REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Al Zelinka, City Manager
VIA: Travis K. Hopkins, Assistant City Manager
PREPARED BY: Catherine Jun, Deputy City Manager
Subject:
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Oak View Pilot Parking Program Update and Recommendation to Conclude the Year-Long Program When It Sunsets on June 30, 2023
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Statement of Issue:
Staff is providing an update on the Oak View Pilot Parking Program (OV3P) with a recommendation to conclude the program when the pilot year sunsets on June 30, 2023.
Financial Impact:
There are no additional fiscal impacts.
Recommended Action:
recommendation
A) Receive and file the Oak View Pilot Parking Program Update; and
B) Conclude the Program when the pilot year sunsets on June 30, 2023.
end
Alternative Action(s):
Do not approve one or more recommended action, and direct staff accordingly. If the Council wishes to extend OV3P for an additional term, staff will return to City Council with an amended parking license agreement with Onni properties and a budget appropriation request.
Analysis:
Background:
On April 5, 2022, City Council approved OV3P to temporarily alleviate the shortage of residential parking in the Oak View neighborhood. Oak View is a neighborhood mainly comprised of multi-family housing, evidencing some of the highest levels of overcrowding in Huntington Beach. 38 percent of renter households in Oak View are considered “severely overcrowded” (more than 1.51 persons per room), compared to 2% of the City and 7% of the County.
The OV3P program goal was to provide secured parking spaces for up to 50 Oak View residents in a private garage owned by Onni Properties on the north end of the neighborhood (7842 Warner Avenue). The garage is accessible 24 hours a day to all participants. Furthermore, the pilot year began on July 1, 2022 and will sunset on June 30, 2023, unless extended by the City Council.
Participant requirements include proof of Oak View residency, vehicle insurance, current vehicle registration, and a signed user agreement that outlines the rules of the program. Participants are permitted to opt out of the program at any time, and all participants were notified (upon enrollment) that this program may terminate on June 30, 2023.
The program cost includes a lease payment of $100 per month for each parking space ($90 paid by the City; $10 paid by the participant); a one-time fee of $1,000 for 50 garage access cards; and a contingency of $9,000 for payment delays and delinquencies. In total, the City budgeted $64,000 in General Funds to support OV3P in its pilot year, but has expended less due to reduced program participation.
OV3P Progress Update:
Staff has monitored program enrollment, usage, and communications, since it launched on July 1, 2022. Given that the pilot year is scheduled to sunset on June 30, 2023, an update on these statistics is being provided as Council considers whether or not to continue this program for an extended term.
Program participation varied from month to month, peaking at 48 in July 2022 and declining to 29 by February 2023. In the first few months of the program, staff advertised the program on social media, email listservs, and fliers/posters at the Oak View Library to attract more participants. However, staff believes the garage’s distance from the rest of the neighborhood and the monthly participation cost were likely prohibitive factors. Please note, when participation numbers stabilize over a 1-2 month period, staff amends the parking license agreement with Onni to lease fewer parking stalls at a cost savings to the City.
On average, the City received 73% of participants’ payments owed each month. In an attempt to recoup outstanding payments, staff reaches out via email, text message, direct mailing and phone call in Spanish and English; those with more than 3 outstanding payments are removed from the program.
OV3P was also not used by participants as frequently as expected. On average, participants used the program 13% of the time they were enrolled in the program. Highest usage by a participant was 56%; the lowest was 0%.
Recommendation:
Due to low enrollments and usage, staff recommends allowing OV3P to sunset when the pilot year ends on June 30, 2023. This will help release general funds for other priorities in FY23-24 and allow staff to focus its resources on the Oak View Master Plan, which proposes to build 63 surface parking stalls. Furthermore, Public Works is working on plans to remove red curb along Ash Lane (adjacent to the garage) to add 10 additional on-street parking stalls to help alleviate the parking shortage in the neighborhood.
If the City Council chooses to terminate the Program on June 30, 2023, staff will immediately contact all participants and Onni Properties in May 2023 to prepare them for this change. Communication channels with participants will include direct phone calls, emails and text messages.
Should the Council choose to continue the Program for an additional term, staff will negotiate an amended contract with Onni that will begin on July 1, 2023 and return the contract to City Council for both approval and a budget appropriation.
Environmental Status:
Pursuant to CEQA Guidelines Section 15378(b)(5), administrative activities of governments that will not result in direct or indirect physical changes in the environment do not constitute a project.
Strategic Plan Goal:
Infrastructure & Parks
Attachment(s):
1. Parking License Agreement with Onni Properties (ending June 30, 2023)
2. PowerPoint Presentation