By Nick Grabbe
Town officials are recommending big increases in parking permit fees, including steep ones for residents who don’t register their vehicles in Amherst.
Parking permits enable downtown residents and employees to use designated spaces on the outskirts of downtown. The system is intended to make more downtown spaces available to shoppers and restaurant patrons.
The Town Council is scheduled to receive a report on the proposals for higher fees at tonight’s meeting and may vote on them.
Town Hall currently sells 236 parking permits for only $25 a year to people who don’t pay excise taxes to the Town because they register their vehicles elsewhere. Under the proposal, those fees would increase sixfold, to $150, next year, and then to $300 the year after that and $400 the following year.
The excise tax revenue lost “is substantial and helps support the overall budget, including capital that goes to maintain roads and sidewalks,” according to a memo from Town Manager Paul Bockelman, Finance Director Sean Mangano and Treasurer/Collector Jennifer LaFountain. Other Massachusetts cities and towns that also host state institutions and have comparable populations collect far more excise tax on vehicles than Amherst does, they pointed out.
“The parking permit program is long overdue for a significant update,” they wrote to the Town Council. “The current version was adopted in 1999 with updates in 2002 and 2005.” Fees were kept low when the program started to encourage residents and employees to participate.
The 79 people who currently do register their vehicles in Amherst and buy parking permits for $25 would see more modest increases. Under the plan, these permits would cost $50 next year and $100 the year after that.
There are also 482 people who buy employee permits for $25 a year. Those fees are due to increase slightly, to $35 next year and $45 the following year. Twenty people reserve parking spots for $1,000 a year and would see $100 increases each of the next two years.
The total amount collected from parking permit fees annually is scheduled to increase from the current $39,925 to $155,350 in three years.
Permit fees go into the Transportation Fund, along with revenues from parking meters and violations. The fund is supposed to pay for all related expenses without drawing on tax revenue, expenses that include salaries for enforcement officers, PVTA surcharges, the Town’s assessment to the Business Improvement District, meter and kiosk maintenance and parking lot improvements.
But the Transportation Fund, which spends about $1.1 million a year, has been running a deficit that is projected to be eliminated with the fee increases. The goal is devote 15 percent of the Fund’s revenues, or $200,000 a year, to capital and debt. “We envision a fund that can be fully self-sustaining, support regular maintenance, and save up for larger capital improvements,” the town officials wrote.
The Town Council will also consider a proposal to implement high-visibility signage in key locations and update the Town’s parking web page to make it more user-friendly.
New signs are needed at each public parking lot to identify hours of operation and other information, and a plan is expected to be ready later this year. Town officials have started work on the web page to make it more helpful “while at the same time de-emphasizing the punitive elements of the parking system,” according to the memo. The web page will include a feedback form so that residents can make comments about the system.
Town officials are not recommending the creation of a dedicated parking management position to coordinate all this.
“At this time, there are insufficient resources to create this position and ensure that it could be funded each year going forward,” according to the memo. “The pandemic has significantly diminished the revenues going into the Transportation Fund and highlighted their volatility.”