BILL ANALYSIS Ó AB 2586 Page 1 Date of Hearing: May 11, 2016 ASSEMBLY COMMITTEE ON APPROPRIATIONS Lorena Gonzalez, Chair AB 2586 (Gatto) - As Amended April 6, 2016 ----------------------------------------------------------------- |Policy |Transportation |Vote:|16 - 0 | |Committee: | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | |Local Government | |6 - 3 | | | | | | | | | | | ----------------------------------------------------------------- Urgency: No State Mandated Local Program: YesReimbursable: Yes SUMMARY: This bill makes several changes to the state's parking laws. Specifically, this bill: 1)Deletes the January 1, 2017, sunset on provisions authorizing parking, up to the posted time limit, at inoperable parking meters or inoperable parking payment centers (kiosks). AB 2586 Page 2 2)Prohibits valet parking services in business districts from restricting motorists' ability to park in available metered parking spaces and from prohibiting motorists from using designated passenger loading areas. 3)Prohibits a local authority, when using contracted private parking enforcement services, from promoting incentives (monetary or otherwise) for issuing higher numbers of violations, or increasing fines to cover the costs of the contracted enforcement services. 4)Requires a local jurisdiction, when installing new parking technology, to consider the feasibility of demand-based pricing technology and to identify appropriate locations where it can be utilized. 5)Requires the local jurisdiction to include a written finding regarding the consideration in (4) before installing new parking technology and to retain a copy of the finding and post it on their website. FISCAL EFFECT: Potential significant reimbursable costs to the extent local agencies must undertake feasibility studies to consider demand-based pricing technology prior to upgrading their parking meters. While local jurisdictions might undertake such analyses regardless of this bill, this mandate will require state reimbursement for this activity. These costs are unknown, but for example, the City of Sacramento indicates that, in 2013, it spent about $400,000 for studies in advance of upgrading its parking meter technology. AB 2586 Page 3 COMMENTS: 1)Purpose. According to the author, every year cities issue thousands of parking tickets to motorists for every imaginable violation ranging from parking at inoperable meters, obstructing driveways, parking too close to fire hydrants and stop signs, and abandoning vehicles. He asserts that, in part, these actions are driven by budget deficits that forced many local governments to run their parking enforcement programs as revenue-generation mechanisms rather than as a mechanism to enforce sensible parking restrictions. He points out that these excessive citations add up. In 2014 alone, the City of Los Angeles generated $165 million in citations and, similarly, the City of San Francisco generated $130 million. The author has introduced this bill, which he describes as a "Parking Bill of Rights," to address a variety of parking offenses that he believes are being excessively cited by local jurisdictions and are overly punitive. 2)Broken Parking Meters. This bill removes the sunset on provisions set forth in AB 61 (Gatto), Chapter 71, Statutes of 2013, which until 2017 prohibit local governments from ticketing cars parked at broken meters until 2017. The author contends that allowing this prohibition to expire will allow local jurisdictions to simply resume ticketing after the sunset date. The author contends that the intent of AB 61, to make as many parking spaces available to motorists as possible, has been achieved. He contends that AB 61 has also created an incentive for local jurisdictions to promptly repair or replace broken meters. Local jurisdictions, on the other hand, contend, that AB 61, while well intended, encouraged increased parking meter vandalism which, when successful, AB 2586 Page 4 allows motorists to park for free. 3)Valet Parking. The bill also prohibits valet parking operators from blocking metered spaces and loading zones from public use. The author notes that this provision addresses numerous complaints from motorists in the Los Angeles area that valet parking services are unfairly utilizing public parking stalls to benefit only a small handful of businesses and individuals. 4)Demand-Based Parking. The author notes that demand-based pricing, which allows prices to fluctuate based on demand, can serve as a mechanism to increase "turnover" of parking spaces, making more parking stalls available throughout the day. He notes that while some cities have successfully implemented this system, many cities fail to consider it, and he feels that this bill would encourage local jurisdictions to look at and potentially implement these parking alternatives. The San Francisco Metropolitan Transportation Authority (SFMTA), recently upgraded all of that city's 29,000 parking meters to demand-based "smart meters," contends these meters improve parking availability without increasing double parking, congestion, or parking citations. Additionally, SFMTA noted that "cruising" for parking spaces decreased by 30% and meter-related parking tickets decreased 23% after the "smart meters" were installed. 5)Opposition. The League of California Cities generally opposes each aspect of the bill as an unnecessary restriction on local governments' authority to regulate parking. Analysis Prepared by:Chuck Nicol / APPR. / (916) 319-2081 AB 2586 Page 5