REPORT TO COUNCIL
SUBJECT
Title
Action on a Resolution Ordering the Vacation of a Public Utility Easement at 3250 Jay Street
Report
BACKGROUND
In 1982, the City Council vacated a portion of Duane Avenue east of Jay Street, quitclaimed the City’s rights to the property, and also reserved a 50-foot wide Public Utility Easement (PUE) over the area that was vacated. The PUE was reserved to maintain access to City sanitary sewer and water facilities and is located at 3250 Jay Street. In April 2025, the property owner, Four Corners Properties, inquired with the City about the potential to vacate the PUE in anticipation of potential future development on the site.
On June 23, 2026, the City Council approved a Vesting Tentative Map to merge four existing legal parcels into one legal parcel, with no construction or site improvements, at 3250 Jay Street.
DISCUSSION
As noted above, there are existing sanitary sewer and water facilities within the PUE. The sanitary sewer facility currently located within the PUE serves only this property and the property owner has requested that the sanitary sewer facility be privatized to remove the need for a City easement for the sanitary sewer. Staff support converting the public sanitary sewer in the PUE into a private sanitary system.
Staff reviewed the water facility in the PUE and determined that the water facility should remain a public water utility. To accommodate the request to vacate the PUE, on April 22, 2026, the City accepted a 15-foot-wide water utility easement dedication from the property owner to cover the existing water facility.
All departments and agencies with an interest in the PUE concur that the easement is eligible to be vacated. With the privatization of the sanitary sewer facility and the new water utility easement, staff have determined that the PUE is in excess and will no longer be necessary for public purposes and recommend that the PUE be vacated according to subsection C of California Streets and Highways Code Section 8333. The proposed resolution (Attachment 1) will vacate the PUE and authorize the City Manager to execute any documents (such as agreements) necessary to implement the vacation and transfer ownership of the existing sewer facility from the City to the underlying property owner.
ENVIRONMENTAL REVIEW
The action being considered is exempt from the California Environmental Quality Act ("CEQA") pursuant to CEQA Guidelines Section 15301, Existing Facilities.
FISCAL IMPACT
There is no additional cost to the City other than staff time and expense. Additionally, upon vacation of the PUE, the existing public sanitary sewer facility will be converted to a private sanitary sewer facility which will result in long term operations and maintenance savings for the City.
COORDINATION
This report has been coordinated with the City Attorney’s Office, Water and Sewer Utility Department, and Silicon Valley Power.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
1. Adopt a Resolution Ordering the Vacation of the Public Utility Easement at 3250 Jay Street [APN 224-09-178 (2025-26)], and authorizing the City Manager to execute any documents necessary to implement the vacation and transfer ownership of the existing sewer facility from the City to the underlying property owner in final forms approved by the City Attorney; and
2. Authorize the recordation of the Resolution.
Staff
Reviewed by: Craig Mobeck, Director of Public Works
Approved by: Jovan Grogan, City Manager
ATTACHMENTS
1. Resolution