Downtown Parking Committee reviews draft budget: staff propose maintenance transfer to general fund, pause capital and tighten enforcement

City staff told the Downtown Parking Committee on March 19 that the downtown parking fund is in a budget deficit and outlined a draft two-year plan of accounting and operational changes intended to close the FY2026 gap and buy time for longer-term planning.

Staff said one of the primary proposals is to transfer State Street Promenade maintenance costs — including landscaping, street sweeping and janitorial services — from the parking enterprise fund to the city’s general fund. Staff said that transfer, combined with pausing some FY2026 capital work, will materially reduce pressure on the parking fund; pausing specified capital items would defer roughly $300,000 of capital spending in the coming year.

Staff outlined several operational “tune-ups” intended to generate incremental revenue or reduce losses without a large one-time change to rates. Those measures included: piloting pay-by-plate, priced parking in the Helena (funk zone) lot to reduce time-limit violations and increase turnover; using technology to limit abuse of the 75-minute courtesy period so the system caps repeat free periods per vehicle per day; simplifying and standardizing on-street timed parking (making blocks more consistent so enforcement is easier); and piloting discounted employee and residential 24/7 permits to encourage appropriate long-term parking in garages rather than chronic short-term shuffling.

Regarding the courtesy period, staff said the municipal code already prohibits abuse of the free period but enforcement is difficult; they are working with their access-control vendor, Skidata, to implement measures that would cap free uses subtly and reduce the “75-minute shuffle.” Committee members discussed balancing enforcement with visitor convenience and public safety; staff said outreach would precede any substantive enforcement changes.

Staff recommended a pilot discount for 24/7 residential permits, lowering a sample price from $250 to $125 for the pilot (staff said the discounted 24/7 permit would be offered across the board for that product). They also proposed a discounted employee permit pilot for the Ortega garage to encourage appropriate commuter parking while other system elements are tightened.

Committee members asked about the cost and long-term effects of deferring capital maintenance. Staff acknowledged deferral carries escalation risk for repair costs over time but said the department will prioritize a structures and facilities assessment update to forecast long-term capital needs before committing to larger spending.

Staff said the Helena-lot pilot would move the lot from a posted 90-minute/PD-enforced time-limit model to a paid, monitored model with a pay-by-plate revenue-control approach similar to the waterfront, and that the lot showed over 85% violations in a sampled assessment. Staff explained the waterfront-style approach issues a fee-due envelope rather than an immediate citation and that a customer-service and enforcement plan and business outreach would precede any change.

The committee will receive an updated draft at its April meeting before the city’s May/June budget processes. Staff solicited additional feedback about the tune-up options and said more outreach and refining of numbers with finance is underway.

Votes at the meeting’s start covered procedural items: the committee unanimously approved minutes from Nov. 11, 2024, and voted unanimously to delay election of the 2025 chair and vice chair until the April meeting.