CR 10-129 Proposed Parking Permit Fee IncreasesDecember 7, 2010 M Council Report 2010-129
• PROPOSED PARKING PERMIT FEE INCREASES
Proposed Action
Staff recommends adoption of the following: Move to approve Resolution 2010-077 Parking Permit Rate
Increase.
•
Approval of the motion will increase parking permit fees as follows — daily fee — no change; monthly fee from
$20 to $25; quarterly fee from $47 to $55; and the annual fee from $160 to $185 and no change to the Electric Car
Permit fee of $280 for an annual permit or $77 for a quarterly permit, effective January 1, 2011.
Overview
Current ramp and municipal lot parking permit fees are $3 per day, $20 per month, $47 per quarter and $160 per
year and have been in place since 2009. 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. Expenses
increased from $114,600 in 1997 to approximately $148,000 in 2004 and have declined to around $106,759 in
2010 primarily due to a reduction in parking enforcement officers from 2 to 1. While revenues have increased
from $49,007 in 1997 to approximatley $100,000 in 2004 they too have declined to approximately $85,000 as our
court fines revenues have decreased. So, while we have been working to keep expenditures down the revenues
have decreased and we've not made progress at getting revenues sufficient to support the operations.
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 will be 20 years old, we will need to provide the resources to
adequately maintain them. Current fund balance in the parking fund as of November 30, 2010 is $200,553 which
is down from $250,339 as of November 2008. The only capital improvement planned for 2011 is $30,000 for
desk resealing which will be paid from the Parking Fund. Despite the proposed rate increase we project a 2011
budget deficit of $36,293.
Primary Issues to Consider
• Why is the rate increase recommended?
• Past permit rates
• What are the proposed capital improvement 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,
2011.
Supporting Information
• Resolution 2010-077
• Summary budget information
• Analysis of past rate increases
Christine M. Harkess, CPA, CGFM
Finance Director
Financial Impact: approximately $3,000 Budgeted: Y/N X N
Source: Parking Fund
Related Documents (CIP, ERP, etc.): CIP Notes:
CITY OF HOPKINS
HENNEPIN COUNTY, MINNESOTA
RESOLUTION 2010-077
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
$185
Annual
$280 (no change)
Quarterly
$ 55
Quarterly
$ 77 (no change)
Monthly
$ 25
Monthly
not available
Daily
$ 3 (no change)
Daily
not available
. EFFECTIVE DATE: The provisions of this resolution shall take effect January 1, 2011.
Adopted by the City Council of the City of Hopkins, Minnesota, this 7th day of December 2010
ATTEST:
Terry Obermaier, City Clerk
0
Eugene J. Maxwell, Mayor
DEPARTMENT - PARKING
•
CODE
REVENUE
360 Court Fines
370 Interest Earned
381 Leased Parking
TOTAL
EXPENDITURES
Salaries and Employee Benefits
500 Regular Employees
503 Part -Time Employees
525 P.E.R.A. Contribution
526 F.I.C.A. Contribution
527 Employee Benefit Plan
531 Workers' Compensation Insurance
535 Paid Leave Accrual
TOTAL
Capital Outlay
720 Other Improvements
EXPENDITURE TOTAL
NET SOURCE (USE) OF FUND
•
BALANCE
FUND 214
REVENUE AND EXPENDITURE DETAIL SUMMARY
Material, Supplies and Services
540
Office Supplies
541
Uniforms/Clothing
542
General Supplies
•543
549
Equipment & Vehicle Parts
Motor Fuels and Lubricants
565
Maint. & Repair- Structures
563
Maint. & Repair- Equip. & Vehicles
568
Printing
580
Audit
583
Other Contractual Services
584
Telephone - Local
587
Radio
604
Electricity
621
Space Allocation
622
Administrative Fee
623
Garage - Labor & Burden
624
Equipment Allocation
651
Fleet Liability
652
General Liability
653
Property Insurance
62,450
TOTAL
Capital Outlay
720 Other Improvements
EXPENDITURE TOTAL
NET SOURCE (USE) OF FUND
•
BALANCE
FUND 214
REVENUE AND EXPENDITURE DETAIL SUMMARY
251
6/30/10
Actual
Actual
Actual
Budget
Budget
Percent
2008
2009
2010
2010
2011
Change
$ 13,983
$ 18,932
$ 8,380
$ 20,000
$ 20,000
9,056
4,144
1,289
7,500
4,000
-46.67%
54,851
39,374
51,602
58,000
58,000
77,890
62,450
61,270
85,500
82,000
-4.09%
35,053
36,618
16,729
39,842
39,164
-1.70%
105
11
-
500
500
2,276
2,471
1,171
2,726
2,868
5.21%
2,663
2,765
1,266
3,087
3,035
-1.68%
775
478
215
250
250
267
237
134
322
271
-15.84%
216
241
121
242
247
2.07%
41,355
42,821
19,637
46,969
46,335
-1.35%
310
493
58
500
500
556
2,963
-
1,250
1,250
226
670
201
750
750
2,812
1,848
1,189
2,250
2,250
5,035
-
284
3,000
3,000
335
98
24
800
800
939
390
-
1,000
1,000
150
150
150
150
150
5,148
2,712
1,334
4,500
3,550
-21.11%
920
924
493
1,050
1,050
232
419
192
480
480
11,362
11,722
4,466
10,500
8,000
-23.81%
5,327
5,767
3,145
6,291
5,897
-6.26%
3,154
3,079
1,639
3,276
3,279
0.09%
805
666
228
820
820
1,268
1,409
713
1,426
1,215
-14.80%
422
378
211
422
338
-19.91%
4,814
4,466
2,323
4,646
3,950
-14.98%
3,413
3,572
1,839
3,679
3,679
47,229
41,726
18,488
46,790
41,958
-10.33%
1,650
-
-
13,000
30,000
130.77%
$ 90,233
$ 84,548
$ 38,124
$ 106,759
10.80%
$ 118,293
(12,343)
(22,097)
23,146
(21,259)
(36,293)
70.72%
251
0
0.00%
25.00%
17.02%
CITY OF HOPKINS, MN
0.00%
17.65%
ANALYSIS OF PROPOSED
PARKING
PERMIT FEE INCREASES
13.33%
Years
7.14%
Since
Incr
Year
Daily
Monthly
Quarterly
Annual
2
2011
$3.00
$
25.00
$
55.00
$185.00
4
2009
$ 3.00
$
20.00
$
47.00
$160.00
1
2005
$ 3.00
$
17.00
$
43.00
$150.00
1
2004
$ 2.00
$
15.00
$
40.00
$140.00
2
2003
$ 2.00
$
15.00
$
38.00
$130.00
4
2001
$ 2.00
$
15.00
$
35.00
$120.00
1
1997
$ 2.00
$
15.00
$
32.00
$110.00
1
1996
$1.50
$
14.00
$
30.00
$105.00
1
1995
$1.00
$
13.00
$
28.00
$100.00
2
1994
$1.00
$
12.00
$
26.75
$ 96.00
1992
$1.00
$
11.50
$
25.50
$ 92.00
0
0.00%
25.00%
17.02%
15.63%
0.00%
17.65%
9.30%
6.67%
50.00%
13.33%
7.50%
7.14%