Translate[Archived] Question #10: If we aligned our parking garages hourly rate to the market, what would it be per hour? And how much additional revenue would that bring in?
Question:
If we aligned our parking garages hourly rate to the market, what would it be per hour? And how much additional revenue would that bring in? (Councilman Chapman)
Response:
Currently, City parking garages located at Market Square, Courthouse, Thompson’s Alley, and Union Street charge $2.50 per hour with a daily maximum of $10.00 and evening/weekend maximum of $5.00. Other garages in Old Town, detailed in Attachment I, have rates that range between $5.00 and $9.00 per hour with daily maximums between $7.00 and $25.00.
FY 2018 annual revenue and utilization for parking garage daily use is detailed below:
Using FY 2018 utilization and assuming that 15% of the daily parking utilization is for one hour with no change to the daily or evening/weekend maximum, increasing the hourly rate from $2.50 to $5.00 per hour would result in an additional $80,2734 in revenue per year ($89,193 offset by an anticipated 10% loss of utilization due to the rate increase) and will more closely align the hourly rate charged at City-owned parking facilities with the average hourly rate of privately owned parking garages in Old Town ($6.00/hour). However, raising the hourly parking rate at City-owned parking facilities conflicts with the 2015 Old Town Area Parking Study (OTAPS) Work Group and Transportation & Environmental Services recommendations that the rates at City-owned parking facilities should be adjusted to be less than the metered on-street parking rates which is currently $1.75 per hour in Old Town.
Raising the hourly rates at City-owned parking garages will result in decreased utilization of City-owned parking garages and increased utilization of on-street parking. Currently, meters are less expensive at a rate of $1.75 per hour for a maximum of two to three hours (depending on location) from 8 a.m. to 9 p.m. and free at all other times. This is compared to the City-owned garage rate of $2.50 per hour, for up to three hours, with a $10.00 daily maximum and an evening/weekend rate maximum of $5.00. Given the difference in rates, most short-term parkers already utilize on-street parking compared to garages. By increasing the City-owned garage hourly rate, it could further increase on-street parking pressures. Transportation & Environmental Services reports that on-street spaces are busiest around lunchtime and dinnertime hours.
Given the new City parking meters capability to be programmed to have variable rates by time of day and day of week at City meters, staff plans to discuss options with the community in the months ahead. Part of that review and analysis will include considerations of changes in City parking garage/lot hourly rates.
ATTACHMENTS:
Attachment I- Non-City Parking Garages in Old Town