In an e-mail to the Planet Thursday, Budget Manager Tracy Vessely shared city staff calculations showing that a 25-cent hourly parking meter fee increase would yield $1 million per year in new funds. These funds are earmarked for programs for chronically homeless persons, in conjunction with the mayor’s “Public Commons” initiative.
It will take further council action to formalize the fee increase and also take council action to specify where the new funds are to be spent. There are no fee hikes projected for non-metered city parking lots.
There are a total of 3,110 meter spaces, plus or minus about 50 at any given moment due to construction.
In fiscal year 2006 (July 1, 2005–June 30, 2006), the city generated $3 million in parking meter revenue with rates set at $.75 per hour, averaging $965 per meter per year.
Effective March 2007, rates increased to $1 per hour. For the first four months of the current fiscal year, meter revenue was $3.45 million.
Current projected FY 2008 revenue, based on a full year of $1 per hour, is $4 million, averaging $1,286 per meter per year.
Based on the current inventory of spaces and hours of operation, each additional 25 cents generates about $1 million per year.
An increase of 25 cents per hour to $1.25 per hour of parking will result in total annual meter revenue of about $5 million, averaging $1,608 per meter per year. That yields $1 million in new revenue for the program.
Vessely further noted that costs for conversion to the higher rates would cost $12,500 for new decals and $14,000 for staff time.