Parking in Waterloo Region

[Pheidippides]

I've never been a fan of public parking.

I know it is an overly simplistic view, but if there is sufficient demand a private market will emerge or behaviours will change (or both).

However, if public parking needs to exist, then it needs to at least charge the minimum rate to ensure operational costs (including any amortization of the initial capital costs) are recovered (and preferably higher to account for the foregone opportunity, environmental, and health costs).

I don't think any of the cities are even close to recovering the operational costs.

If I am interpreting the financial information returns (FIR) for 2014 correctly (so far only Wilmot has filed a 2015 return), only the City of Kitchener is even close to charging a cost recovery level at 94.6% of expenses.

Limiting the comparison to Cambridge, Kitchener, and Waterloo (the Townships and Region have very few expenses or revenues) the totals break down as follows:
City (Revenues / Expenses = %)

Cambridge ($236,651 / $1,745,664 = 13.6%)
Kitchener ($4,981,299 / $5,263,407 = 94.6%)
Waterloo ($257,824 / $2,428,502 = 10.6%)

3 Cities Total ($5,475,774 / $9,437,573 = 58.0%)

Or alternatively, based on the 2014 FIRs, collectively the 3 cities spent $3,961,799 more on parking than they brought in.

To my knowledge parking fees are on Schedule 12 line 0640 and parking fines are on Schedule 10 line 1610 (Other Fines - which would include other municipal fines and cannot be teased apart). So if we can't know the revenue fines brought in then removing the staff expense of any by-law or parking garage staff from the totals in an attempt to level the comparison you still end up with:
City (Revenues / Expenses = %)

Cambridge ($236,651 / $1,101,941 = 21.5%)
Kitchener ($4,981,299 / $3,971,224 = 125.4%)
Waterloo ($257,824 / $1,086,357  = 23.7%)

3 Cities Total ($5,475,774 / $6,159,522  = 88.9%)

In this case a difference of $683,748 if you remove staffing from the equation.

I do have my doubts about the above interpretations. Clearly Kitchener handles their accounting differently than Cambridge or Waterloo given that the policies and rates are not all that different. Further, I know that the Uptown Parkade's ~450 sports is 70% (324) occupied by regional staff who pay at least the market rate ($1,475 per year in Waterloo) as of July 2014 which would put the City of Waterloo revenues at $477,900 and well above what was reported without even accounting for hourly income from the parkade and other lots. It must be captured elsewhere in the financial return that I am missing.

Perhaps someone can verify my assumptions/calculations? I used Schedule 40 line 0640 for expenses (which includes: Administration, if applicable Parking control officers, Operations of parking authorities, other parking expenses, which are sub-totalled by the categories of, "Salaries, Wages and Employee Benefits", "Interest on Long Term Debt", "Materials", "Contracted Services", "Rents and Financial Expenses", "External Transfers", and "Amortization"), Schedule 12 line 0640 for revenue/income (which includes User Fees and Service Charges for "Parking revenues" and "Permit parking"). 

The cities likely also underestimate the cost of "operating" a parking spot. For example, in the most recent City of Waterloo consultation on "Uptown Waterloo Parking Utilization Study and Future Impact Analysis" they cited that the city owns 2,400 spots (235 curb side, 1,715 off-street, and 450 in the parkade) and that a typical surface spot has annual operating costs of $150-$250, and above ground structure spots cost ($250-$350) to operate. The document also stated that the capital cost of a Surface Lot spot was $6,250 each, Above Ground Structure spot was $44,000 each, Above Ground Pre-Fab Steel spot was $20,000 each, Below Ground Structure spot was $62,500 each which complicates the calculation further. I'll leave the more advanced calculations to the actuaries and accounts on the board.

Even using the higher end of those operating cost ranges, and excluding the capital and staffing costs for the moment: 
235 curb side x $250/yr = $58,750 
1,715 off-street x $250/yr = $428,750 
450 parkade x $350/yr = $157,500 
Total = $58,720 + $428,750 + $157,50 = $645,000

The total expenses for the City of Waterloo excluding staffing, long-term debt, and amortization costs ($929,644) end up being 31% higher than estimated and I think excluding staffing and capital costs is a pretty generous comparison.