SR-417-010 (17)
F:\PCD\PCIbudgetfinal.doc Santa Monica, California
City Council Meeting November 22, 2005
TO: Mayor and City Council
FROM: City Staff
SUBJECT: Amendment to Parking Operations Contract with Parking
Concepts, Inc., Appropriation of Funding for Operation of the
Library, Main Street and Ocean Avenue Lots in the Civic Center
and Additional Services in the Downtown Structures, and
Establishment of Library Parking Rates
Introduction
This report recommends a budget increase of $220,945 and authorization to modify
the existing parking operating agreement and budget to operate the new Library
parking structure, to operate parking lots on Main Street and Ocean Avenue in the
Civic Center and to add service in the downtown parking structures. This report also
recommends that the Council establish parking rates at the Library that are comparable
to other downtown rates.
Background
Parking Concepts, Inc. (PCI) was selected as the City?s parking operator for a term
extending from July 1, 2004 to June 30, 2007, pursuant to a competitive request for
proposals process. While the City was aware that operation of the new Library
structure and Civic Center lots would be at issue during the term of the contract and
that unified parking operation is desirable, the specific opening dates were unknown at
the time of the original award. Consequently the operational requirements and budget
for these facilities are not included in the current agreement.
The recommended amendment would authorize PCI to operate the Library facility and
parking lots on Main Street and Ocean Avenue (both located on the former RAND site).
It would also modify the staffing schedule in the downtown structures to allow for
additional supervision and to provide for higher operating costs related to the intensive
use of those structures.
Discussion
New Library Structure
The new Library Structure will be open to the public from 8:00 a.m. to 11:00 p.m.,
Sunday ? Thursday and 8:00 a.m. to 1:00 a.m., Friday and Saturday, and will be
accessible at all times to monthly parkers, starting as early as December 1. An
operating budget increase of $31,872 will accomodate this operating schedule. The
requested additional appropriation covers the staffing schedule and associated costs
as finally determined.
Main Street and Ocean Avenue Lots
The City intends to temporarily dedicate part of the former RAND site as employee
parking while the Civic Center parking structure is under construction. PCI will manage
the operation of these lots as non-revenue facilities, based on the unit prices and pay
rates specified in their contract for other parking facilities. The services will include
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periodic monitoring, operation and maintenance of the access control system and
coordination of other facility maintenance requirements. The PCI services for the Main
Street and Ocean Avenue lots will require an additional General Fund appropriation of
$22,961.
Downtown parking
The consolidated parking operations budget is supported by three funds: the beach
fund, the pier fund, and the general fund (for downtown parking). Revenues and costs
are allocated within the consolidated budget according to the receipts and expenses for
each of the three operations. Overall FY2004-2005 costs were within the budget, but
expenses for the downtown parking exceeded the budget due to higher than
anticipated activity levels and staffing requirements. Last year 625,000 more vehicles
parked in the structures than the previous year. To accommodate this additional
traffic, especially during peak exiting periods, evening shifts were expanded and
additional supervisors were scheduled. Ticket printing and labor costs consequently
exceeded expectation by $104,000.
To manage greater vehicle flow as well as to improve supervision and revenue
collection, additional expenditure authority is required. Increased revenue is expected
to more than offset the additional costs. Attendant parking revenue for the downtown
structures for FY2004-2005 was $800,000 higher than the budget anticipated, with no
increase in parking fees, so real increases in actual revenue last fiscal year exceeded
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the additional costs. To reflect full cost of the downtown operation, appropriation of
$141,429 for 2005/06 and $24,683 for 2004/05 is requested.
Proposed General Fund Parking Operator Budget 2005-2006
Budgeted Full Cost Net Request
General Fund $1,620,234 $1,841,179 $220,945
Downtown $1,543,020 $1,684,449 $141,429
Library Structure* $77,214 $109,086 $31,872
Main Street Lots** $22,961 $22,961
Downtown FY04-05 Additional Service $24,683 $24,683
*For December 05 ? June 06. ** For November 05 ? June 06.
Library Parking Rates
Proposed Library parking rates are similar to public parking rates in the area. Monthly
parking is proposed at the same rate ($75 per month) as all other downtown attended
parking facilities and the short-term parking rate ($0.50 per half hour) is proposed at
the same rate as downtown on-street meters.
Demand estimates prepared for Library parking suggest that approximately 250
monthly parking passes could be sold to the public. Short-term parking demand was
based on observed actual demand in the metered parking lot at the former Main Library
site, as well as anticipated Library expansion. Revenue should generate sufficient
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funds to offset operating costs and the revenue estimate was incorporated into the
current year budget.
Attachment A is a resolution authorizing the library parking rates.
Budget/Financial Impact:
A budget appropriation of $220,945 is required at account 01417.555010. Increase
the general fund revenue estimate by $410,000.
Recommendations:
1. Authorize the City Manager to execute an amendment to Contract #8360 (CCS)
with Parking Concepts, Inc. to authorize operation of the Library Parking
Structure and Main Street and Ocean Avenue lots in the Civic Center, as well as
to provide additional services for the downtown structure for FY2004-05 and
FY2005-06.
2. Approve the budget appropriations and revenue increases indicated above.
3. Adopt resolution setting Library structure fees at $75 per month and $0.50 per
half-hour.
Prepared By: Andy Agle, Interim Director, Planning & Community Development
Lucy Dyke, Transportation Planning Manager
Attachment: Exhibit A -- Resolution (See adopted resolution #10084) (CCS)
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