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IV.7. Proposed Parking Permit Fee Increases; Harkess (CR2016-111) October 18, 2016 Council Report 2016-111 PROPOSED PARKING PERMIT FEE INCREASES Proposed Action Staff recommends adoption of the following: Move to approve Resolution 2016-074 Parking Permit Rate Increase. Approval of the motion will increase parking permit fees as follows: daily fee– no change; monthly fee – from $31 to $33; quarterly fee from $74 to $78; the annual fee from $237 to $252, the overnight fee from $25 to $30 and no change to the Electric Car Permit fee of $280 for an annual permit or $77 for a quarterly permit. Overview Current ramp and municipal lot parking permit fees are $3 per day, $31 per month, $78 per quarter, $237 per year along with an overnight parking fee of $25. An increase in the parking permit rates will help offset the raising cost of maintenance and enforcement of the city owned municipal lots and the aging municipal ramp. The sources of revenue for the maintenance of the parking facilities are permit fees, court fines and interest. As our facilities age, especially the parking ramp which is over 20 years old, we will need to provide the resources to adequately maintain them. Current fund balance in the parking fund as of October 11, 2016 is $137,821 which is down from a high of $358,150 in 2001. In 2016 we completed approximately $250,000 in masonry repairs in the ramp based on a 2013 conditions appraisal. This is the first major maintenance work done in the ramp since it was built. Primary Issues to Consider  Financial performance of the Parking Fund  Past permit rates  Proposed capital expenditure projects Staff Recommendation Finance recommends increasing the current parking permit rates as stated above to provide revenue for the continued enforcement and maintenance of city owned parking lots and ramp. The change in rates would take effect January 1st, 2017. Supporting Information  Resolution 2016-074  Summary budget information Christine M. Harkess, CPA, CGFM Finance Director Financial Impact: approximately $5,000 Budgeted: Y/N X N Source: Parking Fund Related Documents (CIP, ERP, etc.): __CIP __ Notes: ____________________ CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA RESOLUTION 2016-074 PARKING PERMIT RATE INCREASE WHEREAS , the City of Hopkins has established Ordinance No. 91-1310, City Code section 1310.11 which defines parking permit rates and allows adoption of fees through council resolution, and, WHEREAS, it is estimated the present parking permit rates are not sufficient to cover operating and enforcement expenses over the next five years and will not provide sufficient funding for capital improvements to the municpal lot and parking ramp; NOW, THEREFORE , be it hereby resolved that the City Council of the City of Hopkins hereby sets the parking permit fees at the following rates: Parking Permits Electric Car Permits Annual $252 Annual $280 (no change) Quarterly $ 78 Quarterly $ 77 (no change) Monthly $ 33 Monthly not available Daily $ 3 (no change) Daily not available Overnight $ 30 EFFECTIVE DATE: The provisions of this resolution shall take effect January 1, 2017. th Adopted by the City Council of the City of Hopkins, Minnesota, this 18 day of October 2016. _______________________________ Molly Cummings, Mayor ATTEST: ___________________________________ Amy Domeier, City Clerk PARKING FUND Adopted - 2016 Requested - 2017 Percent Incr/Decr SUMMARY - ALL DEPARTMENTS COMBINED Revenues Court Fines 22,000 22,000 0.00% Leased Parking 115,000 120,000 4.35% Charges For Services - - #N/A Interest Earned 1,000 2,500 150.00% Total Revenues 138,000 144,500 4.71% Expenditures Personnel Costs Regular Employees 42,246 43,438 2.82% Part-Time Employees 500 600 20.00% Overtime Employees - - #N/A Sick Leave Converted/Long Term 313 322 2.88% Pera Contribution 3,169 3,258 2.81% Fica & Medicare Contribution 3,271 3,362 2.78% Employee Health Benefit Plan 11,397 11,397 0.00% Workers Compensation 265 265 0.00% Paid Leave Accrual 268 276 2.99% Uniforms Or Clothing 500 500 0.00% Other Services & Charges General Supplies 1,100 1,100 0.00% Equipment And Vehicle Parts 750 750 0.00% Motor Fuels & Lubricants 3,200 3,200 0.00% Postage - - #N/A Maintenance - Equipment-Vehicl 500 500 0.00% Maintenance - Structures 2,100 2,100 0.00% Printing 750 750 0.00% Audit 150 150 0.00% Expert And Professional Servic - - #N/A Other Contractual Services 6,000 6,000 0.00% Telephone - Local 925 925 0.00% Radio & Mdt'S - - #N/A Electricity 9,000 8,500 -5.56% Space Allocation Charges 5,682 5,770 1.55% Intergovernmental Fees 1,626 1,706 4.92% Garage - Labor & Burden 2,000 2,000 0.00% Equipment Charges 1,895 2,066 9.00% Fleet Liability 483 483 0.00% General Liability 4,533 4,533 0.00% Property Insurance 6,977 6,977 0.00% Captial Buildings & Structures 250,000 - -100.00% Total Expenditures 359,600 110,928 -69.15% Revenues over (under) Expenditures (221,600) 33,572