Council trims $250,000 from parking meter fund; controller to relocate downtown outreach funding

The Bloomington Common Council on Oct. 9 adopted Amendment 1 to the civil city appropriation ordinance, reducing by $250,000 the amount budgeted from the parking meter fund for downtown outreach grants and directing staff to propose an alternative funding source in 2025.

The amendment sponsor said the parking meter fund is narrowly prescribed by Bloomington Municipal Code 15.40.0.015 and that downtown outreach grants likely do not fall within the fund’s permitted uses. "I don't believe the downtown outreach grants fall within the allowed uses," the amendment sponsor said during the motion to reduce Category 3 services and charges by $250,000.

Controller Jessica McClellan said staff had no objection to the amendment, explained the downtown outreach grants have been funded from the parking meter fund since at least 2018 and that the program had migrated administratively from the parking department to the Community and Family Resources Department. McClellan said the parking meter fund has a medium-sized cash balance and the $250,000 would return to the fund balance to be used for allowable infrastructure (parking meters, streets, curbs, sidewalks, bike lanes) and that staff will propose a new fund allocation for the outreach program in 2025.

Steve Wall, chair of the Parking Commission, urged a more comprehensive policy for parking revenues and supported the amendment. Council members discussed the narrow list of allowable expenditures under BMC 15.40.0.015 and the value of tracing revenue sources to uses; the amendment passed 9–0.

Next steps: controller’s office will present recommended alternative funding for the downtown outreach grants in 2025; the $250,000 will remain in the parking meter fund balance until appropriated for allowable infrastructure or reallocated by future council action.