Oswego reviews downtown parking-deck operations, permit rates and long-term funding

Rod, a staff member, presented an overview of the downtown parking deck and the village's management of overnight permits and maintenance funds.

The village owns and operates a two-level parking structure associated with the Hudson Crossing South building, Rod said. He said the upper level contains 59 parking spaces and the lower level 80 spaces; he also stated the structure contains "339 parking spaces" (the numbers in his report are internally inconsistent). The deck provides free daytime parking and restricted overnight parking with permits.

Why it matters: Board members said the deck's maintenance fund must be sufficient to handle both routine and major repairs. They debated whether to raise monthly permit rates now to build reserves or wait for a consultant structural assessment tied to a second parking deck under construction.

Rod said overnight parking is allowed between 2 a.m. and 5 a.m. only for permit holders. Two permit types are available: monthly permits limited to downtown residents and daily permits for visitors. Rod said a daily overnight permit costs $5 and the village originally established a $50 monthly fee for a first permit and $83 for a second permit. Under the villages parking license agreement with the developer, the village issues 185 overnight permits; staff may increase that number but cannot reduce it below that contractual level, Rod said. The agreement allows an annual increase of 5 percent or CPI, whichever is less, and staff has not increased fees since the program began in 2021.

Revenue and fund balance: Rod summarized 2024 permit activity and receipts: 214 daily permits, 59 seven-day permits and 911 resident monthly/multi-month permits, which together generated $101,477 in permit revenue in 2024; parking enforcement fines added $9,435, for a total of $110,912, he said. Rod reported the parking fund balance at about $317,367. He said the fund has been used for routine maintenance such as striping and will fund cameras and counters for the deck.

Long-term maintenance and escrow target: Rod told the board staff surveyed neighboring municipal decks (Naperville, Aurora, Geneva and Libertyville) to estimate long-term repair costs and proposed a target of about $100,000 to seed an escrow account for major repairs such as resurfacing or structural work. He said the deck at Hudson Crossing is less exposed to freeze-thaw conditions because it is heated and enclosed, which affects lifecycle expectations.

Board discussion: Several board members pressed staff on whether utility and maintenance cost inflation had been incorporated into revenue projections. "We've kept the fees the same over the years, and the fund can't stay the same if our fees are going up," one board member said. Steve, a staff member, said utilities are a pass-through from the developer's budget and that he is monitoring increases and building them into the village budget.

Trustees debated timing for any fee increase. Some favored a small, immediate increase (for example, a 5 percent or CPI adjustment) to begin building reserves. Others said the proper time to consider a larger adjustment is after the structural assessment: Walker Consultants is under contract to evaluate the new deck and staff said they can ask the consultant to provide a projection for the first deck as well. "I don't feel like we're justified to ask for more until we know how much more we're actually going to need," one board member said.

Second deck and future allocation of funds: Rod said a second two-level deck that will include 116 spaces is under construction with the next building. When that building nears completion, the village will need to amend covenants, conditions and restrictions and update the split of financial responsibilities with the developer. Rod also said the parking fund is not legally restricted solely to the original deck; the board can direct its use for other public parking projects downtown (for example, paving or temporary gravel parking at 6 and 12 Van Buren). Estimates provided at the meeting put full paving and storm improvements for a small lot at roughly $200,000 and a gravel temporary solution near $50,000.

Next steps: Board members asked staff to obtain consultant projections for Deck 1 repair needs and to return with those findings and any proposed fee changes after the study is complete. Staff also plans to monitor utilities and maintenance costs and to evaluate installation of parking counters and cameras.

"We need a consultant now to tell us whether the $100,000 number is a good number," one board member said, reflecting the consensus that an expert assessment is needed before committing to a larger, permanent fee increase.

Ending: The board concluded the item after asking staff to return with the structural assessment and with more detailed projections so trustees can decide whether, and by how much, to raise permit fees and how to prioritize the parking fund for downtown needs.