REPORT TO COUNCIL
SUBJECT
Title
Consideration of an RV Permit Parking Program on Caribbean Drive; Direction to Study the Feasibility of a Safe Parking Pilot Program at 241 Commercial Street; Find These Actions Exempt from the California Environmental Quality Act (“CEQA”) Pursuant to CEQA Guidelines Sections 15301 and 15262; and Approve Budget Modification No. 13 for $122,000
Report
REPORT IN BRIEF
Sunnyvale is advancing three complementary programs to address homelessness, including an interim housing project, an RV permit parking program, and safe parking. Approximately 75% of the City’s unsheltered homeless population - about 250 people - live in vehicles. The City currently funds five hotel rooms available through its temporary hotel program to supplement broader county-wide shelter opportunities for the unhoused. The interim housing project will be presented to Council for consideration under a separate Report to Council (RTC No. 26-0677).
Staff recommends implementing an RV permit parking program on Caribbean Drive that would provide up to 40 oversized spaces (pending final layout), supportive services, and a time-limited alternative for people experiencing vehicular homelessness, with implementation anticipated in spring 2027. Staff is requesting $90,000 for the initial capital improvements needed to establish the program, along with $32,000 for three months of operations.
For safe parking, staff does not recommend pursuing Site 10 (under the Mathilda overpass) previously presented to Council in April (RTC No. 26-0016). Instead, staff has identified an alternative City-owned location at 241 Commercial Street and is seeking Council direction on whether to conduct a feasibility analysis to determine the improvements and potential costs associated with establishing a safe parking pilot program at this location.
Staff also does not recommend pursuing an RV Buy-Back Program based on the results of its feasibility analysis, which identified limited interest and relatively small number of RVs that would qualify for the program. Staff will continue exploring safe parking opportunities through potential partnerships with local congregations and community-based organizations
BACKGROUND
In 2020, the City Council approved the 2020 Housing Strategy, which identified developing a Safe Parking program as an action.
In 2022, the City Council added “Supporting the Unhoused Community” as a Council Strategic Priority. Council also authorized street outreach services to augment other social service programs in the County and help unhoused individuals learn about and access services.
In December 2023, the City Council adopted the 2023-2031 Housing Element of the General Plan (RTC No. 23-1120). The City Council incorporated remaining programs from the 2020 Housing Strategy into the Housing Element, including Program H34 - Safe Recreational Vehicle (RV) Parking, which directs staff to work with local service providers to encourage the creation of a Safe RV parking program for the unhoused community.
In November 2024, the City Council adopted Ordinance No. 3233-24, which amended Article 5 of Title 19 of the Sunnyvale Municipal Code to allow Safe Parking as a primary or ancillary use at specified sites (RTC No. 24-1171). Additionally, Council directed staff to pursue implementing a Safe Parking Pilot program on public property, return to Council with program details, and prepare a Budget Issue for consideration with the FY 2025/26 Recommended Budget for a General Fund grant for a nonprofit or faith-based organization to provide a Safe Parking Program on private land. Council approved a $100,000 appropriation for capital grants to support establishing a Safe Parking Program on private land; to date, no interest has been expressed in a grant.
Sunnyvale’s most recent Point-in-Time count, conducted on January 26, 2025, estimated 328 people experiencing unsheltered homelessness, with 75% living in vehicles (about 250 people). The City also receives regular service requests about RV parking in both commercial and residential neighborhoods. These requests consume staff and financial resources with little progress toward resolution.
The draft Homeless Response Plan (formerly titled “Strategic Plan to Address Homelessness”) was presented to Council on December 2, 2025 (RTC No. 25-0110), where Council directed staff to conduct additional community outreach and return to Council.
In April 2026, Council directed staff to develop an interim housing site, an RV buyback program, and an RV permit parking program on designated City streets to address vehicular dwelling and homelessness and return to Council with implementation details and funding recommendations (RTC No. 26-0016). This report addresses the RV permit parking program, safe parking and RV Buyback program, including related implementation plans, feasibility studies, and recommendations. The interim housing program will be presented to Council for consideration under a separate Report to Council (RTC No. 26-0677).
On September 29, 2026, Council approved the Homelessness Response Plan (RTC No. 26-0120).
EXISTING POLICY
GENERAL PLAN - HOUSING ELEMENT
GOAL HE-5 EQUAL HOUSING OPPORTUNITIES AND SPECIAL NEEDS - Promote equal housing opportunities for all residents, including Sunnyvale’s special needs populations, so that residents can reside in the housing of their choice.
Policy H-5.13 Housing and Services to Address Homelessness. Participate in the County Collaborative on Affordable Housing and Homeless Issues to support its efforts to prevent and end homelessness. Facilitate and sponsor the provision of permanent supportive housing for homeless people. Support local service providers that offer facilities and support services to homeless individuals and families, and persons at risk of homelessness.
H32. Programs to Address Homelessness. Continue to provide funding for programs that seek to prevent and end homelessness and provide supportive services to homeless and at-risk clients. Continue to implement programs such as WorkFirst Sunnyvale and Tenant-Based Rental Assistance. Using new funds such as Permanent Local Housing Allocation and HOME-ARP, create and fund new programs that support City residents experiencing homelessness or at risk of homelessness.
• Objective: Provide annual funding for homeless programs and at-risk households to serve at least 150 households per year. Implement new rental assistance program for seniors experiencing homelessness.
H34. Safe RV Parking. Work with local human service providers to encourage the creation of a Safe RV Parking program for the unhoused community.
• Objective: Support the establishment of a safe RV parking program and identify at least one potential site.
Council Strategic Priority: Support the Unhoused Community
ENVIRONMENTAL REVIEW
With respect the RV Permit Parking Program on Caribbean Drive, the action being considered is exempt under the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines Section 15301 which applies to the operation, permitting, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of existing or former use.
With respect to the Safe Parking Pilot Program at 241 Commercial Street, the action being considered is exempt from CEQA pursuant to CEQA Guidelines Section 15262 as the action relates to the authorization of a feasibility or planning study for possible future actions which have not been approved, adopted, or funded.
DISCUSSION
In response to Council direction from the April 2026 Council meeting, staff evaluated the feasibility of RV permit parking and RV buyback programs and explored additional safe parking opportunities. Attachment 4 is a map of the various sites discussed in this report. The following sections summarize staff’s findings and recommendations for each program.
RV Permit Parking Program
Location
Staff identified a segment of Caribbean Drive, east of Borregas Drive, as the proposed location for the RV permit parking program. The site needs minimal improvements to become a permit parking location, and work can be completed quickly, with an estimated completion timeline of spring 2027. Staff estimates that up to 40 RVs can safely park at this location (pending final layout), with additional parking space for service vehicles such as outreach and emergency vehicles.
Program Details
The City’s street outreach team will provide supportive services. To receive a City permit to park at this location, interested applicants must be experiencing vehicular homelessness in Sunnyvale, as verified by the street outreach team and City staff, and agree to receive case management services. The program will be time-limited with potential extensions depending on service engagement and progress toward housing goals.
City staff will assess applicants to verify eligibility before approving a permit. Staff would work closely with WeHOPE program staff to monitor any major participant program violations, including service refusal or program discharges (e.g., participants being terminated from the program due to violations of program policies or agreements) that require City staff support. To assess the program's effectiveness, staff will develop contract performance measures. A contract amendment will be brought to council prior to beginning the program.
Staff recommends this program as a five-year pilot. Staff will provide program updates to City Council through the Homeless Response Plan annual report.
Community Outreach
Throughout the planning process, staff will host a series of community outreach meetings intended to provide key updates and hear stakeholder feedback. A project manager will be assigned as the point of contact early in the process and will be available to respond to community questions. Future project updates will also be available on the City’s Housing Division website.
Additional details on the program's implementation plan are in Attachment 1 to this report.
Safe Parking
At the April 2026 Council meeting, Council directed staff to engage with stakeholders regarding the potential use of “Site 10” (parking lot under the Mathilda overpass) for interim housing or safe parking.
Based on the feasibility analysis, staff determined that Site 10 (under the Mathilda overpass) is not viable for safe parking due to concerns about vehicle access, Caltrain parking reduction, planned bicycle infrastructure, existing easements, and risk of damage to the overpass. Additional details are provided in Attachment 2.
As an alternative, staff identified another City-owned site at 241 Commercial Street for safe parking and is requesting Council direction to conduct a feasibility analysis to determine the capital improvements needed to prepare the site for a safe parking program. After completing the feasibility analysis, staff will return to Council at a future date with findings, estimated costs and recommendations for consideration.
Engagement With Local Congregations on Safe Parking
In spring 2026, Staff identified over 45 congregations in Sunnyvale and mailed outreach letters to each one. Through this outreach, four congregations responded, and two agreed to meet with City staff to learn more about safe parking.
As of this report's publication, neither congregation has chosen to move forward with a safe parking site; however, staff will continue to engage local congregations in safe parking discussions.
RV Buyback Program
To assess the need for an RV Buyback program, staff conducted a windshield survey in May 2026 in areas of the City with concentrated vehicular homelessness. The survey evaluated RV operability, registration status, external structural conditions, and visible health and safety concerns (e.g., fluid leaks, accumulated debris, and other indicators of disrepair) to estimate how many vehicles could qualify for a voluntary buyback program.
Concurrently, staff also conducted direct outreach to individuals experiencing vehicular homelessness at these locations through voluntary surveys to better understand resident demographics, housing and service needs, barriers to program participation, and interest in participating in a potential RV Buyback Program.
The windshield and outreach surveys found limited demand and eligibility for the program. Of the 115 RVs assessed, it was determined that 47% were in excellent condition, 38% were in average or moderate condition, and only 15% appeared to meet the extreme disrepair condition (e.g., inoperable, expired registration tags, and visual structural damage) criteria for a potential buyback program. Furthermore, only 16% (3 of 19) of residents surveyed expressed interest in participating.
Based on these findings, staff does not recommend developing an RV Buyback Program. Further information about the study can be found in Attachment 3 to this report.
Other Passenger Vehicle Parking Solutions
During the April 2026 Council meeting, Council also directed staff to examine passenger vehicle solutions for those residing in their passenger vehicles. Staff engaged with the County of Santa Clara and Foothill-De Anza College on passenger vehicle overnight parking solutions. At this time, staff has not identified any passenger vehicle overnight parking solutions outside of potential incorporation into the City owned safe parking site; however, staff will continue to engage with local organizations on this issue.
FISCAL IMPACT
Approximately $90,000 is needed to make the necessary capital improvements (striping, signage, etc.) on Caribbean Drive. The on-site services will cost approximately $127,900 annually ($639,500 over the 5-year pilot), with three months of operating costs ($32,000) needed in the current year for towing and mobile pump-outs. Full-year operational costs will be addressed in the FY 2027/28 Recommended Budget.
Budget Modification No. 13 has been prepared to appropriate Future Unhoused Services set-aside funding from the General Fund in the amount of $122,000 to a new project for RV Permit parking at Caribbean Drive.
PUBLIC CONTACT
Public contact was made by posting the Council meeting agenda on the City's official notice bulletin board at City Hall, at the Sunnyvale Public Library, and in the Department of Public Safety Lobby. In addition, the agenda and this report are available at the City Hall reception desk located on the first floor of City Hall at 456 W. Olive Avenue (during normal business hours), and on the City's website.
Notices were also mailed to 26 property owners and tenants within 300 feet of the RV permit parking site, in accordance with standard public noticing practices (see Attachment 4 for a map of the sites).
ALTERNATIVES
1. Take the following actions:
a. Approve the implementation plan for the RV Permit Parking at Caribbean Drive and Budget Modification No. 13 in the amount of $122,000;
b. Authorize the City Manager to execute all relevant funding agreements for such implementation plan as allowable by funding source, when all necessary conditions have been met;
c. Direct staff to conduct a feasibility study for a potential Safe Parking Program at 241 Commercial Street and return to Council with findings and recommendations; and
d. Find these actions exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15301, and the Safe Parking Program exempt from CEQA pursuant to CEQA Guidelines Section 15262.
2. Alternative 1 with modifications.
3. Take no action at this time.
STAFF RECOMMENDATION
Recommendation
Alternative 1: Take the following actions:
a. Approve the implementation plan for the RV Permit Parking at Caribbean Drive and Budget Modification No. 13 in the amount of $122,000;
b. Authorize the City Manager to execute all relevant funding agreements for such implementation plan as allowable by funding source, when all necessary conditions have been met;
c. Direct staff to conduct a feasibility study for a potential Safe Parking Program at 241 Commercial Street and return to Council with findings and recommendations; and
d. Find these actions exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15301, and the Safe Parking Program exempt from CEQA pursuant to CEQA Guidelines Section 15262.
JUSTIFICATION FOR RECOMMENDATION
The staff recommendation is consistent with the Homeless Response Plan, which establishes a coordinated framework for reducing unsheltered homelessness while also addressing its impact on the broader community. The recommended RV permit parking and safe parking programs complement the framework by expanding service-connected options for people experiencing vehicular homelessness.
With approximately 75% of individuals experiencing homelessness in Sunnyvale living in their vehicles, and only five hotel rooms currently available through the City’s shelter program, the City needs to expand beyond short-term interventions and invest in more impactful, scalable programs that can provide meaningful housing stability while reducing the impacts of vehicular homelessness on the community.
Levine Act
LEVINE ACT
The Levine Act (Gov. Code Section 84308) prohibits city officials from participating in certain decisions regarding licenses, permits, and other entitlements for use if the official has received a campaign contribution of more than $500 from a party, participant, or agent of a party or participant in the previous 12 months. The Levine Act is intended to prevent financial influence on decisions that affect specific, identifiable persons or participants. For more information see the Fair Political Practices Commission website: www.fppc.ca.gov/learn/pay-to-play-limits-and-prohibitions.html
An “X” in the checklist below indicates that the action being considered falls under a Levine Act category or exemption:
SUBJECT TO THE LEVINE ACT
___ Land development entitlements
___ Other permit, license, or entitlement for use
___ Contract or franchise
EXEMPT FROM THE LEVINE ACT
___ Competitively bid contract*
___ Labor or personal employment contract
___ Contract under $50,000 or non-fiscal
___ Contract between public agencies
_X_ General policy and legislative actions
* "Competitively bid" means a contract that must be awarded to the lowest responsive and responsible bidder.
Staff
Prepared by: Jocelyn Vidales, Unhoused Specialist
Reviewed by: Annette Tran, Human Services Manager
Reviewed by: Amanda Sztoltz, Housing Officer
Reviewed by: Trudi Ryan, Director of Community Development
Reviewed by: Kurtis Mock, Budget Manager
Reviewed by: Dennis Jaw, Assistant Director of Finance
Reviewed by: Matt Paulin, Director of Finance
Reviewed by: Connie Verceles, Assistant City Manager
Approved by: Tim Kirby, City Manager
ATTACHMENTS
1. RV Permit Parking Implementation Plan
2. Safe Parking Site 10 Feasibility Study
3. RV Buyback Feasibility Study
4. Site Location Maps
5. Public Comments