City Council Memorandum
TO: HONORABLE MAYO R AND CITY COUNCIL DATE: APRIL 18, 2023
FROM: PUBLIC WORKS DEPARTMENT WARD: 1
SUBJECT: DOWNTOWN PARKING RATES AND HOUR SCHEDULE UPDATE
ISSUE:
Receive an update on the Public Parking Program and adopt a Resolution to amend the Parking Rate and Hour Schedule to include new parking programs, rates, and hours of operation.
RECOMMENDATIONS:
That the City Council:
1. Receive and file an update on the Public Parking Program;
2. Adopt a Resolution to amend and reinstate the Parking Rate and Hour Schedule to include new parking programs, rates and hours of operation and amend Resolution 21322;
3. Direct staff to return to City Council with an amended service contract with Parking Concepts Inc., resulting from the implem entation of the new parking programs and expanded hours of operation;
4. Direct staff to return to City Council wi th an amended service contract with TIBA Parking Systems resulting from the implementation of the Parking Access and Revenue Control Systems for Garages 1 and 2; and
5. Direct staff to return to the Transportation Board and Mobility and Infrastructure Committee with semi-annual parking updates.
COMMITTEE RECOMMENDATION:
The Land Use, Sustainability, and Resilience Co mmittee met on March 13, 2023, with Chair Plascencia and Member Edwards present, and Vice Chair Fierro recusing himself from the item, discussion and respective vote, to consider the Public Parking Program update and recommended Parking Rates and Hour Schedule. Following discussion, Chair Plascencia and Member Edwards voted unanimously to receive and file the Public Parking Program update and to recommend that City Council approve the amended downtown Parking Rates and Hour Schedule.
Recommended Parking Rates and Hour SchedulePage 2
BACKGROUND:
On July 19, 2022, following discussion, the City Council reinstated the previous downtown parking program (rates prior to July 1, 2022) and asked staff to return to the City Council within three to seven months with an alternative parking program, conduct two community engagement meetings, and allocate American Rescue Plan Act (ARPA) funds to offset parking garage costs until the City receives proceeds from the sale of parking Ga rages 1 and 2. The motion carried with four aye votes, two no votes, and one Councilmember absent.
On September 6, 2022, the City Council received the proposed community engagement timeframe (Attachment 1) for the amended parking rates and hours schedule.
DISCUSSION:
The Public Works Department, Public Parki ng Services division held two townhall style stakeholder meetings, the first on October 20, 2022, and the second on January 19, 2023, to listen to the downtown community’s concerns, and to consider and incorporate their feedback into the development of the amended parking rates and hours schedule. Both community meetings featured interactive workshops during which stakeholders were able to provide their input through handwritten notes and verbal feedback, group sessions were conducted using the Balancing Act software, and a Survey Monkey short-form survey was conducted.
The City received 1,861 online simulation submissions to the Balancing Act tool, with additional submittals received during the interactive meet ing. Deferred maintenanc e was identified as a priority for investment. Stakeholders have, in general, chosen to reduce the parking fund’s reliance on revenues from meters while preferring to increase rates in the parking garages. Many comments have suggested that parking should be free, while other commenters have suggested that the Parking Fund should be entirely or partially subsidized through general funds / sales tax.
Some respondents wanted to know how other cities are providing free parking in their downtown areas. Staff contacted the cities of Temecula, Redlands, and Claremont and determined that all three each have one garage only. The garages were either funded through transit agency grants or tied to their civic centers. Some of t he garages have retail spaces and the Common Area Maintenance fees goes into the General Fund to maintain the garages. In addition, the garages have highly restrictive time-limited spaces and parked vehicles are actively being enforced.
Other stakeholders voiced concern over the depletion of parking inventory in the downtown core area with respect to the surplus of Garages 1 and 2. Currently, the City is in negotiations over Garages 1 and 2. The City is seeking to oper ate both garages for public use for as long as feasible; in addition, the City is actively looking into other potential and viable parking options in the downtown core area to address the long-term inventory concerns.
The Survey Monkey short-form survey collected 682 responses. The survey was developed to drill down on spending priorities identified through the Balancing Act budget exercise. 99% of all survey responses were submitted during the th ree weeks leading up to the second community meeting on January 19, 2023. 54.4% of the respondents wanted the parking fund to pay for Police Foot Patrol/Security, while 29.2% wanted deferred maintenance addressed and 16.4% asked for Recommended Parking Rates and Hour SchedulePage 3
facility upgrades. This was clearly reiterated by stakeholders at the community meetings, at the Riverside Downtown Partnership Security Meetings, and by City employees. This is a top priority for the downtown parking operation as it impacts the quality of life for those working, conducting business in, and visiting downtown.
A more inclusive, accessible, flexible, and affordable downtown parking program was developed as a result of the online Balancing Act budget exercise, Survey Monkey short-form survey, community engagement meetings, meetings with the Greater Riverside Chamber of Commerce and the Riverside Downtown Partnership, and one-on-one meetings with elected officials. The Public Parking Services division has the responsibility to offer accessible, affordable, and available parking to all sectors of the public, which will encourage downtown business activity, invite more visitors and welcome special events. In addition, the parking facilities must be safe, clean, and well-maintained to add to the quality of life of the public and to deliver a positive customer experience.
The proposed parking rates and hour schedule (Attachment 2) has several key aspects highlighted below that will financially support these requirements.
1. The City will retain completely free on-st reet and surface lot parking on weekends (Saturdays & Sundays) and holidays while charging in garages.
2. The “Parking Your Way” program offers free downtown parking with 60-minutes in the Garages and Lots and 30-minutes in the On-Street Metered Spaces using a web-app or the traditional ticket system in garages. The City has previously not offered free parking on- street or in surface lots, and this expansion makes free parking more accessible, affordable and flexible to all patrons.
3. “Downtown 24/7 Permit” program offers an affordable parking option 24/7 in all Garages and Lots using a web-app. This new program is available for all downtown businesses, employees and residents and starts at $115 per month with incremental increases applied over an 8-year period.
4. The “Discounted Employee Parking Permits” (DEPP) program is more robust and inclusive by raising the qualifying wage rate to $24 per hour to be adjusted in the future based on a regional wage index published annually by the State. A web-app will assist with program management and the DEPP monthly fee will be used to cover administrative costs. This rejuvenated program is the most affordabl e permit parking option for a broader range of downtown employees. Qualifying applicants will receive a flexible permit that can be used daily for a 12-hour increment starting at the time of their arrival, the permit cost will start at $24 per month and be adj usted alongside increases to the qualifying wage rate.
Businesses have the option of covering the permit cost for its employees.
5. The “Pre-Paid” parking option is widely accepted and utilized by Festival of Lights patrons.
This payment option provides a $5 discount off the Pay at Event rate. It is being expanded to all Special Events throughout the year due to its popularity and will utilize a web-app.
6. Monthly unreserved and reserved daytime permit holders are receiving expanded hours from 5:00 a.m. to 7:00 p.m. and the annual monthly increases are minimal at $15 to $20, respectively. The permit cost increases will be stretched over an 8-year timeframe and will Recommended Parking Rates and Hour SchedulePage 4
be capped at that point. New reserved permits will not be issued and will be phased out after 10-years.
7. Parking rates in the Garages will be $1.25 every 30-minutes with a $15 Daily Max. The rates will increase $0.25 every five years starting in Year five. The Garages will operate 24/7 offering many more parking options to the downtown community.
8. Parking rates in the Lots will be $1.50 ever y 30-minutes with no time limit. The rates will increase $0.25 every five years starting in Year 5. The Lots will operate Monday-Friday 7:00 a.m. to 7:00 p.m. in the Justice Center and 8:00 a.m. to 7: 00 p.m. in all other downtown locations.
9. Parking in the On-Street Metered Spaces will be $1.50 every 30-minutes with no time limit.
The rates will increase $0.25 every five years starting in Year 5. The On-Street Metered Spaces will operate Monday-Friday 7:00 a.m. to 7:00 p.m. in the Justice center and 8:00 a.m. to 7:00 p.m. in all other downtown areas.
10. Encroachment fees for On-Street Metered Spaces will be waived for Special Events, City- Sponsored Events, Other Government-Agency Events, Religious Organization Events and Non-Profit Organization Events. All encroachments shall be registered with the City prior to the event occurring to receive this waiver.
STRATEGIC PLAN ALIGNMENT:
This item contributes to to Strategic Priority 3 – Economic Opportunity and Goal 3.3 - Cultivate a business environment that welcomes innovation, entrepreneurship and investment.
This item aligns with the five Cross-Cutting Threads as follows:
1. Community Trust – This item is being brought forth in response to community feedback regarding the recently updated parking program elements.
2. Equity – Staff worked diligently to ensure that everyone had a seat at the table in discussion of new parking rates and hours schedule.
3. Fiscal Responsibility – The adoption of new rates will minimize revenue losses to the parking fund and allow for critical investments in security and deferred maintenance.
4. Innovation - The new rates and hours schedule incorporates innovative new technologies and rate structures to meet community needs.
5. Sustainability and Resiliency - The proposed program revisions are neutral towards this cross-cutting thread.
FISCAL IMPACT:
The total fiscal impact of this action is an esti mated revenue increase to the Parking Fund of approximately $942,000 in FY 2023/24. Even with the adopted increase in parking rates, Recommended Parking Rates and Hour SchedulePage 5
preliminary projections show that the Parking Fund is estimated to report a net loss of $983,000 in FY 2023/24. Although total revenues are expected to increase to $7,576,000, total expenses are projected at $8,559,000 as a result of implementation costs associated with the Parking Rates and Hour Schedule. The 3-Year Projection (Attachment 3) has been updated to reflect the financial impact and quality of life services and projects funded by the recommended changes.
Amended service contracts with Pa rking Concepts Inc. and TI BA Parking Systems will be presented to City Council at a later date. Future revenue and appropriations will be built into future Public Works Department budget submissions for those fiscal years to be presented to the City Council for approval.
Prepared by: Gilbert Hernandez, Public Works Director
Certified as to
availability of funds: Edward Enriquez, Inte rim Assistant City Manager/Chief Financial Officer/City Treasurer
Approved by: Kris Martinez, Assistant City Manager
Approved as to form: Phaedra A. Norton, City Attorney
Concurs with;
_________________________________
Gaby Plascencia, Chair
Land Use, Sustainability, Resilience Committee
Attachments:
1. Resolution
2. Community Engagement Timeframe
3. Recommended Parking Rates and Hour Schedule
4. Parking Fund (570) 3-Year Projections
5. Resolution 23736
6. Presentation