Parking Ticket Revenues Continue to Plummet
Less than $1,000 was generated by parking fines last month
February was an exceptionally warm month; the average temperature in nearby Dayton was 8 degrees warmer than expected for a typical February. In addition, the month was drier than the typical February as well, as only 1.67 inches of liquid precipitation fell throughout the month, compared to the usual 2.5 inches. One might think the relatively warm and dry winter weather would encourage people to come downtown, but the data tells a different story.
Each month since May 2021, the Troy Police Department has reported the number of parking tickets written, parking tickets paid, and the revenue generated by the parking tickets in their report to the Council. Despite the relatively pleasant weather in February 2024, both months marked lows in tickets paid (40) and revenue generated ($940). Throughout the month, 71 parking tickets were written. This figure is just above the all-time lows of 64 tickets last November and 62 tickets last December when many of the downtown parking regulations related to time were relaxed.
Parking Fine Revenues Are Sliding
Parking fines tend to follow a choppy, but predictable pattern. They tend to be higher in warmer weather months and then slow down during the winter months; there is less traffic on the roads, and for the last few years, the city has relaxed parking regulations, as referenced above.
However, since August 2023, parking fine revenues have shown one of the worst trendlines since this data was first reported in May 2021. Between August 2023 and February 2024, the monthly revenues from parking fines have dropped an astonishing 67%. The chart below shows the revenue generated by parking tickets every month since the data was first available.
Why It Matters
Parking enforcement is not exactly a cheap endeavor. In 2024, the city has committed just over $62,411 to enforce downtown parking rules. And while this figure is lower than previous years ($71,332 in 2022 and $76,885 in 2023), it is still a significant amount of funding. The funds that help pay these costs generally come from the fines collected. But the fines in no way cover the entire cost of parking enforcement. In fact, the fines don’t even cover half the cost.
In 2022, parking fines generated $26,390 in revenue, which covered 37% of the entire parking enforcement budget. In 2023, $28,100 was generated, but that only covered 26% of the cost. Through the first two months of 2024, it can be reasonably estimated that the city has spent $10,401 on parking enforcement and has generated $2,380 in parking ticket revenues, covering 23% of the costs.
These figures show another, and perhaps even more concerning trendline: parking fine revenues are covering less and less of the full cost of parking enforcement. Conversely, the funds needed to supplement the parking enforcement budget come from the city’s general fund, which is largely funded by the city income tax and covers most of the other services that the city provides.
From a policy standpoint, conversations need to be had about whether the city should have parking enforcement rely more on the city’s income tax revenue rather than the parking enforcement fines it generates. Perhaps an even bigger question is whether parking enforcement is something that needs to occur in our downtown, in the face of declining parking tickets and parking revenue. Perhaps the biggest question of all is whether downtown has enough of a customer base to support a downtown parking structure.
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If parking revenues are plummeting, why oh why do we need to demolish an historic building to put in another parking lot? Perhaps this idea was not really thought through as to what the city actually needs, by those who proposed it?
I would agree with Kent. A city service doesn’t always have to cash flow. Mostly because the cost benefit analysis isn’t always straightforward. This would also apply to the previous article regarding public transportation.
I lived in a 3rd story apartment on the square for 2-3 years. On the weekends I became very familiar with the route of the parking enforcement team. If they weren’t there at all you better believe I wouldn’t move my car on the weekend. This applies to every other person who either lives or works on the square. If there were no rules then I think it’s safe to say many would struggle to find a spot to park especially during peak times.
Outside of a $50K subsidy per year (per your figures), do we really have a problem with parking? I believe there is still a 2 hour limit during the day. Does it take more than 2 hours to have lunch, visit with a coffee, or do some shopping?
Do we need a parking garage or more parking? I would leave that question to other experts. Maybe I’m misreading the article but I’ll end with my opening question….do city services need to cash flow? This could be a future topic of this publication.