HomeMy WebLinkAbout05/05/2009, B4 - PARKING FINE PASS THROUGH FOR STATE AND COUNTY SURCHARGES CAcouncil i A -
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CITY OF SAN LUIS OBISPO
FROM: Jay D. Walter, Public Works Director
Prepared By: Robert Horch, Parking Services Manager
SUBJECT: PARIONNG FINE PASS THROUGH FOR STATE_ AND COUNTY
SURCHARGES
RECOMMENDATION
1. Adopt a resolution to approve the immediate increase of all San Luis Obispo parking fines by
$10 to cover the City's cost of additional surcharges imposed by the State of California and
the County of San Luis Obispo.
2. Direct staff to work with our State legislators to seek special legislative relief from the
retroactive payment of surcharges for the period of January 1, 2003 to December 31,2008
DISCUSSION
The State of California and the County of San Luis Obispo are both imposing mandatory
surcharges on all paid parking violations totaling $9.50. These surcharges are for the financing
of courthouse and criminal justice facility construction. Staff is recommending that all City
parking violations be immediately increased by $10 each. Staff recommends rounding up from
$9.50 to $10 in accordance with the method set forth in California Vehicle Code §9559. An
immediate increase is recommended because a portion of these new surcharges have begun to
accrue as of January 1,2009 and will continue to cause the Parking Fund to.lose fine revenues..
State Courthouse Facilities Construction Fund
In 2008, Senate Bill 1407 was passed into law to fund the acquisition, rehabilitation,
construction, or financing of court facilities. It is part of the Trial Court Facilities Act of 2002
which transfers the courts from local counties to State control. Senate Bill 1407 became
effective on January 1, 2009. This bill amended California Government Code §70372(b):
...In those cities, districts, or other issuing agencies which elect to accept parking
penalties, and otherwise process parking violations pursuant to Article 3
(commencing with Section 40200) of Chapter 1 of Division 17 of the Vehicle
Code, that city, district, or issuing agency shall observe the increased bail
amounts as established by the court reflecting the added penalty provided for by
this subdivision. Each agency that elects to process parking violations shall pay
to the county treasurer four dollars and fifty cents ($4.50)for the parking penalty
imposed by this subdivision for each violation that is not filed in court.
Parking Fine Pass Through for State and County Surcharges Page 2
The City accepts parking penalties, and processes violations pursuant to this article of the
California Vehicle Code and is therefore subject to this additional $4.50 penalty. The penalty is
paid to the local County Treasurer who then forwards the payment to the State Controller.
The new State-imposed surcharge has been accruing since the inception date of January 1, 2009.
The State is allowing cities time to make changes in their fine or penalty schedules to cover the
cost of these new surcharges. For the first three months of 2009, the City owes the State
$30,100. These surcharges will continue to accrue until the City begins making payments to the
County.
Additional County Surcharges
The County had the ability to impose similar surcharges on any paid parking violation in San
Luis Obispo County for several decades but had not adopted this funding source to date. Staff
has been told by the County Auditor—Controller's Office that two County surcharges will be
approved shortly by the County Board of Supervisors and be effective July 1, 2009. This
information was provided so that the City would have the time to increase its parking fines to
cover the cost of these additional surcharges.
Retroactive Payment of Surcharges in Place since 2003
The State Controller's Office informed the City in February 2009 that they may begin efforts to
recover unpaid parking surcharges to assist the State Administrative Office of Courts. All unpaid
parking fines are subject to substantial penalties and interest that would compound annually back
to 2003. City staff was only recently made aware of the possibility that the State may try to
recover the older fine amounts, but there has been no decision yet at the State level to pursue it.
Staff has estimated that the retroactive fine amount could be as much as $395,000 since 2003,
using the formula provided in the Government Code. Staff has been working to set up a meeting
with Assembly Member Blakeslee to ask that he sponsor special legislation relative to the
parking surcharges. The goal is not to request a change in the fundamental law that now requires
the surcharge, but to write legislation to provide relief from the big (and growing) retroactive
payment that will have a significant negative impact on the parking fund to pay a surcharge that
staff was not even made aware of until recently.
1. County Courthouse Construction Fund
California Government Code §76100 allows a County to establish a "County Courthouse
Construction Fund" for the acquisition, construction, rehabilitation and financing of local
courthouses. San Luis Obispo County established this fund several years ago. California
Government Code § 76000(b) allows the County to impose a $2.50 surcharge on all paid parking
violations. This surcharge is paid to the County Treasurer monthly with $1.50 going to the
Courthouse Construction fund and $1.00 going to the County's General Fund.
California Government Code §76000(d) provides for reduction of$2.50 to $1.00 for the "County
Courthouse Construction" surcharge as of the date of transfer of responsibility for facilities from
the County to the State. There has been a"partial" transfer of the local courts to the State mainly
for the court administration. However, until the debt service for local County bonds have been
extinguished, the full transfer will not occur. The County bonded for $5,090,000 for the North
County courthouse in Paso Robles and will be paying this indebtedness until October 2036.
i
Parking Fine Pass Through for State,and County Surcharges Page 3
2. County Criminal Justice Facility Construction Fund
California Government Code §76101 allows a County the authority to establish a "County
Criminal Justice Facility Construction Fund" for the construction, reconstruction, expansion,
improvement, operation, or maintenance of County criminal justice and court facilities. San Luis
Obispo County established this fund several years ago. California Government Code § 76000(b)
allows the County to impose another mandatory $2.50 surcharge on all paid parking violations.
This surcharge is paid to the County Treasurer monthly with $1.50 going to the Criminal Justice
Facility Construction fund and $1.00 going to the County's General Fund.
Most public parking agencies in the State have been paying these surcharges for several decades
to their local County Treasurer and have increased their fines to cover the amount. Most of the
public parking agencies have increased their parking fines to cover the new State-imposed
parking surcharge.
Why Round Up?
It is very difficult to process parking fines with fractions of dollars. Ultimately, if such a fine is
unpaid, staff uses the California Department of Motor Vehicles to place holds on vehicle
registrations to obtain past-due parking violations. California Vehicle Code § 9559 requires
rounding up to the nearest dollar:
In computing any registration ... or penalty imposed by this code ... a fraction of
a dollar is disregarded, unless it equals or exceeds fifty cents ($0.50), in which in
which case it is treated as one full dollar ($1).
Breakdown of Parking Fine Surcharges
Name of Fund or Increase California Code Sections Amount
State Courthouse Construction Fund 70372(b) G.C. $4.50
County Courthouse Construction Fund 76100 G.C. 76000(b) G.C. $2.50
County Criminal Justice Facility Construction Fund 76101 G.C. 76000(b) G.C. $2.50
Rounding up for processing fines 9559 V.C. $0.50
Total Assessment $10.00
Staff is recommending increasing all current City parking fines by $10 based on the above
surcharges that have been approved or will be approved in the next few months. Other parking
agencies in the County are moving forward with similar increases. To date, only Cuesta College
has increased fines by $11 specifically to cover the State and County surcharges.
FISCAL IMPACT
What Would Happen if the City Does Not Increase Fines?
During these difficult economic times; Council may decide not to increase parking fines to cover
the cost of these new surcharges. To determine how much this will impact the City the following
chart may be helpful:
U 7 r J
Parking Fine Pass Through for State and County Surcharges Page 4
Calendar Year 2008
Number of paid parkir(q violations 28,700
Paid parking violations in $ $769,900
$10 surcharge assessment $287,000
% of Fines 37%
If the fine amounts are not increased, the City would lose approximately 37% of fine revenues
annually.
ALTERNATIVES
1. Do not increase parking fines. If the City does not increase the fines to cover the cost of
the surcharges to be paid to the State and the County, significant revenues would be lost.
This will limit the Parking Fund's ability to provide necessary parking services to the
community.
2. Increase fines for the State surcharges and wait until a decision is made on the
County surcharges. Council may decide to only increase parking fines to cover the
($4.50 + $0.50) State surcharges and wait until the County decision on surcharges totaling
$5.00. There is a strong likelihood these surcharges will be adopted by the County within
the next two months. Once Council approves a fine increase, the citation books used by
Parking Enforcement and Police staff have to be reprinted. If the County does approve the
fine increase, then those citation books would have to be reprinted again. While a minor
cost to reprint, the administrative effort of ensuring that all of the citation books are the
most recent versions is challenging. Staff recommends increasing both fines now rather
than coming back at a later date which would require multiple reprinting of the citation
books.
3. Delay all increases to parking fines until the local economy improves. Council may
want to implement these fine increases when the local economy improves. There will be
some who think that raising fines is not beneficial to the Downtown economy, which is
currently challenged by reduced consumer spending. The perception is that higher
parking fines may deter customers from coming Downtown. Staff does not recommend
this alternative because the Parking Fund is currently challenged by the slower economy,
and fines are only paid by those who violate parking rules and regulations. There are less
cars coming Downtown which mean fewer revenues for the Parking Fund.
ATTACHMENT
Proposed Resolution and Fine Schedule
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Attachment
RESOLUTION NO. (2009 Series)
A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO
APPROVING THE ESTABLISHMENT OF INCREASED PARKING CITATION FINES
TO COVER STATE AND COUNTY PARIQNG VIOLATION SURCHARGES,AND
REPEALING INCONSISTENT FINES IN PRIOR RESOLUTIONS
WHEREAS, State law provides, in Vehicle Code Section 40203.5, that cities establish
the amount of parking penalties, fees, and surcharges for parking violations; and
WHEREAS, State law authorizes the City to recover administrative fees, parking
penalties, fees, and collection cost related to civil debt collection, late penalties, and other related
charges; and
WHEREAS, State law imposes,pursuant to Government Code Section 70372(b) a$4.50
surcharge on all parking violations paid to the City; and
WHEREAS, State law imposes, pursuant to Government Code Sections 76000(b),
76100, and 76101 a combined $5.00 surcharge on all parking violations paid to the City; and
WHEREAS, State law, provides in Vehicle Code Section 9559, that surcharges that
equal or exceed fifty cents are treated as one full dollar.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis
Obispo as follows:
SECTION 1. The City's current Parking Penalty Schedule is hereby repealed.
SECTION 2. A new Parking Penalty Schedule reflecting an increased surcharge
assessment of$10.00 per parking violation for all parking violation codes is hereby adopted as
set forth in Exhibit A, attached hereto and incorporated herein.
Upon motion of , seconded by
and on the following vote: '
AYES:
NOES:
ABSENT:
R
Resolution No. (2009 Series) ATTACHMENT
Page 2
The foregoing resolution was adopted this day of 2009.
Mayor David F. Romero
ATTEST:
Audrey Hooper
City Clerk
APPROVED AS TO FORM:
Jona owell
City Attorney
{�Jb b
ATTACHMENT
EXHIBIT A
CITY OF SAN LUIS OBISPO PENALTY SCHEDULE
Prior
CODE&SECTION DESCRIPTION PENALTY pENALTY
SLMC 10.12.050 INTERFERENCE WITH POLICE/AUTHORIZED OFFICER 80 90
SLMC 10.14.030 OBEDIENCE TO TRAFFIC CONTROL DEVICES 45 55
SLMC 10.14.090 UNAUTHORIZED PAINTING ON CURBS 45 55
SLMC 10.36.020 STOPPING OR STANDING IN PARKWAYS PROHIBITED 20 30
SLMC 10.36.030 STOP/STAND/PARK IN VIOLATION OF CHAPTER 20 30
SLMC 10.36.040 NO PARKING ZONE-PROHIBITED PARKING-Also Taxi Zone(d) 40 50
SLMC 10.36.050 USE OF STREETS FOR STORAGE OF VEHICLES PROHIBITED 10 20
SLMC 10.36.070 REPARUNG OR GREASING VEHICLE ON PUBLIC STREET 10 20
SLMC 10.36.080 WASHING OR POLISHING VEHICLES 10 20
SLMC 10.36.090 PARKING ADJACENT TO SCHOOLS 10 20
SLMC 10.36.100 PARKING PROHIBITED ON NARROW STREETS 10 20
SLMC 10.36.110 PARKING ON GRADES 10 20
SLMC 10.36.120 UNLAWFUL PARKING-PEDDLERS,VENDORS 10 20
SLMC 10.36.130 EMERGENCY PARKING SIGNS 10 10
SLMC 10.36.140 LARGE/COMMERCIAL VEHICLE PARKING NEAR INTERSECTION 10 20
SLMC 10.36.150 NIGHTTIME PARKING OF LARGE VEHICLES 10 20
SLMC 10.36.160 NIGHTTIME PARKING OF VEH W/OPERATING AIR/REFRIGERATION 10 20
SLMC 10.36.200 PARKING IN A RESIDENTIAL PERMIT PARKING AREA 25 35
SLMC 10.36.230 PERMITS-DISPLAY OF PERMITS 10 20
SLMC 10.36.233 PARKING IN YARD 35 45
SLMC 10.36.235 NO PERMIT LOT 15 25
SLMC 10.40.010 TUAED PARKING 10 MINUTES TO 10 HOURS 20 30
SLMC 10.40.020 BACKING INTO PARKING SPACE PROHIBITED 15 25
SLMC 10.40.040 PARKING PARALLEL ON ONE-WAY STREETS 8 18
SLMC 10.40.050 DIAGONAL PARKING 8 18
SLMC 10.40.060 PARKING SPACE MARKINGS 20 30
SLMC 10.40.070 NO STOPPING ZONE 8 18
SLMC 10.40.080 ALL NIGHT PARKING PROHIBITED(3-5am) 25 35
SLMC 10.44.020 CURB MARKING TO INDICATE NO STOPPING/PARKING REGS. 10 20
SLMC 10.44.030 EFFECT OF PERMISSION TO LOAD/UNLOAD IN YELLOW ZONE 40 50
SLMC 10.44.040 EFFECT OF PERMISSION TO LOAD/UNLOAD IN WHITE ZONE 20 30
SLMC 10.44.050 STANDING IN ANY ALLEY 20 30
SLMC 10.44.070 HANDICAPPED PARKING 275 285
SLMC 10.48.010 CERTAIN VEHICLES PROHIBITED IN CENTRAL DISTRICT 45 55
SLMC 10.48.020 ADVERTISING VEHICLES 20 30
SLMC 10.48.030 ANIMAL DRAWN VEHICLES 20 30
SLMC 10.48.040 TRUCK ROUTES 75 85
SLMC 10.48.050 COMM.VEHICLES PROHIBITED FROM USING CERTAIN STREETS 75 85
SLMC 10.48.060 MAX.GROSS WT.LIMITS OF VEHICLES ON CERTAIN STREETS 75 85
SLMC 10.52.040 PARKING METERS-OPERATIONAL PROCEDURES 10 20
SLMC 10.52.050 UNLAWFUL TO PARK AFTER METER TIME HAS EXPIRED 17 27
SLMC 10.52.060 UNLAWFUL TO EXTEND TIME BEYOND LIMIT 2 12
SLMC 10.52.070 IMPROPER USE OF METER 2 12
SLMC 10.52.080 PARKING METERS/STANDARDS-PROPER USE 2 12
SLMC 10.52.110 MOTORCYCLE SPACES 2 12
CVC 5204(a) CURRENT TAB IMPROPERLY ATTACHED 76 86
CVC 21 I l3(a) VEHICLE OR ANIMAL ON PUBLIC GROUNDS-MOVING 103 113
CVC 21113(6) VEHICLE OR ANIMAL ON PUBLIC GROUNDS-PARKING 20 30
CVC 21113(c) DRIVEWAYS,PATHS,PARKING FACILITIES ON GROUNDS 20 30
CVC 22500.1 STOPPING/STANDING/PARKING: FIRE LANE 103 113
CVC 22500(a) STOPPING/STANDING/PARKING: WITHIN INTERSECTION 20 30
CVC 22500(b) STOPPING/STANDING/PARKING: ON A CROSSWALK 20 30
CVC 22500(c) STOPPING/STANDING/PARKING: BETWEEN SAFETY ZONE 20 30
CVC 22500(d) STOPPING/STANDING/PARKING: WAN 15' FIREHOUSE ENTRANCE 20 30 Z
6,q- 7
Page 1 ao�__T
ATTACHMENT
CITY OF SAN LUIS OBISPO PENALTY SCHEDULE
Prior
CODE&SECTION DESCRIPTION PENALTY PENALTY
CVC 22500(e) STOPPING/STANDING/PARKING: PUBLIC/PRIVATE DRIVEWAY 20 30
CVC 22500(1) STOPPING/STANDING/PARKING: ON SIDEWALK 20 30
CVC 22500(8) STOPPING/STANDING/PARKING: ALONG/OPPOSITE OBSTRUCT 20 30
CVC 22500(h) STOPPING/STANDING/PARKING: ON ROADWAY SIDE OF VEHICLE 20 30
CVC 22500(i) IMPROPER PARKING IN BUS ZONE 250 260
CVC 225006) STOPPING/STANDING/PARKING: IN TUBE OR TUNNEL 20 30
CVC 22500(k) STOPPING/STANDING/PARKING: UPON BRIDGE EXCEPT AUTH 20 30
CVC 22500(1) IMPROPER PARKING IN WHEELCHAIR ACCESS 250 260
CVC 22502(a) CURB PARKING 20 30
CVC 22502(b) PARKING OPPOSITE DIRECTION OF TRAFFIC 20 30
CVC 22502(c) CURB PARKING-WHEELS MORE THAN 18 INCHES FROM CURB 20 30
CVC 22504(a) UNINCORPORATED AREA PARKING 20 30
CVC 22505(a) PARKING ON STATE HIGHWAY WHERE SIGN POSTED 20 30
CVC 22505(b) POSTED NO PARKING-STATE HIGHWAY 20 30
CVC 22507 UNLAWFUL PARKING 20 30
CVC 22507.8(a) PARKING IN SPACE FOR HANDICAPPED 275 285
CVC 22507.8(b) PARKING IN SPACE FOR HANDICAPPED-OBSTRUCT/BLOCK 275 285
CVC 22507.8(c)(1) PARKING IN SPACE FOR HANDICAPPED-ON LINES MARKED 275 285
CVC 22507.8(c)(2) PARKING IN SPACE FOR HANDICAPPED-PARKING LOT 275 285
CVC 22510 PARKING IN SNOW REMOVAL AREAS 20 30
CVC 22511.7 HANDICAP ZONE 275 285
CVC 22512 VEHICLE UNATTENDED 103 113
CVC 22513 TOW CARS-PARKING ON FREEWAY 20 30
CVC 22514 FIRE HYDRANTS 50 60
CVC 22515(a) UNATTENDED VEHICLES-SET BRAKES/STOP MOTOR 20 30
CVC 22515(b) UNATTENDED VEHICLES-SET BRAKES/WHEELS/PREVENT MOVE 20 30
CVC 22516 LOCKED VEHICLE 103 113
CVC 22517 OPENING AND CLOSING DOORS 103 113
CVC 22520.5 VENDING ON FREEWAY RIGHT-OF-WAY 103 113
CVC 22520.5(a) VENDING ON FREEWAY RIGHT-OF-WAY 103 113
CVC 22521 ILLEGAL TO PARK ON RAILROAD TRACKS 20 30
CVC 22522 PARKING NEAR SIDEWALK ACCESS RAMPS 275 285
CVC 22523(a) VEHICLE ABANDONMENT-On Highway 270 280
CVC 22523(b) VEHICLE ABANDONMENT 270 280
CVC 22650 UNLAWFUL REMOVAL OF UNATTENDED VEHICLE 103 113
CVC 22651(b) VEHICLE PARKED/LEFT STANDING TO OBSTRUCT TRAFFIC 103 113
LATE PAYMENT PENALTY 20 30
Page 2
c o u n c i l m E m o Ra n o u m
Date: April 27, 2009
TO: City Council
FROM: Ken Hampian, City Manage
VIA: Jay Walter,Public Works Director
Robert Horch,Parking Services Manager
SUBJECT: Park Fine Surcharges Update
This memo is to update City Council after staff met with Assemblyman Sam Blakeslee and with
San Luis Obispo County staff concerning parking fine surcharges.
Possible Retroactive Payment of State Parking Fine Surcharges
After discussions with Assemblyman Blakeslee and other cities, it is not certain that the City
owes surcharges prior to January 1, 2009. There is considerable ambiguity in the law and staff
believes taking a"wait and see" approach is the most prudent course of action. If circumstances
change, Assemblyman Blakeslee has indicated a willingness to assist us at that time. Staff will
continue to monitor this issue and keep the City Council appraised of new developments.
Timing of County Parking Fine Surcharges
Staff met with County of San Luis Obispo staff concerning assessment by the County of the local
courthouse and criminal facility construction surcharges. County staff confirmed they will be
taking this issue to the Board of Supervisors with a recommendation to adopt these surcharges on
a county wide basis in the coming weeks.
Based on this additional information, City staff continues to recommend adoption of a resolution
increasing parking fines by $10 to cover the City's cost of additional surcharges imposed by the
State and County.
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IS IT THE TRUTH?
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IS IT FAIR TO ALL
CONCERNED?
GOODWILL
P. 0. Box 833 RECEIVED ANID LL BETTERLFRIENDSHIPS?
SAN LUIS OBISPO, CALIFORNIA MAY 05 20,09 1 WILL IT BE BENEFICIAL
93406 ALL CONCERNED?
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San Luis Obispo Mayor and City Council �iNK {�QY Q 2009 FIN DIR
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April 30, 2009
Dear Mayor and City Council,
The Rotary Club of San Luis Obispo is pleased to present the City of San Luis Obispo
with a donation of Rotary funds in the amount of$50,000.00 toward completion of
Section 4a of the Railroad Safety Bicycle and Pedestrian Trail, also known as the
"Missing Link." We are also happy to present the City with a check in the amount of
$35,000.00 collected as a result of our fund raising drive in the community at large. This
donation represents our club's "Clean and Green" project for 2007/2008 under Rotary
President Roxanne Carr.
IWe request this section of the RR Safety Trail be named the "Rotary/Connor/Cletsoway"
section. The late Wes Connor was an avid bicyclist, Rotarian of many years, a Cal Poly
faculty member and a member of the City's Bicycle Advisory Committee. The late Dr.
Cletsoway was also an avid bicyclist and neighborhood bicycle advocate who supported
plans for this trail in their earliest stages. l4iis wife Emily donated $20,000.00 to the
community fund in his honor.
Your staff is doing an outstanding job promoting bicycle transportation, which is so
important. Thank you for giving us this unique opportunity to serve the community and
the environment.
Sincerely, �o�y
IICO
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