Elk Grove Weighs $65.5 Million New Corporation Yard to Support City Growth Through 2050

Elk Grove city officials are moving toward development of a new public works corporation yard near the city’s Special Waste Collection Center as they plan for long-term infrastructure and operational growth.

During the May 27 Elk Grove City Council meeting, Deputy Public Works Director Sean Gallagher presented the city’s 2026 Corporation Yard Master Plan update, which recommends construction of a new facility at 9255 Disposal Lane rather than continuing to expand and renovate the city’s aging corporation yard on Iron Rock Way.

Gallagher said the updated plan was necessary because Elk Grove’s public works responsibilities have expanded significantly since the city adopted its original master plan in 2008.

“The city now maintains a much larger and aging infrastructure network,” Gallagher told council members. “While staff levels may be lower than the 2008 plan originally projected, the operational complexity, coordination needs, fleet requirements, storage demands and overall service responsibilities have grown substantially.”

According to the staff report, the current 8-acre corporation yard at 10250 Iron Rock Way has become increasingly constrained and no longer adequately supports projected long-term operational needs. The site supports public works operations including fleet deployment, contractor coordination, emergency response and material storage.

Gallagher said the existing site is “physically constrained and fully utilized,” with limited circulation space for large vehicles and no meaningful room for future growth.

The master plan evaluated two options. Option A would renovate and reconfigure the existing Iron Rock Way site. Option B would build a new corporation yard adjacent to the city-owned Special Waste Collection Center on Disposal Lane.

The estimated cost to renovate the existing facility is about $64 million, while construction of a new consolidated yard is estimated at approximately $65.5 million, Gallagher said.

“The cost difference is relatively small, but the operational outcome is significantly different,” Gallagher said during his presentation.

Under the recommended option, the new facility would include administration buildings, maintenance shops, storage areas, fleet and equipment space and expanded circulation designed specifically for public works operations.

Council members largely supported the proposal during the discussion following the presentation. Councilman Kevin Spease asked what would happen to the existing corporation yard if the city proceeds with the new facility.

“In the event that we were to go with option B, what happens to the existing site?” Spease asked.

Gallagher said no final decision has been made regarding future use of the Iron Rock property.

“At this time, we haven’t really decided what would happen,” Gallagher said. “We would evaluate the existing site for expanded operations for other departments, look at potential other uses of it, maybe selling it.”

The staff report said the city plans to begin preliminary design work in fiscal year 2026-27 with approximately $1.5 million included in the proposed Capital Improvement Program budget. Construction is tentatively scheduled between 2028 and 2030.

City staff said funding sources under consideration include capital reserves, enterprise funds, internal service funds, and possible bond financing.

The council received the presentation and generally expressed support for moving forward with the Disposal Lane option.