PISMO BEACH COUNCIL AGENDA REPORT
Agenda Item #9.D
SUBJECT/TITLE:
PAID PARKING QUARTERLY UPDATE – SECOND QUARTER OF FISCAL YEAR 2022
RECOMMENDATION:
Receive report; information only.
BACKGROUND:
This report provides the City Council and public with information on preliminary actual revenues and expenditures for Fiscal Year (FY) 2022 ending December 31, 2021, and the current balance of the Parking Enterprise Fund. This report also provides an update on parking initiatives.
FY 2022 Financial Update
The following table details the preliminary actual revenues and expenditures for FY 2022 compared to FY 2021.
Table 1: Parking Enterprise Fund Revenues & Expenditures through 2nd Quarter
FY 2022 2nd
Quarter Actuals
FY 2021 2nd
Quarter Actuals
Variance
FY22 v FY21
($)
Variance
FY22 v
FY21 (%)
July 1st Beginning Fund Balance 3,409,461$ 2,701,171$ 708,290$ 26.2%
REVENUES
Parking Citations 226,374$ 90,303$ 136,071$ 150.7% Interest Earnings 4,054 6,129 (2,076) -33.9% Rents & Leases 23,793 19,800 3,993 20.2% Parking Kiosks/Meters 1,057,217 953,462 103,755 10.9% Parking Permits 2,635 1,155 1,480 128.1% Miscellaneous Revenue 2,400 (2) 2,402 -116022.2% TOTAL REVENUES 1,316,472$ 1,070,847$ 245,625$ 22.9%
EXPENDITURES
Salaries & Wages 106,364$ 90,834$ 15,531$ 17.1% Benefits 44,230 41,825 2,405 5.8% Purchased Professional Services 978 1,000 (22) -2.2% Other Purchased Services 36,006 31,750 4,256 13.4% Operations and Maintenance 43,035 47,539 (4,504) -9.5% Other Expenses 86,615 80,712 5,903 7.3% TOTAL OPERATING EXPENSES 317,229$ 293,659$ 23,569$ 8.0% NET INCOME / (LOSS) As of
December 31, 2021
999,243$ 777,188$ 222,055$ 28.6% One-time Expenditures 3,600$ 3,479$ 122$ 3.5% June 30, 2022 Ending Fund
Balance
4,405,104$ 3,474,880$ 930,224$ 26.8% Carryforward One-time projects 3,383,788$ 685,203$ 2,698,585$ 393.8% June 30, 2022 Available Ending
Fund Balance
1,021,316$ 2,789,677$ (1,768,361)$ -63.4% Council Agenda 1-18-2022 9.D-1
As shown in Table 1, the preliminary estimate of revenues of the Parking Enterprise Fund at the end of the second quarter of FY 2022 (ending December 31, 2021) totaled $1,316,472, which is 22.9% greater parking revenues compared to the second quarter of FY 2021. The increase is attributable to greater parking revenues from parking kiosk and meters this quarter compared to the second quarter of last year, likely due to increased visitors this year compared to last year with more COVID-19 concerns.
Operating expenses at the end of this same period, which include personnel costs, operating expenses, and contract services, totaled $317,229, which is 8.0% greater than operating expenditures through the second quarter of FY 2021. This increase is largely due to increased parking enforcement personnel costs as more parking activity requires greater staffing levels. The net operating income (revenues less operating expenses) for FY 2022 is $999,243. The projected ending balance of the Parking Enterprise Fund at the end of the second quarter is $4,405,104.
In addition to the ongoing expenses, there are one-time budgeted costs of $3,387,388 for one-time projects. These projects include $2,513,831 for the purchase of property to increase the City’s parking inventory, $750,000 paving the parking lots, $18,732 for additional parking meters, $4,000 for a radio system upgrade and reliability project, and $824 for other projects. After taking into account these one-time costs, the projected available fund balance is $1,021,316.
Parking Management Implementation
To continue assisting restaurants during the pandemic period of recovery transition, outdoor dining operations have been permitted to remain for dine-in service through April 30, 2022. This includes the six approved Temporary Outdoor Dining Area Certifications (TODAC) and the six parklets utilized throughout the city. Staff is currently in discussion with Coastal Commission staff, as well as monitoring other coastal communities, to investigate what a permanent parklet program would need to be both permittable and successful. That information is anticipated to be presented to the Council in February for direction on development of a permanent program. On January 4, 2021, the City Council approved a parklet fee of $580 per month per parking space or equivalent area of right- of-way until a more permanent fee can be established for a permanent parklet program.
This fee is effective beginning January 2022.
As part of the upcoming paving project, parking meters will be installed on Price Street between Pomeroy and San Luis Avenues and the adjacent stub streets. Staff is soliciting appropriate firms to identify interest and cost to revise the City’s Parking Management Plan. During the winter months the city typically sees a decline in the number of visitors to our downtown. Parking rates during the weekdays have been lowered to help support downtown businesses and encourage visitors to the city. During this time, the City has seen an increase in the number of vehicles parking downtown compared to the previous year.
FISCAL IMPACT:
No fiscal impact is anticipated by receipt of this update.
Council Agenda 1-18-2022 9.D-2
ALTERNATIVES:
1.Direct staff to return with additional information.
ATTACHMENTS:
None.
Submitted by: Meeting Date: January 18, 2022
Matthew Downing, Community Development Director
City Manager Approval:
Council Agenda 1-18-2022 9.D-3