Request for Committee Action
A briefing memo explaining the purpose, background, and impact of the requested action.
Consolidating and updating Public Works Parking Services Fee and Rate Schedule (RCA-2021-01236)
ORIGINATING DEPARTMENT
To Committee(s)
| # | Committee Name | Meeting Date |
|---|---|---|
| 1 | Transportation & Public Works Committee | October 27, 2021 |
Action Item(s)
| # | File Type | Subcategory | Item Description |
|---|---|---|---|
| 1 | Resolution | Fees | Passage of Resolution consolidating and updating Public Works Parking Services fees and rates into a single document. |
Ward / Neighborhood / Address
| # | Ward | Neighborhood | Address |
|---|---|---|---|
| 1. | All Wards |
Background Analysis
This resolution establishes a Public Works Parking Services Fee and Rate Schedule which consolidates many fees previously set separately in ordinance or past council actions. Consolidating these fees into one schedule minimizes the number of places information is held for these related services. It also creates a communicable and transparent tool that can more easily be shared and updated. Many of the fees listed in this schedule are simply restating existing fees, however some adjustments to fee values are recommended. Additional detail about each section is outlined below.
On-Street Parking and Loading Zones
The fees associated with on-street parking and loading zones are being addressed by a Traffic Code Ordinance Amendment currently in process. Many fees were originally written into the text of city ordinance but have since been updated by subsequent city council resolutions. This has resulted in public facing ordinance containing fee values that are many years and sometimes decades out of date.
The fees in the on-street parking and loading zone section of the schedule are primarily restating current fee values. The one notable change is setting a uniform rate of $25.00 per metered space per day for the hooding of parking meters. Fees are charged for hooding and disabling of spaces in metered areas to offset staff time for performing the work and lost revenue. Current fees for this service are calculated based on the rate and the hours requiring payment at each individual meter. Due to variation in the meter system this means there are dozens of different prices for hooding a meter depending on where it's located. Switching to a uniform rate will make it simpler to calculate and communicate costs to customers. This change was designed to be revenue neutral with the $25.00 value being roughly equal to the per meter fee for all hooding that occurred in 2019.
Off-Street Municipal Parking
In 2000, the City Council took action to establish a comprehensive approach to setting off-street parking rates for our Municipal parking facilities by setting base rates but also allowing flexibility for staff to adjust rates within certain parameters. These base rates have been adjusted from time to time to reflect new market conditions with the most recent adjustment in 2016. This adjustable rate system affords staff a flexible and proactive pricing ability within the broad downtown parking marketplace but also for each specific facility within its smaller competitive area. Setting parking rates involves parameters including but not limited to review of usage, pricing, supply/demand, revenue impact, operating expense, and market trends. Comparisons are considered among the private sector and our Municipal locations where available and appropriate. The current downtown Off-Street Municipal Parking system includes 15 ramps and 8 lots with a total of 18,239 parking spaces. The facilities can be viewed at https://mplsparking.com/off-street-parking/.
In the past year off-street parking use has decreased significantly due to COVID-19 and with the forecasted trend of flexible working as businesses return to the downtown sector. The proposed off-street parking fee schedule lists at each facility and by each rate type (daily, monthly and event) the maximum rate for three conditions:
- Current maximum rate by type -- being charged today
- Approved 2016 maximum rate -- based on the 2016 council action
- Proposed 2021 maximum rate – recommended by this council action
There are several recommended adjustments to the maximum approved rates which are consistent with past practice and council action. The proposed 2021 maximum rates are increased on average by 14% above the 2016 maximum rates.
Public Works will continue to use its past rate setting practices that include various parameters noted above. Currently, Public Works does not anticipate changing its current maximum parking rates.Impound Lot
The Towing and Impound fees were last set in 2005 and are restated in the proposed parking services fee schedule to have all parking fees located in one complete schedule. There are no proposed changes to Impound Lot fees at this time.