MEMORANDUM

Form revised May 5, 2009

2010-2011 BUDGET LEGISLATION FISCAL NOTE

Department:	Contact Person/Phone:	DOF Analyst/Phone:
SDOT	Margo Polley, 4-8329	Steve Barham 3-9084

Legislation Title:

AN ORDINANCE related to authorizing and collecting fees under the Traffic Code; amending Seattle Municipal Code Section 11.23.420 to authorize curb space parking permits in limited circumstances; amending Section 11.23.440 to allow parking privileges for car sharing activities; amending Section 11.72.054 to clarify which vehicles are authorized to park in car sharing zones; adding a new Section 11.23.150 to codify car sharing permit fees; and amending Sections 11.16.315 and 11.16.319 to establish a maximum limit and a fee for single-day use guest permits for parking in restricted parking zones.

· Summary of the Legislation: This legislation amends the Seattle Municipal Code relating to parking permits as follows:

Restricted Parking Zone, also referred to as Residential Parking Zone, (RPZ) Single-Day Use Guest Permits: The legislation establishes a new RPZ single-day use guest permit that can be issued for up to 50 per household per year at $1.00 per guest permit.

Car Share Parking Permits: The legislation authorizes creation of parking permits for car share companies to pay for the use of the rights-of-way in zones designated for car share vehicles. Additionally, the Bill establishes car share fees ranging from $300 for non-paid spaces to $3,100 for the highest tier paid spaces, depending upon location.

· Background:

Car Share Parking Permits. Car sharing provides an alternative to car ownership and complements the public transportation system. Recent studies indicate that car sharing programs reduce vehicle miles traveled and thus help alleviate traffic congestion. The City has a finite supply of on-street parking spaces, and shared parking reduces the demand for parking. Therefore, the City needs to regulate the use of car share spaces to promote reduced traffic congestion and the increased availability of public parking. Creation of car share parking permits will improve parking enforcement officers’ ability to ticket vehicles that illegally park in on-street car share parking spaces, preserving such spaces for car share customers. The City currently has 20 on-street car share spaces and anticipates having a total of 35 spaces at the start of 2010. It is thought that issuing parking permits for car share vehicles will reduce illegal parking in car share spaces, making car sharing a more attractive transportation alternative. Additionally, by charging fees, car share companies will be more judicious in their requests for the use of city rights-of-way.

Most car share spaces are located in unpaid areas, with a small number found in paid parking areas. Fees for use of the rights-of-way in unpaid parking areas are proposed at $300 per year to reflect right-of-way values. Fees in paid parking areas are set according to the average on-street parking revenue per space generated in that specific area. Car share revenues are projected to be $18,700 in 2010 and $31,600 in 2011.

SDOT’s 2010 Proposed Budget assumes additional spending authority of $18,700 for administering the program and implementing activities that support transportation demand management objectives to reduce auto ownership and use.

RPZ Single Day Use Guest Permit: As part of the 2008-2009 RPZ Policy Review project, draft recommendations were made to abolish the transferable guest permit in favor of single-day use guest permits. Constituents raised concerns regarding difficulties having multiple family members or friends visit at one time, and strongly supported retaining the biennial hangtag in addition to providing a limited number of single-day permits. The Seattle Department of Transportation (SDOT) staff ultimately concurred with this approach and has included it in the attached proposed legislation. No new funding is required to add the single-day use guest permit to the RPZ program as SDOT will include it when updating its online permitting system for 2010.

A $1.00 fee for each single-day use guest permit is proposed, with an annual maximum of 50 permits issued for each household located in the RPZ. We anticipate the RPZ single-day use guest permit will generate approximately $40,000 in ongoing annual revenue, assuming 4,000 individual households purchase an average of ten guest permits per year. (Approximately 14,000 individual households currently have RPZ permits.) No new budget authority is being sought in this legislation as costs associated with producing and administering the new permits will be captured within SDOT’s RPZ Cost Center.

___X_ This legislation has financial implications. Please complete all relevant sections that follow.

Summary of Changes to Revenue Generated Specifically From This Legislation: For budget legislation that changes revenue (e.g., fees, taxes, etc.), please provide detail on each revenue-producing item that is being changed, when it was last changed, and how the item’s new overall cost compares with similar costs charged elsewhere in the region.

	Revenue Source	2010 Proposed	2011 Estimated
	RPZ Single-Day Use Guest Permit	$40,000	$40,000
	Car Share Permit Fees	$18,700	$31,600
Total Fees and Charges Resulting From Passage of This Ordinance		$58,700	$71,600

(If new revenue is for a partial year, provide estimate for full year in the notes section below; also include the effect on the average customer, user or payer.)

Notes:

RPZ single-day use guest permit. This is a new permit and fee. The $1 per permit charge is comparable to what other jurisdictions charge nationally for similar single-day RPZ-related passes. The estimated new revenue is based on the following assumptions:

4,000 households x 10 permits x $1.00/permit = $40,000 new revenue

Car Share Parking Permits. This is a new permit and fee. Fees for use of the rights-of-way in unpaid parking areas are proposed at $300 per year to reflect right-of-way values. Fees in paid parking areas are set according to the average on-street paid parking revenue per space generated in that area as follows:

$300 in non-paid parking spaces

$900 where paid parking is $1.50/hr

$1,600 where paid parking is $2.00/hr

$3,100 where paid parking is $2.50/hr

New revenue is estimated to be $18,700 in 2010 and $31,600 in 2011 using the following assumptions:

Year

Spaces in Non-Paid areas

Spaces in Paid areas

Revenue

Non-Paid areas

Revenue

Paid areas

Total Estimated Revenue

2010

$8,700

$10,000

$18,700

2011

$13,200

$18,400

$31,600

The remaining paid parking spaces in these areas will absorb the parking demand, resulting in higher occupancy rates but no net loss in paid parking revenue.

Anticipated Total Revenue from Entire Program, Including Changes Resulting From This Legislation:

Fund Name and Number	Revenue Source	Total 2010 Revenue	Total 2010 and 2011 Anticipated Revenue from Entire Program
Transportation Operating [10310]	Permit Fees [422990]	$594,042	$1,357,022
TOTAL		$594,042	$1,357,022

· What is the financial cost of not implementing this legislation? (Estimate the costs to the City of not implementing the legislation, including estimated costs to maintain or expand an existing facility or the cost avoidance due to replacement of an existing facility, potential conflicts with regulatory requirements, or other potential costs if the legislation is not implemented) If the legislation is not implemented, SDOT would not realize the additional revenue and would not be able to implement the RPZ Guest Permit and Car Share Permit programs.

· Does this legislation affect any departments besides the originating department? If so, please list the affected department(s), the nature of the impact (financial, operational, etc)., and indicate which staff members in the other department(s) are aware of this Bill. Yes, SPD is aware of the operational impacts of enforcing single-day RPZ guest permits and the car share components.

· What are the possible alternatives to the legislation that could achieve the same or similar objectives? (Include any potential alternatives to the proposed legislation, such as reducing fee-supported activities, identifying outside funding sources for fee-supported activities, etc.) Without this legislation RPZ permit holders would not benefit from the added flexibility of being able to accommodate their guests. Fewer new car share spaces would be available.

· Is the legislation subject to public hearing requirements? (If yes, what public hearings have been held to date, and/or what plans are in place to hold a public hearing(s) in the future?) No.

· Other Issues (including long-term implications of the legislation):

Please list attachments to the fiscal note below: