On March 1, the Town Council listened to a proposal developed by town staff that would raise public parking rates at all town parking spaces, the first increase in almost 10 years.
Should the proposal be passed, hourly meter rates would be increased from the current hourly rate of $1 to $1.25. The monthly rental fee would jump from $65 to $75 a month.
Hourly rates to park in a town garage, like the Rosemary Street parking deck, would also be raised between 10 cents and 30 cents per hour, depending on the length of stay.
There has not been an increase in the general parking rates since 1993.
When the state recalled more than $1 million from the town's budget this year, Chapel Hill officials transferred $100,000 from the Parking Fund to the General Fund to ease the blow. Town officials are hopeful the extra revenue generated from the parking rate increases would be helpful in covering the amount removed from the Parking Fund.
Assistant to the Town Manager Bill Stockard said the town must adopt the new budget by June 30. He said July 1 is the earliest date the increases could go into effect.
The combined total of the increases creates approximately $257,000 more in revenue. Extra revenue from on-street meters is estimated to total $47,000, while off-street meters would create about $14,000. Increasing monthly rates in public garages would generate approximately $23,000. In addition, $173,000 is expected to be raised by rate increases for hourly spots in the Rosemary Street parking deck and other off-street parking facilities.
"I think there is a general gripe that the town is making parking too expensive, but our parking situation is a much larger issue than parking rates going up," said council member Ed Harrison.
Harrison said that increasing the parking rates will probably not affect the parking situation but that he is hopeful Chapel Hill's fare-free bus service eventually will compensate for the parking shortage.
