Norfolk's possible parking rate hike part of a triple whammy

NORFOLK

The city is weighing the possibility of raising rates at downtown parking garages, at a time when light-rail construction and the recession already have dealt downtown businesses a double blow of economic woe.

The rate increases would be the first since 2001 and would not affect the monthly parking rates paid by most downtown employees.

But some people visiting downtown at night would face higher rates, and fees at all downtown lots for special events would increase $1 per entry.

Daytime rates for more distant lots, including Scope and Harbor Park, would increase about 25 cents per hour.

City officials said downtown parking rates still will remain lower than most comparable cities. "Our rates would still be far lower than Richmond's," City Manager Regina V.K.

Williams said, citing parking costs of up to $3 an hour in that city's garages.

Even so, Downtown Norfolk Council head Cathy Coleman, who helps represent downtown business interests, said "the timing is the biggest challenge."

Construction for light rail and other projects such as the Wachovia Center, a new office tower and the Belmont at Freemason apartment complex have caused traffic disruptions for more than a year. The recession has also cut into the lucrative Granby Street restaurant business.

Williams acknowledged that, in hindsight, the city should have raised rates years ago.

"It's not the best time, but we've got to manage a parking fund that hasn't had an increase in eight years," she said.

"We've gotten to the point where we've got to raise rates to cover our expenses."

The city operates most of the 9,000 parking spaces downtown. It does so with a $22 million yearly budget that pays to build new garages and operate existing garages and lots. By city code, the garages must pay for themselves. No funding comes from general tax funds; operations are supported by parking fees.

Assistant City Manager Stanley A. Stein said the city's costs, especially salaries for parking attendants, have risen in the past eight years. The city also will be spending more than $1 million to install surveillance cameras in all downtown garages.

If the city doesn't raise fees, Stein said, the parking fund will begin showing a deficit. The fee increases would result in about $2.1 million of new revenue, he said.

The City Council, which must approve an increase, has yet to discuss the issue. Williams said she will likely recommend that the increase go into effect later this year.

Her proposal includes:

- In more remote lots, such as Harbor Park and Scope, fees will increase to $1 an hour for the first three hours from 75 cents. Parking all day will decrease to $12 from $14.

- Special event parking, including at Harborfest and other large downtown festivals, will increase to $5 from $4.

- New one-time entry fees will be implemented most nights, replacing the hourly rate structure. At 6 p.m., it will cost $3. At 9 p.m., the fee goes up to $5. The 9 p.m. entry fee is being proposed to end traffic jams at 2 a.m. as downtown garages empty.

The Downtown Norfolk Council board plans to discuss the issue at its next meeting, Coleman said.

Parking is free at Virginia Beach's Town Center, located 20 minutes east of downtown. Coleman acknowledged that Town Center competes with downtown Norfolk for restaurant and entertainment dollars.

"That is where the balance needs to be struck and where our board needs to weigh in," she said.

Harry Minium, (757) 446-2371, harry.minium@pilotonline.com