HomeMy WebLinkAboutAgenda Bill 3.A 07/14/20034
i U L, 14 2003 3 t A
CITY OF PETALUMA, CALIFORNIA
PETALUMA COMMUNITY DEVELOPMENT COMMISSION
ADEN A BILL
Agenda Title Discussion & Action Regarding a Status Report on
Meeting Date:
the Keller'Street Garage Pay Parking Program
July 14,'2003
Category (check one) X New Business
Meeting Time X 3:00 PM
Department:
Director.
Contact Person
Phone Number
Redevelopment
Paul Marangella
Paul Marangella
778 -4581
Cost of Proposal $167,000
Account Number 901 - 400 -9993
Amount Budgeted $167,000
Name of Fund: Central Business
Project Area (901)
Attachments to Agenda Packet Item
None
Summary Statement
In 2000, representatives of the Petaluma Downtown. Association (PDA) came to the Petaluma Community
Development Commission (PCDC) and requested that the Keller Street Garage have a major clean-up.
They expressed many concerns about the garage on behalf of the PDA membership, including:
vandalism, poor lighting, .lack of pigeon control, lack of maintenance, and the lack of personal security.
They suggested these as the reasons many merchants, employees and patrons refused to park in the
garage. They asked if the City could make the necessary capital improvements to eliminate these
problems and proposed that the Garage be converted to pay parking as a means of financing a new
security and maintenance program after the-clean-up. The PCDC responded affirmatively, directing the
staff to make the requested improvements.
On March 3, 2003, the PCDC established a pay - parking system for the Garage and requested a status
report to evaluate the parking system after ninety days of operation. Operations began on April 1, 2003.
Therefore, the purpose of this agenda item is to provide a status report of the first ninety days of operation
and receive direction as appropriate.
Recommended PCDC Action /Suggested Motion
It is recommended that the PCDC receive and file this report.
Reviewed by Finance Director: Revi me Approved &I-.Qitv Manner:
Date:
Today's Date
Revision # and D �te . evised:
" 'File Code:
#
July 1, 2003
y;
CITY OF PE.TALUMA, CALIFORN_ IA
Judy 14, 2003
I ,
AGENDA ]REPORT
FOR
DISCUSSION & ACTION REGARDING A STATUS REPORT ON THE
FELLER STREET GARAGE PAY PARKING PROGRAM
1. EXECUTIVE SUMMARY
In 2000, representatives of the Petaluma Downtown Association (PDA) came to the Petaluma
Community Development Commission (PCDC) and requested that the Keller Street Garage have a
major clean-up. They expressed many concerns about the garage on behalf of the PDA membership,
including: vandalism, poor lighting, lack of pigeon control, lack of maintenance, and the lack of
personal security. They suggested these as the reasons many merchants, employees and patrons refused
to park in the garage. They asked if the City could make the necessary capital improvements to
eliminate these problems and proposed that the Garage be converted to pay parking as a means of
financing a new security and" program after the clean-up.
The PCDC responded affirmatively directing the staff to :make the requested improvements.
Concurrently, the PCDC commissioned a parking study by Wilbur Smith Associates (WSA) to perform
a detailed analysis of downtown parking. The study found that over 30% of the hours available for
downtown parking were used by downtown employees and merchants. Subsequently, PDA and City
representatives met with WSA to develop a parking strategy to address two issues:
2 -Hour Jumping: How could merchants /employees be encouraged to park in the garage and
avoid moving their cars every two'hours — referred to as "jumping ?"
Financing Security & Maintenance: How could annual security and maintenance costs of
$180,000 be financed so aslnot to impact the City's General Fund?
Le
Based on these two issues, a parking strategy was developed'and approved .bythe PCDC as follows:
• Quarterly Merchant/Residential Permits; The top two floors° were allocated for quarterly
permits to merchants and. downtown residents to encourage them to move off the street. This
would increase the amount of on- street parking for business patronage.
• Hourly Pay-Parking: The ground floor was allocated exclusively for hourly pay - parking, using
state of the art centralized pay- parking machines.,
On March 3, 2003, the PCDC established a pay - parking system for the Garage, implemented the
aforementioned, strategy and requested a status report to evaluate the strategy after ninety days of
operation. Operations began on April ,1, 2003. Therefore, the of this agenda item is to provide
a status:report of ilhe'first ninety days of operation and receive direction as appropriate.
BACKGROUND
The Keller Street .Garage pay - parking program began on April 1, 2003. The program consists of two
components:
Quarterly Merchant/Residential Parking Permits on the second and third floors; and
Hourly Pay - Parking on the ground floor.
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Quarterly Parking Permits
Number & Percentage of Quarterly Parking Permits
Proiected` Annual. Revenue from Quarterly Pay- Parking Permits
Number of_ Spaces
Number 6f Permits
% of Permits
SecondYloor
113
57
50
Third' Floor
119
92
77
Total
232
149
�64
Proiected` Annual. Revenue from Quarterly Pay- Parking Permits
Based on the fgure& above, several points can be made:
.• Quarterly Merchant/Residential Permits , making a positive difference in downtown park1110
by taking 149 merchant and residential vehicles off the street. These vehicles would normally
take up precious on- street parking. Many' merchants have expressed satisfaction - With the new
permit.parking program.
• While the, number of quarterly permits is a good start, an additional 83' spaces could be occupied
by downtown merchants and employees. To this end, the PDA has pledged its support to get
downtown,merchants .purchase.-them.
• Due to flexible work schedules, it may be feasible to sell '110% of the spaces, as not all, permit
holders.park at;the same time.
.Ground Floo Hourly Pay - Parking
When WSA : prepared. their recommendations on hourly -pay- parking rates for the ground .floor, they
assurned that there would be 25% fewer . packers at $0.50/hour than when _it was' free: They pointed out
that this was a best guess, as it ;is difficult to predict .parking behavior when there is free on- street
parking. Based on this occupancy estimate, WSA projected annual ground floor .hourly pay - parking
revenue at $111,000. Actual monthly hourly pay - parking revenue has been received as shown in the
table below.
is
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With Current #
Permits
With 100%
Occupancy
With ,110.%
Oceu ,.anc '
Second Floor
$23,940
$47,460
$52 -
Third Floor
$22
$28
$31,440"
Total
$46,020
$76,020
$83;250`
Based on the fgure& above, several points can be made:
.• Quarterly Merchant/Residential Permits , making a positive difference in downtown park1110
by taking 149 merchant and residential vehicles off the street. These vehicles would normally
take up precious on- street parking. Many' merchants have expressed satisfaction - With the new
permit.parking program.
• While the, number of quarterly permits is a good start, an additional 83' spaces could be occupied
by downtown merchants and employees. To this end, the PDA has pledged its support to get
downtown,merchants .purchase.-them.
• Due to flexible work schedules, it may be feasible to sell '110% of the spaces, as not all, permit
holders.park at;the same time.
.Ground Floo Hourly Pay - Parking
When WSA : prepared. their recommendations on hourly -pay- parking rates for the ground .floor, they
assurned that there would be 25% fewer . packers at $0.50/hour than when _it was' free: They pointed out
that this was a best guess, as it ;is difficult to predict .parking behavior when there is free on- street
parking. Based on this occupancy estimate, WSA projected annual ground floor .hourly pay - parking
revenue at $111,000. Actual monthly hourly pay - parking revenue has been received as shown in the
table below.
is
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a >,
Ground Floor Hourly Pay - Parking_ Revenue by Month
Hourly pay - parking has generated -approximately 54% of the parking revenue projected by WSA.
Several factors can be attributed to this including:
• Shopper resistance to paying for garage parking while there is free parking on the street;
• Unfamiliarity and difficulty with operating centralized pay; parking machines;
• Fear of getting a parking citation in the -garage because of uncertainty about operating the pay -
parking machines; and
• Actually receiving a parking citation in the garage due to erroneous use of pay - parking machine.
n
PDA/City Staff Concerns
Over the past month, as hourly 'pay- parking in the garage declined and numerous merchants complained
about the loss of potential shoppers due to resistance to parking "in the garage, the City staff and the PDA
met to identify solutions to enhance downtown parking. The team concluded that it would be useful to
meet with the downtown merchants.. The City and the'PDA held two joint meetings downtown, inviting
merchants to express their concerns about downtown parking. The meetings were held at the Petaluma
Hotel on June 17 and 24th. Approximately 30 merchants attended each meeting. The outcome of
these meetings was a request from the PDA ao suspend ground, floor pay parking in the Keller Street
Garage for a period of 60 days; while a committee of downtown merchants, community and City
representatives develops recommerided solutions to address the following issues:
Garage Financing: How to pay the $180,000 annually for garage security ($130,000) and garage
maintenance ($50,000) without requiring City support? Possible solutions mentioned at the
meetings. include; on- street parking meters, property assessments; and mandatory Business
Improvement District assessments. (Note: $46;000 is generated from quarterly parking permits.)
Parking Behavior: How to eliminate merchant parking on the street ( "jumping "), thereby making
available more customer parking? Possible solutions mentioned at the meeting are on- street parking
meters while making the ;garage free and 2 -hour color zones.
Because of the °:urgency of the merchant request to suspend hourly pay- parking on the ground floor for
60 days, while solutions to the two aforementioned issues can be developed, the City Manager accepted
the request. Effective June 27, 2003, hourly pay - parking on the ground floor was converted to free two -
hour parking.
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Ground Floor
Revenue
Annualized
Revenue
WSA Estimated
Annual Revenue
Difference
Current vs
EstimatedRevenue
April
$4,500
$54
$111,000
$57,000
May
$6,`732
$80,784
$111,000
$30,216
June
0,069
$44,028
$111,000
$66,972
Total
$14,901
$59,604
$111,000
$51,396
Hourly pay - parking has generated -approximately 54% of the parking revenue projected by WSA.
Several factors can be attributed to this including:
• Shopper resistance to paying for garage parking while there is free parking on the street;
• Unfamiliarity and difficulty with operating centralized pay; parking machines;
• Fear of getting a parking citation in the -garage because of uncertainty about operating the pay -
parking machines; and
• Actually receiving a parking citation in the garage due to erroneous use of pay - parking machine.
n
PDA/City Staff Concerns
Over the past month, as hourly 'pay- parking in the garage declined and numerous merchants complained
about the loss of potential shoppers due to resistance to parking "in the garage, the City staff and the PDA
met to identify solutions to enhance downtown parking. The team concluded that it would be useful to
meet with the downtown merchants.. The City and the'PDA held two joint meetings downtown, inviting
merchants to express their concerns about downtown parking. The meetings were held at the Petaluma
Hotel on June 17 and 24th. Approximately 30 merchants attended each meeting. The outcome of
these meetings was a request from the PDA ao suspend ground, floor pay parking in the Keller Street
Garage for a period of 60 days; while a committee of downtown merchants, community and City
representatives develops recommerided solutions to address the following issues:
Garage Financing: How to pay the $180,000 annually for garage security ($130,000) and garage
maintenance ($50,000) without requiring City support? Possible solutions mentioned at the
meetings. include; on- street parking meters, property assessments; and mandatory Business
Improvement District assessments. (Note: $46;000 is generated from quarterly parking permits.)
Parking Behavior: How to eliminate merchant parking on the street ( "jumping "), thereby making
available more customer parking? Possible solutions mentioned at the meeting are on- street parking
meters while making the ;garage free and 2 -hour color zones.
Because of the °:urgency of the merchant request to suspend hourly pay- parking on the ground floor for
60 days, while solutions to the two aforementioned issues can be developed, the City Manager accepted
the request. Effective June 27, 2003, hourly pay - parking on the ground floor was converted to free two -
hour parking.
Page 4
60 =Day Task Force 0
At the last meeting with the merchants, the PDA asked for volunteers to participate on a task force to
develop solutions for garage security & maintenance financing and 2 =Hour "jumping." 'Eighteen
members of the PDA volunteered and will work with representatives of the City to develop solutions to
thesel two problems. Recommended solutions will be transmitted to the PCDC in early September.
2. ALTERNATIVES
NA
3. FINANCIAL,IMPACTS
The FY 2003 -04 PCDC Budget assumes pay- parking revenue of $167,000 as4 per`the WSA:estimdte.
Actual revenue is projected to be less, as follows:
m $167,000 FY 2003 -04 PCDC'Budget
® -$45,000 Projected- Ground Floor Revenue (Two Months Free)
e -$46,000 Projected Quarterly Pay Parking Permits at Current Level
$ 76,000 Variance from Budgeted Revenue
5. CONCLUSION
The PCDC has fulfilled =its commitment to improve the Keller Street Garage; providing access .control,
pigon control, improved lighting and cleanliness, and improved security. Merchants and downtow
residents are very appreciative of the improvements and the ' availability of quarterly permit parking.
What has not worked well is the hourly ground floor pay parking. The City and the PDA will work with
a task force over the next sixty days to develop solutions' to two issues: garage security &,maintenance
financing and 2 -hour "jumping." In the meantime; hourly pay- parking has been suspended in the garage
for"60 days, pending recommended solutions from the task force.
6. OUTCOMES OR.PERF..ORMANCEIV EASUREVIENTSXHAT'WILL IDENTIFY SUCCESS OR COMPLETION:
The development of a downtown parking program that discourages or eliminates 2 -hour "jumping" and
provides the financing necessary to pay for security and maintenance.
7. RECOMMENDATION
It is recommended that the PCDC receive and file this report.
•
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