City Council - March 24, 2025

Council postpones SB 457 decision to April 7

The City Council postponed deciding whether Palo Alto should support or sponsor Senate Bill 457 until April 7. An amendment changing the return date from April 14 to April 7 passed 5-2, and the amended continuance then passed 7-0. The Council did not take a position on the bill.

Staff described Senator Becker’s bill as changing how projects establish Builder’s Remedy status under the state Housing Accountability Act. The proposal would generally require a complete formal application instead of a preliminary application and change the relevant benchmark from state certification of a Housing Element to local approval of an element that is subsequently certified. Staff said the measure could affect pending applications, with an exception tied to projects completing entitlements before Jan. 1, 2026.

Members seeking more time cited the item’s late addition to the agenda, the timing of the draft legislation and the lack of prior Policy and Services Committee review. Others supported the April 7 date to preserve time for public outreach and action before Senate committee review later in April. The Council asked staff to clarify the bill’s application dates and what constitutes a complete application in Palo Alto. Public comments were mixed, with supporters arguing the bill would protect adopted housing plans and opponents warning it could create new barriers to housing.

Nonprofit workplan advances with lighter reporting

The Council unanimously approved a phased workplan for nonprofit funding requests, with revisions intended to reduce reporting burdens and broaden the eligibility language. Financial reporting will rely on an IRS Form 990, and the program will make clear that organizations do not have to serve only Palo Alto residents to qualify.

The final funding amount remains subject to fiscal 2026 budget deliberations. Staff identified an existing $235,000 city events and programming line item as the proposed starting point, while the Council provided placeholder guidance to maintain funding comparable to the prior year plus any amount added for community events. Grants of up to $5,000 per event were discussed for that category.

The Policy and Services Committee is expected to rank applications, while the Finance Committee will determine the available funding and cutoff. Staff plans to present initial budget recommendations at the May 5 study session. Council members framed the new process as a one-year pilot and said any nonprofit partnerships proposed for ongoing city support should return through a future budget discussion.

Council authorizes nearly $4 million in service contracts

The Council approved four service contracts or amendments providing up to $3,981,465 in new or additional contract authority. The largest was a three-year sludge-hauling agreement with Synagro-WTT Inc. for up to $2,584,756.

Other approvals included $220,752 for nine months of security services, up to $760,886 for one year of workers’ compensation claims administration with renewal options, and a $415,071 increase and two-year extension for external financial audit services. The consent-calendar approvals passed 6-0-1, with Vice Mayor Veenker absent.

Community-streets ordinance wins final approval

The Council gave final approval to an ordinance creating a new Municipal Code chapter for pedestrian-only streets and community streets. It also approved an amended agreement with the Santa Clara Valley Transportation Authority for Measure B bicycle and pedestrian education and encouragement funding. Both actions passed 6-0-1 on the consent calendar.

Architectural Review Board recruitment reopens

The Council voted 6-0-1 to keep Architectural Review Board commissioners whose terms were ending in place until successors are appointed and to reopen the application pool for additional candidates.

The action followed candidate interviews for the Architectural Review Board, Human Relations Commission and Utilities Advisory Commission. No appointments were made at the meeting, and interviews and appointment proceedings will continue.

Primary sources

Watch the meeting on YouTube · Read the official meeting agenda