CR 2003-165 Rate Increase-Yearly/Quarterly Parking Permits•
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November 6, 2003
Proposed Action
Staff recommends adoption of the following motion: Move to approve an increase in the
yearly and quarterly parking permit rates of 7.7% and 5.3% respectively, with new 2004
rates in the amount of $140 per year and $40 per quarter.
Overview
Current ramp and municipal lot parking permit fees are $2 per day, $15 per month, $38 per
quarter and $130 per year. An increase in the yearly and quarterly parking permit rates would
help to offset increasing maintenance costs relating to the public parking lots and the aging
municipal ramp.
Staff recommends that the yearly parking permit rate be increased to $140 per year,
representing a 7.7% increase over the 2003 rate of $130. In addition, staff recommends that
quarterly parking permit rates be increased to $40 per quarter, representing a 5.3% increase
over the current 2003 rate of $38. Costs for daily /single event and monthly permits would
remain unchanged.
Primary Issues to Consider
• Why increase parking permit rates?
• Past permit rates.
Steven J. Stahmer
Assistant to the City Manager
G ITY OF
HOPK
Rate Increase - Yearly /Quarterly Parking Permits
Council Report 2003 -165
Financial Impact: $ Budgeted: Y/N Source:
Related Documents (CIP, ERP, etc.):
Notes:
Year
Parking Rates (Yearly /Quarterly)
2003
$130/$38
2002
Unchanged
2001
$120/$35
2000
Unchanged
1999
Unchanged
1998
Unchanged
1997
$110/$32
1996
$105/$30
1995
$100/$28
1994
$96/$26.75
1993
Unchanged
1992
$92/$25
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Analysis of Primary Issues
• Why increase parking permit rates?
Inflation and increasing maintenance costs, due largely to the aging municipal parking ramp,
continue to put pressure on the City parking fund. The proposed rate increase is intended to
help keep pace with such expenses and has been recommended by the Finance Department.
The parking fund (Fund 214) is projected to have a 2003 year -end balance of approximately
$285,000. Annual budget gaps in the combined programs of parking operations, enforcement
and the parking ramp are subtracted from the parking fund each year. The fund balance
decreased by approximately $57,000 in 2002. In 2003, the projected decrease in the parking
fund is expected to be much less (potentially under $10,000, depending on maintenance costs
between now and year end), largely due to maintenance operations that have been deferred
until 2004. The current 2004 parking fund budget indicates a projected decrease of $48,000
from Fund 214. If the parking fund were to lose, on average, $30,000 per year, the fund could
be expected to last less than 10 years.
• Past permit rates.
The above annual permit rates reflect an average annual increase of 3.2% over the period
of 1992 and 2003. If the proposed 2004 increase were to be approved, the average annual
increase between 1992 and 2004 would be 3.6 %. In contrast, actual total parking fund
expenditures increased an average of 5.2% per year between 1997 and 2002.
Staff Recommendation
Staff recommends approving an increase in the yearly and quarterly parking permit rates of
7.7% and 5.3% respectively, with new 2004 rates in the amount of $140 per year and $40 per
quarter.