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Council Plans to Reject McGinn’s Commercial Parking Tax, Raise Parking Rates (But Not On Sundays)

The city council, wrapping up its daylong budget meeting, outlined the changes it plans to make to Mayor Mike McGinn’s proposed transportation budget. The council:

• Agreed to increase the city’s maximum meter parking rates, though not to the $5 level McGinn proposed. Instead, the council agreed to increase the citywide ceiling to $4 (currently, it’s $2.50) and do an evaluation of street parking occupancy around the city; the goal of that study would be to establish a parking rate where about 85 percent of on-street parking would be full at any time (or, put another way, that one or two spaces would be open on every block). It would be up to the mayor and city transportation department to set the specific rates in every neighborhood.

Currently, council member Mike O’Brien said, the price for parking in many neighborhoods “is just too low, and you can’t find” a spot. Council transportation chair Tom Rasmussen said he avoided neighborhoods like Capitol Hill because it’s just too hard to find parking there. However, council budget chair Jean Godden objected to raising rates, calling Seattle’s current parking rates “terribly, outrageously high, more expensive than anywhere in the country.”

• Decided (though by no means unanimously) against charging for parking on Sundays, a proposal that would have raised about $1.6 million over the next two years. Council member Nick Licata said it would “behoove” the council, at a time when so many other fees are going up, “to cut the public some slack by not charging” for parking on Sundays. “I know people appreciate having a holiday, and I would feel a little like a Grinch taking away this one holiday.” However, both Rasmussen and Burgess said the council needed to be open to charging for parking on Sundays. “We need to have this [decision] be data-based so that we serve our parking management and traffic management policies in the most informed manner possible, rather than [making parking decisions based on] simply sentiment,” Rasmussen said.

• As PubliCola first reported in mid-October, the city plans to start placing immobilizing “boots” on cars owned by people who have failed to pay four or more parking tickets in a row, a proposal that would net the city an estimated $2.9 million over the next two years.  Those who fail to return a booting device within 48 hours would be subject to criminal prosecution.

Some council members expressed concerns about educating the public on the new program, which would require people whose cars are booted to pay their fine, remove the boot themselves, and return it to one of four designated locations. “We need to make [the return policy] really clear to people, because I can see someone just leaving it on the curb,” council president Richard Conlin said. Licata also expressed concerns about making it easier for people to return boots or have them removed by the city (if, for example, the 16-pound device is too heavy for someone to lift). And O’Brien said he would want to make sure the new policy didn’t disproportionately target low-income people, non-English speakers, and people of color.

Burgess was less sympathetic. “I’m all for an education effort, but remember, these people have gone through an education effort four times already,” he said, referring to the number of unpaid tickets required before a car can be booted.

• Rejected McGinn’s proposal to increase the commercial parking tax, currently 10 percent, to 17.5 percent, raising about $19 million over the next two years. Instead, the council will increase the tax to 12.5 percent and implement a new vehicle-license fee of $20. The mayor has proposed funding his Walk Bike Ride programs, which include things like sidewalks, bike paths, and pedestrian lighting, by raising the parking tax. Council president Richard Conlin said that although “there’s nothing necessarily wrong with increasing the commercial parking tax per se …. there is a tremendous amount of nervousness in our downtown” about the prospect that a higher tax would drive customers to the suburbs and prevent people from opening businesses there.

Although council president Richard Conlin—referring to the fact that McGinn has so far declined to suggest where the council should cut if it doesn’t fund his proposed parking tax increase—said McGinn “made it clear that his lowest priorities were the ones that are being funded with [the parking tax increase],” that’s not exactly true. Although McGinn did say he wanted the parking tax to pay for the Walk Bike Ride initiative, he never said that initiative was his lowest priority; he merely declined to tell the council what his priorities were. (In a letter to the council yesterday, McGinn again insisted that cutting the parking tax meant cutting specific programs—something council members and staff have vehemently denied is the case). The council could decide to cut elsewhere and fund Walk Bike Ride instead. However, they seem unlikely to do so—prompting both Licata and O’Brien to express disappointment in their colleagues’ “priorities.”

“If we accept these cuts, we will be pushing back [the pedestrian and bike master plans] even further,” Licata said. “I would encourage council members to think again about whether the [parking tax] could be nudged up a bit to take into account some of these really pressing needs.” O’Brien added that viewed in the context of a $300 million-plus transportation budget, the $20 million proposed for pedestrian and biking programs “is really just a drop in the bucket. … It’s hard to tell the public that these are our top priorities.”

The council did, through the license fee, add back some funding to work on South Park Bridge replacement, to clean up homeless encampments, to implement the Transit Master Plan, and to increase the neighborhood street fund.

• Raised a number of other fees, including fees for residential parking zone permits, street use permits, truck permits, and permits for utility companies to cut in to city streets.

Want even more city budget information? Hundreds of pages of details await you here.




  • DMeinert

    I want the Council to do more than come out for our against a tax. Explain what THEIR priorities are. We know what the Mayor’s are because they are in the budget.

    So far I see they are bowing to big business downtown. So that’s the priority?

    “sidewalks, bike paths, and pedestrian lighting” are going to be cut? So liveability and public safety (lighting) is not a priority for the Council?

    I keep thinking Seattle is a progressive City and the Council is full of progressive politicians. When I read this article it definitely seems otherwise.

    The council’s priorities seem to be auto-based solutions that big business supports, from this budget to the tunnel. That’s sad.

  • Elijah

    The Council signs a blank check for a $3.1 billion two-mile stretch of congestion causing underground freeway that benefits the wealthy few; while rejecting a couple of million for sidewalks, bike lanes and transit improvements that benefit many. They punt ped-bike-transit back to the voters because they’re afraid they might upset the DSA and the Chamber by raising the CPT while they throw hundreds of millions at the tunnel no questions asked. Actions speak much louder than words.

  • Jon Scholes

    David, who is this “big business” you speak of? Over 90 percent of all the employers downtown have less than 100 employees.

    And collectively, these businesses are investing millions of dollars every year in commute trip alternatives (i.e. transit passes for their employees, bike storage, showers, car pool and van pool parking, Zip Car memberships, etc.). Here are some case studies explaining what just a few downtown employers are doing: http://www.commuteseattle.com/?page_id=232

    Statewide, private employers invested $49 million in transit passes and other programs to support alternative forms of commuting in 2004 (CTR Board Report to the Legislative 2009). This is hardly an “auto-centric” approach.

    Moreover, downtown property owners directly fund Commute Seattle (in partnership with Metro and the City) to work with employers to establish programs that promote alternative forms of commuting. http://www.CommuteSeattle.com

    The Council saw the flaws in the Commercial Parking Tax as articulated by UW and others and rejected this narrowly applied revenue source which taxes parking in our most dense neighborhoods and lets areas with massive amounts of “free” parking off the hook. In its place they have moved forward a $20 vehicle license fee to fund transportation improvements and importantly they’ve set up a citizen process to take a thoughtful look at how we meet some of our major unmet transportation needs in this city.

    The least of which, in my opinion, is how we are going to save our Metro bus service in Seattle. New investments in bike lanes and ped improvements are really important. So too is preventing the transit system that carries around 400,000 people every day in King County and close to 40% of commuters in downtown every morning from falling off a financial cliff.

  • Dente

    I think you’re confusing failure to increase with a cut. This year: same as last year, but not more than last year. Most public programs are being cut; status quo should be counted as a big win in this economy.

  • Pine Grove

    Council: Agreed to increase the city’s maximum meter parking rates, though not to the $5 level McGinn proposed. Instead, the council agreed to increase the citywide ceiling to $4 (currently, it’s $2.50) and do an evaluation of street parking occupancy around the city; the goal of that study would be to establish a parking rate where about 85 percent of on-street parking would be full at any time (or, put another way, that one or two spaces would be open on every block).

    A. Am I hallucinating, or wasn’t $4/hour McGinn’s proposed rate to begin with? I don’t recall him proposing $5.

    B. Isn’t the 85% occupancy precisely what McGinn and really SDOT were aiming for to begin with, and didn’t such study already take place?

    Good to hear Rasmussen talking about “data-based” parking policies.

    P.S. Good rebuttal from Jon Scholes regarding the disparity between paid/taxed parking and free/untaxed parking.

  • http://manywordsforrain.blogspot.com/ Mr Baker

    A.He proposed a $4 rate but a $5 ceiling. That was kind of glossed over.
    B. Same goal, only the council wants some facts and data when making their decision.

    What was the mayor planning on using the $1 more in the ceiling for?

  • fun with budgets

    Erica,

    Re: Councilmember Conlin’s comments on the Mayor’s priorities – actually what Conlin said is exactly right. Please see for yourself, from the 10/20 Transportation budget presentation to Council:

    http://www.seattlechannel.org/videos/video.asp?ID=2061042

    (87:00) There is a whole segment where CM Conlin and Budget Director Beth Goldberg are sparring about the priorities of the Council vs. Mayor. You reported on it yourself, here: http://www.publicola.net/2010/10/20/council-president-budget-director-clash-over-mcginns-transportation-budget/

    (96:24) What you seem to have missed is that immediately after comes this question from Councilmember O’Brien, who asks Beth Goldberg whether the programs/projects outlined in the $10M CPT proposal are “the lower priorities?” and Goldberg responds “Absolutely,” that cutting beyond that $10M would have “consequences,” and then continues on to talk about policy priorities.

    (99:20) Now, it was a quick answer from Goldberg in the affirmative that the 5% CPT would indeed fund the Mayor’s lowest priorities in the budget. But it’s important enough that as soon as she finishes speaking, Council Central Staff Director Ben Noble speaks up to clarify and reiterate, “the last dollars in, the lowest priorities, from the perspective of the Executive, were the things that were funded by the CPT.”

    That is what Conlin has been referring to for the last couple of weeks. Straight from the Budget Director herself.

    And, a nod to Dente’s comment, which is exactly correct.

  • Mr. X

    Just got back from New Orleans – you know how much they charge for parking in the French Quarter (which I think most people here would agree is a high-demand location)? $1.50 an hour.

  • Doc Johnson

    The Council owes us an explanation as to why they’re not raising taxes in the midde of a recession to fund the mayor’s pet programs?

    Only in Seattle.

  • http://profiles.yahoo.com/u/6SAQ6R2ZBGQQNNBXVJZG66K6KY Mickymse

    Parking Downtown or on Capitol Hill or in Fremont to go to high-demand bars and restaurants should cost much more than parking in Lake City.

  • http://profiles.yahoo.com/u/6SAQ6R2ZBGQQNNBXVJZG66K6KY Mickymse

    That anecdote doesn’t really tell me anything…. If I drive into the French Quarter on a Saturday, how long does it take me to find a vacant spot? That tells you whether or not the parking is properly priced.

    This isn’t rocket science. It’s the same basic (conservative) economic principles that we apply to seats on an airplane or a variety of other items.

  • eric

    There are other ways to address the budget deficit than raising fees and taxes. The city workforce has been cut by less than 2%, and there have been no reductions in pay. There are over 300 employees at Seattle City Light that make over $100K per year. How can anyone take the Mayor or Council seriously when they refuse to address the bloated and overpaid city staff.

  • DMeinert

    Jon Scholes, I love you. And all the above info is great. However it sidesteps my questions. If we don’t raise the parking meter rates, and we don’t make the cuts the mayor proposes, what cuts do you suggest we do make, and which taxes do you propose we do increase?

  • DMeinert

    And PS – while you point out the Council replaces the commercial parking tax increase with a car tab increase, you ignore that this means the parking tab increase can’t be used for increased for the Walk Bike Ride programs, which include things like sidewalks, bike paths, and pedestrian lighting.

    I am not getting what the vision for the City is if Walk Bike Ride isn’t part of it. Are you against this program as well?

  • DMeinert

    Doc – just the opposite. They owe us an explanation of how they don’t make the Mayor’s proposed cuts while at the same time not making the proposed fee increases.

    You can’t keep the programs and not raise the fees, without cutting somewhere else even more, or raising fees and taxes somewhere else.

  • http://manywordsforrain.blogspot.com/ Mr Baker

    Yes it should, but that doesn’t answer my question.
    He proposes a $4 rate and a $5 ceiling.

    Does the mayor have the power later to move the rate up to the $5 ceiling and what is he needing that dollar for?

  • http://manywordsforrain.blogspot.com/ Mr Baker

    It isn’t rocket science but you must produce empirical evidence. Direct observation is just not good enough. Sorry, your real life experience is worthless.

    Well, that’s all the hyperbole I have right now. I clearly need more coffee.

    Hope you had a good time.

  • Jon Scholes

    I love you too. I love your pizza, and cheap burgers, and that beer you brewed in CA. You’ve changed the subject though. Above you were talking about the Commercial Parking Tax and the Council’s decision not to raise it by 40% as proposed in the Mayor’s budget. The CPT isn’t a General Fund revenue source, but can only be spent on transportation projects – so by not raising it beyond what the Council already adopted, there is no impact to General Fund programs. As I stated above, the Council is taking a different route to funding ped, bike and other transportation improvements and raised the Vehicle License Fee and started a citizen process to identify what other transportation needs exist and how best to fund them. With regard to the parking rates, what we’ve said pretty clearly is that before making significant changes to on-street rates and hours, let’s do some thorough analysis in all neighborhoods with meters so we have good information on how best to price parking to ensure a certain level of availability (this is what many other cities have done). The four page report that was shared by SDOT a few weeks ago to back up the budget proposal – I believe – didn’t meet the test of a serious analysis. The Council (with some good cooperation between the Mayor’s Office and SDOT as I understand it) appears poised to have SDOT complete a thorough study of on-street parking in all neighborhoods with meters before the end of the year and then come back in January with a rate proposal that is informed by the information gained from the study. This is a thoughtful approach in my mind that may mean higher rates in some neighborhoods and lower in others than what is in place today. Most importantly, it will mean we are pricing parking based on good data to achieve clear policy objectives as opposed to revenue objectives.

  • Jon Scholes

    I love you too. I love your pizza, and cheap burgers, and that beer you brewed in CA. You’ve changed the subject though. Above you were talking about the Commercial Parking Tax and the Council’s decision not to raise it by 40% as proposed in the Mayor’s budget. The CPT isn’t a General Fund revenue source, but can only be spent on transportation projects – so by not raising it beyond what the Council already adopted, there is no impact to General Fund programs. As I stated above, the Council is taking a different route to funding ped, bike and other transportation improvements and raised the Vehicle License Fee and started a citizen process to identify what other transportation needs exist and how best to fund them. With regard to the parking rates, what we’ve said pretty clearly is that before making significant changes to on-street rates and hours, let’s do some thorough analysis in all neighborhoods with meters so we have good information on how best to price parking to ensure a certain level of availability (this is what many other cities have done). The four page report that was shared by SDOT a few weeks ago to back up the budget proposal – I believe – didn’t meet the test of a serious analysis. The Council (with some good cooperation between the Mayor’s Office and SDOT as I understand it) appears poised to have SDOT complete a thorough study of on-street parking in all neighborhoods with meters before the end of the year and then come back in January with a rate proposal that is informed by the information gained from the study. This is a thoughtful approach in my mind that may mean higher rates in some neighborhoods and lower in others than what is in place today. Most importantly, it will mean we are pricing parking based on good data to achieve clear policy objectives as opposed to revenue objectives.

  • Cheasty

    The Mayor is right on this one – increasing the CPT and meters on Sundays. The problem is he has such a divisive attitude and strategy (hammer, hammer, hammer) that no one wants to work with him on anything. I agree with him from a policy perspective but I don’t see that he has any love from the folks he needs to partner with to get an agenda passed. Not the Council, not Sound Transit Board, not PSRC, not the County, not the State – no one! You also don’t really see the “Streets for All” people out there very much on this. It’s a big bummer to me that we have someone championing these issues but that he utterly lacks any relationship building and diplomacy skills.

  • Jon Scholes

    Far from it. The question isn’t whether these (walk, bike, ride) are important investments, the question is what’s the most appropriate way to pay for them and what should be the priorities at this point in time. (I really wish we didn’t have to worry about huge cuts to bus service in in Seattle in the next 18 months, but we do.)

    The Commercial Parking Tax is a flawed revenue source for the reasons described above and for many others. For the first time ever, Seattle’s class A office space is cheaper than Bellevue’s. This is a competitive advantage we should leverage to attract jobs to Downtown (more people to go to happy hour at the Five Point). Why neutralize that advantage by increasing costs to existing employers that are up for a lease renewal or those that may be considering a move to Seattle?

    If we are going to invest in city-wide bike, ped and transit improvements, and we think that Seattle voters are demanding more investment in these areas, than let’s put together a proposal that includes a city-wide revenue source to pay for them. That’s why the legislature gave local governments the authority to create Transportation Benefit Districts and I am glad that both the Council and the Mayor support exploring this tool further.

  • Ghost

    The cheese stands alone!

  • Disclosure Please

    Really there are never planes that are full? And theaters always have empty seats.

    The same people that decry those evil corporations for maximizing profits suddenly come up with this market rate parking, not because of any economic theory, but because they hate cars, car drivers and want to punish them.

    Do you also think we should charge market rate for electricity, water, garbage and every other city service? I didn’t think so. Or how about your bus charges – how about doubling them? They would still be only half the cost of providing them.

  • Just Wandering

    Yes, cutting hours and wages and laying off people from family wage jobs does lessen the budget requirement. The city is laying off people, and they have imposed furlough days that effectively lower wages and to some extent the cost of doing business.

    These methods also lower levels of service and responsiveness to the public. And the net gain, or whatever, is that these less well-healed citizens can now do their part to help keep the economy in the basement.

    Further evisceration of the middle class is not the answer we seek.