PISMO BEACH CITY COUNCIL STAFF REPORT
Agenda Item #9.F
Meeting Date: January 16, 2024
TITLE:
Paid Parking Quarterly Update—Second Quarter of Fiscal Year 2024 RECOMMENDATION:
No action recommended; for information only.
DISCUSSION:
This report provides the City Council and public with information on preliminary actual revenues and expenditures for Fiscal Year (FY) 2024 for the quarter ending December 31, 2023, and the current balance of the Parking Enterprise Fund. This report also provides an update on parking initiatives.
FY 2024 Financial Update
The following table details the preliminary actual revenues and expenditures for the second quarter of FY 2024 compared to the second quarter of FY 2023.
Table 1: Parking Enterprise Fund Revenues & Expenditures through 2nd Quarter FY 2024 2nd
Quarter Actuals
FY 2023 2nd
Quarter Actuals
Variance FY24
v FY23 ($)
Variance FY24 v
FY23 (%)
July 1st Beginning Fund Balance 5,846,885$ 5,409,268$ 437,617$ 8.1%
REVENUES
423 Parklet Fee 39,018$ (39,018)$ -100.0%
430 Parking Citations 293,426 209,872 83,554 39.8% 440 Interest Earnings 58,975 8,846 50,130 566.7%
441 Rents & Leases - 3,399 (3,399) -100.0%
469 Parking Kiosks/Meters 1,302,479 977,461 325,017 33.3% 46916 Parking Permits 2,606 4,305 (1,699) -39.5%
480 Miscellaneous Revenue 7,080 3,161 3,919 124.0%
TOTAL REVENUES 1,664,566$ 1,246,061$ 418,505$ 33.6%
EXPENDITURES
511 Salaries & Wages 99,836$ 92,071$ 7,765$ 8.4% 512 Benefits 28,107 29,287 (1,181) -4.0%
521 Purchased Professional Services 3,206 2,804 402 14.3% 522 Other Purchased Services 40,132 24,542 15,590 63.5% 523 Operations and Maintenance 42,589 57,637 (15,048) -26.1% 524 Other Expenses 109,204 88,404 20,800 23.5%
TOTAL OPERATING EXPENSES 323,073$ 294,745$ 28,328$ 9.6% NET INCOME / (LOSS) As of June
30, 2023
1,341,493$ 951,317$ 390,176$ 41.0%
One-time Expenditures 1,447,751$ 14,313$ 1,433,438$ 10014.9% June 30, 2024 Ending Fund
Balance
5,740,626$ 6,346,271$ (605,645)$ -9.5%
Carryforward One-time projects -$ 4,056,597$ (4,056,597)$ -100.0% June 30, 2024 Available Ending
Fund Balance
5,740,626$ 2,289,674$ 3,450,952$ 150.7%
FY 2024 Available E nding Fund Balance is an estimate assuming only 2 quarters of revenues and expenditures Council Agenda 1-16-2024 9.F-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 2024 (ending December 31, 2023) totaled $1,664,566, which is 33.6% greater parking revenue compared to the same period in FY 2023. This increase is largely due to increases in parking rates and occupancy, parking citations, and interest earnings.
Operating expenses at the end of this same period, which include personnel costs, operating expenses, and contract services, totaled $323,073, which is 9.6% greater than operating expenditures through the second quarter of FY 2023. The projected net operating income (revenues less operating expenses) through the second quarter of FY 2024 is $1,341,493. After accounting for one-time expenditures of $1,447,751, the projected ending balance of the Parking Enterprise Fund at the end of the second quarter is $5,740,626.
In addition to the ongoing expenses, there are one-time budgeted costs of $6,818,931.01 for one-time projects. These projects include $4,000,000 to support the parking functions and related public safety support of parking functions associated with and located within the public safety facility project; $1,305,496 for the purchase of parking inventory; $1,159,056 for the Police Department Parking Division Substation; $260,884 for additional parking meters; $88,398 for the Addie Street Parking and Access Improvements project; $4,000 for a radio system upgrade and reliability project; and $1,097 for other projects.
Parking Management Implementation
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. The City Council authorized the purchase of the parking meters on January 17, 2023. Associated with this work, on February 21, 2023, the City Council directed staff to temporarily restripe Price Street with a “double-loaded” center diagonal parking for the summer. This has allowed the community to test the reconfiguration for the season and allow continued business outreach to determine appropriateness for permanent installation. Since the test reconfiguration has been implemented, staff has held four meetings with businesses on Price Street to understand how the configuration is functioning. On October 3, 2023, the City Council directed staff to implement the “hybrid option” for Price Street, with alternating center diagonal parking and center parallel parking on the “off blocks.” Staff will continue working to implement this direction prior to the 2024 summer season.
As the City concludes the summer months, parking rates will be adjusted in response to the decreased number of vehicles impacting downtown. Staff will continue to monitor and adjust parking rates to encourage parking in less congested areas. The supply of parking downtown has been positively impacted by the successful lease negotiation of the portion of the Main Street lot known as the Wolosz Lot, returning 76 spaces to the downtown parking supply. It is anticipated that beyond the positive impact to reestablishing the additional inventory, parking revenues for FY 2024 should reflect a full year of net revenues for the Main Street lot.
Council Agenda 1-16-2024 9.F-2
FISCAL IMPACT:
There is no fiscal impact associated with staff’s recommendation.
Submitted by: Ian Livingston, Acting Community Development Director City Manager Approval:
Council Agenda 1-16-2024 9.F-3