from Page 54


PT BLOG Funding a pension liability with the proceeds is an appropri-


ate long-term use of the up-front payment. The extra $122 mil- lion (glad JVH isn’t my accountant!) should likewise be used to shore up long-term obligations. When you factor in the replace- ment costs for the three oldest garages, the cost for a new on- street parking system, and let’s not forget the city’s divestiture of all those salaries and benefits for 50 years, the true value of the deal for Pittsburgh iswell over $600million. It appears that Pitts- burgh took the best aspects of both Chicago leases and prudent steps to avoid the Chicagomistakes. There is also something to be said for the Pittsburgh Park-


ing Authority, which for decadesmanaged to do quite a lot with a little, hamstrung by a limited budget and amandate to provide parking at the lowest possible cost and still remain solvent (no executive director making over $300K in Pittsburgh). The premise that the value in a concession comes from improving on inefficiencies is a disservice to well-run municipal systems. I would suggest that there is as much value, if not more, to a stable well-run asset with a proven track record of cash flows and steady growth. After all, those are the same aspects that mitigate risk and


provide lenders and equity with the confidence to bid, and bid to a higher number. What would the final bids for Chicago’s assets have been if those assets had been managed competently from the start? Why are they up in arms in theWindy City? I believe that it has to do with pride. It’s easier on the ego to rationalize and say that there was a rip-off due to behind-the-scene shenanigans than it is to admit you sold what could have been a Picasso at the yard sale for five bucks.


JVH responds: Ihope that Nostradamus can foretell the future as well as his famous namesake. That’s the problem, at


least for me. Sure, Pittsburgh might have gotten a good deal and have tons of money, but is it good public policy?They have made decisions now, in their agreement with the successful bidder, that binds them to rules that may be to the city’s detriment in 30 or 40 years. As for improving inefficiencies…In the private sector, oper-


ators know that whenever they take over a location, the revenue will increase. It does most every time. It’s the nature of our busi- ness. New management brings in new people who bring new ideas and things get better.They don’t necessarily stay better, but they do get better. Iwould like to see a well-run municipal system withstand an


audit by a parking auditor, not a local CPA.With all the issues we have seen in municipal parking operations – in NewYork, DC, San Francisco, LA and, yes, even Pittsburgh – and the difficulties they have collecting parking ticket revenue and collecting the parking tax, Iwould suggest that having a professional parking operator come in would show an increase in revenue. Sure did in Chicago.


Garage Closed to Protect Game-Day Revenue – Creates ProblemThat Stumps Even JVH (Posted Sept. 20) This confuses even moi, but Iwill give it a shot. The city of


Lincoln, NE, pre-sells parking space to folks who want to come to University of Nebraska Cornhuskers’ football games on Saturday. If you knowMidwest football, this is a huge deal. The permits for game-day parking are sold online for public garages near the sta- dium. Fair enough. Lincoln parking officials close the garages Friday afternoon.


This is so people won’t go into the garages, park all night, stay until after the game is over, and drive out with the football fans.


10 Reasons Your Company Should Do your employees really know what’s going on with your


company? Oh, don’t worry that they can’t handle the truth. If your company doesn’t have a culture of openness and free- flowing information, now is the time to move in that direction, says bestselling author Quint Studer. He offers some convinc- ing reasons to create a culture of transparency – starting now: • People assume the worst when they don’t hear from lead-


ers. Silence from the executive offices causes fear and resent- ment, which certainly don’t contribute to a productive culture. • Transparency helps employees connect to “the why.”


When they are working in a vacuum, they can’t see the finan- cial “big picture,” and decisions that leaders make may seem ill-advised, unfair or simply inexplicable. • Employees may not understand how the external envi-


ronment affects the company. Senior leaders are aware of new laws affecting their industry, innovations reshaping themarket- place, financial pressures facing their customers, and so forth. It’s their job to know. Butmid-levelmanagers don’t necessarily see the same picture – and frontline employees almost certain- ly don’t.


56 NOVEMBER 2010 • PARKING TODAY • www.parkingtoday.com • Transparency allows for consistent messaging across the


organization.With a company commitment to it, employees don’t have to get their (speculative, distorted) news through the grapevine. They hear what’s really going on, in a controlled and consistent way, from their managers. • By the way, says Studer, it’s a good idea to train man-


agers in “key words” they can use to ensure that all employees companywide are hearing the same messages positioned in the same way. • This, in turn, creates organizational consistency. When


all are hearing the same messages from their leaders, everyone is motivated to respond in similar ways. Everyone knows the rules. And this consistency trickles down to the customers, who get the same basic experience regardless of whom they’re dealing with. • Transparency leads to faster, more efficient execution.


When times are tough, execution is everything. And the ticket to good execution is “good alignment”: All sectors of an organ- izationmust understand exactly what’s required so they act in a coordinated and collaborative fashion. Transparency is what


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40  |  Page 41  |  Page 42  |  Page 43  |  Page 44  |  Page 45  |  Page 46  |  Page 47  |  Page 48  |  Page 49  |  Page 50  |  Page 51  |  Page 52  |  Page 53  |  Page 54  |  Page 55  |  Page 56  |  Page 57  |  Page 58  |  Page 59  |  Page 60  |  Page 61  |  Page 62  |  Page 63  |  Page 64