CR 11-090 Proposed Parking Permit Fee Increases-4coOctober 4, 2011 Council Report 2011-090
City of Hopkins
PROPOSED PARKING PERMIT FEE INCREASES
Proposed Action
Staff recommends adoption of the following: Move to approve Resolution 2011-052 Parking Permit Rate
Increase.
Approval of the motion will increase parking permit fees as follows — daily fee — no change; monthly fee — no
change; quarterly fee from $55 to $60; and the annual fee from $185 to $200 and no change to the Electric Car
Permit fee of $280 for an annual permit or $77 for a quarterly permit, effective January 1, 2012.
Overview
Current ramp and municipal lot parking permit fees are $3 per day, $25 per month, $55 per quarter and $185 per
year. 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 $90,000 in 2011 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 $82,000 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 and capital needs of the ramps and lots.
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 over 20 years old, we will need to provide the
• resources to adequately maintain them. Current fund balance in the parking fund as of September 30, 2011 is
$190,034 which is down from a high of $358,150 in 2001. The fund balance has declined every year since 2001.
We have no high maintenance or capital items in the 2012 budget which with the rate increase is balanced.
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 1 s`,
2012.
Supporting Information
• Resolution 2011-052
• 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 2011-052
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 $200 Annual $280 (no change)
Quarterly $ 60 Quarterly $ 77 (no change)
Monthly $ 25 (no change) Monthly not available
Daily $ 3 (no change) Daily not available
0 EFFECTIVE DATE: The provisions of this resolution shall take effect January 1, 2012.
Adopted by the City Council of the City of Hopkins, Minnesota, this 4th day of October 2011.
ATTEST:
Kristine A. Luedke, City Clerk
0
Eugene J. Maxwell, Mayor
•
DEPARTMENT - PARKING
CODE
REVENUE
360 Court Fines
370 Interest Earned
381 Leased Parking
TOTAL
FUND 214
REVENUE AND EXPENDITURE DETAIL SUMMARY
8/19/2011
Actual
Actual
Actual
Budget
Budget
Percent
2009
2010
2011
2011
2012
Change
$ 18,932
$ 19,775
$ 11,525
$ 20,000
$ 20,000
22,708
4,144
1,721
436
4,000
1,500
-62.50%
39,374
53,199
65,569
58,000
67,000
15.52%
62,450
74,695
77,529
82,000
88,500
7.93%
EXPENDITURES
Salaries and Employee Benefits
500
Regular Employees
36,618
36,152
22,708
39,164
39,533
0.94%
503
Part -Time Employees
11
22
-
500
-
-100.00%
525
P.E.R.A. Contribution
2,471
2,534
1,544
2,868
2,866
-0.07%
526
F.I.C.A. Contribution
2,765
2,738
1,613
3,035
3,024
-0.35%
527
Employee Benefit Plan
478
436
298
250
100
-60.00%
531
Workers' Compensation Insurance
237
211
108
271
271
535
Paid Leave Accrual
241
242
165
247
249
0.81%
TOTAL
42,821
42,335
26,436
46,335
46,043
-0.63%
Material, Supplies and Services
540
Office Supplies
-
-
-
-
-
541
Uniforms/Clothing
493
268
104
500
500
542
General Supplies
2,963
333
184
1,250
1,250
543
Equipment & Vehicle Parts
670
779
237
750
750
549
Motor Fuels and Lubricants
1,848
2,403
1,668
2,250
2,250
565
Maint. & Repair- Structures
-
284
1,240
3,000
3,000
563
Maint. & Repair- Equip. & Vehicles
98
61
50
800
800
568
Printing
390
710
-
1,000
1,000
580
Audit
150
150
150
150
150
583
Other Contractual Services
2,712
2,750
1,935
3,550
3,550
584
Telephone - Local
924
1,006
486
1,050
1,050
587
Radio
419
415
223
480
480
604
Electricity
11,722
11,342
6,477
8,000
8,000
621
Space Allocation
5,767
6,291
3,931
5,897
5,688
-3.54%
622
Administrative Fee
3,079
3,276
2,185
3,279
2,961
-9.70%
623
Garage - Labor & Burden
666
608
800
820
800
-2.44%
624
Equipment Allocation
1,409
1,426
810
1,215
1,355
11.52%
651
Fleet Liability
378
295
225
338
348
2.96%
652
General Liability
4,466
3,051
2,633
3,950
4,108
4.00%
653
Property Insurance
3,572
3,407
2,453
3,679
4,047
10.00%
TOTAL
41,726
38,853
25,792
41,958
42,087
0.31%
Capital Outlay
720
Other Improvements
-
14,450
-
30.000
-
-100.00%
EXPENDITURE TOTAL
$ 84,548
$ 95,637
$ 52,228
$ 118,293
$ 88,130
-25.50%
NET SOURCE (USE) OF FUND
is
BALANCE
(22,097)
(20,942)
25,301
(36,293)
370
-101.02%
0
CITY OF HOPKINS, MN
ANALYSIS OF PROPOSED PARKING PERMIT FEE INCREASES
Percent Increase
Year
Daily
Monthly
Quarterly
Annual
Daily
Mnthly
Qtly
Annual
2012
$ 3.00
$ 25.00
$ 60.00
$200.00
0.00%
0.00%
9.09%
8.11%
+ 5.00/qtr
+ 15.00/yr
= $1.66/mo
= $1.25/ mo
2011
$ 3.00
$ 25.00
$ 55.00
$185.00
0.00%
25.00%
17.02%
15.63%
2009
$ 3.00
$ 20.00
$ 47.00
$160.00
0.00%
17.65%
9.30%
6.67%
2005
$ 3.00
$ 17.00
$ 43.00
$150.00
50.00%
13.33%
7.50%
7.14%
2004
$ 2.00
$ 15.00
$ 40.00
$140.00
2003
$ 2.00
$ 15.00
$ 38.00
$130.00
2001
$ 2.00
$ 15.00
$ 35.00
$120.00
1997
$ 2.00
$ 15.00
$ 32.00
$110.00
1996
$ 1.50
$ 14.00
$ 30.00
$105.00
1995
$ 1.00
$ 13.00
$ 28.00
$100.00
1994
$ 1.00
$ 12.00
$ 26.75
$ 96.00
1992
$ 1.00
$ 11.50
$ 25.50
$ 92.00
0