PISMO BEACH COUNCIL AGENDA REPORT
Agenda Item #9.D
SUBJECT/TITLE:
PAID PARKING QUARTERLY UPDATE – THIRD 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 March 31, 2022, 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 3rd Quarter
FY 2022 3rd
Quarter Actuals
FY 2021 3rd
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
Parklet Fee 36,570$ -$ 36,570$ Parking Citations 416,068 115,741 300,327 259.5% Interest Earnings 4,603 31,830 (27,227) -85.5% Rents & Leases 30,591 6,555 24,036 366.7% Parking Kiosks/Meters 1,416,097 558,409 857,688 153.6% Parking Permits 2,950 1,615 1,335 82.7% Miscellaneous Revenue 3,381 196 3,185 1628.2% TOTAL REVENUES 1,910,260$ 714,346$ 1,195,914$ 167.4%
EXPENDITURES
Salaries & Wages 151,031$ 116,690$ 34,341$ 29.4% Benefits 54,574 51,395 3,179 6.2% Purchased Professional Services 3,042 3,095 (53) -1.7% Other Purchased Services 49,155 33,722 15,433 45.8% Operations and Maintenance 64,699 39,267 25,433 64.8% Other Expenses 141,287 106,239 35,047 33.0% TOTAL OPERATING EXPENSES 463,789$ 350,409$ 113,380$ 32.4% NET INCOME / (LOSS) As of
March 31, 2022
1,446,470$ 363,937$ 1,082,534$ 297.5% One-time Expenditures 4,336$ 1,452,036$ (1,447,699)$ -99.7% June 30, 2022 Ending Fund
Balance
4,851,596$ 1,613,072$ 3,238,523$ 200.8% Carryforward One-time projects 3,733,906$ 722,268$ 3,011,638$ 417.0% June 30, 2022 Available Ending
Fund Balance
1,117,689$ 890,805$ 226,885$ 25.5%
9.D-1Council Agenda 4-19-2022
As shown in Table 1, the preliminary estimate of revenues of the Parking Enterprise Fund at the end of the third quarter of FY 2022 (ending March 31, 2022) totaled $1,910,260, which is 167.4% greater parking revenues compared to the third quarter of FY 2021. The increase is attributable to greater parking revenues from:
Parking kiosk and meters this quarter compared to the third quarter of last fiscal year, likely due to increased visitors this year compared to last year when COVID- 19 concerns were more prevalent;
Increased parking citations due to more parking enforcement activities; Rents and leases due to the rent received from the newly-acquired 330 Main Street property; and
The new parklet fee that was implemented in January 2022.
Operating expenses at the end of this same period, which include personnel costs, operating expenses, and contract services, totaled $463,789, which is 32.4% greater than operating expenditures through the third 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 $1,446,470. The projected ending balance of the Parking Enterprise Fund at the end of the third quarter is $4,851,596.
In addition to the ongoing expenses, there are one-time budgeted costs of $3,738,242 for one-time projects. These projects include $2,513,831 for the purchase of property to increase the City’s parking inventory, $750,000 for paving the parking lots, $250,000 for the Downtown Police Substation, $100,854 for the Secure Communication Radio project, $100,000 for the Addie Street Parking and Access Improvements project, $18,732 for additional parking meters, $4,000 for a radio system upgrade and reliability project, and $825 for other projects. After considering these one-time costs, the projected available fund balance is $1,117,689.
Parking Management Implementation
To continue assisting restaurants during the period of pandemic recovery and transition, on February 1, 2022, the City Council determined to allow outdoor parklet operations to remain for dine-in service through September 30, 2022. This includes the six parklets utilized throughout the city, but no longer includes the Temporary Outdoor Dining Area Certifications (TODAC), which are required to be removed by April 30, 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 has been soliciting appropriate firms to identify interest and cost to revise the City’s Parking Management Plan (PMP). Two firms responded with their interest in assisting the City in updating the PMP and after contract and indemnification discussions, only one firm agreed to the City’s terms. A report will be provided to the City Council in the coming months to award that contract and begin that update process.
As the City enters the summer months, parking rates will increase to help accommodate the increased number of vehicles impacting downtown. Staff will continue to monitor and adjust parking rates to encourage parking in less congested areas.
9.D-2Council Agenda 4-19-2022
FISCAL IMPACT:
No fiscal impact is anticipated by receipt of this update.
ALTERNATIVES:
1. Direct staff to return with additional information.
ATTACHMENTS:
None.
Meeting Date: April 19, 2022 Submitted by:
Matthew Downing, Community Development Director
Assistant City Manager Approval:
9.D-3Council Agenda 4-19-2022