SR-417-002-06
F:\PCD\Share\StaffReports\valet ordinance request
Council Meeting: January 23, 2001 Santa Monica, California
To: Mayor and City Council
From: City Staff
Subject: Recommendation to Direct the City Attorney to Prepare an Ordinance
Regulating Valet Parking and A Resolution of the City Council of the City
of Santa Monica Establishing Fees for Valet Parking
Introduction
This report recommends that the City Council direct the City Attorney to prepare an
ordinance regulating valet parking and a resolution establishing administration and
enforcement fees. Although valet parking can provide convenient access to parking, it
must be effectively regulated to reduce traffic circulation and safety problems. Because
of special conditions in the downtown, such as high parking demand, congestion
problems and the need for coordinated management, staff recommends valet
operations within the downtown only be authorized pursuant to a franchise awarded by
the City.
Background
Parking and congestion are significant concerns for many residents of and visitors to
the City. Valet parking contributes to this problem. Currently there is no ordinance
specifically regulating valet parking throughout the City. Because of this, managing
and monitoring of valet parking activity has been inadequate to control negative
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aspects of valet parking activity, including improper circulation patterns, storage of
vehicles on City streets, loading and unloading interfering with auto and pedestrian
circulation, and disruption to adjacent residential neighborhoods. An ordinance
regulating valet operations would establish standards for service and minimize the
impact on traffic circulation. The ordinance will also provide effective enforcement
remedies and the ability to set by resolution, fees to support administration and
enforcement activity by City staff. Other Cities within the Los Angeles region, including
the Cities of Pasadena, Beverly Hills, West Hollywood successfully manage valet
parking by regulatory ordinance and through the issuance of permits and/or licenses.
Santa Monica staff has reviewed the provisions of the ordinances and regulatory
strategies used by these Cities prior to developing recommendations that would be
appropriate here.
The downtown presents unique challenges for valet operations and special regulations
are recommended. Parking resources in the downtown must be managed as a system
and valet parking should be a part of that system. In order to develop a higher level of
control over valet operations in the downtown, staff is proposing a more sophisticated
form of regulation, the establishment of a franchise system, for this area. Cities
frequently take this approach with the provision of services including taxicabs and other
transportation services, waste collection and disposal, use of the public right-of-way for
facilities or services, that require a significant degree of oversight in order to ensure
their operation will benefit the general community. The construction of the transit mall
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necessitates immediate regulation of valet operations in order to reduce congestion
and improve access during the construction period.
Discussion
Citywide Valet Requirements
For all valet operations outside the downtown staff recommends operators obtain a
valet permit. Staff is also proposing operating requirements for the ordinance based on
staff experience monitoring and operating valet systems, review of experiences in other
jurisdictions, experience with shortcommings of the current Santa Monica program as
well as input from businesses whose patrons use valet and valet operators themselves.
Recommended operating requirements are included in Attachment A.
In addition to the permit requirements and operating conditions, the ordinance will
contain provisions for enforcement. Staff in Transportation Managment Division will be
primarily responsible for administration and monitoring of compliance with the
proposed regulations. However, the ordinance may provide for a police officer to
temporarily suspend any valet operation if there are mutiple violations within a short
period, or if there is a traffic accident resulting from the operation of the valet.
It is anticipated that the permit application could require approximately ten hours of
staff review time prior to issuance, and that each location could require approximately 5
hours per month of staff monitoring for compliance.
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Fees for valet opeations would be set to cover administrative and enforcment costs. In
addition, valet operators will be required to compensate the City for use of the parking
space and lost meter revenue. Should the Council direct preparation of an ordinance,
staff will return with a resolution establishing appropriate fees.
Valet Parking in the Downtown
Staff recommends valet parking in the downtown become a unified valet parking system
managed and coordinated with the other downtown parking resources, with
standardized fees and signage, that will provide access to valet parking for all
downtown visitors while limiting the number of public parking spaces dedicated to valet
operations. Because of the unique conditions in the downtown and the need to
regulate both operations and pricing, a different approach is required than that
recommended for the rest of the City. The approach is to effectively manage all the
downtown parking resources and establish a hierarchy of parking, with valet parking
the most expensive, due to its convenience and negative impacts on the circulation
system, and self-parking available in municipal garages and on the streets with lower
rates for those who are willing to park and walk.
There are two options for Council consideration. One option would be to allow
individual valet operators to continue operating in the downtown but require standard
operating procedures and appearance requirements. In this approach, the City would
likely be unable to regulate the charge for valet service or coordinate the services with
other parking resources. Staff does not support this approach since it will be difficult to
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ensure uniform operations, pricing could not be regulated and the advantage of
coordinated management is eliminated.
The second option, as recommended by staff, is to operate valet parking in the
downtown pursuant to a franchise awarded by the City. A separate regulatory
mechanism, that is, a franchise system, is proposed for the downtown because of the
need to implement a systemic program that can be used by all visitors to the downtown
that want to use valet parking. A franchise system allows the City more control over the
selection and number of operators and provides a mechanism to implement a uniform
fee for parking, consistent with the hierarchy of parking in the downtown.
Other municipalities regulate valet operations within their downtown. In Old Pasadena
valet locations are established by the City and operators must adhere to uniform
requirements on signage and pricing. The valets are also open to the public and serve
all businesses in the area The City of Manhattan Beach licenses one valet operator to
use public facilities for valet parking within its downtown, and the City of Beverly Hills
contracts for valet parking within its surface lots and has contracted for a more general
downtown valet service. A similar, one-operator system is provided for the public at the
Burbank Airport.
A franchise would result in a coordinated operation throughout the downtown, so
patrons of any business have equal access to valet parking. The franchise would
require standard signage for each location and that operators accept all cars at a
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uniform rate. A uniform rate is necessary to encourage motorists use the valet most
convenient to their location and not to circle the downtown to shop for a different rate.
This rate will be set so it reinforces the hierarchy of parking, with the cost of valet
parking exceeding the cost of public structure parking. Drop-off and pick-up locations
would be identified by the City and could be limited to one per block.
Budget/Fiscal Impact
Preparation of an ordinance will have not direct fiscal impact. It is anticipated that with
the ordinance, staff will propose permit and franchise fees to offset the cost of
administration.
Recommendation
It is recommended that the City Council direct the City Attorney to develop an
ordinance establishing valet regulations citywide and establishing procedures to allow
valet operators in the downtown pursuant to a franchise agreement and preparation of
a resolution establishing administration and enforcement fees.
Prepared by: Suzanne Frick, Director of Planning and Community Development
Lucy Dyke, Transporation Planning Manager
Attachment A: Recommended operating and permit requirements
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