Dynamic Parking Pricing for Downtown? Just Do It, Says Burgess

Tim Burgess

Of the public outcry that has so far greeted Mayor McGinn's proposal to raise on-street parking rates downtown, to as much as $4 per hour, the bulk has been from businesses downtown. Now City Council member Tim Burgess, saying the Mayor is on the right track, is suggesting the city "introduce demand-sensitive variable pricing as quickly as possible."

"Demand-sensitive or performance-based on-street parking rates are pro business," Burgess writes in boldface, to forestall the inevitable backlash.

As the Seattle Times explains McGinn's proposal, the $4-per-hour top price would come with paid parking on Sundays, and a new weekday cut-off at 8 p.m. (instead of 6 p.m.). In addition, the commercial parking tax for private lots and garages would almost double, to 17.5 percent from ten percent. The introduction to the proposed budget explains the rationale:

First, the increases better align the charges with the costs to the City to regulate and manage the parking program. Second, the increase brings parking meter rates in line with the current market rates for parking in private garages. Third, the existence of market rate prices for parking will better encourage turnover of parking spaces so that people can find a parking spot when they need one, thereby encouraging residents to frequent commercial districts and reducing congestion and carbon emissions. These proposed changes to the City's parking meter program will generate $6.6 million in net revenue to the City.

PubliCola spoke with Joe Quintana of the Seattle Business Coalition and Tango restaurant owner Travis Rosenthal, who argued that the higher rates and taxes would drive their customers elsewhere.

(Quintana sent me a spreadsheet detailing his argument that Seattle would be "paying the second highest taxes on parking in the nation"--though to make this point he also adds in Seattle's sales and B&O taxes. For context, Chicago and San Francisco have parking tax rates of 23 and 25 percent, respectively, and a $4-per-hour rate downtown is also competitive with Los Angeles, San Francisco, and Chicago.)

Burgess would like to implement a more market-based approach for on-street parking, based upon the 85 percent occupancy standard that  Parking Today magazine recommends. Setting the desired outcome is the city government's job; letting people decide how much parking is worth to them is the people's. I haven't had the opportunity to agree with Burgess much since he took office, but this is one area where he's demonstrating both fiscal and political smarts.

And he's got good ideas about how to integrate parking citywide to the fully dynamic model that would be instituted downtown: "For example, we could adjust meter parking rates electronically by neighborhood on a quarterly or monthly basis to achieve the desired 85 percent occupancy rate."

No one is all that thrilled by having to pay for parking, of course, but getting the best use out of the parking spaces we have is in everyone's interest.