PISMO BEACH CITY COUNCIL STAFF REPORT
Agenda Item #12.A
Meeting Date: October 21, 2025
TITLE:
Quarterly Paid Parking Update & Price Street Update
RECOMMENDATION:
No action recommended, for information only
BACKGROUND
This report provides the City Council and public with information on preliminary actual revenues and expenditures for Fiscal Year (FY) 2025 for the quarter ending September 30, 2025, and the current balance of the Parking Enterprise Fund. This report also provides an update on parking initiatives.
FY 2026 Financial Update
Table 1 details the preliminary actual revenues and expenditures for the first quarter of FY 2026 compared to the first quarter of FY 2025.
Table 1: Parking Enterprise Fund Revenues & Expenditures through 1st Quarter FY 2026 1st
Quarter Actuals
FY 2025 1st
Quarter Actuals
Variance FY25
v FY24 ($)
Variance FY25 v
FY24 (%)
July 1st Beginning Fund Balance 1,983,202$ 5,846,885$ (3,863,682)$ -66.1%
REVENUES
Parking Citations 86,459 90,500 (4,041) -4.5%
Interest Earnings 6,230 9,529 (3,298) -34.6%
Parking Kiosks/Meters 992,403 867,873 124,531 14.3% Parking Permits 1,610 1,545 65 4.2%
Miscellaneous Revenue 1,094 (469) 1,563 -333.2%
TOTAL REVENUES 1,087,796$ 968,977$ 118,819$ 12.3%
EXPENDITURES
Salaries & Wages 59,737$ 52,912$ 6,825$ 12.9% Benefits 27,847 20,868 6,979 33.4%
Purchased Professional Services 2,641 1,831 810 44.2% Other Purchased Services 1,691 531 1,160 218.7%
Operations and Maintenance 15,963 42,953 (26,990) -62.8% Other Expenses 108,132 57,636 50,496 87.6%
TOTAL OPERATING EXPENSES 216,011$ 176,730$ 39,281$ 22.2% NET INCOME / (LOSS) As of
September 30, 2024
871,785$ 792,247$ 79,538$ 10.0%
One-time Expenditures 26,711$ 18,233$ 8,478$ 46.5% June 30, 2026 Ending Fund Balance 2,828,276$ 6,620,899$ (3,792,622)$ -57.3% Carryforward One-time projects 626,616$ 255,187$ 371,430$ 145.6% June 30, 2026 Available Ending Fund
Balance
2,201,660$ 6,365,712$ (4,164,052)$ -65.4% *FY 2026 Beginning Fund balance is an estimate only.
FY 2025 Available Ending Fund Balance is an estimate until revenues and expenditures are final and audited.
Council Agenda 10-21-2025 12.A-1
As shown in Table 1, the preliminary estimate of revenues of the Parking Enterprise Fund at the end of the first quarter of FY 2026 (ending September 30, 2025) totaled $1,087,796, which is 12.3% greater parking revenues compared to the same period in FY 2025. This is largely due to full operation of the Dolliver parking lot and additional meters on Price Street.
Operating expenses at the end of this same period, which include personnel costs, operating expenses, and contract services, totaled $216,011, which is 22.2% greater than operating expenditures through the first quarter of FY 2025. The projected net operating income (revenues less operating expenses) through the first quarter of FY 2026 is $871,785. After accounting for one-time expenditures of $26,711, the projected ending balance of the Parking Enterprise Fund at the end of the first quarter is $2,828,276.
In addition to the ongoing expenses, there are one-time budgeted costs of $653,328 for one-time projects. These projects include $300,000 for the Public Safety Facility project to support the parking functions and related public safety support of parking functions; $150,000 for converting 320 and 330 Main Street lots to parking lots, $130,000 for lighting for the Price and Dolliver Street parking lots; $55,817 for the Addie Street Parking and Access Improvements project; $11,965 for additional parking meters; $4,000 for a radio system upgrade and reliability project; and $1,546 for other projects. After considering these one-time costs of $653,328 and assuming the remaining budget of $626,616 is either spent or carried forward to next fiscal year, the projected available fund balance is $2,201,660.
Parking Initiatives
The City of Pismo Beach has continued to manage its paid parking program with the goal of improving availability, supporting business vitality, and generating revenue for reinvestment in community services. In June 2021, the City Council adopted Resolution R-2021-057 establishing Price Street as a paid parking corridor. Over the following two years, staff worked with the Council to refine configuration options, which included a presentation in February 2023 on diagonal parking and a subsequent update in October 2023 outlining possible modifications. Construction began in June 2024, and installation of poles and meters was completed by November 2024. Price Street officially became fully operational as a paid parking program in 2025.
The general paid parking program citywide, excluding Price Street, has continued to generate substantial revenue in 2025. Paid parking revenue for January through September totaled $2,167,532, which represents a 1.7% decrease compared to the same period in 2024. Parking occupancy rates throughout the year averaged 55%, with clear increases during peak summer months. Analysis of parking duration indicates that the average length of stay has been 92 minutes, though this varied by location depending on proximity to high-demand areas. From January through September, a total of 10,435 citations were issued under the program, and the number of permits distributed to residents and businesses has continued to grow. Parking did see an increase of 82 resident parking passes once Price Street was added to the parking permit program.
Council Agenda 10-21-2025 12.A-2
The Price Street Paid Parking Program has been a milestone for the City, as it represents the first expansion of paid parking outside the traditional downtown core. Following the Council resolution in 2021 and subsequent planning efforts, the corridor was reconstructed, and meters were activated in early 2025. Community outreach has been an integral component of this project. Staff met directly with the business community on Price Street to ensure they were informed of the new system and its impacts. The City’s website was updated with detailed information, and fliers were distributed both to existing residential parking pass holders and to all city residents, highlighting the benefits of the $35 resident-only parking pass. Public service videos were produced to explain how to use the parking technology, and City leaders frequently engaged with residents during community events to answer parking-related questions. In addition, extensive signage was installed along Price Street, including medallions at each parking stall, to ensure clarity for users.
Initial data for Price Street shows promising results. Currently it shows an average occupancy rate for Friday through Sunday of 49% with peak demand during weekend hours (Saturday 61% and Sunday 57%). The average length of stay is estimated at 81 minutes. A total of 1,805 citations have been issued to date on Price Street. A business survey was also conducted to capture business owner/manager feedback; results will be shared during the staff presentation. As data collection is completed, staff will provide further updates on how the program is being received and its overall effectiveness.
Staff continues to research and evaluate opportunities to improve customer service and overall satisfaction within the Paid Parking Program, with a particular focus on Price Street. Ongoing efforts include assessing the feasibility of transitioning from the current multi-space meter system to either a single pole-and-meter per space configuration, the installation of centralized pay kiosks, or the introduction of a convenient text-to-park payment option. In addition, staff is exploring the relocation and redesign of space- identifying medallions to enhance visibility and ease of use for visitors. These potential modifications are aimed at improving the user experience, reducing operational issues, and increasing compliance through clearer, more intuitive, and accessible parking options.
The City is also evaluating the possibility of moving to IPS to handle all payments related to parking enforcement. Using the IPS enforcement platform would integrate with existing IPS and Vigilant license plate recognition technology. This system allows seamless management of citations, adjudication, permitting, and reporting, while ensuring compliance with California requirements. Officers in the field are already familiar with the IPS system, allowing for efficient use of handheld tools and reducing the amount of administrative time required. Parking believes this integration will also enhance customer experience by providing more consistent and streamlined services.
FISCAL IMPACT:
There is no fiscal impact from this report, which is for information only.
Council Agenda 10-21-2025 12.A-3
ATTACHMENTS:
None
Prepared by:
Nadia Feeser, Administrative Services Director
Scot Graham, Community Development Director
Jeff Smith, Police Chief
Submitted by: Jeff Smith, Police Chief
City Manager Approval:
Council Agenda 10-21-2025 12.A-4