This page contains a Flash digital edition of a book.
T Does Increased Enforcement


Raise the Revenue? BY JOHN VAN HORN


HE HEADLINE read “SFMTA Faces …Deficit, Looks to Parking Enforce- ment.” It seemed


simple to the San FranciscoMunic- ipalTransportationAgency’s Board of Directors: Increase parking enforcement and increase revenue. Maybe so,maybe not.


ParkingToday spoke to a number of


parking officials in cities across the coun- try and received a lot of off-the-record comments. These parking pros want to keep their jobs, so we agreed to keep their comments on “deep background.” The conversation broadened into many aspects of on-street collection and enforcement. On face value, it would seem that


installing equipment that takes credit cards (such as in San Francisco) would decrease the incidence of parking violations. People naturally have a tendency to max out the time on themeter, rather than take a risk of the citation. This flies in the face of the goal of the


pols in San Francisco. However, there aremitigating circum-


stances. If space-monitoring sensors are used, as in SF, then enforcement can be


valid figure. So if the number of citations written was increased to 20% or 25% of the violations, then citation revenue may remain the same or increase. It also was pointed out that the type


of violation may change. Although the number of meter violations may decrease, the number of “red zone” violations may increase, and typically these command a higher fine, thus increasing the revenue. “When changing the way money is


collected,” onemanager said, “you need to take into consideration how the money is collected.” One city decided to raise parking


rates, but did it in tandemwith the installa- tion of credit card readers.The citation rev- enuewent down (about 18%), but the actu- al revenue collected fromparkingwent up. The fee increase handled the problem. If you work in parking, reality is that


you generate revenue for more than the parking program, one senior official said. “You can talk all day long about the philo- sophical policy concerns of how money is collected for the city, but in the end, the revenue is needed, and parking is a viable source. Is using citations good policy for general fund revenue? I’m not sure. How- ever, it makes no difference when the money is needed; it is taken.” If you use on-street sensors, you can


Although the number of meter violations may decrease, the number of “red zone” violations may increase …


better allocated, and the number of cita- tions written could actually increase or, at aminimum,maintain the same level. The experience in Los Angeles (see


sidebar) is that the switch to credit card meters meant more “up-time” and, there- fore, more revenue collection. Naturally, the number of meters that were “down” before the change would affect the rev- enue increase. Most parking enforcement managers


tell PT that a very small number of viola- tions are ticketed.They agree that 10%is a


16


not only direct your enforcement activity, but also “reset” themeters whenmotorists leave the spaces.That canmean a substan- tial revenue increase.Many drivers believe that finding a meter with time on it is like winning the lottery, and they complain loudlywhenmeters are reset upon leaving. “Look at it this way,” another indus-


try veteran said. “If you rent a car for a week and get the weekly rate but return it a day early, does the next person in line get a free day? I don’t think so. It’s the same philosophy.”


FEBRUARY 2011 • PARKING TODAY • www.parkingtoday.com “There are other costs to installing


credit card meters,” noted another pro. “The bank card fees and ongoing mainte- nance costs are substantial.However, there are other benefits.You aren’t processing literally tons of quarters (banks charge a fee for that), plus we free up personnel who would be clearing meters to ensure they were up and working. The new machines are reliable, and the more that they are up, themore they collect.” “Raising rates can be difficult,” one


parking official said. “That extra dime or quarter can cause a mini revolt in some communities. Chicago experienced a major problem when they leased out their on-street operations because of a substan- tial increase in rates. However, the rate hike might have been impossible without the lease agreement.” Politics plays a very large part in the


decision on whether to raise on-street rates. Currently, Los Angeles is going through a major upheaval, because it is feared by merchants and others that leas- ing out garages will lead to substantial rate increases. PT’s sources tell us that sometimes


the rate increase is possible only with a lease agreement. “Once the lease is in place,” one said, “the politics of the increase is mitigated. Private companies can make these decisions that could not have beenmade by the parking department or the city council.” In an article on page 24 in this issue,


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