P&T COMMITTEE MEETING

 

PARKING FEE PROPOSAL

 

November 5, 2008

 

 

 

Parking Fee Background

 

·        Fees have not increased since initiating zoned system on July 1, 2003 and remain the lowest by far among the medium to large institutions in the UNC system.  (See UNC Comparison)

·        P&T is required by NC law to be self-supporting.  Primary goal is to keep fees as low as possible and base fees on paying for convenience.

·        P&T transfers approximately $250,000/yr to Transit and $180,000/yr to ECU Police

·        Fine forfeiture lawsuit requires 80% of fine revenue (about $400,000 per year) to be transferred to the public school (K-12) system. 

·        The lawsuit also decided that ECU P&T’s past fine revenue of $3.9 million (1996-2005) must be transferred to the school system, resulting in a decrease of ECU P&T’s reserves from $5.5 million to $1.6 million.  Reserves cover operating and capital needs.

·        P&T reserves should be around $3 million to prepare for master plan outcomes, including existing lot upgrades (from gravel), new surface lots and expected decks on Health Science and Main Campus (Student Union?).  Sustainable parking design (UNC Tomorrow) increases cost by using porous surfacing (asphalt/concrete) and landscaping.

 

 

Parking Fee Proposal

 

·        Positions have been eliminated and combined and other expenses have been decreased to keep costs low, but a fee increase is now needed to improve operations, increase fund reserves and prepare for future growth.  Master plan study will help improve efficiency and determine smart, sustainable growth.

·        Most fees are proposed to increase 17% starting July 1, 2009.  (See handout.)  This increase is less than inflation over this 6-year period and keeps our overall rate structure well below the medium to large UNC institutions. 

·        Fees could be increased over two years instead of one year. 

o       Over two years, the A permit would increase $24/year each of the next two years ($1/pay period).

o       The B and C permits would increase $12/year each of the next two years ($0.50/pay period or $1/month).

·        Student parking fees for Park-n-Ride lots (Minges and Carol Belk) will remain by far the lowest fees among the larger campuses in the UNC system.  In fact, students paid more ($120/year) under the old parking system for parking in these lots than they do now ($72/year).

·        Next year we also hope to improve continuity and fairness among staff parking - C vs. B zone.

·        To date, we have discussed this proposal with the Chancellor’s Executive Council (November 3), SGA Execs (President, Secretary and Chief of Staff) on October 31 and SGA Senate on November 10.  We plan to discuss with Faculty Welfare Committee and Staff Senate next.

 

PARKING FEE OPTIONS

 

 

Permit                                                 Fee Increase

Type                Permits Sold              100%(50%)               Revenue Added (100%/50%)

Reserve          58                                $72                                         $4,176

A                     2860                           $48 ($24)                               $137,280/$68,640

B                     4240                           $24 ($12)                               $101,760/$50,880

C                     4825                           $24 ($12)                               $115,800/$57,900

D                     1050                           $40                                         $42,000

M                     185                             $23                                         $4,255

                                                                                                            -----------------------------

 

                                                                                    100%              50% B/C        50% A/B/C

Subtotal of Reserve, D and M permits                   $50,431          $50,431          $50,431

Subtotal of fee increase options                             $354,840       $246,060       $177,420

                                                                                    ===========================

Total Revenue Added for Each Option            $405,271       $296,491       $227,851

 

 

Impact on Parking Reserves

 

            OPTION 1 - Full (100%) increase in 1st Year:

 

                                                            FY 09/10        FY10/11         FY11/12         FY12/13

Beginning Reserve                           1,400,000      1,818,696      2,331,060      2,234,838

Expected Profit (Loss)                     13,425            107,093          (501,493)       (112,423)

Revenue added ($24 increase)      405,271          405,271          405,271          405,271

                                                            =======================================

Ending Reserve                                $1,818,696    $2,331,060    $2,234,838    $2,527,686

 

 

            OPTION 2 - Increase B and C permits 50% in 1st Year and 50% in 2nd Year:

 

                                                            FY 09/10        FY10/11         FY11/12         FY12/13

Beginning Reserve                           1,400,000      1,709,916      2,222,280      2,126,058

Expected Profit (Loss)                     13,425            107,093          (501,493)       (112,423)

Revenue added ($12 increase)      296,491          405,271          405,271          405,271

                                                            =======================================

Ending Reserve                                $1,709,916    $2,222,280    $2,126,058    $2,418,906

 

 

            OPTION 3 - Increase A, B and C permits 50% in 1st Year and 50% in 2nd Year:

 

                                                            FY 09/10        FY10/11         FY11/12         FY12/13

Beginning Reserve                           1,400,000      1,641,276      2,153,640      2,057,418

Expected Profit (Loss)                     13,425            107,093          (501,493)       (112,423)

Revenue added ($12 increase)      227,851          405,271          405,271          405,271

                                                            =======================================

Ending Reserve                                $1,641,276    $2,153,640    $2,057,418    $2,350,266