AGENDA AUTOMOBILE PARKING COMMISSION June 12, 2008 8

AGENDA
AUTOMOBILE PARKING COMMISSION
June 12, 2008
8:00 AM
I. Review and Approval of May 8, 2008 Minutes
II. 12-14 Diamond Proposed Parking Lot (Attachments)
III. City Commission Recommendation Regarding Meter Fines and
Associated Programs (Attachments)
IV. Other Business
V. Public Comment
VI. Adjournment
MISSION STATEMENT
Parking Services will support economic development and growth of
the central downtown and neighborhood business districts by
providing sufficient, well-maintained, and customer focused parking
options.
Please notify us (456-3290) by noon Wednesday if you are unable to attend.
AUTOMOBILE PARKING COMMISSION MINUTES
MAY 8, 2008
Call to Order: Chairperson Haynes called the meeting to order at 8:02 a.m.
Attendance:
Members Present: Lisa Haynes (Chair), Kevin Denhof, David Kammeraad, John Tully,
Monica Sekulich, Commissioner Lumpkins, and David Leonard.
Members Absent: None
City Staff Present: Pam Ritsema, Kim Miller, Mitch Schutter, Henry Bouman, and
Barbara Singleton.
Visitors Present: Dave Czurak (Grand Rapids Business Journal), Mike Ellis (Ellis
Parking), Jim Harger (Grand Rapids Press), Jay Fowler (Downtown Development
Authority), Ann Marie Bessette (Downtown Development Authority), Joe Moch (Moch
International Development), Joe A Moch (Moch International Development), and Art
Kroon (Arthur Kroon and Company).
Review and Approval of Minutes of April 17, 2008: Two corrections were offered to the
minutes.
Page 5 the fourteenth paragraph, second sentence should be struck.
Page 6 the ninth paragraph should document “Mr. Leonard requested the director make rate
recommendations in all categories.
Mr. Leonard motioned for the approval of the minutes and Mr. Lumpkins seconded. Motion
passed unanimously.
Economic Development Retail Project Report: Ann Marie Bessette discussed the Downtown
Development Authority’s report on “Goals and Improvements for Retail Environment Downtown.”
The report included operational constraints of businesses. Items mentioned are rent,
construction, pan handling, and parking. Areas of concern for parking include employee, loading
zone, hooded meters, and perceived shortages.
Ms. Bessette is working on marketing storefronts that are currently vacant.
Next steps for parking include Director Ritsema, Ms. Evoy, and Mr. Fowler working to determine
how to handle requests for free or discounted parking. The identified first steps are to identify
circumstances, if any where requests for free or discounted parking will be honored, and develop
evaluation criteria for a formal policy for requests.
Marketing of parking in conjunction with retail and events was suggested. Parking should be
marketed as abundant and economically priced.
Mr. Fowler indicated when way finding signs were created the decision was made to put
destinations on the signs – not parking locations.
Request for Long Term Lease: Moch International Development has returned to request a long
term lease of 100 parking spaces at the North Monroe surface lot. Proposed is a $21 million
dollar 137 unit extended stay hotel project.
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Previously, the Parking Commission did not recommend a long term lease of 70 spaces, but the
request was approved at City Commission. No long term lease was signed or executed after this
event.
Presentation of the proposed long term lease of 100 spaces to Parking Commission is a courtesy
stop.
Director Ritsema indicated that parking demand in the North Monroe area has slowed since
Founders Brewery has moved and construction in the area has slowed. There are 35 cards
outstanding and several city employees park in this lot. The day rate is $2.00 for all day, paid
upon entry, and quite popular with Grand River fishermen. On street spaces are also available.
Commissioner Lumpkins approved passing the proposal to City Commission. Mr. Leonard
seconded the motion.
Ms. Sekulich, Chairperson Haynes, and Mr. Denhof opposed the request.
Mr. Kammeraad, Mr. Tully, Commissioner Lumpkins, and Mr. Leonard supported.
Motion passed.
Operating Agreement of DeVos Place Parking: Change from the prior year’s operating
agreement is that SMG will take over the maintenance of the ramp, with the exception of parking
access and revenue control equipment.
Mr. Kammeraad moved the agreement be approved as written. Mr. Denhof seconded the motion.
Motion passed unanimously.
Annual Rate Review: Half hour rates were left unchanged for the fourth year as a benefit to
short term visitors.
Daily maximum has not been increased in three years. Increase to the next logical increment.
Special event pricing has been the same for four years as well. Increase to the next logical
increment.
Monthly parking rates were increased by 2.5%, less that the rate of CPI-U.
The only adjustment to the proposed rates is Area 3 coin unit rate to remain at $3.00.
Mr. Denhof moved the to accept the rates as recommended, maintaining Area 3 coin unit rate at
$3.00. Mr. Tully seconded the motion.
The motion passed unanimously.
Other Business: As an informational item, Director Ritsema discussed the progress on the
Commerce Weston term sheet development.
The March 31, 2008 deadline for completion was missed. However, the purchase and
development agreement is the same. Since this is the first venture of the City with liner buildings
and private development, more negotiation time has been required.
Director Ritsema is satisfied with the progress made to date on term sheet development. Parking
Commission action is not necessary. The agreement is going to City Commission on Tuesday,
May 13, 2008.
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Public Comment: Mr. Kroon indicated that as a downtown based professional, parking is
important to him and his peers. Mr. Kroon stated that Parking Services is well managed.
Adjournment: Meeting was adjourned at 9:10 am.
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DATE:
June 9, 2008
TO:
Parking Commission
FROM:
Pam Ritsema
Parking System Director
SUBJECT:
East Fulton-Public Parking Lot
A few months ago the East Fulton Business Association presented a request that City
Parking Services purchase a vacant lot at 12-14 Diamond NE (map attached.) The parcel is in
tax foreclosure and available for just under $3000. The Business Association desires that the
City construct a neighborhood surface parking lot on the parcel. Working with neighborhood
representative Christine Helms Maletic, the Engineering Department, and Walker Parking
Consultants, we first designed a one way lot that would add 16 spaces, but would require an
easement or purchase of approximately a 10 foot strip from the adjacent property to the north.
Unfortunately we were unable to come to an agreement with the adjacent north property
owner. We are now working with the property owner immediately to the east to see if we can
reach an agreement regarding access and easement to allow for one-way angled parking,
entering from the west and exiting to the east. This layout will add 12 spaces. A schematic
drawing is attached. If we are unable to secure an easement, the parking lot would hold a
maximum of seven parking spaces (6 regular + 1 handicap.)
The deadline for the City to purchase the property from the County before going to tax
foreclosure auction is June 30, requiring us to receive permission form the City Commission at
the June 24 meeting. Even though final layout and cost of parking is uncertain, because the
cost of acquisition is minimal, I recommend the City move forward in purchasing the property.
If the land is used for neighborhood parking, the cost of acquisition and improvements for
parking would be shared with the neighborhood association paying 10%. If we are unable to
reach a suitable or cost effective agreement regarding the layout of parking, the property can
then be listed by the City and resold to a private party.
14 Diamond Ave. NE
DIAMOND
LILAC
FULTON
14 Diamond Ave. NE
Proposed Parking Lot
1" = 50'
DATE:
June 9, 2008
TO:
Parking Commission
FROM:
Pam Ritsema
Parking System Director
SUBJECT:
City Commission Reccomendation Regarding Meter Fines and
Associated Programs
At the June 3, 2008 City Commission meeting the Commission approved a fee schedule and
budget for the FY 09 year, beginning July 1, 2008. A component of the budget included raising
parking violation fines from the current $12 to $20. City Commissioners were concerned that
the increase to $20 was excessive and instead recommended that the fines increase to $15
with the addition of two parking violation checkers. The $15 fine schedule and addition of two
checkers should raise approximately the same amount of general fund revenue. As part of
their discussion, Commissioners evaluated a quick-pay option. Parking staff recommendation
was to NOT have a quick pay option, but to rather go to the $15 fine with additional staffing.
My memo the City Commission is attached. As a result of their conversation regarding fines
two other ideas were suggested by City Commissioners. The first is that the cost of
purchasing time on a Smart Auto Meter (SAM) be reduced along with a reduction in the
deposit required to use a SAM. The second is to include a 60 minutes free parking coupon for
the first month of $15 fines to ease the transition. Final recommendation and approval of the
two suggestions was referred back to the Parking Commission.
Staff recommendation is that we undertake both initiatives. The coupon will help accomplish
the goal of familiarizing people with the location and ease of use of the City’s parking ramps. It
will also help minimize the sting of an expired meter ticket. The net cost of parking given away
will not exceed $10,000, and may be offset by revenue from people who stay longer than an
hour. The Government Center Ramp will be included as accepting the coupon. A draft copy
of the coupon is attached. It will be included with any meter violation written in the month of
July.
We are also recommending a one time per customer discount to the purchase of time for the
SAM meters by a 30% discount on a $50 purchase of time. $50 of time would then cost $35,
with $15 free. In addition, we are recommending the deposit rate decrease from our cost of
$65 to $30. The City receives the money in advance of the usage, decreasing cash collection
and handling. For the customer, it makes it easier to comply with parking meter regulations
without having to carry around rolls of quarters. A draft copy of the SAM discount advertising
is attached ($30 deposit instead of $25 deposit.) It too will be included with meter violation
tickets. In encouraging use of the SAM, an issue to consider is if the discount and reduced
deposit is offered to any current or future SAM customer, without a parking ticket, but limited to
one per person.
DATE:
June 9, 2008
TO:
Kurt Kimball
City Manager
FROM:
Pam Ritsema
Parking System Director
SUBJECT:
Quick Pay of Expired Meter Fines
The City of Lansing offers a quick pay option for payment of expired meter tickets. In Lansing,
the base fine is $20 if paid after two hours or before 14 days. If the fine is paid within two
hours the quick pay option is $7. Approximately 59% of the tickets are paid using the quick
pay option. In Lansing you may quick pay by phone, fax, on-line or face to face via a drive up
window. Lansing feels the program has been successful in softening the blow of a ticket for an
expired meter, especially when a person was only a few minutes late. However, it has created
additional conflict when a person misses the two-hour deadline by a few minutes. Because the
City of Lansing takes payments over the phone, they do find that customers will call in, choose
the quick pay option and then place the ticket back on the windshield, parking on street all day
for the quick pay rate. Lansing did not see an increase in the number of tickets paid when
adding the quick pay option.
If Grand Rapids were to implement a quick pay option at a quick pay rate of $15, and the same
59% quick payment rate occurred, revenue expected from a $20 fine would decline by
$140,473 from $412,048 to $271,575, while adding a transaction cost of processing 24,000
quick pay transactions. While quick pay transactions could be via the internet or phone, I
expect a majority of the payments which are currently paid by mail, would be conducted by
parking in the Government Center Ramp and paying at the Treasurer’s Department,
significantly increasing the car and foot traffic for ticket payment. (Parking is free in the ramp
when visiting the Treasurer’s Department to pay a parking ticket.) Because quick pay
decreases the amount of revenue collected, has unintended consequences regarding illegal on
street parking, does not appear to affect the paid ticket rate and would require implementation
of an additional transaction stream, I recommend that a quick pay option not be offered at the
City.
Alternate option:
The intent of parking enforcement is to ensure the safety of citizens and visitors to Grand
Rapids, create turnover and availability of on street parking spaces and ensure compliance
with City Ordinances. Meter rates and fines are set to encourage use of off street parking
facilities. In the surveys of on street parking we have conducted, the meter violation capture
rate has been less than 30%. In other words, of those cars parked at a meter with no money
in the meter, we write tickets on less than 30% of cars.
An alternative to increasing fines to $20 would be to increase them to $15 and add two
additional parking violation checker positions. Each additional full-time checker position should
result in an estimated net violation revenue of $150,000 for a total of $300,000 in expected
additional fine revenue. Raising fines to $15 from the current $12 will result in additional
estimated revenue of $176,000. Combined, the two measures would produce revenue
approximately equivalent to the proposed $20 fine.
Finally, as an incentive for people to choose a parking ramp option, we could include a 60
minutes free parking coupon with the ticket during the first month transitional period of the
increased fine. The free parking coupon would give customers an opportunity to become more
aware of the locations of our parking ramps, the ease and convenience of using them and take
away some of the sting of receiving an expired meter ticket. The maximum cost of such a
coupon for one month is $10,000, the majority of which would be shouldered by the Parking
System. I also recommend we continue to evaluate steadily increasing fines to $20 over a
transitional period.