Walker consultants presented to the Poulsbo City Council Nov. 20 its findings for a paid parking proposal in parts of downtown.

“After almost two years, I feel very good about the progress we’re making and the quality of the data we’ve gathered and hopefully getting close to making some decisions,” Councilmember Gary McVey said. “This will be a living, breathing program that we can change and improve as time goes on.”

City staff has proposed a program launch date of April 2025, which aligns with the seasonal uptick in parking demand, per Walker’s report. To meet the timeline, Walker suggests a concerted effort to work on all items for program development at the same time. This includes program budget, staffing plan, hiring, system operations, city code updates, procurements and signage revisions.

Initial capital funds for signage and supplies are dependent upon further program development. Under the current model, the cost to launch the program may range from $110,000-$130,000, depending upon materials selected.

Councilmember Britt Livdahl said: “I am in favor of keeping things simple, especially to start. Some business owners are concerned there’s not enough employee parking designated; forty spots is not going to cover it.”

In August, the council approved a contract with Walker consisting of six tasks: parking implementation considerations, parking municipal code recommendations, development of enforcement options, employee parking permit program, downtown signage implementation map (wayfinding and regulatory) and implementation presentations between staff and council, per city documents.

As identified in the downtown parking study update in 2023, the supply consistently reaches and, in many areas, exceeds 85% occupancy during much of a typical day. High, unbalanced usage of public parking may limit access to the area for residents, employees and visitors, but it also limits economic development potential, documents state.

“Pending modifications to the parking system must provide adequate ongoing funds for the operation and maintenance of the city-managed public parking system, and potentially provide a funding source for future investment in transportation demand management strategies and initiatives for downtown improvement,” Walker’s presentation states.

Mayor Becky Erickson is afraid if the council doesn’t move forward with some kind of enforcement, the parking problem downtown is only going to worsen. “My fear is if we don’t make a brave decision now, we can really harm the downtown. It’s gotten to the point where the parking is so restricted, so congested that our customers can’t get in to use our downtown. This is a problem we’ve been dealing with for a very long time, and it’s not going to go away.”

Proposals

The proposed payment area would include the Anderson Parkway lots, Front Street (Jensen to 3rd), and Jensen Way to Iverson Street. The King Olaf lot would remain free and time-limited, with the north “overflow” section serving as an employee parking area.

There are two alternatives for days and times for paid parking. Alternative 1 assumes paid parking Mondays through Saturdays from 10 a.m. to 6 p.m., with free parking Sundays. Alternative 2 assumes paid parking seven days a week from 10 a.m. to 6 p.m. For both, paid parking would be year-round as opposed to during peak season (April – October).

For Alternative 1, parking would be $2 per hour and employee permits would be $20 per month. Annual revenue would be about $900,000 and expenses about $420,000. For Alternative 2, parking would be $2 per hour and employee permits $20 per month excluding administrative. Annual revenue would be about $1 million and expenses would be about $420,000.

Additionally, the program must accommodate the needs of local residents and visitors making quick trips downtown, per documents. Therefore, the city should enforce the times suggested, which are designed to offer grace and free parking before 10 a.m. and after 6 p.m.

Revenue assumptions

Paid parking: In addition to seasonal fluctuations in parking demands, the model anticipates a 10% reduction in overall parking due to the new cost.

Employee Permits: 42 spaces would be provided at the upper King Olaf lot for employee parking. All the spaces are expected to be filled.

Violations and citations: It is assumed that 85% of parking sessions will comply. Of those who don’t pay, it is assumed that about 66% of citations would be collected. Finally, it is assumed that parking enforcement would be in effect six days a week.

Technology and credit card fees: Credit cards are anticipated to account for almost all transient and permit purchases with a 3% transaction fee. Technology fees are captured at an assumed rate of 35 cents per transaction.

Expense assumptions

Staffing: Staff costs are projected to include labor hours for judicial clerk duties and to compensate for a director of the program.

Third-party outsourced operations contract: Modeling assumes that day-to-day operational support is provided by a third-party vendor to include roving enforcement at unpredictable times of day.

Supplies and technology: Mobile/Scan-to-Pay is the sole assumed technology for payments. Operating expense assumptions include consumable supplies such as permits, signage and citations.

Enforcement vehicle: A vehicle with corresponding mobile license plate recognition technology is assumed to be purchased and amortized over three years for a cost of $75,000.

Alternatives and risks (outlined by Walker)

• A third-party outsourced operational contract will require a competitive process and or appropriate vehicle for procurement. Contract negotiations may involve unforeseen elements that increase projected costs.
• If Sundays are omitted, compliance issues are anticipated. Free parking on Sundays may impede visitors from being able to find parking, as it is likely that employees might not park in their designated area.
• Citation revenue projections were based on data from other communities that were calibrated and scaled down to align with the size of Poulsbo’s public parking system. However, Walker notes that citation revenue varies widely as a result of fine amounts, schedules, the level of enforcement, citation frequency, and the percentage of citations that are warnings with no associated fine. Depending on Poulsbo’s specific enforcement, citation revenue may be higher or lower.
• With scan-to-pay mobile applications and/or multi-space parking meters, revenue would be associated directly with vehicles, and not with the individual meter or space. Assuming a very high-occupancy parking system, with rapid turnover, that would result in revenue on a transaction-hour basis potentially exceeding revenue on a per-occupied-space basis. As a result, projected hourly parking revenues may be conservative.
• The parking garage at City Hall will require operational management in the form of time limitations and employee permits. Walker suggests an enforced time limit of two hours from 8 a.m. to 5 p.m. Monday through Friday. Ongoing assessment is suggested, and modification of the garage management rules may be required if parking patterns demonstrate a negative experience for visitors.