Villaraigosa Considering Privatizing Metered Street Parking


Privatizing street parking.

There are few transportation-related measures that will
generate more controversy, more heated discussion and more strange bedfellows
than a proposal that combines flashpoint issues from across the spectrum: Smart
growth, privatization, parking, urban planning and budget issues all wrapped up
in one neat package.

And now, Los Angeles is considering privatizing our street
parking. 

On Monday, a joint meeting of the Budget & Finance and
Transportation Committees
, a report was presented from the Office of the City
Administrator about the benefits of the city selling the rights to maintain and
collect revenues from the currently-owned city parking.  In attendance were Councilmembers Bernard
Parks, Bill Rosendahl, and Wendy Greuel. 
Also present were a small horde of business interests looking to
cash-in.

It’s not like we’re going to wake up tomorrow and the city
will have handed over control of its parking meters.  However, because the city is looking to
collect a one-shot fee to plug a budget hole for the next two budget years;  unless someone stands up to fight the proposal
we could end up seeing a rushed process that is all about the city’s short-term
budget needs.  Such a deal could leave
Los Angeles with another significant hurdle to bringing the kind of
transportation reform the city really needs.

I was planning a giant post on the issue for tomorrow, but realized that it’s just too big to write about in one sitting.  So, as the city begins to examine the
possibilities of temporarily closing a budget loophole at the expense of a
revenue stream for the long-term; Streetsblog will devote a significant portion
of time and effort into examining the pitfalls and opportunities of privatizing
city parking.

Tomorrow, we’ll talk about some of the transportation reform
issues that are being experienced in Chicago, a city that recently privatized its
street parking.

Thursday, we’ll discuss some of the issues about how to
price the contract from potential bidders and how to control rate increases.

We’ll take a break on Friday, since I’ll be out of town.

Next, we’ll talk about some of the long-term
transportation issues the city should consider in drawing its RFQ.

We’ll wrap next Tuesday with a synopsis and try and answer any questions that come up in the comments section.

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It’s safe to say that Chicago’s privatized metered parking is unpopular.  Photo: jbo/flickr This weekend, the Times looked into some of the pitfalls the city should strive to avoid if and when it privatizes its metered and public garage owned-parking.  The Times correctly warns that while the scheme may close a budget hole temporarily, it […]

What Can Los Angeles Expect for the Rights to Its Meters?

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For the politicians looking to close a loophole in the city’s budget through privatizing street parking, the biggest question is going to be “how much money can the city get” for leasing enforcement and collection of paid street parking. Reporting from this week’s City Council hearing, Joe Linton writes, “The city is facing a $35M deficit in the current fiscal year. The deficit projected for next fiscal year was projected at $433M (out of a $7B budget), but that forecast is being revised to about $530M.” If Chicago got $1.16 billion for leasing control of its 36,000 meters, Los Angeles should be able to get at least that much for it’s 43,000 metered spaces, right?

Chicago Outsources Parking Reform to Morgan Stanley

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The Chicago City Council has approved by a vote of 40-5 a deal to privatize the city’s 36,000 metered parking spots for the next 75 years, trading meter revenues for an upfront payment of $1.15 billion. Under the agreement with Morgan Stanley Infrastructure, meter rates will rise substantially and some meters will operate overnight and […]