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SR-417-010 PCD:ADMIN:SF:EG:F:\plan\admin\ccreport\coastprkg2000 Council Meeting: March 28, 2000 Santa Monica, California TO: Mayor and City Council FROM: City Staff SUBJECT: Recommendation to Authorize the City Manager to Implement a Beach Parking Rate Program for Summer 2000 Consisting of: (1) The Creation of Short Term Parking at the Rate of $1.00/hour for a 2-Hour Maximum Stay Within Three Beach Lots, Including Approximately 75 spaces in the 1640 Appian Way Lot, 87 Spaces in the 2030 Barnard Way Lot and 68 Spaces in the 2600 Lot and (2) Reduced All Day Parking Rate to $5.00 Year- Round in the 2030 and 2600 Barnard Way Lots: and Receive the Report on the Coastal Parking and Circulation Study INTRODUCTION This report recommends that the City Council authorize the City Manager to implement a beach parking rate program for Summer 2000 consisting of: (1) the creation of short term parking at the rate of $1.00/hour for a 2-hour maximum stay within three beach lots, including approximately 75 spaces in the 1640 Appian Way Lot, 87 spaces in the 2030 Barnard Way Lot and 68 spaces in the 2600 Barnard Way Lot and (2) the reduction of the all day parking rate to $5.00, year-round, in the 2030 and 2600 Barnard Way Lots; this report also transmits the Final Coastal Parking and Circulation Study Report and provides updates on other measures that were evaluated. BACKGROUND In November, 1998, the City Council authorized a Coastal Parking and Circulation Study to develop a comprehensive set of strategies to improve parking utilization and circulation within the coastal area of the City. The study provided an integrated approach to a series 1 of separate but related parking and circulation issues as part of the City?s FY 98/99 Community Livability Collaborative Objective. The study addressed: (1) parking rate strategies to improve utilization in the beach and pier parking lots: (2) measures to improve circulation and reduce traffic congestion, particularly in the vicinity of the Santa Monica Municipal Pier, including the development and analysis of alternative Pier ramp structures; and (3) measures to increase on-street parking within the coastal area. A series of Community Workshops were held to obtain community input. An initial workshop was held and questionnaires were distributed on December 10, 1998. A Draft ?Report on Identification and Evaluation of Alternative Measures? was distributed at an April 14, 1999 Workshop. A follow-up workshop to discuss the report was held on April 29,1999. Preliminary recommendations were presented at a September 13, 1999 workshop. A Final "Report on Identification and Evaluation of Alternative Measures," dated March, 2000 (Attachment E), summarizes the alternatives reviewed and community feedback. Over the course of the study, City staff met with stakeholder groups including the Pier Restoration Corporation (PRC), Ocean Park Community Organization (OPCO) and the Main Street Merchants Association (MSMA). Their comments are summarized later in this report. The primary objectives of the study were to: ? Reduce coastal traffic congestion and neighborhood impacts by encouraging visitors to park in the south beach lots during peak periods. 2 ? Improve on-street residential parking in the coastal area. ? Improve circulation in the coastal area, particularly around the Santa Monica Pier. ? Increase efficiency of beach area circulation and evaluate beach and Pier parking lot charges, including rates and methods of collection. ? Integrate the coastal circulation and parking improvements with other efforts currently underway in the Main Street and Downtown areas. ? Ensure adequate beach maintenance and capital reinvestment by minimizing revenue losses to the Beach Fund, which is dedicated by law to operate, maintain and improve beach facilities. Beach Parking Findings As a way to manage congestion around the Pier, higher rates were modeled on the Pier and immediately adjacent lots, with the lowest rates in the south beach lots where a large number of spaces are available. The study found that: ? Lower rates in the south lots would encourage higher utilization and therefore improve circulation around the Pier during peak periods. ? The average length of stay in the beach lots was slightly over two hours. ? There is a demand for short term parking in the beach lots. ? Lots were not fully utilized in the south, while they were 80% utilized in the area adjacent to the Pier during peak summer days. ? Due to the average length of stay, a substantial increase in the amount of short term parking would result in significant revenue reduction to the Beach Fund. 3 The study therefore, focused on providing a limited amount of short term hourly parking, while providing flat rates that varied by location and season. Ramp Alternatives The study also focused on Pier access issues. Several alternatives and preliminary cost estimates were developed for a one-way vehicular ramp from the Pier directly down to the 1550 PCH parking lot as a way of addressing the congestion that occurs at the top of the Pier. Currently, on peak days when the Pier parking lot fills up, cars either turn around on the Pier or are headed off at the top of the Pier and directed to other lots or down to the 1550 PCH lot through Appian Way. The ramp alternatives evaluated consisted of: 1) a ramp through the Pier deck; 2) a "T" off the north side of the Pier bridge; 3) a structure that angles off the north side of the Pier bridge; and 4) a structure that parallels the Pier deck on the north side. All alternatives result in the loss of some parking spaces in the 1550 PCH lot. The PRC, a long-time advocate of a Pier Ramp, prefers the fourth option because it preserves flexibility on the Pier deck, facilitates pedestrian circulation and minimizes visual impacts. The preliminary cost to construct a ramp is estimated to range up to $1.2 million in 1999 dollars. Based on current construction cost trends, it could be significantly higher by the time it were built. The next step in evaluating a potential Pier ramp is to conduct the environmental review, including analysis of traffic and aesthetic impacts. The Preferred Project would be the fourth alternative, as described above, and all other options would be studied as alternatives. Based on the current projects underway, including the Transportation Yard Master Plan, the Breakwater and the revision to the Civic Center Master Plan (Rand 4 Acquisition), the environmental review process could be initiated in Fall 2000. In addition to the environmental analysis, the ramp concepts must be evaluated in light of the 1973 voter approved Santa Monica Bay Ordinance. If it is determined that a ramp is subject to the ordinance, voter approval is required before the project proceeds. Other Circulation Measures The study identified and evaluated other circulation measures, particularly in the vicinity of the Pier. Several new signals on the Pacific Coast Highway (PCH) were evaluated, including a south-bound only ("half-signal") at the exit of the 1440 PCH lot to allow people to safely exit the lot and merge into the lanes accessing the 10 Freeway. A full signal at the 1150 PCH lot was identified as a measure to facilitate left turns into this lot. This is the first access point north of the tunnel and during peak days the line of cars waiting to make a left-turn into the 1150 lot can back cars up on PCH to the tunnel. A signal could better regulate the flow, particularly if it were also connected with the signals north of this location. Caltrans has jurisdiction over PCH and has been asked to evaluate these locations for possible installation of new signals. A real-time traveler information system was also evaluated. This type of system could be viable in the future, but is not recommended at this time because of the extent of telecommunication linkage required and the cost of the system. Flyover ramps were considered from the Santa Monica Freeway to the 1440/1550 PCH lots, but these proposals have considerable negative impacts to the Palisades bluff area and result in a loss of parking spaces in 1440/1550 PCH lots. 5 Other Parking Measures A total of eleven specific measures were developed and evaluated to increase the on- street parking supply in the coastal area. Out of this, a total of 39 new on-street parking spaces will be implemented, including: approximately 25 spaces on Ocean Avenue between Pico and Bicknell; 10 spaces Bay between Ocean Avenue and Appian Way; and 4 spaces on Ocean Park Boulevard, just west of Neilson Way. The addition of 70 new short-term off-street parking spaces in Lot 9 on Neilson Way, between Ashland and Hill, will soon be under construction. These are new public parking spaces not considered in this study. Street sweeping schedule modifications are being developed to allow overnight parking at approximately 160 on-street spaces. Implementation of these changes is already underway. Overnight parking restrictions are being modified on Ocean Avenue between Seaside Terrace and Pico Boulevard. The study also identified modifications to allow overnight parking on the east side of Neilson Way south of Pico Boulevard, to correspond with the changes on the west side of the street. This will be implemented after completion of the Neilson Way improvements. The study evaluated several proposals to add off-street parking, including double decking the 1550 PCH lot, paving sand west of the 1440 PCH lot or paving the area south of the 1440 PCH lot. However, adding spaces in this area was not consistent with an objective of the study to relieve congestion around the Pier and encourage beach goers to use the available capacity in the south beach lots. 6 DISCUSSION Creation of Short Term Parking: A consistent theme heard from the community was the need for short-term parking to facilitate brief visits to the coastal area. In order to respond to the request for short term parking, staff estimated the potential demand, the impact on the Beach Fund and the feasibility of implementing a program for Summer, 2000. Staff recommends a pilot for this summer, followed by an evaluation of its success and funding impacts. Council will consider the resulting recommendations before Summer, 2001. The short term parking recommendations for Summer, 2000 consist of the following elements: ? Location of Spaces: Based on public comment, there is a demand for short term parking in the areas south of the Pier. Staff recommends creation of short- term spaces within three beach lots, distributed throughout the area south of the Pier, as shown in the map in Attachment A. The Appian Way spaces are the first lot south of the Pier and will facilitate visits to the new South Beach improvements and the Municipal Pier. The short-term spaces in the two southern-most lots, 2030 and 2600 Barnard Way, will provide an attractive alternative to beachgoers who currently park in the adjacent Main Street lots and in neighborhood streets where there is limited capacity. Number of Spaces: The recommended number of short-term spaces was determined based on the anticipated revenue impact and the physical limitations of each lot. The revenue impacts are discussed in more detail below. 1640 Appian Way: The entire lot will be converted, resulting in 75 short-term spaces. 2030 Barnard Way: A mid-section, just north of Hollister Avenue will contain approximately 87 spaces. 2600 Barnard Way: The northern-most will section contain approximately 68 spaces. In both the 2030 and the 2600 lot staff evaluated proposals to expand the number of short term parking spaces. These proposals are discussed later in the report. 7 ? Rate: The short-term spaces will cost $1.00/hour. The price is comparable to the rate charged by other Southern California coastal cities surveyed as part of the study. The adjacent on-street meters along Ocean and Barnard Way will also be converted from $.50/hour to $1.00/hour to be consistent with the meters in the beach lots. Council will consider a resolution to revise the street meter rates in time for implementation this summer. ? Length of Stay: The short-term parking will be restricted a 2-hour maximum stay. The 2-hour time limit is sufficient for someone to make a short visit to coastal recreational and/or food facilities. The duration data collected as part of the study found that the average length of stay at the beach is only slightly over 2 hours. The maximum stay will be strictly enforced and vehicles will be ticketed if they stay beyond the established length of stay. Those who desire a longer visit can park in either the 2030 or 2600 lot for $5.00, or park in the other beach lots for $7.00. Signage will be developed to make this clear to the visitor. Reduced All-Day Rate /Congestion Management: The recommended Summer, 2000 program includes a congestion management component through the reduction of the summer daily rate in the two southern-most lots, 2030 and 2600 Barnard Way. A reduced all-day parking rate of $5.00 year-round is designed to attract beach goers away from the central Pier lots during times of peak congestion. The maximum weekend rate of $7.00 will still be in effect for all the other beach lots. Marketing is a critical element of the congestion management aspect of the program in order to inform people of the lower cost beach parking option before they arrive at the beach. A marketing program is being developed by staff and will be implemented in time to influence visitor behavior during the summer of 2000. The current maximum rate of $7.00 was set by resolution for the Pier lot in June, 1998 and for the Beach lots in May, 1991. Rates up to that maximum can be set by administrative action and therefore the City Manager will implement this summer's program administratively. A recommendation to increase the peak rates at the Pier and 8 the lots close to the Pier was considered for this summer but will be deferred until the conclusion of the pilot program. Santa Monica's current maximum of $7.00 is $2.50 less than the neighboring County-operated lots at Will Rogers and Venice Beach. Maintaining Sufficient Beach Fund Revenues: The creation of short term parking in the beach lots and reducing the current daily beach lot rates will both have a significant negative impact on the operating revenue for the Beach Fund. Community members have advocated for a larger number of short- term spaces and lower daily charges than are recommended. Attachment B provides the range of alternatives that were analyzed for the 2030 and 2600 lots and the estimated revenue loss to the Beach Fund, ranging from $57,000 to $465,000. Beach Fund revenue is critical to the operation and maintenance of the beach. The beaches within Santa Monica are owned by the State of California. Through an operating agreement, the City of Santa Monica is responsible for the care, maintenance, development, operation and control of the state beaches. The operating agreement limits the City?s charges for parking and other services to the actual costs for operation, maintenance, control and development of the state beach. Parking receipts account for over 85 percent of the beach fund revenue. The remaining 15 percent comes from concession stands, special events, and miscellaneous leases. Attachment C shows the actual revenue from these sources for fiscal year 1999-00 totaling just over $4.1 million. That revenue supported beach maintenance services, lifeguard services, harbor patrol, beach police patrols, parking operations, the Pier/Beach Shuttle, and beach 9 management in the amounts noted in Attachment C. During fiscal years when the summer season is warm and beach attendance is high, revenues that exceed operating costs are used for capital improvements or are held in reserve for cooler summers when revenues drop below operating expenses. Attachment D provides the Beach Fund actual revenues and expenditures for the past five years, from FY 1994-95 to FY 1998- 99, and the estimate actual revenues and expenditures for FY 1999-00. Over the past five years sufficient revenues have been generated to support expenditures. The recommended program is anticipated to result in a significant revenue loss to the Beach Fund of approximately $295,000 ($50,000 loss in the 1640 lot and $245,000 loss in the 2030 and 2600 lots) and loss of parking tax revenue to the General Funds of $29,500. These losses are projected even if there is substantial increased utilization of the spaces. The revenue estimates assume that 50% more vehicles will use the spaces at the short term rate of $1.00/hour and 20% more vehicles will use the daily spaces in the 2600 and 2030 lots as a result of the reduced $5.00 daily rate. This translates into an estimated 32,000 additional vehicles utilizing the lots annually. These vehicles will circulate through the coastal area, including neighborhood streets, as they access the short term parking. OTHER COMMENTS AND ALTERNATIVES CONSIDERED Community and neighborhood groups were actively involved and had considerable input to the process. Various additional alternatives were analyzed in response to input from these groups. A summary of these issues is described below: 10 ? MSMA and OPCO: both the Main Street Merchant Association and OPCO asked the City to consider additional short term parking and lower beach rates to attract beach-goers away from the adjacent commercial and neighborhood areas. The analysis shown in Attachment B responded to this request and shows the resulting additional revenue loss. MSMA is specifically interested in adding more short-term spaces (beyond the proposed 68 spaces) in the 2600 Barnard Way, noting that the 2600 lot is closest to the most intensive Main Street parking demand. The configuration, layout and circulation patterns in the lots dictate the amount of short term parking that can be created. For example, the minimum number of short term spaces that can be accommodated in the southern portion of the 2600 lot (not including the section with 68 spaces) is 287 spaces. This is due to the fact that adequate access and circulation must be provided as part of any short term parking configuration. Main Street representatives presented several alternative ways of dividing the 2600 lot into short term parking areas and identified an alternative configuration with 287 short term spaces in the south east portion of the 2600 lot. This proposal would result in a net increase of 219 spaces over the 68 spaces recommended by staff, with an estimated additional revenue loss of $125,000 to the Beach Fund (bringing the total loss to the Beach Fund to $420,000) and estimated additional loss of parking tax revenue to the General Fund of $12,500 (bringing the total loss to the General Fund to $42,000.) ? The Pier merchants advocated for conversion to an hourly pay-on-exit system on the Pier for non-summer weekdays to encourage lunchtime visitors to the Pier. It was found to be revenue neutral for the Pier Fund if the charge were set at $.75 every 30 minutes, with a maximum rate of $4.00. This is a concept that could be explored for implementation once summer has ended. ? The Pier merchants advocated a change in the effective date for the start of the shoulder rate season. Currently summer rates apply through September and lower st shoulder rates begin October 1. The Pier merchants have noted that utilization drops off after Labor Day and if the rates were lower in September more people would be attracted to the Pier, particularly during the weekday for lunch. The estimated revenue loss to the Pier Fund from that proposal ranged from $10,000 to $20,000 depending on whether it was implemented half-way through September ($10,000 loss) or for weekdays, only, immediately after Labor Day ($20,000 loss.) However, these estimates were based on an assumed increased Summer daily rate of $8.00 and would require recalculation if this were to receive further consideration. ? The Pier merchants also proposed a reduced late night rate on Pier, so that people entering after 10 pm would pay half the daily rate. The estimated annual loss to the Pier Fund for implementing this measure is $40,000. 11 BUDGET/FINANCIAL IMPACT As noted above, the major financial impact of the staff recommendation is the estimated annual loss to the Beach Fund of $295,000 and an associated estimated loss to the General Fund of $29,500 in parking tax revenue. Since these changes will be implemented for Memorial Day weekend, there will be a negative impact to this year's budgeted revenue estimated at $24,600 for the Beach Fund and $2,500 for the Parking Facilities Tax Fund. Any future Beach Fund revenue shortfalls due to the adoption of these recommendations will require an on-going General Fund subsidy to the Beach Fund. As a partial mitigating factor, the 39 new metered on-street spaces and the increased meter rate of $1.00/hour for the meters directly adjacent to the coastal lots will produce additional revenue of approximately $60,000 to General Fund. Although $90,000 will be generated from the 70 additional metered spaces soon be added to Lot 9, that revenue flows to the Parking Authority. General Fund revenue will also be generated from parking citations issued in the new short-term beach lot parking spaces when drivers fail to pay for sufficient time or overstay the maximum time limit. The potential amount of ticket revenue is not known. A one-time expenditure will be required to install a short term parking solution at the three locations Funding for any improvements, for marketing and signage is available in Account #C11064900.589000. Parking enforcement of the three short-term lots will be covered with current personnel. CIP Account #C01045400.589000 contains 12 adequate funding to conduct the necessary environmental review for the Pier ramp project, which is anticipated to cost $200,000. RECOMMENDATIONS Staff recommends that the City Council authorize the City Manager to implement the recommended Beach Parking Rate Program. Prepared by: Suzanne Frick, Director, Planning and Community Development Ellen Gelbard, Deputy Director Planning and Community Development Lucy Dyke, Manager, Transportation Management Barbara Stinchfield, Director, Community & Cultural Services Elaine Mutchnick, Acting Beach Manager Jeff Mathieu, Director, Resource Department Mark Richter, Manager Economic Development Craig Perkins, Director, Environmental &Public Works Management Tony Antich, City Engineer Dave Britton, Senior Civil Engineer Attachments: Attachment A - Map of Summer 2000 Implementation Attachment B - Rate Scenarios for 2030 and 2600 Barnard Way Parking Lots Attachment C - Estimated Actual Beach Operating Budget FY'99-00 Attachment D - Beach Fund Revenue and Expenditure Five Year History Attachment E - Santa Monica Coastal Parking and Circulation Study: Identification and Evaluation of Alternative Measures 13