ADMINISTRATIVE REPORT Date: June 7, 1995 TO: Vancouver City Council FROM: General Manager of Engineering Services SUBJECT: On-Street Parking Control Equipment RECOMMENDATION A. THAT Engineering Services continue its ongoing review of on- street parking equipment options to ensure that the technology used by the City of Vancouver provides the best value for the citizens of the City. Currently electronic parking meters provide the best value with the potential for future use of debit card technologies. B. THAT the General Manager of Engineering Services in consultation with the Director of Permits and Licenses and Director of Finance evaluate the options for an In Vehicle Parking Meter (IVPM) program, initially for use by commercial vehicles, and report back to Council. C. THAT a consultant be retained to assist staff in reviewing the security of Vancouver's parking meter operations and its structure at an estimated cost of $40,000. Funds for this work to be provided from the Parking Meter Replacement Reserve. COUNCIL POLICY There is no Council policy directly applicable to this matter. PURPOSE This report reviews on-street parking control equipment options, including a review of other cities and new technologies. SUMMARY In response to Council's request staff have reviewed various options for on-street parking controls. These options included parking meters, pay and display, and pay station equipment. This review included information from cities in North America and Europe as well as detailed evaluation of the costs and benefits of each option. In North America all cities rely on parking meters with a growing trend toward electronic equipment. In Europe there is a mix of meters and pay and display equipment with meters being the choice in many busy locations. The evaluation shows that parking meters are the most economic and convenient choice for on-street parking control. They are also easier to enforce and are reliable. Parking meters continue to provide best value for street control. Depending on the economics of the equipment it appears that the City should consider electronic meters and possibly smart card meters once a universal card standard is achieved. This could improve the public convenience, provide positive audit controls and reduce maintenance costs. The City could also consider the use of In Vehicle Parking Meters, particularly for select groups of users like commercial vehicles. This device would complement the City's parking meters and could be used to regulate presently unregulated zones such as commercial lanes or commercial zones. Pay and display equipment continues to be a recommended option for off- street parking lots, where more spaces can be served, walking distances are less, and space turnover is lower than on-street. BACKGROUND On December 13, 1994, City Council resolved that staff investigate alternatives to parking meters on streets, in particular the use of pay and display equipment, with emphasis on the economics of pay and display, how it could be implemented and where trials could be undertaken in the city. City staff have been proactive in reviewing equipment options and have been testing different types of parking meters including electronic equipment for many years. The City also has much experience with pay and display equipment used in the City's off- street parking operations. In undertaking this review staff looked at various alternatives to parking meters, reviewed street controls in other cities, and reevaluated the costs and benefits of each alternative. STREET PARKING CONTROL ALTERNATIVES The following is a brief description of various alternatives for street parking control. The detailed listing of advantages and disadvantages of each of these alternatives is attached as Appendix A. A. Mechanical Parking Meters Parking meters have been in use in Vancouver since the late 1940's. There are some recent changes with the introduction of electronic mechanisms for parking meters, however, the basic parking meter has not changed substantially, and is still the method of choice to control street parking in North America. The City of Vancouver generally uses double headed meters. The cost of a double meter is $750.00. B. Electronic Parking Meters - coin only acceptance This equipment is a refinement of the mechanical parking meter. The clock mechanism is replaced by an electronic timing device, and in most units the coin discrimination device is replaced by an electronic coin sensor. These units provide positive auditing and do not require the customer to turn a handle to activate the meter. Vancouver has tested various electronic meters over the past 8 years and currently has 100 of these units in use. The cost of a double electronic meter is $920.00. C. Electronic Parking Meter - smart card acceptance This equipment is similar to the above with the addition of a proprietary smart card reader. This equipment has just been developed by several parking meter suppliers and is designed to accept a prepaid debit card. There are no meters that have been designed to accept a credit card or common debit card, yet. The cost of a double smart card meter is estimated to be $1000.00. D. Pay and Display Equipment - coin only acceptance This equipment is used extensively on private property for the control of self-park lots. Typically one unit can control up to one hundred parking spaces with a walking distance of two to three hundred feet (from vehicle and back). On street, one unit could typically serve 10 spaces with the same walking distances. The cost/unit for a unit that can be used on the street ranges from $5,000.00 to $10,000.00. E. Pay and Display Equipment - credit card acceptance This equipment is a refinement of the above equipment that will accept credit cards. This type of control equipment was pioneered in Vancouver, and is now relatively common in use in other parts of Canada and the U.S. The cost per unit ranges from $6,000.00 to $15,000.00. F. Pay Station Equipment This equipment is similar to the above equipment, however, the customer does not have to return to their vehicle to display a ticket as the equipment is designed to identify payment for a marked space. All street spaces would have to be individually identified and numbered and it would be difficult to achieve this on street. The cost per unit ranges from $10,000.00 to $18,000.00. REVIEW OF OTHER CITIES City staff have contacted many jurisdictions in North America and some in Europe to request information about their street parking controls, and in particular, if they have used alternative control devices, such as pay and display equipment. The findings from the survey indicate that all jurisdictions in North America still support parking meters as the control device of preference for city streets. A number of jurisdictions have considered pay and display equipment, and a number also installed this equipment, particularly in the U.S. because they do not have a dollar coin. The most extensive trial of the equipment was in New York City, where, after some period of time, 200 pay and display units were removed because of problems they encountered. A summary of this information is in the following Table 1. Vancouver's meter operations relative to other cities appears to be one of the best. The City has low operating costs and high net revenues. TABLE 1 City Number of Annual Rev. Type of Equipment Comments meter spaces Boston 7,500 10,000,000 Mechanical meters Emphasis or coin collections for program 1330/space success. (Daily collection in busy areas) Calgary 3,800 3,500,000 Electronic mechanical Going to fully electronic meters with 920/space meters + IVPM smart cards. IVPM only interim program. (Commercial vehicles) Chicago 26,000 16,000,000 Mechanical meters all Emphasis in enforcement and ticket 615/space single head meters collection. Private company runs ticket collection program. Edmonton 3,200 2,700,000 300 electronics More electronics and may try pay and 840/space display to allow merchants to validate coupons. New York 61,000 48,000,000 2,000 electronics Installed 200 pay and display units and 790/space pulled them out after 6 months. Too high maintenance and lack of public support. Purchasing more electronic meters. Portland 5,400 5,400,000 150 electronic tested Going to electronic meters (need $1.00 1000/space coin) San 5,300 4,100,000 Mechanical meters May consider electronics. Diego 770/space IVPM limited use. Seattle 9,500 9,000,000 500 electronic meters Looked at pay and display and ruled it 950/space out. Toronto 9,500 8,500,000 Mechanical meters Converting to twin from single meters and 890/space single headed meters using electronic mechanisms. Vancouve 5,500 6,100,000 Twin mechanical Installed 100 electronic meters. r 1070/space meters In Europe there is greater use of pay and display equipment. They have not had the same history of parking meters as we have in North America. There is also less street parking and with their narrow sidewalks and streets, which are common, parking meters are not a practical alternative. Because of this there is more acceptance of the inconvenience and higher costs associated with pay and display equipment. Parking meters still tend to be used inhigh turn over areas. EVALUATION OF OPTIONS A number of factors have been considered in an evaluation of street parking controls. These include: economics; reliability; customer convenience; enforcement; aesthetics; and control of street use. Economics The various costs associated with the different types of parking control devices have been reviewed and the following table illustrates the relative economics of each type of equipment. These figures are based on our experiences with both mechanical and electronic meters in Vancouver, and ours and other city's experiences with pay and display equipment, mostly in off-street parking lots. On the basis of this evaluation mechanical and electronic parking meters both provide the most economical option with electronic meters favoured because of other benefits. TABLE 2 COST/REVENUE COMPARISON Mechanical Electronic Smart Card Pay & Display Pay and display Pay Station Meters Meters Meters coin only credit card Capital costs 750/2 spaces 920/2 spaces 1000/2 spaces 4500/10 spaces 7000/10 spaces 10,000/10 spaces purchase (20 yr. life) (20 yr. life) (10 yr.life) (10 yr. life) (10 yr. life) Installation 100/2 spaces 100/2 spaces 100/2 spaces 150/10 spaces 150/10 spaces 150/10 spaces Power ------ ------ ------ 500/10 spaces 500/10 spaces 500/10 spaces Signing ------ ------ ------ 200/10 spaces 200/10 spaces 200/10 spaces Total 850/2 spaces 1020/2 spaces 1100/2 spaces 5350/10 spaces 7850/10 spaces 10,850/10 spaces Total annualized 45/space/yr. 55/space/yr. 59/spaces/yr. 81/space/yr. 118/space/yr. 164/spaces/yr. cost/space @ 9% interest Maintenance 35/space/yr. 25/space/yr. 30/space/yr. 30/space/yr. 30/space/yr. 25/space/yr. Collections 35/space/yr. 35/space/yr. 35-/space/yr. 40/space/yr. 35/space/yr. 40/space/yr. 5/space/yr. (includes credit (credit card card fee) fee @25% usage) Total cost/space 115/space/yr. 115/space/yr. 124/space/yr. 151/space/yr. 188/space/yr. 229/space/yr. Total cost/year 621,000 627,000 682,000 830,000 1,034,000 1,260,000 (5,500 spaces) Revenue Gross meters rev. 5,900,000 (1070/space) Net meter rev. 5,306,000 Net enforcement rev. 1,000,000 (meters only) Total net revenue 6,306,000 meter ops., including enforcement The net revenues from the on-street parking meters operations go into the City's general revenues, to off set City tax requirements. Reliability Street parking control options must be able to stand up to very rigorous treatment. Equipment on the street is exposed to the elements and often to very rugged use or misuse. Our experience with mechanical parking meters has shown that the average lifespan is 20 plus years with an average of two service calls per year. Up until recently the City's meters have been problem free. Recently parking meters have been subject to theft and other problems related to reduced maintenance and collections because of job actions. These problems have been resolved and should not reoccur. The City's meters are an average of 5 years old, and still have many years of productive use. For many years we have tested electronic meters and only now are they developed to be reliable enough to meet our street use need. Recent experience indicates roughly two services calls per year for every 10 meters. This is less than half the service requirement for mechanical meters. Pay and display equipment requires higher maintenance and generally has a 10-year lifespan. Paper stock must be renewed on a regular basis and the equipment, like parking meters, is subject to tampering and jams. However, when pay and display equipment is out of order it affects multiple spaces rather than one space. There have also been theft and vandalism problems with pay and display equipment. In Stanley Park lower cost units with coin slides were inappropriate and 53 of 70 units were lost to vandalism and theft, and prior to removing this equipment, New York City had theft problems with their pay and display units. Customer convenience There are three main factors to consider for public convenience. These are: ease of operation and understanding, range of payment options, and walking distance to make payment. Ease of operation Mechanical parking meters are easily recognized and understood by the public due to their long history of use on streets throughout North America. Electronic meters have a straight coin drop and do not require the public to operate the equipment. Pay and display equipment is common in off-street parking lots where it has public acceptance. Public acceptance of pay and display on streets is not known. If pay and display were used on the street it would require additional signing for legal purposes and to educate the public about the equipment. Payment options Mechanical parking meters are limited to the acceptance of coins ($.25 and $1.00 in Vancouver). This is much better than in the U.S. where they do not have a $1 coin. Credit card and debit card technologies have been slow to come to meters with the first units now being developed. Pay and display equipment can accept credit cards. This technology was developed in Vancouver a number of years ago and is now quite common on private parking lots. Walking distances Parking meters are located at each parking space and provide a high level of convenience for the public. Pay and display equipment is located at a central location and walking distances are dependant on the number of meters served by each machine. To maintain an average walking distance of 120 feet, 6 units would be required to serve the 4 sides of a typical city block. This walking distance could be a significant inconvenience to the public, particularly for anyone with a disability. The extra distance walked would be roughly 500,000 kms per year and this represents a significant cost to the public. Enforcement There needs to be adequate enforcement to ensure that any option works well. The degree and ease of enforcement is an important factor that affects the overall economics of the parking operation. The mechanical parking meter because of its visibility on the street is the easiest to enforce. With pay and display equipment a coupon is displayed within the vehicle. This is more difficult for enforcement staff to identify as every vehicle dash must be checked, reducing enforcement efficiency. The coupons can fall off dashboards or be positioned incorrectly. In addition to being much more difficult to enforce, it could open the City to more by-law court challenges. Aesthetics Parking meters located at the curb are a highly visible element of the streetscape. The City of Vancouver uses twin meters, which require half the number of meter posts as a single meter, and supplemental signing is not needed. However, there are still five times the number of support posts needed than for pay and display equipment. Pay and display equipment on the other hand requires added street signing, and is a larger piece of equipment that would take up a greater amount of street space, similar to a newspaper vending box. Control of street space The principal reason for street parking controls is to ensure that parking turn over is adequate to support demand for short time parking for shoppers and business customers. This ensures that public benefits are maximized. All the options examined provide varying levels of control of the street. Parking meters are the best to provide control over individual spaces for construction or filming use where temporary reservation of some spaces is required. This control has been a problem where pay and display equipment is used in Europe. PAY AND DISPLAY TRIAL The economics and increased inconvenience of pay and display equipment do not support its use. However, if Council wishes, the General Manger of Engineering Services could install a trial of pay and display units. This could be done on the 1200 block of Pacific Boulevard. This block has street level commercial businesses that have requested the installation of parking meters to control all-day parking. Two units would be required to control the 22 spaces on this block and they would be located in the mid 1/3's of the block approximately 150 feet apart. The cost to purchase and install this equipment and the necessary signing is estimated to be $16,000. It is estimated that the annual revenues would be $7,000 at the current rate of $.50/hour for this area. It should be noted that the cost to install 22 mechanical parking meters on this block would be approximately $9,000 and yield equivalent revenue. POSSIBLE IN VEHICLE PARKING METER (IVPM) PROGRAM A recent development to control street use is the in vehicle parking meter. This is an electronic device that is activated and displayed in a vehicle parked in a controlled area. This device is purchased with a set amount of time and is rechargeable. The time is priced at rate set by the City that could vary by area or use. The IVPM offers a number of advantages. It is paid for in advance and a receipt is issued that can be used for tax purposes. No coins are required at meters. It allows the user to pay for only the actual amount of time used. It would also allow the City to better regulate unmetered zones such as commercial vehicle zones and commercial lanes. The technology is still being developed, however, it is recommended that the General Manager of Engineering Services work with the Directors or Finance, and Permits and Licenses to investigate options for an IVPM program, initially for commercial vehicle use and report back to Council by the end of 1995.SECURITY AND EFFICIENCY OF METER OPERATIONS AND COLLECTIONS While the City's meter program is well run and compares favourably to other cities' operation, improvements could still be made. One of the successes noted in our review was in Boston, where an emphasis has been made on more frequent coin collections. There has also been considerable debate internally about the security of meter systems. It is recommended that a staff team comprising Engineering and Financial Services staff thoroughly review the parking meter operations with on emphasis on security and efficiency. This review would also consider combining the meter collections and maintenance functions. An outside consultant is recommended to aid staff in this review and would be able to provide service to the City in evaluating our program. This is estimated to cost $40,000 and funding for the work should be provided from the Parking Meter Replacement Reserve. * * * * *