Item Coversheet

New Business and Commission Requests - R9  Y




COMMISSION MEMORANDUM

TO:Honorable Mayor and Members of the City Commission 
FROM:Alina T. Hudak, City Manager 
DATE:April  3, 2024
 



SUBJECT:DISCUSS THE POTENTIAL REINSTITUTION OF RESIDENTIAL PARKING PERMIT DECALS IN LIEU OF THE CURRENT SYSTEM WHICH VALIDATES RESIDENTIAL PARKING ZONE PERMITS BASED SOLELY UPON LICENSE PLATE SCANS

RECOMMENDATION

The Administration does not recommend the reinstitution of residential parking permit decals.

BACKGROUND/HISTORY

On December 13, 2023, at the request of Commissioner David Suarez and Alex Fernandez, the Mayor and City Commission referred item C4 E to the Finance and Economic Resiliency Committee (FERC). The item requested discussion of the potential reinstitution of residential parking permit decals to identify vehicles permitted to park within a specific residential parking zone in lieu of, or in conjunction with, the current virtual system which exclusively validates residential parking zone status based on a scan of the vehicle’s license plate.

At the February 23, 2024 FERC meeting, the Committee discussed this item and unanimously agreed to forward to the full Commission a favorable recommendation for the reinstitution of the parking permit decal program. The Committee also recommended replacement of three (3) inoperative mobile License Plate Reader (LPR) systems. The Committee further recommended that the Administration return to the March 22, 2024 FERC meeting to discuss current Parking Department staffing.

ANALYSIS

To increase transparency and accountability, and to keep pace with parking industry technology and innovations, in 2016, the City transitioned from the issuance of residential parking zone decals to a fully paperless system. The new virtual permit system provided for the introduction of mobile parking payments, allowing customers to pay and extend parking without having to walk to a pay station. It also stopped the required “pay and display” practice when utilizing a meter, as the receipt no longer needed to be displayed. In residential zones, the virtual system allows residents to obtain and renew permits expeditiously, from the comfort of their homes or elsewhere. In addition, residents may purchase visitor parking passes in advance, before the vehicle is parked, which facilitates enforcement and minimizes towing of authorized vehicles.

Residential parking permits are issued by the Finance Department’s Customer Service Center on behalf of the Parking Department. Staff reports that prior to the virtual permit system, there were enforcement and accountability issues including the delay in receipt of mailed decals, reports of lost, damaged, or stolen decals, residents forgetting to affix decals, etc. In some instances, residential parking permit decals allowed for fraudulent activity. For example, residents purchased visitor permits in advance and would resell them at a much higher rate, especially during high impact periods.

The virtual permit system requires that parking enforcement officers scan license plates to verify possession of a permit, whereas a decal system relies on visual inspection. The legitimacy of a permit can be verified in the City’s virtual permit system, to which residents have access. Although a decal program allows residents and employees to visually identify permitted vehicles, virtual permits allow for the immediate cancellation of a permit while paper decals are less likely to be recovered/returned. A system that uses both virtual and physical permits is not recommended.

Scanning of tags creates a database, which at times, is queried for Police-related matters. The act of scanning a tag under the virtual system provides a measure of employee productivity and accountability as the number of scans is tracked. Another value of scanning vehicle tags and accessing the associated database is the identification of scofflaws (people who have accumulated large debt in unpaid parking tickets). Once identified, the City receives the entirety of scofflaw revenue. During the first two (2) months of the 2024 calendar year, parking officers identified 84 scofflaws. Of these, 82 ultimately paid fines amounting to $36,509. For calendar year 2023, 589 scofflaws were identified, and of these, 524 paid fines amounting to $239,873.

The reintroduction of physical decals was discussed at the February 12, 2024 Transportation, Parking and Bicycle-Pedestrian Facilities Committee meeting. Citing the downside of placing decals on their vehicles and the benefit of applying for a permit remotely, the Committee voted not to support this initiative (as shared via Letter to Commission #062-2024).

Another drawback to this initiative is the projected cost. Although the proposal is for a combined program that would allow both paper decals and virtual permits, there is an added cost to a paper decal program.
The fiscal impact of reverting to a residential parking permit decal (or a hybrid decal and virtual model) is uncertain given the unknown of how many residents will opt for physical decals. A decal system would also necessitate additional administrative staffing from a customer service perspective.

License Plate Recognition (LPR) equipment
As discussed by the FERC, the Parking Department has three (3) vehicles with mounted mobile LPR equipment. Two (2) of the LPR systems became inoperative just before the COVID-19 pandemic. The manufacturer advised the City’s equipment is obsolete and could not be repaired. Replacement of the equipment was deferred due to significant parking revenue decline during the pandemic. The Administration recommends the replacement of the three (3) mobile LPR systems and will seek to procure the units, at a cost of approximately $120,000 (at $40,000 per unit).

LOBBYIST DISCLOSURE
In accordance with Resolution No. 2023-32857, adopted by the City Commission on December 13, 2023, the following information has been requested from the primary item sponsor as it relates to the subject item:

1. Was the Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No
2. If so, specify name of lobbyist(s) and principals(s): Not applicable

SUPPORTING SURVEY DATA

In the 2022 Miami Beach Community Satisfaction Survey referencing parking availability, sixty-five percent (65%) of resident respondents indicated that there is too little on-street parking and fifty percent (50%) indicated that there is too little lot parking.

FINANCIAL INFORMATION

Decal issuance: The estimate provided below is for 100% decal issuance for current permit holders. It does not reflect the number of residents that might opt out of physical decals nor does it reflect the cost for implementation of the proposed North Beach residential parking zone(s).

• Parking decals: Approximately $25,000 for the first year.
• Staffing: Approximately $232,500 for the first year for three (3) Customer Service Representatives (adjusted annually in subsequent years).

Mobile LPR systems:
• Three (3) units: Approximately $120,000 excluding vehicles.

CONCLUSION

Returning to a parking decal program, whether 100% or dual/hybrid (choice of physical decal or virtual permit), is not recommended by the Administration. A decal program would decrease efficiency, limit transparency, and increase administrative costs. Furthermore, the Administration does not believe a dual virtual and paper decal program would be advantageous to the City as it could lead to fraud, reduced productivity, and a lack of accountability. The value in utilizing a virtual system is that it increases expediency, improves customer service, and helps to maintain staff productivity and the integrity of residential permitted zones. The Administration recommends continuation of a 100% virtual system.

The Administration recommends the replacement of three LPR mobile systems.

Applicable Area

Citywide
Is this a "Residents Right to Know" item, pursuant to City Code Section 2-14? Does this item utilize G.O. Bond Funds?
Yes No 
Legislative Tracking
Parking
Sponsor
Commissioner David Suarez and Co-sponsored by Commissioner Alex Fernandez

ATTACHMENTS:
Description
C4E Referral to FERC
FERCRefCC