinance Excluding Properties Designated as Local Historic Resources
Source Envelope:
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Certificate Pages: 2 Initials: 0 Christine Prior
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250 Hamilton Ave
Palo Alto , CA 94301
Christine.Prior@PaloAlto.gov
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6/24/2026 8:48:02 AM
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Christine.Prior@PaloAlto.gov
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Albert Yang
Albert.Yang@paloalto.gov
Assistant City Attorney
City of Palo Alto
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Jonathan Lait
Jonathan.Lait@paloalto.gov
Director, Planning and Development Services
City of Palo Alto
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Ed Shikada
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City Manager
City of Palo Alto
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Veenker, Vicki
Vicki.Veenker@paloalto.gov
City of Palo Alto
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Mahealani Ah Yun
Mahealani.AhYun@paloalto.gov
City Clerk
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