BILL ANALYSIS SENATE COMMITTEE ON EDUCATION Gloria Romero, Chair 2009-2010 Regular Session BILL NO: SB 518 AUTHOR: Lowenthal AMENDED: April 22, 2009 FISCAL COMM: Yes HEARING DATE: April 29, 2009 URGENCY: No CONSULTANT:Kathleen Chavira SUBJECT : Community College Parking Fees SUMMARY This bill prohibits community college districts from using state funds to directly or indirectly subsidize the construction or operation of parking for students, employees, or other persons on or after January 1, 2011, and authorizes , rather than requires , districts to exempt students who receive financial assistance, as specified, or students who regularly commute with two or more passengers, from fees in excess of specified amounts. BACKGROUND Current law authorizes a community college district to require students and employees to pay a maximum fee for parking services of forty dollars ($40) per semester and twenty dollars ($20) per intersession, not to exceed the actual cost of providing parking services (which includes purchase, construction, operation and maintenance of parking facilities). Current law authorizes parking fees in excess of these limits to fund the construction of on-campus parking facilities if specified conditions exist at the campus. To encourage ridesharing and carpooling, parking fees are capped at thirty dollars ($30) per semester and ten dollars ($10) per intersession if a student certifies he/she regularly commutes with two or more passengers to the college. Students who receive financial assistance pursuant to specified programs are exempt from parking fees above twenty dollars ($20) per semester. Community college districts may require fees for the use of SB 518 Page 2 parking services by persons other than students and employees. ANALYSIS This bill : 1) Eliminates the statutory caps on the parking fees that a community college district may require of students and employees. 2) Prohibits a community college district from using state funds, directly or indirectly, to subsidize the construction or operation of parking for students, employees, or other persons on or after January 1, 2011. 3) Clarifies that construction and operations of parking are not subsidized if the fees cover land and construction costs within no less than 15 years and operation and maintenance costs on an annual basis. 4) Authorizes, rather than requires, a community college district to establish maximum parking fees for certain students. Specifically, the district has the discretion to: a) Exempt students who receive financial assistance under specified programs from parking fees in excess of $20 per semester. b) Exempt students who regularly commute with two or more passengers from parking fees in excess of $30 per semester, and $10 per intersession. 5) Generally prohibits the use of state funds to subsidize parking after January 1, 2011. 6) Creates mandates and incentives for local governments to adopt parking reforms. 7) Exempts rural counties and any city or county that participates in specified regional efforts to implement parking reforms from the bill's provisions. STAFF COMMENTS SB 518 Page 3 1) Double-referred bill . This bill was previously heard and passed by a vote of 6-4 in the Senate Transportation and Housing Committee. Although the bill's provisions affect various state agencies and local government entities, for purposes of this Committee, the analysis focuses upon the provisions affecting the California Community Colleges. 2) Intent of the bill . According to the author, "free" parking has significant social, economic, and environmental costs. This bill seeks to facilitate economic development, reduce traffic congestion and greenhouse gas emissions and save scarce public resources by reducing governmental or government-required subsidies for parking. 3) UC and CSU . According the UC, their campuses do not subsidize parking for their students or faculty. Parking fees at the UC campuses range from $189 per quarter at UCLA to annual fees of $578 for students and $792 for faculty/staff/grad students at UC Santa Cruz. At the CSU, unsubsidized parking fees range from $68 per semester at CSU Fresno to $248 per semester for students at CSU San Marcos. 4) CCC student population . Unlike the UC and some CSU campuses, community colleges do not generally provide campus housing options. CCC students are generally older than UC students, typically work, and may take courses at more than one campus within a district. Many CCC students are employed and require child-care in order to attend classes. Several campuses are located in rural or remote areas with no access to public transportation systems. Would increased parking fees encourage these students to use public transit or simply increase their costs and make it even more difficult for them to pursue postsecondary educational opportunities? While it is unclear whether/how much parking fees would increase, a cursory review of unsubsidized UC and CSU parking fees indicates that semester parking costs could potentially exceed the $240 fee ($20/unit for 12 units) currently paid by students to enroll in CCC classes full time. 5) Why are CCC treated differently than other locally SB 518 Page 4 governed entities ? This bill generally prohibits the use of state funds to subsidize parking. It also provides a number of options for local government entities to comply with its requirements, presumably, in recognition of the need to allow the local governing bodies to determine the best way to comply while meeting the needs of their local constituencies. This bill does not provide the same discretion for community college governing boards. Shouldn't a locally elected governing board also be allowed to determine how to best meet state goals for emissions reductions while still meeting the needs of its students and faculty? 6) Other strategies . Current law authorizes community college districts to impose a transit fee with student and/or voter approval. Current law also provides additional flexibility to three districts to authorize, rather than require exemptions from this fee for low-income students and to require minimum enrollment in order to be eligible for the discounted permit. These recently enacted provisions attempt to encourage and facilitate the ability of three local districts to locally negotiate subsidized public transit options for students and faculty. Rather than restrict parking, the author may want to consider extending such flexibility to all community college districts. Staff recommends the bill be amended to delete the parking provisions affecting community colleges from the bill and to instead, modify existing law to facilitate all CCC districts' ability to enter into agreements with local public transit entities. SUPPORT None received. OPPOSITION California Community College League Riverside Community College District