Meter rates higher, longer, stronger (financially)

by Andrea Ruse

On-street parking meter rates will increase from 75 cents to $1.25 per hour as a result of action taken by the City Council Tuesday night. The council also acted to extend meter enforcement hours by two hours. Morning enforcement will be pushed back from 9 a.m. to 8 a.m. Evening enforcement will be extended from 8 p.m. to 9 p.m.

The rate increase will be effective June 1. The longer enforcement hours will be implemented sooner, as soon as staff is able to change signage.

The changes are part of a Downtown Parking Management Plan that was adopted in 2008 in an attempt to pump money into the city’s parking fund, which this year is projected to produce $1,711,832 in revenue.

“We are in a problematic situation with the parking fund,” city finance director Bruce Moe said. “We are not meeting our reserve requirements. We can’t do necessary projects or maintenance on the lots. We are bleeding.”

Mike Zislis, the owner of Shade Hotel and downtown restaurants Rock N’ Fish and Mucho’s, challenged how the city framed its parking-related financial problems.

“There is no parking deficit,” Zislis said. “It’s how you allocate the money. Don’t say that downtown isn’t paying their fair share, because we are paying more than our fair share.”

Staff projected a $361,141 gap between projected revenue and costs, based on $768,282 for operations, $860,000 for debt service on the Metlox parking structure and $416,000 for capital improvements.

Zislis argued that the city needs to better control costs instead of increasing revenues at the expense of businesses.

The parking rate increase is also meant to alleviate traffic congestion caused by on-street parking turnover and to direct more parking to city lots, which will remain at 75 cents per hour.

Most business owners testifying before the council Tuesday night supported tacking on extra enforcement hours. But the majority did not support increasing the street meter rates.

“I don’t support doubling the rates on the streets compared to the lots,” said Ron Coach, Chairman of the Downtown Manhattan Professional Association’s BID. “I’d rather have hours extended than have meter rates increased.”

Last January the city increased downtown parking rates from $1 to $1.25 per hour, but in May slashed the rates to 75 cents in an attempt to help businesses struggling with the economic recession.

“The city is hurting too,” Councilman Richard Montgomery said. “We can’t do this for free…$1.25 is a good compromise. But it will never go below $1 again. Not a chance. The point is to get cars off the street and to the lower level…. [That] has failed so far.”

Staff had proposed increasing the street meters $1.50 an hour.

According to city traffic engineer Erik Zandvliet, quarter increase at meters citywide generates an additional $275,000 annually.

The meters in North Manhattan will remain at 75 cents per hour.

Zandliet said new downtown rates are comparable to the $1 per hour charged in Redondo Beach and $1.25 per hour in Hermosa Beach.

The council also approved the installation of two coin machines. The city is currently testing parking meters that accept payments by credit card and cell phone.

The coin machines are intended to relieve business owners from being asked for meter change.

“We have an overriding need for coin machines for visitors in town,” said Maureen McBride, owner of Tabula Rasa Essentials. “I am not a bank.”

Councilmember Portia Cohen said that the coin machines will make parking more cost-effective for the city in a way that is not punitive for downtown visitors.

“We need a lot of money,” Cohen said. “I don’t want to make it by ticketing people. If installing coin machines means more people can have money in their meters, then we should do it. I don’t want to see customers get a $45 ticket because they didn’t have an extra quarter.”

Regular and illuminated signs directing traffic to parking lots will be installed at a cost of $24,000. 

“When visitors come, they don’t know where to park,” Montgomery said. “We need something to show people where to park. $24,000 for us to put signs up is well worth it.”

Several other parking changes were also approved. Thirty-one parking spaces for downtown employees will be added to two lots on Highland, north and south of Manhattan Beach Blvd., during normal business hours. Nine new metered spaces will also be added at various points downtown.

City Council members said that their goal is not to generate more parking citations.

“I’d rather make money by extending hours and charging a little more,” Cohen said. “But I do not support enhanced enforcement.” ER

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