PISMO BEACH CITY COUNCIL STAF REPOR
Agenda Item #9.C
Meetin Date: pril 21, 2026
TITLE:
Quarterly Paid Parking Update
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) 2026 for the quarter ending March 31, 2026, 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 third quarter of FY 2026 compared to the second quarter of FY 2025.
Table 1: Parking Enterprise Fund Revenues & Expenditures through 3rd Quarter FY 2026 3rd
Quarter Actuals
FY 2025 3rd
Quarter Actuals
Variance FY26
v FY25 ($)
ariance FY26
v FY25 (%)
July 1st Beginning Fund Balance 2,349,888$ 3,713,836$ (1,363,948)$ -36.7%
REVENUES
Parking Citations 352,544 419,906 (67,363) -16.0% Interest Earnings 73,478 96,587 (23,109) -23.9% Parking Kiosks/Meters 2,277,953 1,847,152 430,800 23.3% Parking Permits 5,705 2,190 3,515 160.5% Miscellaneous Revenue 6,473 (76,321) 82,793 -108.5% TOTAL REVENUES 2,716,152$ 2,289,515$ 426,637$ 18.6%
EXPENDITURES
Salaries & Wages 135,330$ 165,029$ (29,700)$ -18.0% Benefits 54,475 56,325 (1,850) -3.3%
Purchased Professional Services 7,385 4,324 3,061 70.8% Other Purchased Services 9,651 8,660 991 11.4% Operations and Maintenance 53,547 220,870 (167,323) -75.8% Other Expenses 412,571 233,118 179,453 77.0%
Capital Outlay 13,305 - 13,305
Debt Service - 600,000 (600,000) -100.0%
TOTAL OPERATING EXPENSES 686,263$ 1,288,326$ (602,062)$ -46.7% NET INCOME / (LOSS) As of
March 31, 2026
2,029,889$ 1,001,190$ 1,028,699$ 102.7% One-time Expenditures 323,294$ 3,547,795$ (3,224,501)$ -90.9% June 30, 2026 Ending Fund
Balance
4,056,483$ 1,167,231$ 2,889,252$ 247.5% Carryforward One-time projects 333,343$ 350,958$ (17,615)$ -5.0% June 30, 2026 Available Ending
Fund Balance*
3,723,140$ 816,273$ 2,906,867$ 356.1% *FY 2026 Available Ending Fund Balance is an estimate assuming only 3 quarters of revenues and expenditures Council Agenda 4-21-2026 9.C-1
As shown in Table 1, the preliminary estimate of revenues of the Parking Enterprise Fund at the end of the third quarter of FY 2026 (ending March 31, 2026) totaled $2,716,152, which is 18.6% greater parking revenues compared to the same period in FY 2025. This is largely due to full operation of the Dolliver Street parking lot, additional meters on Price Street, and hourly parking rate adjustments.
Operating expenses at the end of this same period, which include personnel costs, operating expenses, and contract services, totaled $686,263, which is 46.7% less than operating expenditures through the third quarter of FY 2025. The primary reason for this decrease is the $600,000 cost to pay for debt service on the Public Safety Facility that occurred in the third quarter last fiscal year, but will now occur in the fourth quarter of FY 2026. The projected net operating income (revenues less operating expenses) through the third quarter of FY 2026 is $2,029,889. After accounting for one-time expenditures of $ $323,294, the projected ending balance of the Parking Enterprise Fund at the end of the third quarter is $4,056,483.
In addition to the ongoing expenses, there are one-time budgeted costs of $656,637 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 once the Facility is operational and the Main Street sites are no longer needed to house personnel, $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; $4,855 for other projects; and $4,000 for a radio system upgrade and reliability project. After considering these one-time costs of $656,637 and assuming the remaining budget of $333,343 is either spent or carried forward to next fiscal year, the projected available fund balance is $3,723,140.
Parking Initiatives
The City continues to finalize an agreement with IPS for parking enforcement-related services and anticipates bringing it to the City Council for approval in May. IPS provides integrated parking management solutions, including citation processing, permitting, payment collection, and compliance with California requirements. The City is evaluating transitioning all parking enforcement payments to IPS, which would integrate with existing IPS and Vigilant license plate recognition technology to streamline citations, payments, permitting, and request for dismissal reporting. Officers are already familiar with the system, supporting efficient field operations and reducing administrative workload. This integration is expected to improve the customer experience through more consistent and user-friendly parking services.
Staff continues to explore ways to make improvements to the Paid Parking Program, particularly along Price Street. The City has ordered centralized paid parking kiosks, and staff is currently coordinating delivery and installation locations. Staff will return to the City Council with a plan for kiosk locations and proposed modifications to center medians and parking signage. These improvements are designed to ensure safety, accessibility, and Council Agenda 4-21-2026 9.C-2
visibility while minimizing impacts to streets and sidewalks, with a goal of implementation prior to the summer season. The upgrades are expected to improve customer experience, reduce operational challenges, and increase compliance through clearer and more convenient parking options.
FISCAL IMPACT:
There is no fiscal impact from this report, which is for information only.
ATTACHMENTS:
None
Prepared by:
Marc Arroyo, Finance Supervisor
Nadia Feeser, Administrative Services Director
Scot Graham, Community Development Director
Jeff Smith, Police Chief
Submitted by: Scot Graham, Community Development Director City Manager Approval:
Council Agenda 4-21-2026 9.C-3